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It’s been a difficult journey for the cryptocurrency market in 2022. By November the market was down by more than 70 percent from the previous high on November 20, 2021. When things were looking down after the FTX crash turned things more dire. The question is, can the crypto market recover in 2023?

Crypto Market Dips are Cyclical

The cryptocurrency market, specifically Bitcoin has had its fair share of dips in the past. Every time, it’s rebounded by a massive rise.

In 2013, for instance, Bitcoin reached a peak of $1,160. It then plummeted for more than a year, reaching a low of $150. In 2017 it broke that record, and hit a new high of $19,600. In 2018, it was trading at $3,100. And in 2020, the price broke through the resistance, and reached a record high of $68,000 in November 2021. And just like that, we’ve had another dip. However, history has shown us that at the end of every dip there’s a bull-run.

Every Dip is Followed by a Long Bull Run

As we’ve seen before, fall-offs are typically followed by a long bull run that finally overcomes the resistance set by the previous market’s highest price. This pattern is evident in not just Bitcoin but also in other cryptocurrencies.

Growing Use of Crypto and Blockchain

Crypto and blockchain technology have progressed a lot in recent years. With more and more businesses and industries adopting it, its usage and acceptance is increasing. From finance to gaming cryptocurrency is being utilized in a myriad of ways. This growing demand could lead to more people getting involved in the market, which in turn could increase the price.

Increased institutional interest in crypto

In the last few years we’ve noticed a growing interest from institutional investors in crypto. From banks to hedge funds, many large institutions are now exploring the potential of crypto assets. This increased interest from institutions can bring stability to the market for crypto and could lead to greater prices.

Government regulations

As the crypto market grows and mature, governments across the globe are starting to create more favorable rules for cryptocurrency. This will help draw more investors and increase the acceptance of crypto in general.

A broader range of blockchain applications

The technology that is the basis of many cryptocurrency, blockchain, has a wide range of possible applications beyond the realm of financial transactions. In addition to supply chain management, voting and other systems industries are starting to explore how they can benefit from blockchain technology. This could increase investment and enthusiasm in cryptocurrency.

Technologies are constantly evolving.

Crypto and blockchain technology are still in the early stages of development. As advancements continue to be made in areas such as security and scalability, potential of cryptocurrency assets will continue to expand. This could result in more use and increase in prices.

Rising global economic uncertainty

Due to the constant instability in the economy caused through the COVID-19 pandemic, as well as other causes increasing numbers of investors are beginning to look for safe haven investments like bitcoin and even gold. Since the economic outlook for the world is uncertain it could result in an increase in demand for crypto and increased prices.

Retail investors are able to earn interest

Institutional investors aren’t the only people who are interested in crypto. Retail investors, or individual investors are also beginning to invest in the cryptocurrency market. With increasing numbers of people are educated about crypto and how to invest in it This could result in more demand and higher prices.

A growing number of people are becoming aware of and accepting crypto

As the market for crypto grows increasing numbers of people are starting to learn about and appreciate the concept. As awareness and acceptance of cryptocurrency grows, this could lead to more people purchasing as well as holding the crypto that can drive up prices.

$magic crypto price

Decentralized finance (DeFi) is an emerging area of the crypto market that enables financial services to be developed on top of blockchain technology. As DeFi grows and more platforms and projects are launched, it could result in increased use and higher prices for crypto.

Developments in crypto payment methods

As the market for crypto continues to grow increasing numbers of companies are starting using crypto to be a form of payment. This could result in increased use of crypto in everyday transactions and higher prices.

More investment from sovereign wealth funds

The sovereign wealth fund, also known as owned by the state as investment vehicles, are starting to show interest in cryptocurrency as a possible asset class. As more of these funds devote a percentage or their entire portfolios to cryptocurrency, this could result in a rise in demand and increased prices.

Cryptocurrency is used for payment across borders

One of the major benefits of crypto is its ability to facilitate fast and cheap cross-border payments. As more businesses and individuals are beginning to make use of cryptocurrency for international transactions this could lead to increased the demand for it and a rise in prices.

An increasing number of crypto ATM’s

The number of crypto ATM’s continue to increase it will be more convenient for individuals to purchase and hold crypto, which will drive up demand and prices.

Security tokens are developed for development

Security tokens, also known as digital assets that signify ownership of an asset, like stocks or real estate are rapidly expanding segment of the cryptocurrency market. Since more and more security tokens will be issued and traded, it can lead to a higher demand and consequently higher prices for crypto.

More adoption by merchants

In the event that more businesses accept crypto as a form of payment, this will make it more convenient for consumers to utilize and store crypto, which can drive up demand and prices.

So, will crypto rise in 2023? It’s only time to find out. With these things in mind, it’s possible that the crypto market could have a rebound by 2023. For those looking to invest for the long run patience and discipline is crucial.

It’s been a rough journey for the cryptocurrency market until 2022. By November, the market had dipped by more than 70% from its previous peak on November 20, 2021. Just when the market was going downhill after the FTX crash made them look worse. The question is, can the crypto market recover in 2023?

Crypto Market Dips are Cyclical

The market for crypto, particularly Bitcoin has experienced many drops in the past. Every time, it’s rebounded by a massive rally.

In 2013, for instance, Bitcoin reached a peak of $1,160. It then plummeted for over a year before reaching a bottom of $150. In 2017, it broke the record and reached a new highest of $19,600. Then, in 2018, and it was trading at $3,100. In the year 2020 it struck through the resistance, and reached a record highest of $68,000 in November 2021. And just like that, we’ve witnessed another drop. However, the past has proven that at the end of every dip, there’s a bull run.

Every Dip is Followed by a Long Bull Run

Just like we’ve seen previously, dips are typically followed by a lengthy bull run that finally breaks through the resistance created by the previous market’s highest price. This pattern is evident in not just Bitcoin but also in other cryptocurrency.

Growing Use of Crypto and Blockchain

Blockchain and cryptocurrency technology has progressed a lot in recent years. With more and better companies and industries embracing it, its usage and acceptance is growing. From gaming to finance cryptocurrency is being utilized in a variety of ways. And this growing use case can lead to increasing participation in the crypto market, which in turn could drive the prices up.

The rise in interest of institutions in crypto

In the last few years we’ve noticed a growing interest from institutional investors in crypto. From hedge funds to banks, many large institutions are now exploring the possibilities of crypto assets. The increased interest of institutions can bring stability to the crypto market and could lead to more expensive prices.

Regulations of the government

As the market for crypto is maturing, governments around the world are beginning to develop more favorable rules for cryptocurrency. This is likely to attract more investors and boost the acceptance of crypto in general.

Blockchain has many more applications.

The technology that underlies many cryptocurrency, blockchain, is a broad range of applications that go beyond just financial transactions. In addition to supply chain management, voting and other systems companies are starting to explore how they can utilize blockchain technology, which could drive more investment and interest in crypto.

Technology advancements

Blockchain and cryptocurrency technology is still in the early stages of development. As progress is made in areas like security and scalability, potential of crypto assets will continue to increase. This could lead to more adoption and higher prices.

Uncertainty in the global economy

With the ongoing economic uncertainty caused by the COVID-19 pandemic as well as other factors many investors are starting to look for safe haven investments like cryptocurrency and gold. Since the economic outlook for the world remains uncertain it could result in an increase in demand for crypto and more expensive prices.

Interest from retail investors

The institutional investors aren’t alone in people who are interested in crypto. Retail investors, or individual investors are also beginning to invest in the cryptocurrency market. As more and more everyday people learn about crypto and how to invest in it This could result in an increase in demand and consequently higher prices.

A growing number of people are becoming aware of and accepting cryptocurrency

As the crypto market is maturing, more and more people are beginning to learn about and understand it. As the awareness and acceptance grows of crypto, it will lead to more people buying as well as holding the crypto that could raise prices.

magic crypto price

The Decentralized Finance (DeFi) is an area that is rapidly expanding in the crypto market that allows the provision of financial services created on top of blockchain technology. As DeFi continues to grow and more platforms and projects become available, this could lead to increased adoption and more expensive prices for crypto.

Advances in crypto-based payment methods

As the market for crypto grows increasing numbers of companies are starting using crypto to be a means of payment. This could lead to an increase in the usage of crypto in daily transactions, and a rise in prices.

The increased investment of sovereign wealth funds

The sovereign wealth fund, also known as government-owned investments, are now beginning to look at crypto as a potential asset class. As more funds devote a percentage of their assets to digital currencies, this could increase demand and more expensive prices.

Cryptocurrency is used for payment across borders

One of the main advantages of crypto is the ability to facilitate fast and cheap cross-border payments. As more and more people and businesses begin to use cryptocurrency for international transactions it could result in increased the demand for it and a rise in prices.

The number of ATMs that accept crypto is increasing.

The number of ATMs for crypto continue to increase, it will become easier for individuals to purchase and keep crypto, which could drive up demand and prices.

The development of security tokens

Security tokens, or digital assets that signify ownership of an asset, like real estate or stock is a fast-growing sector of the crypto market. Since more and more security tokens will be created and traded, it can lead to a higher demand and consequently higher costs for cryptocurrency.

A greater adoption rate by merchants

With the increasing number of merchants accept crypto as a form of payment, it will make it more convenient for consumers to utilize and store crypto, which could boost demand and increase prices.

So, will crypto increase in 2023? Only time will tell. But with these factors to consider, it’s likely that the crypto market will have a rebound by 2023. For those in it for the long-term patience and discipline is essential.