Moon Farm Crypto

It’s been a tough experience for the crypto market until 2022. As of November, the market had dipped by more than 70 percent from the previous high in November 2021. When things were going downhill, the FTX crash turned things even more dire. What is the likelihood that the crypto market recover in 2023?

Crypto Market Dips are Cyclical

The market for crypto, particularly Bitcoin has experienced its fair share of dips in the past. Every time, it’s rebounded with a big rally.

For instance, in 2013, Bitcoin reached a peak of $1,160, then fell for a full year before hitting a low of $150. In 2017, it broke that record, and hit a new highest of $19,600. In 2018, the price was at $3,100. And in the year 2020 it struck through that resistance, and reached a record peak of $68,000 in the month of November 2021. And just like that, we’ve witnessed another drop. But history shows us that following each dip, there’s a bull run.

Every Dip is Followed by a Long Bull Run

As we’ve seen previously, dips tend to be followed by a prolonged bull run that eventually breaks through the resistance created by the previous market’s highest price. This is evident in more than Bitcoin but also other cryptocurrencies.

Growing Use of Crypto and Blockchain

Crypto and blockchain technology have made significant progress in recent years. With more and more businesses and industries embracing it, its usage and acceptance is rising. From finance to gaming the use of crypto is increasing in a myriad of ways. This growing demand can lead to more people being involved in the crypto market and, in turn, boost prices.

A rise in the interest of institutions for cryptocurrency

In recent years we’ve witnessed a rising curiosity from institutions investing in crypto. From hedge funds to banks numerous large institutions are now exploring the potential in crypto currencies. This increased interest from institutions can bring stability to the market for crypto and could lead to greater prices.

Regulations of the government

As the market for crypto continues to mature as it matures, governments all over the world are beginning to establish more favorable regulations for crypto. This is likely to attract more investors and increase the acceptance of crypto in general.

Blockchain has many more applications.

The technology that underlies many cryptocurrency, blockchain, offers a variety of potential use cases that go beyond financial transactions. In addition to supply chain management, voting and other systems companies are beginning to look at ways they can utilize blockchain technology. This could drive more investment and interest in crypto.

Technology advancements

Blockchain and cryptocurrency technology is at the very beginning of development. As advancements continue to be made in areas such as security and scalability, the potential of crypto assets will grow. This could result in more adoption and higher prices.

Uncertainty in the global economy

With the ongoing economic uncertainty caused through the COVID-19 pandemic and other factors many investors are looking for safe haven assets like gold and crypto. As the global economic situation remains uncertain it could result in increased demand for crypto and increased prices.

Interest from retail investors

Investors from institutions aren’t the only ones showing interest in crypto. Retail investors, or individual investors, are also starting to get involved in the cryptocurrency market. In the future, as more everyday people become aware of cryptocurrency and investing in it This could result in increased demand and higher prices.

Growing awareness and acceptance of cryptocurrency

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

moon farm crypto

Financial decentralization (DeFi) is an area that is rapidly expanding in the crypto market, which allows financial services to be created on top of blockchain technology. As DeFi expands and more platforms and projects come online, this could lead to increased adoption and increased prices for crypto.

Developments in crypto payment methods

As the crypto market continues to grow as more and more businesses are starting to accept crypto as a means of payment. This could lead to increased use of crypto in everyday transactions and higher prices.

The increased investment of sovereign wealth funds

These funds are owned by the state as instruments for investing, are starting to show interest in crypto as an asset class. As more of these funds devote a percentage of their portfolio to crypto, this could result in a rise in demand and increased prices.

Cryptocurrency is used for international payments

One of the biggest benefits of crypto is its ability to make fast and cheap cross-border payments. As more and more people and businesses are beginning to make use of crypto for international transactions, this can lead to a rise in demand and higher costs.

The number of ATMs that accept crypto is increasing.

The number of crypto ATM’s continue to grow it will be easier for consumers to purchase and hold cryptocurrency, which can increase demand and price.

Development of security tokens

Security tokens, also known as digital assets that are used to represent ownership in an asset like real estate or stock is a fast-growing segment of the cryptocurrency market. As more security tokens are issued and traded, this could result in a rise in demand and higher rates for the crypto.

Merchants are more likely to adopt the concept.

As more and more retailers start accepting cryptocurrency as a method of payment, it will make it easier for consumers to hold and use crypto, which could boost demand and increase prices.

So, will crypto rise in 2023? It’s only time to find out. With these things to consider, it’s likely that the cryptocurrency market will be able to see a rebound in 2023. And for those who are looking to invest for the long-term, being patient and disciplined will be key.