Investors continue to strongly believe in the long-term price rise of BTC, which is more of a bull market feature.
The term bear market tends to scare most investors. This sharp and prolonged price decline often causes investors to either sell their cryptocurrencies or get lost in an endless dilemma. For more than a year, the expression has hung like a rogue shadow over the crypto-universe.
However, for those who know how to read between the lines, there really was no bear market. The following is a brief description of the events that are ongoing during this period and that are fundamentally against the logic of a bear market, as conceived.
Why Is There a Growing Interest in Cryptocurrencies?
Basically, the main characteristic of a bear market is the loss of investors’ confidence in cryptocurrencies after a significant loss in the value of cryptocurrencies. These difficult times usually cause most crypto projects to be abandoned with the zeal of some developers waning and pressure from regulators easing.
However, while it is true that the current state of the crypto market has convinced a number of institutional clients to divest themselves of their crypto or exit the market, there is a contrary trend among a certain number.
According to data from Blockchain analytics firm Glassnode, investors have held more than 13.3 million BTC worth more than $388.7 billion for more than a year. This crypto-optimism indicates that these investors continue to strongly believe in the long-term price rise of BTC, which is more of a hallmark of a bull market.
What about the Binance exchange, which has just received two licenses to offer crypto products and services in El Salvador, the country that has become known as the first to grant Bitcoin legal tender on its territory? Shortly before receiving these two licenses in El Salvador, Binance had already inaugurated two different subsidiaries last July, the first in Japan and the second in Dubai.
This policy of expansion and consolidation in a period considered to be of scarcity in the crypto world should not leave anyone indifferent. The cryptocurrency market is not as bleak as it seems. Investors are assured that there will be an upward correction in prices.
Crypto Projects Continue to Grow Despite the Market Situation
Even if the media doesn’t do too many events, more and more crypto projects are popping up these days. Radical innovations have emerged in Bitcoin, impressive collaborations between tech and crypto companies like Microsoft and Apto Labs, for example, launches of innovative crypto products or services, among others.
It is clear that contrary to typical bear market scenarios, interest in cryptocurrencies has not really waned. Rather, there is paradoxical enthusiasm for cryptocurrencies and active preparation for the next phase of cryptocurrency economic growth, showing that companies and institutions continue to believe in cryptocurrencies in 2023. The European Parliament’s adoption of the MICA regulation in April. 20, 2023 also strengthens the confidence of institutional clients in crypto services and products.
Traders are Gearing Up for the 2024 Digital Asset Summit
In March 2024, cryptocurrencies will unite the world again. Cryptocurrency industry leaders, policymakers, and institutional experts will gather in Washington at the Digital Assets Summit to discuss the latest developments and challenges in the evolving world of cryptocurrencies, share ideas, and drive innovation. innovation. adoption and accelerate industry transformation.
By Leonardo Pérez
