Bitcoin looks towards an uptrend in 2023

Bitcoin gave out handsome returns in 2020 and 2021 when major industries were down amid the rising cases of the pandemic. The statement is important to highlight that Bitcoin cannot be underestimated despite 2022 being one of the worst years for the largest cryptocurrency in the world.

It reportedly lost 65% in valuation last year, bringing down BTC by a huge margin compared to how it started in 2022.

Experts cite that there is a chance for BTC to bounce back. A four-stage model has been laid down, stating that it happens over 4 years in the cycle. The model begins with traders accumulating BTC in their portfolios, followed by an uptrend in the trading market, the sale or distribution of BTC, and then the downtrend.

This model is evident because 2020 and 2021 were indeed the years when the BTC market was experiencing an uptrend in the trading board. 2022 has been nothing but a downfall in every sense. Therefore, it is estimated that BTC could see the cycle returning to the first stage, where traders accumulate the token for an uptrend in the market.

Half of the BTC investors are at a loss. It supports a hypothesis that the price goes up when a larger percentage of BTC investors have their virtual portfolios in the negatives. It will prove true only in the days to come.

The reasons behind BTC’s higher bets prediction are:

  • Institutional investors and blue-chip companies getting onboard in larger numbers
  • The historic cycle of Bitcoin, which is filled with price fluctuations
  • Occurrence of a turning point in BTC
  • Interoperability functionality that gives BTC a higher liquidity

Every bitcoin enthusiast is keeping an eye on Bitcoin price prediction to stay updated about the recent price fluctuations in the Bitcoin market. Furthermore, they will get an idea about the positive predictions about the bitcoin market in the coming year 2023.

Institutional investors handle BTC on behalf of their clients. Mutual Funds are a perfect example to understand how BTC is handled by institutional investors. Blue-Chip companies like MasterCard and Alphabet are investing in BTC to ensure that their customers have a window to leverage their holdings for payment and investment services.

The historic cycle says that the time for the downtrend is nearing the endpoint, with a possible accumulation period commencing soon in the current year. Turning points have come several times in the crypto market. BTC had a downfall in the previous year; however, the same may not be the case in the days to come.

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Lastly, interoperability ensures that BTC has enough liquidity to suffice the needs of its community members. A mutual relationship with blockchain networks, like Internet Computer (IC), enables BTC to explore the possibilities of going beyond its technological limitations without worrying about the liquidity pool. Bitcoin looks to make a comeback in 2023 without a definite timeline. Traders are suggested to take all precautions depending on their individual financial capacity.

Trevor Holman

Trevor Holman follows crypto industry since 2011. He joined CryptoNewsZ as a news writer and he provides technical analysis pieces and current market data. He is also an avid trader. In his free time, he loves to explore unexplored places.

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