What’s causing a fresh wave of bullishness for cryptocurrency market?
The terms “bullish” and “bearish” frequently appear in headlines and conversations regarding markets, both stock and crypto, however, their usage is generally dependent on financial expertise and understanding. A prolonged period of price spike is referred to as a “bull market.” The price of a stock, or in our case, the cryptocurrency market, has increased in value. A bull market or a bear market can arise under a variety of situations. These terms are also widely used in the cryptocurrency market since cryptocurrencies are utilized as an investment and as payment.
Globally, the cryptocurrency market grew at an exponential rate between 2014 and 2021. Increased digitalization across industries may be credited for the market’s robust growth. Furthermore, simple accessibility and the rising prevalence of high-speed internet in our day-to-day lives are promoting cryptocurrency adoption. The legalization and regulation of the selling, buying, and trading of these digital currencies in numerous developed nations have also aided industry expansion. Because of the high level of transparency provided by blockchain technology, fraudulent or undesired transactions caused by human or machine mistakes or data manipulation have very little chance of occurring.
On the other hand, Cryptocurrency investment is increasing every day, which reflects the market’s expansion. This may happen as a result of many people throughout the world losing their employment as a result of the worldwide quarantine. As a method of supplementing their income, an increasing number of people have begun to invest in cryptocurrencies. Newer professions in the crypto realm have emerged as a result of fewer jobs in the traditional economy. Crypto traders, technical analysts, and crypto influencers were among them. Another factor for cryptocurrency bullishness is that several nations boosted their money printing during the epidemic, which generated inflation. The stock market was also extremely volatile due to the global pandemic’s impact on the firms that the stock market relies on. People switched their investments from equities to gold and cryptocurrency, which are deflationary assets.
As of 2021, Bitcoin has reached a new unprecedented high price, there are regulatory negotiations underway that may have a significant influence on the sector, and more official buy-in from major corporations. Due to developments involving Tesla and Coinbase, Bitcoin (BTC) was valued at more than 60,000 USD in both February and April 2021. The declaration by Tesla that it had purchased 1.5 billion dollars worth of the digital coin, as well as the IPO of the United States’ largest crypto exchange, sparked widespread attention.
Not only is cryptocurrency trading becoming more mainstream, an increasing number of businesses, ranging from major tech to sports to fast food and beverages to travel, are embracing cryptocurrencies as payment methods, allowing users to use them as an official mode of payment for their goods and services. Moreover, interest in cryptocurrency has soared this year, making it a popular matter of discussion among big investors, popular culture, and that kid from high school. Not that you should get in just because they have, but here are five of the cryptocurrency market’s most keen supporters.
Ashton Kutcher
Ashton Kutcher is more than a performer and a campaigner. He is also an active investor, having co-founded venture capital companies A-Grade Investments and Sound Ventures in 2010 and 2015, respectively. He was also an early investor in a number of companies, including Uber Technologies and Airbnb, to mention a few. He’s also a huge Bitcoin supporter, however, his most notable cryptocurrency bet is/was UnikoinGold, a lesser-known digital currency. The Securities and Exchange Commission has now shut down UnikoinGold, which was intended to be a way to wager on esports events.
Nonetheless, Kutcher’s involvement in a play that isn’t on the established route shows how broad his range of futuristic vision is.
Cathie Wood
Cathie Wood is a woman who doesn’t require much of an introduction. She’s been in the investing profession for more than 40 years, and her reputation has grown since she founded ARK Investment Management in 2014.
Of course, ARK’s emphasis is responsible for most of that renown. The firm’s funds all aim to hold companies and assets at the forefront of “disruptive innovation,” which includes cryptocurrency. ARK’s funds own investments in firms like Square and Coinbase Global that are trying to mainstream the usage of alternative currencies, in addition to full ownership of different cryptos.
Barry Silbert
Barry Silbert is a name worth knowing, even if he isn’t as well-known as Cathie Wood or Ashton Kutcher. He’s worth about $1.5 billion, with a large portion of his fortune coming from investments in cryptocurrencies and the firms that make them feasible.
Silbert is the creator of Digital Currency Group, which owns a number of smaller, privately held companies such as Bitmark, a blockchain registration firm, Coinflex, and Bitwala, a payments network, to name a few. In all, Digital Currency Group owns over 100 crypto-related businesses, the majority of which you’ve probably never heard of.
Elon Musk
Finally, Tesla’s creator didn’t start out as a crypto enthusiast; he grew into it over time. In any case, his support for Bitcoin, Dogecoin (CRYPTO: DOGE), and other cryptocurrencies are distinctive. He didn’t just tweet about Bitcoin in January before promoting Dogecoin on Saturday Night Live last month.
Tesla bought $1.5 billion worth of Bitcoin in February and temporarily used Bitcoin as a payment method for its electric vehicles. Last month, the business stopped accepting this method of payment, but not because Musk had lost trust in the concept.
In the middle of crypto bullishness, one of the emerging tokens is XcelToken Plus. XcelToken Plus (XLAB) is an ERC-20 token based on Ethereum that aims to engage and develop a large cryptocurrency community. XcelToken Plus, XcelLab’s native token, is aimed at disrupting the trillion-dollar tourism industry. It’s a versatile token that may be used in e-commerce, marketing, gaming, hospitality, social networking. In the crypto market, there are other currencies and tokens, but they won’t have a future until they have a use case. As a consequence, using a decentralized payment system such as XcelToken Plus, which has a wide range of uses, is a wise decision. With XcelToken Plus, you can book over 2.3 million hotels and 450+ flights worldwide using the decentralized travel and booking site XcelTrip. XLAB is set to disrupt the travel sector by making blockchain technology more accessible to hotels and airlines. XcelTrip accepts its own native token, XcelToken, as well as a variety of cryptocurrencies, all of which claim to provide benefits such as cheaper transaction fees, faster transactions, and improved privacy protection.
During a bear market, you risk making a loss since your crypto assets lose value and the conclusion of the negative trend isn’t always certain. Furthermore, if you invest at this time, you might lose money before the market turns around.
The ideal approach to profit from the bull market is to adopt a long strategy, which entails purchasing cryptocurrencies as early as possible in the trend and then selling your holdings once the market has hit its top, with a larger chance of profit.
The majority of crypto traders are shorting at the moment, but the key is to not miss the period where the market begins to come around and buy again.
