The biggest supporting factor will be how the bull run has lasted more than expected and grabbed the eyeballs of investors when for the first time, Bitcoin reached the $50,000 benchmark.
Many traders might start to ponder on why the current bull run seems different from the previous one. The answer is quite simple, both retail and institutional investors will easily gain from this bull run due to the creation of more online trading platforms. Additionally, this run doesn’t seem to be ending soon as more investors are expecting bigger gains.
Ten reasons to think the bull run will continue and won’t be ending soon.
– Most prices are back or near ATH
In the presence of Fear, uncertainty, and doubt (FUD) regarding the cryptocurrency, analysts are discussing whether Bitcoin’s $69k was the peak of this bull run or new All-time High is on its way. With such a high price, it is only wise to know that the bull run will continue for quite a time. Most prices that went dip during the year have also risen quite well and reasonably. It only makes the crypto market more exciting to get into, hence why the bull run will continue.
A dip in prices will likely not get more users, as many potential investors might be avoiding the downside of the crypto market. But with an attractive rise in price, it only gets better for the crypto world and the bull run goes on continuously.
– Value locked in Defi Showing no sign of any drop
The decentralized finance industry has been one sector of the crypto industry that has amassed huge spectators due to its tendencies. DeFi is thought to be vulnerable and has received negative comments from analysts over the years. But despite its backlash, DeFi has continued to prove them wrong.
Under this self-regulation, the values locked in the decentralized financed industry didn’t drop, hence getting a positive review from the public, thereby increasing crypto users.
As the industry grows in size, the value grows more serious, and more investors will be willing to invest massively in the market, hence the continuous bull run. While there may be risks and shortcomings associated with the Decentralized finance industry, such as hacking, that has not stopped the industry from growing.
– Yield in DeFi is still very good
The yields from the decentralized finance industry Are still very good. This positive result will simply attract more individuals, countries, and institutions into the crypto market. With a positive yield, many investors will be more willing to invest their crypto assets knowing with the hopes of getting positive results back from the market.
Positive results are what all investors seek, and with some positive yield from DeFi, more countries, individuals, and institutions will be willing to invest in crypto, hence a good reason why the bull run will continue for a while.
– There’s a Constant High Demand for Crypto
After the pandemic in 2020, a lot of people lost their jobs and the unemployment rate rose massively around the world, but Bitcoin was seen as a favorable alternative, hence it came as a blessing in disguise. But that’s only just the beginning as we don’t see the enthusiasm dropping any time soon, as crypto users continue to get larger.
And so, with the reopening of towns and cities recently after a major lockdown, companies all over the world have started to open up. Therefore, while consumer confidence increases, demand for goods is said to increase also.
While crypto might have been around for a short period, it has strongly built trust among investors as one of the best places to get more value from your investment. With the high demand from users, it’s only certain that the bull run will continue and one can only expect more good things to come.
– The community/number of users are Continuously Growing
The crypto community keeps increasing, and that’s good news. El Salvador recently became the first country in the world to adopt bitcoin as an official legal tender. And its president gave out $30 worth of bitcoin to its people. In the same instance, India has been ranked as the second country to adopt crypto transactions based on a report from Chainanalysis’ 2021 Global Crypto Adoption Index. In fact, in many countries, crypto is seen as a hedge against market volatility and inflation.
The adoption of crypto was quite imminent and very certain to happen. The mass usage will only encourage the bull run to continue, and so one can only expect greater things to happen while we sit and enjoy the rise.
– Inflation is Here to Stay
With inflation looming around, crypto seems like the best and safest place to get your funds appreciated. With too much money chasing few goods, inflation sets in, and investors have to seek alternatives. And crypto seems to be the best, hence the continuous bull run in the crypto market. Recently even the US Feds have accepted the inflation and decided to remove the term ‘transitory”.
Crypto acts as one of the best alternatives out there and so investors, countries, and institutions will be willing to invest in the market.
– The mentality is changing (people trust blockchain more than banks)
Banks have been the only options for years and while it might not be said, investors have always looked for other means to get value for their assets. With the introduction of blockchain, investors seem to have adopted the new trend quite easily. All this is due to its massive advantages. And such trust keeps growing, hence the continuous crypto bull run.
People are now more flexible and ready to explore every right opportunity given to them. With more trust being built around blockchain, the crypto world gets better and the bull run goes on.
– Big crypto companies keep being regulated
With more crypto companies being regulated, it is more or less a huge reason to believe that the bull run will continue for a significant period. The regulation of these companies makes it even more attractive to investors, countries, and institutions. Regulation, therefore, ensures coordinated trading in the crypto market, and this will largely increase the trust of investors in the market, hence the continuous bull run in the crypto market.
– Crypto is here to stay long term
Crypto has come to stay for the long term, that’s one fact we can all agree to. While there may be bans in some countries, crypto users keep increasing. Many countries, individuals, and institutions are now accepting transactions with crypto making it even more valuable. While there are a lot of negative comments and downsides of crypto, one certain fact is that it is here to stay.
– Recent China and India ban FUD didn’t have a big effect on the price
This certainly is a blessing in disguise. Negative comments from some expert economists like US treasury secretary Janet Yellen, the crypto ban on India, or China’s recent crackdown on Bitcoin mining proved to be a punch to the crypto market. But in the long run, all this might seem like a blessing in disguise. While these are huge bans, many long-term investors and countries are aggressively propagating for its greater acceptance. The ban simply gave opportunities to other nations to set up their mining units contributing to greater, faster, and better mining of bitcoins and other altcoins.
December Crash
It’s worth noting that even though the market suddenly plunged down in the first week, with red candles all over the crypto ecosystem, it didn’t last long. Bitcoin after falling below the 50k market, didn’t took more than a day before it climbed back to $50k mark.
Altcoins, on the other hand, showed even faster recovery including Luna that crossed its all time high while the market was in bloodbath.
Therefore, establishing the fact that the bull market is here to stay and these small corrections won’t scare away the crypto traders. Meanwhile, keep buying the dip.
Conclusion
One certain thing we can all conclude is the fact that the bull run shows signs of greater things to come in the crypto market. Crypto is certain to be mainstream due to massive adoption by individuals, countries, and institutions. Many platforms are facilitating traders into the crypto market; hence things can only get better and better.
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Written by: Narender Charan
