The cryptocurrency industry, development and prices have been hit in the last two years despite its increasingly marked growth and adoption in global society. Many are the experts who share their opinions and leave their reactions on what they see of a sector that is barely in full swing.
In this opportunity from Bitbase, Victor Ronco in charge of Marketing in the companyhas shared for Cointelegraph in Spanish some opinions of the cryptocurrency market considering the present and the year 2022. From opinions regarding the prices of cryptoactives to the regulatory issue, Ronco lets you know the optimism he has for the crypto sector where a his judgment there has been a great collective learning after the last two years.
First of all, regarding what you left last year, Ronco described 2022 as a year in which there was undoubtedly a period of correction in all investment markets.
“After the crisis produced by the Covid, most of the world’s central banks, such as the ECB or the FED, opted for a rapid and extensive expansive monetary policy. This produced a huge injection of capital, and part of this went into the cryptocurrency market.”reviewed Ronco.
In Ronco’s opinion, it stands out that these events precisely coincided with a bullish period within the bitcoin cycles themselves, which usually occur every 4 years due to the halving. “It was the perfect environment for big increases in 2020 and 2021, but when the monetary stimuli slowed down and fiscal policy was tightened by raising interest rates from the end of 2021, optimism evaporated”held.
“On the other hand, in recent months or years we have seen some interesting aspects such as the expansion of the NFTs market, the maturity of decentralized finance opening up to less expert users, or the use of cryptocurrencies and their networks by large companies and social networks in the world. This marks how, despite the fluctuations in the markets, the progress of the industry in its adoption and we believe that this is what we will see in the coming months”Ronco added.
And the regulation?
According to Ronco, the regulation will undoubtedly pave the way for the use of cryptocurrencies, both for the confidence of the small investor and facilitating the arrival of institutional capital.
“In the European case, the MiCA regulations place a special focus on cryptographic service providers, such as BitBase, although it is true that in our case we already have the endorsement of the Bank of Spain to operate under its supervision. What the future MiCA law will facilitate in the coming months is our expansion into new markets, especially Europe, where we are ready to enter”he explained.
About the prices of crypto assets
In Ronco’s words, both the price of Bitcoin and the rest of the altcoins have been heavily punished in 2022. In this sense, explains that making a price prediction is very complicated, since cryptocurrencies are increasingly influenced by the macroeconomic sector.
“We saw 2022 as a year of sharp falls, and we believe that 2023 will be the year that marks the bottom in the markets, with a recovery being able to be seen during the year to aim for a much more positive 2024”Ronco said.
Nevertheless, pointed out that obviously we must be very aware of the progress of the US and European economies, fiscal policy and the macro environment in general, but consider the current moment for some projects with a track record, including Bitcoin and Ethereum as “optimum” to take positions “with prudence, diversification and risk management, having a long-term vision”said.
I snore on the other hand, When he was talking about the price, he took the opportunity to mention that the crypto winter not only affected cryptocurrency prices, but also confidence towards the market and the financing of projects, causing a slowdown in the growth of the industry.
“We have seen it in mining companies that disconnect equipment, ICOs that are postponed or companies that lay off part of the workforce. They are logical movements in the face of fluctuating environmental conditions. But it is precisely in this context when the companies that will remain in the coming years are consolidating and developing the new gems and niches that will offer great opportunities towards the next cycle”said.
“For our part, we are taking the opportunity to redefine our entire technological infrastructure, and jump into new markets. Without a doubt, we see a “build market” and we want to take advantage of it”he added.
Finally, Ronco left a reflection on the industry, describing that there has been great collective learning after the last two years, being in his opinion that the value of money is not safe, not even in the bank.
“Runaway inflation and the uncertain economic environment have whetted investor appetite and raised the importance of financial education, although much remains to be done. People have seen that they must move money, but also the importance of balancing their portfolios between assets with more and less risk”he pointed.
“As confidence returns to the markets, we believe that exposure to equities will be consolidated through indexed products, such as ETFs, investment in tangible assets, such as the real estate sector, and of course cryptocurrencies due to their attractive disruptive nature and the wide range of possibilities it offers, from the monetary proposal of Bitcoin to speculative markets such as NFTs or the generation of passive income offered by Defi”he concluded.
Disclaimer: The information and/or opinions expressed in this article do not necessarily represent the views or editorial line of Cointelegraph. The information presented here should not be taken as financial advice or investment recommendation. All investment and commercial movement involve risks and it is the responsibility of each person to do their due research before making an investment decision.
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