The start of the first quarter of 2023 has been quite positive for the Bitcoin price, with a performance of +43.6% between the months of January and February.
According to historical data provided by Cryptorank on the main asset of the ecosystem, So far this first quarter is the second best start of the year for the Bitcoin price.
Due to this performance and with the beginning of the last month of the first quarter of the year, there are expectations among the community about what the Bitcoin price can continue to do to maintain this trend.
For this reason, we spoke with Javier Pastor, Director of Institutional Training at Bit2Me to find out Bitcoin price prospects for this 2023 by the experts.
For Javier, “until now, the first two months of the year have been very positive as far as the price is concerned”.
“We started the year at $16,547 and we are now around $24,000, which represents a rise of almost 50%.”
Pastor remembers that The year 2022 has been one of the most intense years for the market that has eroded market confidence.
“During this period, we have witnessed some major projects and companies fall, such as Terra Luna, Celsius, Three Arrow and FTX, which has affected both the price and the confidence of the market.”
The Director of Institutional Training at Bit2Me points out that the expectation of a brake on the rise in rates leads us to be positive and discount a possible inflow of liquidity in all markets. While is true that this scenario will not prevent episodes of volatilityit is likely to be favorable for a change in trend.
It also considers that regulations and rules such as MiCA are key aspects to take into account for the cryptoactive market. The absence of a clear framework has limited the entry of institutional money into the market.
In this case, finding clarity and certainty facilitates the entry of capital and therefore the growth of the market.
A third aspect that must be taken into consideration according to Javier Pastor’s criteria is the expansion of knowledge of technology.
At the moment, only 3% of the world population owns crypto assets. However, the expansion of knowledge of the technology and its functionalities will lead to more and more people wanting to interact and use cryptocurrencies.
Other aspects to take into account for the crypto asset market in 2023
- Regulatory intervention in the market: The US SEC or OCC, penalizing exchanges or limiting the use of tools like staking or stablecoins, can have an impact on the entire market.
- Greater adoption of Bitcoin and crypto assets as a means of payment: As payment processors, POS terminals, data phones and increased market demand facilitate tools that allow crypto assets to be used as a means of payment, the market is likely to experience additional momentum.
- Flash Crash in case of contagion: It is possible that episodes of volatility occur due to factors such as the return of Bitcoin to users of the MtGox platform, which could cause a lack of demand and take the price below current levels.
- The path of countries adopting Bitcoin as a legal trend: We may see currency collapse events accelerate, which could lead to increased adoption of crypto assets as an alternative to national currencies.
- New financial instruments: The emergence of new financial instruments, such as Bitcoin bonds or DeFi platforms, could attract more and more users who choose to use decentralized systems.
- Bitcoin Cycles and the Halving: since 2009, the behavior of the price of Bitcoin has followed patterns that are repeated in time and percentages
In conclusion, we have many scenarios and variables that can impact the performance of the market, what is more than likely is that we will continue to see price volatility with a continuation of the bullish trend.
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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