Blockchain industry shows signs of stabilizing in 2023: Report

2022 was a rollercoaster ride of ups and downs for the blockchain industry. While the year’s first quarter looked promising, the crypto industry has been on a downward trajectory ever since. While indications of a global macroeconomic slowdown increase, these headwinds hamper the blockchain industry’s potential recovery.

There are some signs of stabilization in the crypto market and a potential upside at the start of the new year. For those serious about understanding the crypto space’s different sectors, including venture capital, derivatives, decentralized finance (DeFi), regulations and much more, Cointelegraph Research publishes a monthly Investors Insights report. Compiled by leading experts on these various topics, the monthly reports are an invaluable tool to quickly get a sense of the current state of the blockchain industry.

Download and purchase this report on the Cointelegraph Research Terminal.

Bitcoin weakness in 2023?

Following positive Consumer Price Index news on Dec. 13, Bitcoin (BTC) saw a temporary price bounce to $18,300. Still, despite the bulls’ best efforts, BTC has not been able to post a daily close above $18,000 since Nov. 9, 2022. As a tumultuous year in crypto came to a close, BTC’s price stayed within the $15,000 to $17,000 range, which handed a win to bears after the Dec. 30 options expiry, when bulls needed to push the price above $18,000 to avoid a potential $340 million loss heading into 2023.

BTC had gained 1,650% after bottoming out in March 2020 below $4,000, boosted by the United States Federal Reserve’s quantitative easing policy. Even as of Dec. 31, 2022, investors who purchased BTC in March 2020 are sitting on roughly 330% profits. Since the FTX collapse, BTC’s price has not recovered. The price drop to levels last seen two years ago is causing problems for long and short-term holders, with over 8 million BTC now held at a loss and declining whale interest showing weak price strength.

Bitcoin derivatives market reversal?

Skew is a key measure of market sentiment and capital flows because it encapsulates what…

..

Read More

About The Author

Related posts

Leave a Reply

Your email address will not be published. Required fields are marked *