The cryptocurrency industry concluded the year 2023 positively as the market recorded a massive uptrend in its valuation. Further, the price of Bitcoin added over 108% to its portfolio during this time, highlighting an increase in adoption of it in the market.
On the other hand, many altcoins made their investors rich by multiple folds through their investments, indicating a rise in interest of investors in it. Moreover, the market patiently waits for the upcoming altseason, which is predicted to play a major role in the crypto industry this year.
Overall, the dominance of Bitcoin has witnessed a significant rise over the past year and stands at 51.9% at the time of writing. With a line of events scheduled for this financial year, the cryptocurrency industry is on a path to achieve a new milestone by entering into a new phase.
Bitcoin Analysis:
After recording a notable run during the past year, the market leader, Bitcoin price, started the year on a neutral trend by trading sideways for a brief period. The star crypto recorded significant fluctuations post Spot ETF approval, but the rally was short-lived as the market displayed a bearish influence.
The BTC price concluded the month with a return of +0.73%, indicating a weak price action and further marking it as a neutral month for the Bitcoin price. Positively, the next Bitcoin halving is set to take place this year and is predicted to play a vital role in the industry, considering the present market sentiments.
With the upcoming halving, the BTC price is expected to achieve a new all-time high (ATH) by surpassing its previous one of $69,186.30, which was recorded in November 2021.
Currently, the Bitcoin price has formed a rounding bottom pattern and has been trading in it since it has achieved its high. If the industry continues to follow the trend with sentiments in favor of the market, the BTC price will experience a breakout rally during Q3, with a price ranging around $58,000.
The technical indicator, MACD, displays a rise in the green histogram, indicating an increase in the buying-and-selling pressure in the market. Further, the average shows a bullish curve, suggesting the price will continue gaining value in the coming time.
Positively, the Cross EMA 50/200-day has acted as a support to the Bitcoin price for over six months, indicating a strong bullish influence for the coin in the market. If the market continues to gain momentum and the upcoming events favor the crypto industry, the BTC price is predicted to achieve the $100,000 mark by the year-end.
Ethereum Analysis:
The altcoins struggled to gain momentum during the first month of the year, indicating a weak interest of the investor in it. Further, the leader of altcoins, Ethereum price, struggled to hold its price above the support level, resulting in it adding less than $65 (+5%) to its portfolio.
On the other hand, the Ethereum coin has successfully formed a symmetric triangle pattern and has been trading in it for a while. Further, the ETH price is hovering close to its resistance and is on the verge of testing it, the outcome of which is unpredictable.
The Moving Average Convergence Divergence (MACD) displays a decline in the green histogram, indicating an increase in the selling pressure within the market. Moreover, the average shows a high possibility of a bearish convergence as both the lines and trading are extremely close to each other.
The Ethereum price has set a primary goal to reclaim the $3,500 mark within this year. With the market volatility increasing and the possibility of an altcoin season soon, the Ethereum price is predicted to experience massive price action in the coming time.
Bullrun 2024 Prediction:
Multiple factors play a vital role in the price momentum of tokens in the industry. Some factors affect the price action of the industry on a great scale, whereas some are restricted to a particular category or a crypto token.
Some of the major factors that are predicted to play a vital role in shaping the future of the industry are the U.S. Presidential election and the Long-term role of Spot Bitcoin ETF trading on the market.
This year’s U.S. Presidential election is considered to be one of the most important events of the year as it is predicted to play a huge role in shaping the future of this financial system and, hence impact the industry on a great scale.
Following the approval of Bitcoin Spot ETF by the Securities and Exchange Commission (SEC), the crypto industry experienced a significant jump in value, with Ethereum Classic recording the highest gains. In the long-term perspective, the ETF is said to impact Bitcoin’s price action as the market is rapidly adoption this new technology.
Conclusion:
The crypto industry witnessed massive price action during the previous bull run, and the same is predicted from the market this time. Although both internal and external factors play an important role in the price movement, the market has recorded a rise in the adoption process with a massive inflow of both users and liquidity in the market.
The Bitcoin price has a target of $100,000 which gives us a return of 112% taking the present BTC price ($47,130) into consideration. On the other hand, Ethereum price has a primary target of $3,500, which gives us a return of 101% by the year-end if the sentiments favor the industry.
Note:
This article is posted for providing information and educational purposes only. The article is not subjected to any trading or investing tips and does not promote any sort of news. Make sure to do your research before investing, as this industry is highly volatile.