Option 1: Rate slide to $10,000
In a crisis, to preserve capital, it is best to stay in the least volatile assets. Large investors are shifting to Bitcoin.
Bitcoin loses value from November 2021. From $67,500, the coin's price dropped below $16,000. Experts believe that this is not the limit and the cryptocurrency has not reached the bottom. Different marks are called, to which the course may fall. According to the negative forecast, there is a potential for Bitcoin to weaken to $10,000.
Skeptics suggest that the bear market will continue in 2023. All cryptocurrencies will fall in price or drift at the bottom. Exceptions will be coins backed by real assets on accounts in financial institutions.
Option 2: Lateral movement in the range of $15-30 thousand.
There is little doubt that the crypto-winter in the cryptocurrency market will definitely continue at the beginning of 2023, but it is hard to believe in a deeper fall. The Bitcoin exchange rate may stabilize in the range of $15-30 thousand, as a lot of investor purchases are concentrated here. Since spring, we can expect a revival of investor activity. This will happen after the US Federal Reserve talks about easing its monetary policy. If inflation starts to fall, then investors will begin to return to the crypto market.
After that, you can count on the growth of the cryptocurrency market. By the end of 2023, the value of Bitcoin may rise to $30,000. Since the global economy will continue to be in a state of economic crisis and the risk of recession, strong growth from the markets should not be expected.
Option 3: Price increase over $100,000
Economists put forward a hypothesis about the cycles of falling and rising markets that replace each other. Now the economy is at the stage of decline. The current bearish cycle should end in 2023.
According to calculations, the fall in total will take about 5 years and will lead to an increase in the price of Bitcoin over $ 100,000. At the same time, during the downward correction after 2023, Bitcoin will look for a bottom around $ 12,500. Then the next cycle of decline-growth of the crypto market will begin.
Regulation of the cryptocurrency industry in the world
In 2023, we should expect tougher changes in legislation on cryptocurrencies, as the number of retail investors is constantly growing. After the bankruptcy of another cryptocurrency project, thousands of deceived buyers remain. According to politicians, the publication of financial reports of crypto exchanges should reduce the risk of investors losing money.
Experts also agree that in 2023, stricter regulation of cryptocurrencies by regulators around the world is expected. Adverse events have shed light on how complex and unaccountable large projects related to digital assets can be.
The purpose of legislative regulation of digital assets is to increase the trust and transparency of cryptocurrencies and protect investors. Coinbase, which is based in the USA, has been a public company since April 2021. Instead of circumventing the laws of the country, Coinbase operates within the framework of existing legislation, which strengthens trust in the company.
In 2023, the development of metaverses may become the trend of the year. For example, the creators of Sandbox decided to release the RobotEra project. In the new game, users will be able to buy virtual plots, build residential buildings and structures, and develop infrastructure using the resources provided by the platform.
The game will provide for the monetization of gaming processes, and local currency can be exchanged for real assets. Players will be able to create their own hero who will participate in the life and development of the metaverse.
In 2021, the mass implementation of applied NFT solutions began. The NFT market was dominated exclusively by collectible projects, however, non-interchangeable tokens related to the real world may appear in 2023. This process was partially launched already in 2022, thanks to the introduction of NFT by social networks.
Merger of the banking and cryptocurrency industries
In 2023, the trend of creating banks using cryptocurrency will continue. Younger generations of customers choose banks that support digital assets. However, at the moment there are few such institutions.
In Russia, due to the special legal framework and the contradictory attitude of the state to digital assets, there are no such organizations yet.
Such projects are called neobanks. The process of integrating banking services in the crypto space is going on all over the world. In the future, users will be able to pay for utilities, repay loans and buy real estate using cryptocurrency.
Special platforms will help users convert cryptocurrency into fiat. After paying for the goods with cryptocurrency, the seller, if he wishes, will receive a payment in fiat currency. This does not contradict the law, but opens up new opportunities.
The introduction of cryptocurrency bank cards will speed up the process of adoption of digital assets by the population and increase people's awareness of the new type of money. Crypto cards are an obvious trend of 2023.
Investments of large funds in digital assets
While the world's central banks are tightening monetary policy, investors are easing asset purchases, preferring to wait out this time. Economic uncertainty motivates investors to keep capital in safe havens rather than risky instruments.
However, global investment funds such as BlackRock are actively exploring the cryptocurrency space, purchasing shares of companies related to digital assets in their vaults. Funds are opened for retail investors, the value of which is tied to the price of Bitcoin and the entire cryptocurrency market. Accordingly, with the growth of capitalization of digital assets, investment funds will also grow.
Recognition of cryptocurrencies in Russia
The Central Bank of the Russian Federation intends to start testing the digital ruble in 2023. Banks are not needed for CFA turnover, operations should become transparent and safe for customers of credit institutions. It will be possible to use a digital ruble in the same way as a ruble on a bank card. The CFA will be displayed in the app on your smartphone.
The law on the legalization of mining will take effect on February 1, 2023. In addition to allowing cryptocurrency mining, it will become more difficult to legally sell cryptocurrency. However, no one prohibits the sale of CFA through foreign cryptocurrency exchanges.
The State Duma is discussing a law on the use of cryptocurrencies for international settlements. It was expected to be adopted by the end of 2022, but the necessary approvals have not yet been completed. The new law will make it easier for individuals and legal entities to make purchases abroad using cryptocurrencies.
Judging by the state of the global economy, the crisis will end no earlier than 2024, and the crypto winter will take over most of 2023. During this time, new laws regulating the digital industry will appear in the world. However, the regulation of the cryptocurrency market will not prevent the development of blockchain technology and cryptocurrencies.
The growth of metaverses, NFT, mining will only strengthen the trend. In 2023, we will hear about the bankruptcy of crypto companies, but new ones will come in their place. New stars of the digital world will appear, new millionaires will take their places. Cryptocurrency provides an additional opportunity for millions of ordinary people to earn money, for whom it is enough to have a smartphone or laptop to work. This is a direct path to financial freedom and economic equality for all people on the planet.