The cryptocurrency space has seen a number of bull and bear markets since its inception in 2009. The upward trend in cryptocurrencies in 2017 was one of the most important years for the industry as prices rose and digital assets grew.
But still, Blockchain markets look very different today than they did three years ago. by regulation, assumption and other factors. How will the current upward trend in cryptocurrencies differ from that of 2017?? The spread of assets is loud Pierce Crosby, CEO of the asset charting platform TradingView.
“The key here is to look at the distribution of accounts, i.e. the total number of accounts that have a particular crypto-asset,” Crosby said to Cointelegraph, adding:
“In 2017, there was a disproportionate weighting to very few accounts, while the number of accounts has now increased tremendously. Coinbase alone claims to have 30 million accounts. “
Coinbase currently has more than 35 million users on its platform, up from 11.7 million in October 2017. according to figures from CNBC reports.
“I also think people should consider the percentage of institutional ownership, which is usually a strong ‘support’ factor for price.” Said Crosby. Cryptocurrencies are now attracting greater interest from the major mainstream players. Jack Dorseys Square and Microstrategy Business Intelligence Team are just two examples of the new purchasing power of Bitcoin that will hit the market in 2020.
Crosby pointed to technology as another differentiator between the current bull market and 2017. “Now there are thousands of applications based on one of the various blockchains in the ecosystem. These also play a key role in stabilizing price cuts.” said. This year’s decentralized financial boom is an example of progress.
Bitcoin recently broke its all-time highest price. beats its previous record of USD 19,892 set in 2017.
Bitcoin has shown price strength for the most part in 2020, although COVID-19 concerns caused the asset to drop to $ 3,600 in March. Since then, Bitcoin, and the cryptocurrency market in general, are on the rise in a year that included US presidential elections.
“Overall, we have seen a change in the mood and focus of the current US administration over the past year.” Crosby explained. “After the pandemic, things accelerated, both due to the falling Bitcoin price and the rise in overly moderate monetary policy around the world.”
The United States printed large amounts in US dollars in 2020 while keeping interest rates low.