A thousand reasons why Bitcoin is “not in a bear market” despite a lengthy correction

Even if Bitcoin’s correction is taking almost a few months now, analysts and optimists remain kind of optimistic. They oppose the view that Bitcoin is in a bear market to keep investor sentiment high.

report The recently published “Bitcoin Price Prediction 2021” reflects this aspect. As the report shows, 62% of the panelists who took the poll believe that BTC is not in a bear market. According to these panelists, several factors such as continued buying interest, Bitcoin’s price development and the continued relevance of fundamental indicators are the most important foundations for their stance.

Net growth of the company of Bitcoin (14-day moving average) | Source: Twitter

According to the graph above, new units continue to join the network even if BTC price moves sideways. More than 50,000 new units are added to the chain daily and the net weekly growth of the Bitcoin network is higher than the level observed at the beginning of the year when the price hit new highs.

Bitcoin-adjusted on-chain volume | Source: Coinmetrics

However, it is impossible to ignore other on-chain indicators that refute these claims. The graph above shows that Bitcoin’s adjusted on-chain volume has steadily declined over the past few months. From a high of more than $ 16 billion in May, daily trading volume has fallen to nearly $ 6 billion, suggesting traders are pulling out of the network.

Referring to the above report, panelists, including leading figures from the global crypto space, predicted that BTC price would rise to $ 318,417 by December 2025. This is attributed to the ongoing halving and inflation events.

An estimated 30% of the US dollar currently in circulation will be printed in 2020, which is enough of a boost for an impending inflationary crisis. The mass adoption of Bitcoin could be another reason for this very optimistic prediction. Approximately 54% of the panellists believed that there will be “super bitcoinization,” meaning that bitcoin will take over global finance by 2050. However, 25% of respondents said it will happen much earlier by 2035 and around 20% say it will happen by 2040.

With DeFi offering lucrative and safer alternatives to virtually all traditional investment vehicles and institutional investors interested in crypto funds and derivatives markets, billions of dollars are currently tied up in DeFi and billions more are managed by asset management companies. All of these aspects point to “hyper-bitcoinization” as an inevitable phenomenon of global finance, although a specific date cannot be set in the coming decades.

Not only experienced investors benefit from their investments. 33% of the panelists continue to predict that Bitcoin will become the currency of choice in developing countries in the next 10 years. More than 21% say it will be more than 10 years from now.

Even amid news like El Salvador accepting Bitcoin and Venezuelans using it as a means to fight hyperinflation, such opinions may not be entirely true. A recent report on cryptocurrency readiness has indicated that developing countries are far from achieving mass adoption of cryptocurrencies or being ready to adopt them.

Reasons for this are lack of regulation, lack of Bitcoin ATMs, lack of public interest … Other reasons are illiteracy, lack of internet or electricity, inadequate infrastructure and hesitation among other problems that developing countries often face.

At home at home

According to AMBCrypto

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page trang