Hit by the collapse of Luna and UST, as well as another round of interest rate hikes and balance sheet shrinking by the Fed, cryptocurrencies suffered a market-wide plunge in May 2022, and the market has not significantly rebounded so far. In addition, compared with their historical highs, the prices of Bitcoin and Ethereum have fallen by more than 50%. Meanwhile, other altcoins have suffered bigger falls. The entire crypto market is still going through a bearish period.
That being said, will Bitcoin and Ethereum go to zero? The answer is a hard no. As the blockchain technology advances and becomes more widely adopted, a growing number of users have joined the crypto space, and the market cap of Bitcoin has even once exceeded that of Meta (formerly Facebook). Meanwhile, some conventional institutional investors are venturing into the crypto market, and Bitcoin appears on the balance sheet of an increasing number of listed companies. More and more institutions are paying close attention to the function of Bitcoin and Ethereum as hedging tools, and some countries have even adopted Bitcoin as their legal tender.
According to the general trend, a growing number of individual users, companies, and governments will adopt Bitcoin. Moreover, during the past decade, Bitcoin has witnessed all sorts of attacks and smears. It has even been banned by some state regulators. Despite all that, Bitcoin has survived with great tenacity, which is sufficient proof of its ability to withstand tests and challenges. Additionally, more investors are starting to notice the value of Bitcoin.
As crypto categories such as DeFi, NFT, and the metaverse boom over recent years, the crypto market has been driven to a whole new level. In today’s market, people can profit not only from direct investments but also from a growing number of crypto-based financial services. As the relevant products mature, more investors are flocking to crypto finance.
Therefore, we can draw two basic conclusions: 1) The crypto market will not diminish. On the contrary, an increasing number of global users will adopt cryptos, and the user base of cryptocurrency will keep expanding; 2) The overall price trend of Bitcoin will remain flat. In other words, the price fluctuations will not be as significant as its previous records, which is to say that the BTC price would not go down by much.
As such, you do not need to panic if you are holding mainstream cryptos because they are likely to become more valuable…
Click Here to Read the Full Original Article at NewsBTC…
