The cryptocurrency market has been on a downward spiral since the beginning of 2018 with a few short intermittent reliefs. Bitcoin, for instance, has been down below $5,000 since November 2018 and there has been no hope of a return to the price until the last few hours when the cryptocurrency actually rose above $5,000. It has spent most of the last three months below $4,000.
This surge in the last few 48 hours above $4,000 and now above $5,000 is like a ray of hope for a future recovery to a significantly higher price than the all-time high price of $20,000. However, as it has been in the past, there have been analysts, experts, and Journalists who keep reminding the crypto community that the market will “crash again”.
I just read an article on Bloomberg that says the Bitcoin surge should be ignored because it was triggered by April Fool’s day announcement of ETF approval and other factors. The question is, isn’t something always supposed to trigger a surge? I understand they mean the surge may not last because the effect of the announcement may not last, but is it such a bad thing that there is a surge regardless of the cause?
Sometimes I wonder if that means the market is always supposed to be in the bear’s grip. Not only Bloomberg, but other experts have also said the same thing in the past with every market recovery. If the market recovery will not last, at least it shows that there is hope for the future if just the news of a Bitcoin ETF can cause such a remarkable recovery.
The Bitcoin ETF, Bakkt launch and other projects are expected to contribute massively to lifting the market. Bakkt has been delayed a number of times and so has the SEC delayed approval of a Bitcoin ETF with the last delay on Friday last week despite Bitwise’s brilliant case for the approval.
While we wait for these major changes, I think the cryptocurrency community should be allowed to enjoy the “temporary” relief from the current green market while it lasts and the system will adjust itself when it is over. What is your opinion on this?