We all should know by now that Bitcoin had hit 52k yesterday and it is still above 52k. At the time of writing, it is hovering around 52,700. And this is very positive news for the entire crypto market. It has been a while since BTC hit this mark. As BTC will often dictates how the market goes, bullish sentiments for BTC means overall bullish sentiments for the crypto market. Although we are starting to see altcoins becoming less dependent on BTC, it is still not completely there yet. And thus the entire cryptomarket is a sea of green. Can’t imagine just about a month or so ago, everyone was talking about “crypto winter” and the need to start withdrawing all their assets to fiat currencies. And of course those are actually the bears who actually benefit from dips by shorting the market. I wonder how much loss are these bears making these few weeks.
So what is the outlook for the crypto markets? I am no financial advisor but I do think that this bull market will run till maybe middle or late October. There are plenty of positive news coming out of the crypto sphere and this will definitely push the markets higher. The Bitcoin hashrate is still going up. This is a very good sign. A good number of crypto projects are finally matured enough to make investors even more confident about this technology. And look at how high Solana (or SOL) has risen these few days. How about my favorite Cardano? NFTs are the craze nowadays and this is of course driving ETH prices up as well. Sure there are some black swan events like those governments trying to control or restrict investors getting into crypto trading and of course our dear SEC trying to dip their fingers into everything in the name of investor protection. Again I am not someone who is against regulations. I am someone who finds it very suspicious if such regulations are not meant to serve the public and are only meant to control entities or reduce competition. And I think SEC is doing exactly that. Come on, just look at what they are doing to Ripple. It honestly makes no sense that they are targeting Ripple and claiming that they are selling securities when it happened way before there was any indication the sale of XRP can be considered securities. And most importantly, is anyone feeling “protected” by the actions of the SEC? Not very sure about you, but I almost certainly don’t feel protected at all. Feels like they are doing this for some other purpose, which I cannot list down least I get into trouble. I am also a bit worried about the Defi sector. Looks like it is also being targeted by the SEC and there have been a number of hacks that occurred. One of which was a pretty high profile one involving quite a lot of money – the Poly Network hack. And it seems that Defi hacks account for 75% of crypto fraud. This is very worrisome as well. If these Defi platforms and protocols don’t start getting serious with security and look out for vulnerabilities, it will be their downfall. Remember bad news = lower public sentiments/confidence. This will also embolden the government authorities to come in to “protect” investors.
Anyway if the markets are able to retain this momentum, the bull run might even last longer (me thinks). Perhaps even to November. Of course these few days will be something interesting to watch out for.