Predicting the price of coins and crypto tokens in 2023 is highly anticipated, of course, hoping to reverse the current bearish trend. As a prime example of the Bitcoin crypto asset value which is likely to be expected to touch US$20k in January 2023, following the strengthening of the past few days. It can be said that for more than a year the crypto market has been stuck and seems fixated on the cold and gloomy crypto winter, and has printed a very sad red report to be seen in the portfolios of some crypto investors in general.
Even if at the end of 2022 there won't be much change, 2023 can still be investors' hope for better conditions. Yesterday Bitcoin was able to penetrate US $18k thousand to create a new hope for crypto lovers, such as giving shape to rise again. There is also a little addition from the Fed, which sent a signal long ago about the next benchmark interest rate which will be decided today.
This can be seen in the declining dollar index, which is a sign of a selling action in the US dollar so that it can direct capital into the stock and crypto markets, of course.
Crypto price predictions for 2023 present many predictions. Plus the prediction of the existence of the global economy which many say will prepare for an economic recession in future conditions.
Crypto is currently in a bear market, but this is not the only time. Crypto has also experienced bearish markets in the past. You can look at the distribution of historical returns over that time period and then apply it to current market conditions. So that the price range in the future may be seen. By looking at the main conditions, it is concluded that past bearish market events can be a potential reference to see what is happening in the present and the future.
Basically, many things can be seen and planned as a technical analyst, where at the end of each month looking one year ahead, one can see the distribution of a simulated price.
When Analysts do this and look a year ahead, the result is the most likely price zone to occur for one of the cryptos being analyzed. And coupled with taking predictions one year is likely to be marked by a global recession.
So without setting aside the crypto market's bearish continuation scenario, where there will also be a great opportunity to see crypto fall to bottom price conditions later. So there are two scenarios between assuming the bottom has been formed and also has not been formed. That is, the analyst will simulate the future based on the return of the recovery phase from the previous bear market as well as after it. The annual return is determined by a very large percentage within the typical annual return range for cryptocurrencies. Making a 2023 price prediction is not easy. However, we can make some reasonable assumptions about current market conditions.
Of course, all predictions can be far off, or close to, but don't expect miracles to just happen in the midst of a bearish crypto market. Undeniably, the current on-chain data is quite weak for Bitcoin. The activity is in the deep bear market territory. Global sentiment is still the main reference for building risk appetite in the crypto market.
But in general, Analysts still see a trend of low volatility in the Bitcoin market and no clear trend direction. Prices only move based on news and sentiment. It can be interpreted that investors must be careful when deciding to enter the market because it could be that the trend signals seen at this time are solely formed due to the momentary emotions of investors in responding to existing sentiments. In addition, the 2023 crypto price prediction can change at any time, it can be influenced by risk appetite factors such as potential recession, interest rates, adoption, and regulation that occur in the next few months.
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