Bitcoin is Struggling to Reclaim Lost Dominance in the Market, Now Investors Are Worried About It
According to experts, bitcoin price is set for a bullish rally in 2024 as it will start another halving period. Although the cryptocurrency market will continue to be volatile as it is now, Bitcoin is expected to rise even under the worst economic and financial conditions. But at the moment, as the BTC token goes deeper, investors are completely skeptical of these predictions and are turning to other investment options, or perhaps other cryptocurrencies. The core of the concept is that Bitcoin loses most of the investor support, which is only a matter of time before it loses the support of institutional investors. Even amid these harsh conditions for cryptocurrency, there are still many investors who believe that Bitcoin will definitely become the currency of the future. Bitcoin is the most volatile cryptocurrency in the market and analysts say these types of deflation are quite normal, given that the cryptocurrency market is now also following the price trends in the stock market. If you are someone who is interested in investing in Bitcoin right now, be sure to consider all the deep risks that come with cryptocurrency.
In 2021, El Salvador became the first country to adopt bitcoin as a legal currency, which had amazing effects on the entire cryptocurrency market. The BTC coin reached an all-time high, exceeding $67,000. Its growth has been so amazing that it pushed the market value of the entire global crypto market to break through $3 trillion in a short period of time. But by the end of 2021, Bitcoin fell into a deep slumber, dumping some of the most important cryptocurrencies in the market. As disappointing as it is, this downturn in the market has also been accompanied by concerns about regulation. Most governments are concerned about the risks involved in investing in cryptocurrencies, and therefore, policy makers feel the need to explore the depths of the market and regulate it to make the market a safe place for investors. But as positive as this sounds, investors fear that government intervention will eventually centralize these digital assets, leading to a massive market crash as Bitcoin struggles to regain its lost glory.
Bitcoin is losing its lost glory
Currently, Bitcoin and Ethereum, the largest cryptocurrencies in the market, are struggling to recover from the bearish price trends. Financial experts believe that the cryptocurrency market is following the trends of the stock market, which is also seeing a tech-driven sell-off earlier this week amid big tech earnings results. At the time of writing this article, the value of one bitcoin is $39551.24, according to coinmarketcap. Earlier this month, around the 4th and 5th of April, Bitcoin broke the $45,000 resistance and headed towards $48,000. Leading indicators indicated that Bitcoin will rise further, and predict that April may be a more favorable month for Bitcoin. But instead, the crypto has fallen making investors very worried about its future prospects.
Should you invest in Bitcoin now?
Well, it is quite clear that Bitcoin needs more support from its developers and investors. Experts believe that if Bitcoin does not regain its lost market value, Ethereum may soon overtake BTC to become the largest cryptocurrency in the market. The launch of Ether’s “Merge” upgrade has been delayed to the third quarter of 2022. But the competition will be tough after this launch and Bitcoin needs to prepare for that. Because if not, it will be very difficult for BTC to remain the best cryptocurrency in the world.
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