Last year was one of the most terrible years for the crypto market as the majority of popular cryptocurrencies have lost 80% or more of their value. Being led by Bitcoin, which has seen its highest price of around $18K in the end of 2017 and then it was brought down to $3,240 on Dec. 31st 2018, indicating the bearish trend in the market.
Furthermore, Ethereum, Ripple, Bitcoin Cash, Ethereum Classic and Litecoin have also experienced the free fall, making the crypto market losing most of its collective value. Even though that there are vague signs of the crypto market going up, a trend reversal is not something one should expect with certainty in the year to come.
Looking at the current data charts, traders’ behavior and market volatility, the chances of the crypto market going up can’t be fully predicted. The market will likely need a considerable time until a recovery happens and a trend reversal to take place. The jaws of the bears are way too tight that it will not be easy for the bulls to take control over the market.
There area number of other reasons that strengthen the holding power of bears in the crypto market.Current issues associated with cryptocurrencies and their trading activity such as rules and regulations, cryptocurrency bans, ICOs and crypto scams etc. have played a significant role in letting the bears all the control. Other issues such as traders’ and investors’ psychology, bad news and rumors, market volatility, exchanges’ security model, and liquidity have also become considerable factors affecting the crypto market. In order to get this mess fixed in the crypto market and make it go up, it is necessary to bring at least some solutions to the above issues.
So, will the crypto market climb to test new peaks and heights at some point in the year 2019? The crypto market, being highly volatile is unpredictable. Downward or upward movements of up to 50% are considered to be the normal shifts of the crypto market compared to 5%-10% rise and fall of the stock market. The greater the volatility, the higher the chances of not expecting a trend reversal.
John MacAfee predicted that the Bitcoin price will reach $500,000 by the end of the year 2020, and when he witnessed the much faster pace at which cryptocurrencies are moving and after seeing the Bitcoin price falls below $5,000, he changed his prediction to $1 million; he apparently surmised that such volatility could go both ways. The only thing that can be said on trend reversal of the crypto market is that only time will tell in which direction it will ultimately go. The crypto market is highly unpredictable and any sort of speculation at this point is just what it is – a speculation.