The cryptocurrency market has experienced a recent resurgence over the past week with approximately $30 Billion USD flowing back into the market. The market capitalisation of the entire cryptocurrency market is now sitting firmly above the $300 Billion level and whilst there may still be some further downward pressure to come, many pundits are claiming that a new bull market could be imminent.
On Tuesday the 17th April, the US tax deadline passed, raising the hopes of cryptocurrency traders and investors (myself included) as the selling to reduce Capital Gains tax should now be over. Evidently, there has been no bounce as yet but this is not to say that it won’t come.
Regulation is paving the way for institutions to enter the space and we heard just this week that Barclays bank are possibly launching a crypto trading desk. Prior to this, at the beginning of the month, we heard George Soros announce that his Soros Fund Management with roughly $26 Billion in assets would also begin trading in the cryptocurrency space.
Historically, bitcoin has performed poorly in Q1 but as we progress into Q2, there is a strong likelihood based on past price movement that we could see Bitcoin start to climb higher.
Additionally, with the stock market at all-time highs and overdue for a correction, the crypto asset class is undoubtedly looking like an increasingly appealing option to investment funds managers.
Venture capitalist Tim Draper said he predicts Bitcoin to reach $250,000 USD by 2022 and bullish calls have also been echoed by Tom Lee from Fundstrat Global Research who thinks Bitcoin will see a return to $20,000 within a few months.
There is no doubt that bullish sentiment is beginning to permeate the media and social media again which is a good sign for Bitcoin and the broader market. The team at CryptoInMinutes are certainly looking forward to seeing what Q2 brings and have been busy researching an array of interesting cryptocurrencies which we personally feel will perform well in the months ahead.