Crypto market can return to growth much faster than it seems now

In order for Bitcoin to be considered a valid currency or a means of value store, the cryptocurrency market should grow at a steady pace. Sudden bursts of growth and market up and down cycles will only confirm the view that Bitcoin does not fit into the role of real currency or even the role of an asset capable to store value.

While sudden bitcoin gains may bring profit investors who seek higher returns than in traditional markets, this process can also work in the opposite direction, as seen in recent months, bitcoin lost most of its value from its record highs. However, bitcoin has several important key drivers that can bring back life into this market and show that this bearish trend is just a temporary market phase.

For over two weeks now, bitcoin price has been steadily trading in the strategic zone of $6000 - $6300. We have already written about the importance of this region for entire crypto market, but you cannot overestimate it in current conditions, it was this zone where all the significant upward impulses originated, including December 2017 historical rally.

The local minimum was marked at $6077 on June 13, and since then the market has frozen in consolidation. This consolidation itself is already a positive sign, as it seems that market is accumulating forces for an upward release. Of course, this may take more than a week, but most importantly, the market has found logical bottom and volumes are slowly starting to grow. Over the past 24 hours, the market capitalization has not changed much, remaining at the level of 282-285 billion dollars.

Shortly ahead of US session start, the market is trading at $6690. Some return of demand for equity puts pressure on the cryptocurrency. If we talk about the target of the nearest growth, then technical analysis indicates the nearest mark in the region is $7630.

In addition to technical considerations, the bitcoin price may move to growth based on several key drivers that can help increase the capitalization of the cryptocurrency markets. While the price of major cryptos has shown a significant decline, long-term investment in the main cryptocurrency is now much safer and attractive than in December 2017, when the price was at record highs. Despite global mass media blockade of cryptos taking place these days more and more people understand that Blockchain technology is a long-run promising technology that is still waiting for its time.

FortFS