Bitcoin, the leading cryptocurrency, has been exhibiting a lackluster performance despite recent positive developments in the cryptocurrency market. Congressional bills related to crypto are making progress. Yes, and the Ripple victory against the SEC is great news. However, Bitcoin’s price remains stagnant. Yawn! “Let’s go already!”.
The crypto world is eagerly waiting for a bull run where prices increase drastically. Fine, but what is needed to happen before we can experience a bull run and why?
To keep the momentum going in the crypto market, a continuous flow of new capital is essential. When more money is invested, a vibrant ecosystem can be built. Firstly, more money equals smoother trading and reducing price swings. With more investors, buy and sell orders are matched more efficiently, creating a stable market environment.
Moreover, as capital enters the crypto market, companies get interested in entering the space with new innovations and further development of the crypto scene. New projects, tokens, and use cases emerge, making the market more dynamic and appealing to a wider audience.
The talk in the crypto pub revolves around institutional investors. Multiple institutions have applied for setting up a Spot Bitcoin ETF and crypto enthusiasts wait for it to be approved in the US. Here’s a list of applicants: Ark21Shares, IShares, Bitwise, VanEck, Wisdomtree, Invesco, Wise, Valkyrie and the biggest of them all Blackrock. Yes, the eyes are always on the US, unfortunately. I’ll try to change that.
Anyway, institutional investors are considered crucial players in the crypto industry. Their participation can be a game-changer as they bring legitimacy, capital, and expertise, making cryptocurrencies more accepted in traditional financial circles. As more individuals and institutions invest, the entire ecosystem becomes stronger and more valuable. This increased participation improves the overall utility and value proposition of digital assets.
Things move slowly and then suddenly it seems like it went quickly. Crypto development is like pouring ketchup on pasta. Just wait. Things will get juicy.