- 1 The uptrend can begin in the middle of 2023
- 2 Use dollar-cost averaging and diversify.
- 3 Bitcoin will hit $10,000 before rising to $100,000
- 4 Ethereum will not surpass Bitcoin.
- 5 Look for coins that have been in a downtrend.
- 6 Is Cardano a good Web3 investment?
- 7 Trust decentralized exchanges
- 8 Hold the coin for a year or two or use scalping for profit
Syed Ahtesham, a crypto expert and trader, entered the crypto market in 2019, right after the crash of the previous year. This crypto winter may be at least just as devastating, but Syed believes that the bear market will end in 2023, with the uptrend beginning in the middle or in the fourth quarter of the year.
If you want more insights into the market from other crypto experts and veteran traders, feel free to read similar articles on our website.
The uptrend can begin in the middle of 2023
In the first quarter of 2023 and throughout the year 2023, we are currently in a bear market. Once the downtrend is finished, we will likely enter an accumulation phase, as evidenced by the sideways movement of BTC. However, it is important to note that the bottom of the crypto market has not yet been confirmed.
I believe the uptrend will begin in the middle of 2023 or possibly in the fourth quarter of 2023. We may see some pre-pumps in the market in the next few months. BTC will likely experience slight upward movement and corrections before experiencing a long wick on the downside, signaling the end of liquidation and the start of an uptrend. The main post-pump will likely occur after April 1st, 2024, with a pre-pump potentially occurring before.
Use dollar-cost averaging and diversify.
When investing in the crypto market, it is important to invest in parts at different prices. This is called dollar-cost averaging (DCA).
This strategy involves averaging out your investment at different points rather than investing a lump sum at one time. For example, if you invest at the current market level, you should wait for the next correction and invest at that level as well, and so on. By using this strategy, you will be able to acquire a better buying point for your investment. However, it is important to remember that even the most experienced traders cannot predict the exact bottom of the market, hence the importance of diversifying your investment.
Bitcoin will hit $10,000 before rising to $100,000
Syed: My prediction for the crypto market, specifically for Bitcoin, is that it will reach a low of around $9,000 to $10,000 before experiencing a long wick below $10,000. We will then trade in the candle above $12,000 to $13,000. While my target may be considered low, I am confident that we will hit $100,000. I have recently updated my technical analysis on my YouTube channel, which covers the structure of Bitcoin from 2010 to 2022. According to my analysis, the upper support line, or upper trendline, is $100,000.
Ethereum will not surpass Bitcoin.
Syed: Personally, I do not believe that Ethereum will surpass Bitcoin in terms of value. One major factor is the supply of each coin. Bitcoin has a limited supply of 21 million coins, while Ethereum has an unlimited supply. Additionally, with Ethereum 2.0, the mining concept has been removed, and now it is possible to stake unlimited Ethereum coins. Another factor to consider is the use case of each coin. Bitcoin is primarily used for payment, while Ethereum is used for smart contracts and decentralized applications. Therefore, for payments, Bitcoin would be a better option due to its lower gas fees. However, for creating smart contracts and decentralized applications, Ethereum is the best choice.
Look for coins that have been in a downtrend.
Syed: For the short term, do not prefer any particular coin. Instead, I use technical analysis to identify coins that have been in a downtrend for an extended period and have not had any significant uptrend or rally. I also use various indicators to make my trading decisions and have traded almost all coins on the Binance exchange.
Is Cardano a good Web3 investment?
Syed: My favorite altcoin is Cardano (ADA). I like it because it doesn’t allow institutional investors or other individuals to manipulate the coin. If you look at the Cardano chart, you will see that it doesn’t have the wild pumps and dumps that many other coins do. It moves with supply and demand, adapting to the market trends, whether a bull market or a bear market.
Cardano (ADA) has a limited supply, similar to Bitcoin. There will only be 45 billion ADA tokens in existence. This gives the Cardano coin scarcity. Due to this, the volatility of the crypto market allows the price of Cardano to fluctuate in relation to the demand for the ADA crypto coin.
Syed: Additionally, I believe that Cardano is a good investment in the Web 3.0 and Nifty and Meta projects. Other altcoins that are good for the long term are Link, Matic, and Dogecoin. In terms of Web 3.0 projects, I believe FLOW coin has much potential, as it offers developers many tools to build on Web 3.0 and blockchain technology. To sum up, for long-term investment, I recommend Cardano, Matic, and Flow coins, but many other coins have potential in the near future.
Trust decentralized exchanges
The FTX fraud case caused chaos in the crypto market that spilled over into the blockchain industry as a whole. The FTX exchange was started within the Alameda Research trading firm founded by Sam Bankman-Fried and Caroline Ellison, [which] committed the largest case of securities fraud and money laundering in the crypto world. This scandal has [the] logical consequence of reduced trust in crypto exchanges. The main reason for this distrust is investors’ inability to withdraw their funds from the FTX crypto exchange when it collapsed.
Syed: In my opinion, I am hesitant to fully trust centralized exchanges, especially after the collapse of the FTX exchange. I had previously believed that FTX would surpass Binance in the future, but the recent events in the crypto market have been disappointing. I am concerned that something similar could happen with Binance or any other centralized exchange.
Binance is the largest crypto exchange in the world, with over 90 million registered users globally. If this exchange collapses, it would be devastating to the crypto market as a whole and would be the final nail in the coffin for crypto in the court of public opinion.
Syed: Therefore, it is safer to trust decentralized exchanges as the market’s future towards decentralization. However, the issue with decentralized exchanges is the high fees associated with swapping tokens, particularly when using a wallet like MetaMask or a Web3 exchange like Uniswap. Despite this, I do believe that Binance is doing good work in the industry and is transparent about its actions in the crypto market.
Hold the coin for a year or two or use scalping for profit
Scalping is a popular strategy used by crypto traders who employ a technique of multiple fast paces to make short-term profits. They look for micro changes in the market and find their profits there. This is a high-input strategy that requires you to be very focused on the short-term environment of a crypto coin in order to maximize your results.
Syed: Currently, my target is small. For example, if I were to buy a Cardano coin, I would employ a strategy of ‘scalping.’ Scalping is a good option because it allows for quick profits if the coin’s value moves slightly upward. I perform scalping multiple times a day and aim to take at least 10 trades daily. If I lose seven trades, my risk management ensures that I will only lose 5% of my daily capital. For the long term, it’s better to take good entries and hold the coin for a year or two. For the short term, engage in swing trading and scalping, book profits at small points, and then exit the market.