Bull market calling: Will cryptocurrency witness a rally in 2024?

• Experts feel the crypto market is heading towards a bull market in 2024.
• The crypto market has been witnessing a good run of late, with the global crypto market cap rallying by 1.35% to reach $1.44 trillion, according to CoinMarketCap.
• However, the investors that with the crypto market being such a volatile one, it’s crucial to adopt caution even during the bull run.

After almost three years of slumber, the crypto market is heading towards a bull market in 2024. The crypto market has been witnessing a good run of late, with the global crypto market cap rallying by 1.35% to reach $1.44 trillion, according to CoinMarketCap. The cryptocurrency buying activity has picked up, with almost all the leading cryptos showcasing strong momentum. Now, market experts believe 2024 could be the breakout year for many cryptos.

Leading Australian cryptocurrency Independent Reserve CEO Adrian Przelozny believes the market will likely boom in early 2024. Historically, January has been the month of high volume and market activity.

“We’re just doing everything we can to get ready for a bull market because we know that when the bull market comes, it happens very fast,” Przelozny was quoted as saying in CoinTelegraph.

However, he also said that one has to ensure that the processes are in place to ensure that when the business settles, the protocol can manage the workload.

Market gains were not linear

Another leading exchange, BTC Markets chief Caroline Bowler, indicated that this is the first time since 2021 that we are witnessing such a positive momentum. Following the recent recovery patterns, she maintains that the market conditions have grown more bullish over the year.

Bower maintains that with the new users coming in, the market is witnessing an uptick in trading volumes, suggesting that we are in the early stages of a bull market.

When quizzed about whether people are investing due to the FOMO factor or whether the market has become favourable for buying activity, she stressed the secondary. Honan highlighted that market fundamentals had become more attractive to investors who took the sidelines during the bear market.

Important to adopt caution even in a bull market

Meanwhile, Kraken Australia managing director Jonathon Miller cautioned the investors that with the crypto market being such a volatile one, it’s crucial to adopt caution even during the bull run. Miller believes that it’s difficult to say if the crypto market is, in fact, in a bear or bull market; however, there is plenty to cheer about this time around.

He noted that with Bitcoin halving and Ethereum’s Dencun upgrade coming up, the interest from retail investors has been piqued and is at an all-time high.

Educating the market participants in a bull market

Binance Australia general manager Ben Rose believed that while there is every reason to be optimistic, it is also essential to stay educated. Rose said Binance Australia is focusing on educating its users ahead of a potential rally and ensuring users avoid FOMO buying.

“We asked many exiting customers about why they got into crypto, and a quarter of them said that seeing others succeed with crypto was the main reason. That’s the single biggest driver. So, FOMO in crypto is a real thing,” Rose explained.

Conclusion

Whether it will be a breakout year or another disappointing January remains to be seen, but there is enough for the investors to be excited about. It is, therefore, critical that during this period, the market participants stay informed about the market activity and ensure that they understand the market before making essential investment decisions.