Cryptocurrency Bear Market Wanes: Going through Accumulation
In recent weeks various industry observers have indicated that the cryptocurrency market is experiencing a bullish run. The notion has received more support with a fresh report implying that the bear market is actually waning and it is in the accumulation phase.
According to a recently published report by Adamant Capital, Bitcoin is already experiencing heavy accumulation, and the phase will bring its price to between $3,000 and $6,500, at least until the bullish run gains momentum. Bitcoin whales are already accumulating the major cryptocurrency synonymous to the 2014-2015 bear market, indicating that the cryptocurrency is preparing for a price increase in the future.
The report indicates that retail traders are leaving the cryptocurrency market as long-term and agnostic investors become dominant. This is reportedly consistent with Bitcoin’s volatility analysis, which fell below 5% in the 60-day volatility range, which is lower since 2016.
The report goes on: “During the accumulation phase, the market will trade in a range: the weak hands, who are trying to get out of the market, take profit during rallies and thus create the resistance, and the strong hands, looking to accumulate, buy at the bottom of the range which eventually creates a floor in the piece.”
The key drivers of the cryptocurrency market growth are millennials, who are said to not trust banks. Millennials are also reported to be the majority of Bitcoin buyers. Researchers have indicated that in the next few years, Bitcoin will experience massive adoption.
In a previous report by Clovr, millennials were the majority of the investors in cryptocurrency, earning between $75,000 and $99,999 per year. The report indicated that the millennial generation is twice as likely to invest in Bitcoin than any other generation, with 23% of women and 43% of men investing in cryptocurrency.
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