The Bitcoin, SHIB and altcoin markets are struggling, but there are key events that could turn the ship around. Analyst Jordan Finneseth lists 5 events that will end the bear market.
Successful Ethereum Merge
One of the most anticipated developments of the last five years has been the transition of the Ethereum network to PoS. The process has been delayed for a long time by numerous setbacks. However, after the successful completion of the Merge trial on the testnet Sepolia, the official transition is now closer than ever.
In particular, the hype around Ethereum Merge will help get the crypto market out of a downtrend, especially if the transition continues smoothly, if it helps lead to greater scalability and a faster user experience. As we have quoted as Kriptokoin.com, the date for the merge is currently August 2022.
Spot Bitcoin ETF approval
Another event that could trigger a crypto revival for years; Bitcoin is the transition of an exchange-traded fund (ETF). Since 2017, when the first BTC ETF proposed by the Winklevoss twins was rejected by the US Securities and Exchange Commission (SEC), for some reason, any physically backed Bitcoin ETF proposal has been rejected one after the other.
If a spot ETF is approved, that would make the longstanding objection moot. It will also add a new level of legitimacy to Bitcoin and the crypto class as a whole.
Fed reverses course for Bitcoin and altcoins
“Don’t fight the Fed” is a common phrase investors use to describe one of the most powerful forces over global financial markets. Specifically, after years of easy money policies and near-zero interest rates, the Federal Reserve approved a 0.25% rate hike, the first rate hike in more than three years. Since then, the Fed has implemented two additional rate hikes of 0.5% and 0.75%, bringing the current benchmark interest rate to a range of 1.5% to 1.75%.
Meanwhile, during the same period, the price of worldwide risk assets is falling. Bitcoin dropped from $48,000 to just under $20,000 at the end of March. The crypto rally in 2021 was largely driven by the Fed’s easy money policies. A return to such policies is highly likely to see the flow of funds into the crypto ecosystem once again.
Massive adoption of Bitcoin (BTC) as legal tender
In 2021, El Salvador became the first country to adopt Bitcoin as a legal currency. In April 2022, the Central African Republic (CAR) became the second country to do so.
On the other hand, while the use of BTC as a form of legal tender is a long-standing goal of crypto advocates and the decisions of El Salvador and CAR are worthy of celebration, its adoption by such small players on the world stage is to encourage more mainstream did very little for him.
Integration as a payment option by a large company
The reason people use cryptocurrencies for their daily shopping is because it is not really accepted anywhere. Cryptocurrency is used for online payments with some debit cards and platforms such as Shopify. However, the ability to purchase transactions by executing transactions directly on a Blockchain network is relatively limited.
Meanwhile, Elon Musk showed that news of payments integration could lead to a rally for the token in question.
As a result, the integration of cryptos by giants like Amazon or Apple is likely to lead to a rally.
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