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What’s holding up the next bull run in 2024, and what trends will fuel it

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TL;DR

  • ETF approval didn’t wow markets as expected; institutional buying had already priced in the impact.
  • Bitcoin’s scarcity and institutional interest hint at a possible growth cycle in late 2024/2025, driving mass adoption.
  • Blockchain startups are maturing, bridging the gap between traditional businesses and blockchain, signaling sustainable industry growth.

Paul Lipen and Slava Kasperovich, founders of Ninjapromo.io, a leading digital marketing agency with an innovative subscription-based model, shared their insights on the potential approval of a spot Bitcoin ETF and its impact on Bitcoin and other cryptocurrencies. They also provided educated forecasts based on their experiences working with various web3 clients.

What is your take on the underwhelming market’s response to ETF approval?

I believe people who put it this way are just retail investors who wanted hype over substance. There are misconceptions about how ETFs work and who they primarily target. ETFs are products somewhat isolated from the BTC spot trading market, which we know in that the institutional providers that back the ETFs with BTC had been purchasing it OTC in the weeks and months leading up to the ETF approval. 

The purchases affected the overall scarcity of BTC, and the news is very positive. Still, it has already been largely priced in, and now it should just be treated as good publicity for BTC, adding credibility to it, but not as something that will one day fuel explosive price action for BTC. Objectively speaking, many people overlook the fact that the launch was a success and BTC overcame silver to become the 2nd biggest ETF commodity. If that’s not a success, I am not sure what is.

Do you see more positive than negative narratives guiding the market in 2024?

Paul: There’s no “CEO of Bitcoin.” Luckily, it’s beyond anyone’s control, making BTC a great asset. My two cents, based on working with web3 clients during downtrends and uptrends on the market, are:

  1. Market psychology cycles work. It’s a self-fulfilling prophecy. When people study historical price charts of BTC and see certain patterns, their market behavior starts to favor these patterns. Soon, we are due for another growth cycle in late 2024/2025, according to many influencers and public speakers, so it is more likely to happen than not.
  2. Bitcoin has something that many other assets don’t – it has a programmed scarcity mechanism, halving. It’s here to stay and will predictably cause a supply shock, resulting in price action that we’ve seen several times already. This is the main thing worth keeping an eye on.

Slava: It’s important to note that institutions are warming up to Bitcoin. After years of ignoring/scoffing at Bitcoin, some big players are lining up to be a part of the future. While they will not necessarily only profit from BTC’s growth, these giant companies did not get a product approved by the SEC just to forget about it. There will be a tectonic shift in public perception of crypto; new money will flow in and increase the capitalization of BTC and other staple cryptocurrencies in high demand as mass adoption kicks in.

You said that BTC is no longer the only growth factor for the blockchain industry. Could you elaborate on this?

Slava: As an industry, blockchain has made tremendous progress in the last few years. We still have relatively few “killer apps” and features that would drive mass adoption, but at the very least, there are blockchains now capable of things Ethereum and its peers were not capable of in 2018. We’re talking speed, user-friendliness, cheap transactions, decentralized governance, and relative security.

Paul: BTC has been and will be important to the industry; that’s why there’s synthetic wrapped BTC almost on any chain being traded on their respective DeFi swap services, but the Bitcoin blockchain itself has its limitations that have been apparent for a while, and it’s turning into store of value rather than an instrument for quick transactions, let alone anything else it can never become without EVM and smart contracts.

So, apart from factors associated with BTC, what are your top things to look at that could serve as market health indicators showing imminent growth in 2024?

Paul: As an agency with a lot of web3 clients, we are seeing a surge in activity – a lot of companies are coming out of stealth mode with interesting products, and we’re there to help them. 

We exchange insightful conversations with some industry leaders (or those who strive to be seen as such) and see a lot in common between up-and-coming services and startups in development. They’re not about pure technology for the sake of record-breaking TPS. However, they are increasingly looking to bridge the gap between non-web3 clients, businesses, services, and the value the maturing blockchain technology can finally deliver to the former. 

Slava: We may be on the verge of organic in that it’s not fueled by short-term gains from fundraising, and sustainable growth. Many projects we are in talks with want to do what the first wave of ICO-funded startups couldn’t do – provide people the financial freedom, flexibility, security, and investment opportunities they previously didn’t possess. It’s just that this time around, the industry is much more mature, and there is a much more clearly defined legal framework in most countries. Big players like VISA and Mastercard and other major brands like Amazon and Tesla have been working on it, and the general perception of crypto is now much more positive.

So, to address the question – the industry is going in the right direction because startups are building on great technology (such blockchains as Ethereum, Polkadot, Polygon, and others), know what they want to achieve, and know how to do it. 

About Ninjapromo

Ninjapromo.io is a top-ranking digital marketing agency dedicated to providing innovative solutions via a cost-efficient subscription model to startups and established businesses across many industries since 2017. Ninjapromo.io has executed impactful marketing campaigns and helped raise over $2bn for 200+ international clients, including HTX, Affyn, Fantom, and many more.

Disclaimer: The information provided is not trading advice. Cryptopolitan.com holds no liability for any investments made based on the information provided on this page. We strongly recommend independent research and/or consultation with a qualified professional before making any investment decision.

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Lacton Muriuki

Lacton is an experienced journalist specializing in blockchain-based technologies, including NFTs and cryptocurrency. He dabbles in daily crypto news rich with well-researched stats. He adds aesthetic appeal, adding a human face to technology.

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