2018 was by far, the longest-running bear cycle in the history of cryptocurrency market. And owning to that there was news floating around that Wall Street was packing up and leaving the Bitcoin (BTC) scene. However, despite all the downers the Bitcoin community still clung on to hope for 2019. And looks like they were right to hold on, because according to JP Morgan’s Global Market Strategist Nikolaos Panigirtzoglou, Bitcoin could make a resurgence on Wall Street.
According to an article published by CNBC on Feb. 6, Panigirtzoglou predicts that firms are likely to show renewed interest in the cryptocurrency market because of two main reasons. Firstly because the crypto market has gotten itself on a much more stable ground now, and secondly, because of the growing importance of Bitcoin’s underlying blockchain technology.
The stability that we are seeing right now in the cryptocurrency market is setting the stage for more participation by institutional investors in the future
He further added that the cryptocurrency market was a new market. It went through a bubble phase [and] the burst, in context to the initial hesitations of the firms getting involved in it.
However the Bitcoin resurgence won’t be knocking on Wall Street as soon as we’d like to think. Panigirtzoglou did mention that it could likely take a couple of years as the regulators are a “bit slow to realize” the potential of the cryptocurrency.
Many in the crypto space have predicted that the increased involvement from institutional investors on Wall Street, would help inject capital in the cryptocurrency arena, which is direly needed after the market suffered a bear year in 2018. One of the hopefuls is Cardano’s (ADA) co-founder, Charles Hoskinson; who in June 2018 claimed that the entrance of Wall Street into the crypto sector would bring in “tens of trillions of dollars.”
Lets see if the crypto market manages to grab Wall Street by the end of 2019. For further updates stay tuned to BlockPublisher.