A New York-based research company, Fundstrat Global Advisors is prominent for publishing a yearly report on the financial situation of the economy, with a special warmth to cryptocurrency.
The currently available report reveals that the company believes there are multiple improvements that can be achieved in the crypto industry in order to increase prices of crypto. Tom Lee’s co-founder, who is also known as a Wall Street’s analyst with a particular interest in cryptocurrency, commented on the research through Twitter. He stated while introducing the report,
“We see 9 incremental improvements in the landscape that ultimately support higher prices.”
The report was introduced with last year’s assessment, by addressing the challenges with initial coin offerings (ICOs), the problems and issues regarding regulatory measures, and even the overjoyed responses. All of these issues have negatively affected the industry. But, the analysts believe that there will be an improvement this year.
According to the researchers, there is a possibility of recovery in the crypto prices despite that mass adoption is something that the industry may not be ready to take on yet. The researchers noted,
“Is 2019 the mainstream breakout year? Nope. But that is not necessary for crypto prices to eventually bottom in 2019, and by the end of 2019, we expect prices to be staging a visible recovery.”
The United States dollar is expected to weaken this year both in value and strength, as it will be a catalyst to the Bitcoin’s price recovery. Also according to the report, there is hope that the performance of U.S. stocks and bonds, which builds a conducive place for cryptocurrency to thrive will soon be exceeded by the market equities in cryptocurrency. There are expectations that the Institutional investments will also increase as OTC trading and custody solutions live, which will significantly affect the recovery as well.
As a result of Binance’s decision to provide a way for credit card crypto purchases, the exchange was specifically mentioned in the report as well. The adequate replacement for ICOs seems to be Initial public offerings, which Bitfury and Bitmain implied are on the horizon.
The price of Bitcoin on Friday broke past the $3,600 level for three days, these occurred at the same time the research report was released. The double-digit gain was also witnessed by other major cryptocurrencies that day.