The head of Australia’s largest cryptocurrency exchange said that the market has entered the first stage of a sharp rise, and the number of people buying cryptocurrencies is gradually increasing, with growth expected to accelerate early next year.
Independent Reserve CEO Adrian Przelozny told Cointelegraph that he expects market activity to increase in early 2024 and is recruiting people to build infrastructure before then.
“We’re doing everything we can to prepare for a bull market because we know when a bull market comes, it happens very quickly,” he said. “You need to make sure the processes, people and infrastructure are in place so that when your business triples overnight, you can handle it.”
“I think the next two years are going to be great. Buckle up.”
Caroline Bowler, chief of BTC Markets, said that market conditions have become more optimistic this year, with a full recovery starting in January.
Bowler added that while the market’s upward trajectory is not entirely linear, growth in asset prices and technology adoption across the industry is reason for confidence.
“The current deployment of ‘dry powder’, the influx of new users, and rising trading volumes further support our assessment that we are in the early stages of a bull market.”
Tommy Honan, head of product strategy at Swyftx, said his exchange has started to see an increase in buying activity and is moving quickly to support direct debit functionality – a recent sore point in the Australian cryptocurrency space as Australia’s “ The Big Four banks have limited or outright restricted direct debit functionality. Deposits to certain exchanges are prohibited.
Honan ruled out fear of missing out (FOMO) as a reason for the increase in activity, instead stressing that market fundamentals have become more attractive for investors who adopted a wait-and-see approach during bear markets.
“All of our indicators are flashing green right now. We are seeing a large number of clients coming back to the market after a period of inactivity during the bear market. The market is waking up, but the reality is no one knows where we are in the cycle.”
Kraken Australia managing director Jonathon Miller was cautious, saying it was difficult to tell which stage the market was in.
“It is a common misconception that the cryptocurrency market is either in a bull market or a bear market. In fact, there is a large gray area between the two,” he said.
Miller admitted that there are many reasons to be optimistic compared to this time last year, especially next year’s Bitcoin halving and Ethereum’s Dencun upgrade, which he believes are starting to attract the attention of institutional and retail investors.
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“The expanding institutional interest in crypto assets is often overlooked. Yes, the market is currently focused on Bitcoin and Ethereum ETF applications, but last year we saw a renewed interest from many institutional clients looking to invest in this emerging asset class .” He added.
Ben Rose, general manager of Binance Australia, did not want to judge whether the bull market has arrived, but pointed out that Binance Australia has seen an increase in new registrations and trading activity in recent months.
Ross said Binance Australia is committed to educating users ahead of potential rallies and ensuring users avoid buying out of fear of missing out.
“We asked many of our existing customers why they got into crypto, and a quarter of them said seeing others succeed in crypto was the main reason. That was the biggest driver. So, in crypto FOMO is real,” he explained.
Ross said the key to retaining users during the next potential market surge is ensuring people don’t get trampled during the market frenzy.
“Price is one of the things that drives interest, but you want people to come on board in a sustainable and responsible way, so it’s not just a one-off,” he said. “Sure, price may be the reason they consider cryptocurrency in the first place, but ultimately they choose cryptocurrency because they understand its benefits and it becomes part of the way they manage their finances.”
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