Interest in crypto investing is probably near all-time lows. Sentiment in the crypto space is for sure near all-time lows. The price of Bitcoin is nowhere near its historic lows. This is a setup we like a lot. The conditions for a perfect storm in 2023 are there. We are super bullish for crypto in 2023, however there are some do’s and don’ts especially since we expect 2023 to come with bi-furcated market conditions in the crypto market. That’s why we compiled 5 cryptocurrency predictions for 2023. It helps investors understand that 2023 will be ‘crypto picking market’ (not a broad based crypto market bull). More importantly, we continue to track the crypto market and our cryptocurrency predictions in our crypto investing research service.

Before looking at our 5 cryptocurrency predictions for 2023 we want to set the stage by this must-see chart: BTC priced in terms of the Nasdaq.

You can see the point immediately: a potentially bullish reversal is in the making, one that looks a lot like the one in Q1/2019 right before BTC went up 4x.

Now, we are not saying that a 4x rise in BTC is imminent. In the end, if the Nasdaq decides to move lower, it will push BTC and crypto lower as well.

However, we clearly see that a flat price action in BTC might set the stage for a bullish period especially if/when the Nasdaq will decide to move higher.

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We like this chart a lot.

Our 5 cryptocurrency predictions for 2023 hold true provided the BTC to Nasdaq ratio will resolve higher. We believe it will resolve higher, this is why.

1. Cryptocurrency prediction 2023: A bullish bias with multiple ‘golden’ weeks

The first of our 5 cryptocurrency predictions for 2023 is that BTC will move higher in 2023, with a base case target of 40k which is the 90 week moving average (see upper pane of the long term BTC chart shown below).

This next chart shows us not only the long term moving average of BTC. We notice a consistent behavior in the past when it comes to the interaction between BTC and its moving average.

Equally important is the correlation between the USD and BTC. It is clear how strong the negative correlation is between both assets.

We believe that the USD is not far from setting a top. Whenever the USD decides to soften, which is very likely to happen in 2023, we can see a strong move higher in BTC.

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Here is one more long term BTC chart that will help us understand whether BTC will respect its 2017 levels as support: the 5 year rising trendline has to be respected. If BTC continues to trade above this long term trendline, in 2023, it should confirm it as a long term support trend and confirm our bullish crypto 2023 thesis.

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2. Cryptocurrency forecast 2023: Unicorns in Web3

Our 2nd of the 5 cryptocurrency predictions for 2023 is about unicorns: we expect 2023 to bring a few unicorns in the Web3 space.

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