Steemit Crypto Academy Contest / S7W4- Cryptocurrencies continue to recession or rebound in 2023

Hi steemians,
It is with plenteous joy in my heart that I decided to participate in week 4 of the steemit engagement challenge for season 7. This is my entry number 3 in this week's challenge. The season 7 challenge has been coming up with numerous interesting topics and this week is no exception.

The topic this week is "whether Cryptocurrencies will continue to recession or rebound in 2023". The year 2023 is just beginning and many things previously happened in the crypto world in 2022 which has kept a lot of people in a state of confusion as to what the fate of the crypto market will be in this new year. Without further ado, let's look at the questions below as it serves as a guide towards this task.

One of the most volatile markets in the world today is the crypto market. Price fluctuation is one of the key features of cryptocurrency and hence its prediction has always never been an easy task. Given this problem, experts have searched for solutions to ensure that traders have an idea as to how the market will go, though it may not be completely correct at least they have the idea.

Technical analysis and fundamental analysis are key aspects that one can use to determine the price prediction of an asset. Experts have used technical analysis often to predict the price of assets most of which go in the said direction whereas others don't go as predicted. In this question, I will like to use a technical indicator called the Relative strength index (RSI) to perform my analysis since I know much about the indicator.

The RSI is a special indicator called momentum indicator, it is used to measure the price movement of any given asset over some time. There are two key points in the RSI indicator and that is the overbought level and the oversold level represented by 70 and 30 respectively.

When the RSI is seen above 70, it is said that the asset is in its overbought region and a possible trend reversal will be expected, in the same way, when the RSI is seen below 30, the asset is said to be at it oversold region and a possible trend reversal will be expected as well.

Having understood how the RSI indicator works, let's consider a chart of BTC/USDT. I have chosen this pair of coins because the BTC price as we have seen controls the price of every other coin in the market. Whenever the BTC price is going up, almost every other coin goes with it and whenever the price is going down almost every other coin goes alongside it.

The above image shows a pair of BTC/USDT in a 1-week timeframe. Based on the chart, the current price is seen at 23k and the next resistance level is seen when the price hits 30k. At the time the price is seen at 23k, the RSI was spotted at 55 which is a neutral value. This means that there are tendencies that the price can return to the support level and breakthrough or it may go to the resistance level and breakthrough.

From the chart, I have marked the level of my support which is around 15k and the resistance level is 30k. So based on my analysis, if the RSI moves upward to about 70, then the price will hit the 30k predicted but if the RSI drops to 30 or below the price will drop back to around 15k.

Based on the recent rise of the asset in the early weeks of this year, I'm very optimistic that the price of the asset will rebound in the year 2023. Though as the technical analysis, I have carried out here, there are other factors such as fundamental factors that can still influence the price of the asset.

If the crypto market remains in this manner for a while without any bad news such as the FTX collapse we heard about last year then I'm certain that the price of the cryptocurrency will rebound and we will experience bullish moments for quite some time before any price decline. So in essence, predicting price deals with technical analysis and other external factors.

Yes, I guess every steemian has been affected by the long duration of the bearish market. Steem is also a cryptocurrency and for that reason, we all are affected because the price of the token has also been affected. Aside from the drop in the price of the token the reward earned by users on the platform has also decreased drastically.

You will agree with me that before this time, we earn better because of the presence of SBD but since the bear moment started, the SBD has disappeared and that is one major way in which the reward of the user gets bigger. According to the steemit blockchain program, it will only return when the price is favourable.

More also, our work has been affected because a lot of people who are active steemian have looked for alternative work because what they earn now can no longer satisfy their needs as it was before the bearish market. Spending time to create quality content in which in the end you won't get a very attractive reward makes you weak.

My advice to other users at this very time is that they shouldn't give up. I have always told my recruits that they shouldn't always write because of the money but because of the passion or satisfaction gained whenever they write. This is not a time to panic but a time to work even harder and accumulate as many tokens as possible.

The world generally is not always rosy. We don't expect to have all things our way every time. This period of bearishness is a time to learn more and down less because selling your asset at this price as though you are wasting it. Imagine before this time, 10 steem can feed me for a week but in the current market situation, 100 steem won't feed me for 2 days. So selling at this point is a waste of resources. I advise we accumulate and wait until the price becomes valuable enough so that a fraction of the coin should be what we are selling.

Therefore, my advice to all users of the steemit platform is that they should remain focused and consistent. This is not the time to start running from one platform to the other or looking for alternative earning. You can use this bear season to accumulate and then enjoy the benefit during the bull season. One good thing about the crypto market is that nothing remains forever.

There is always light at the end of each tunnel. So bearish market won't continue forever and with time we will see a bull market as well. Crypto just like life itself has two phases and since we are experiencing the bear phase today doesn't mean we won't experience the bull phase tomorrow.

In the year 2023, cryptocurrency I'm seeing as a promising one that will make a very tangible move is the BNB token. BNB as well as all know is the native token of the Binance platform which is one of the largest centralized exchanges in the world today. Now, as the native token of the platform, the token is used as gas fees for all the transactions going on within and outside the platform.

I remember using my metamask to purchase some tokens and the gas fee required was the BNB token. This is the same for trust wallet users and many more. Whether you are holding the BNB token or not, there are some transactions that you will want to do as a person you will need the BNB as gas fees.

From the chart analysis above, early this year, the BNB token moved from around $245 to about $307 also looking closely at the RSI indicator, you will notice that the RSI indicator is seen at 51 which signifies the neutral position. Based on the chart above, the resistance point which we are hoping to see soon is $338 for the BNB if the RSI move to the overbought region.

I have chosen the BNB token because of its usage in different places such as the Binance platform, metamask, trust wallet etc. With this amount of usage, you will agree with me that more people will adopt the usage of the token in no distance time and that alone will help to boost the price of the token.

Aside from that, the project has a special way of halving their token which helps to reduce the amount of the BNB in circulation. The auto-burn process of burning the BNB is another great way which I believe will help to catapult the price to a greater height this year and that is why I have selected this project and this coin for the year.

The status of Steem and TRX over the past year has not been favourable at all. Though, it is important to mention here that every crypto experienced a decline in prices over the past years. So this can be seen as a general problem in the crypto world.

Though despite all the happenings in the crypto market, we have seen steem and TRX increase greatly in market capitalization showing more acceptance by many people in the past years. The market capitalization of both coins shows that many more users are interested in the coin and that is a great sign because with many people trading and holding this asset, their prices will appreciate.

Despite all that has happened so far, I still see both coins as promising for the year 2023 because the project behind both tokens is a real project which has stood the test of time. I will be using a technical analysis below to show you the potential that both steem and TRX tokens have in this year 2023.

In this analysis, I took a pair of STEEM/USDT in a 1-week timeframe to get a clearer view of the market. From the image above, you will notice clearly that the price of steem at the time of conducting the analysis is seen at 0.1900 and the resistance level is seen at 0.23. From my analysis using the RSI indicator which is seen at 42, if the RSI moves upward to around 50, the price of steem will break the resistance and move up to 0.300.

This is also possible because I notice that from the beginning of the year, the initial price of the token was seen at around 0.15 but it has made a significant move with a continuous movement in the RSI from 30 to around 42. It is expected that the price reach the overbought before a price decline will be seen again.

In this analysis, I took a pair of TRX/USDT in a 1-week timeframe to get a clearer view of the market. From the image above, you will notice clearly that the price of TRX at the time of conducting the analysis is seen at 0.06217 and the resistance level is seen at 0.080. From my analysis using the RSI indicator which is seen at 53, if the RSI moves upward to around 70, the price of TRX will break the resistance and move up to 0.080.

This is also possible because I notice that from the beginning of the year, the initial price of the token was seen at around 0.05 but it has made a significant move with a continuous movement in the RSI from 40 to around 53. It is expected that the price reach the overbought before a price decline will be seen again.

Based on both technical analyses carried out on STEEM and TRX tokens, I want to conclude by saying that tokens are promising tokens for the year 2023 because the analysis has shown clearly that the price will increase. After all, it has to reach the overbought region before thinking of declining again.

From the entire analysis, I have carried out in this task, I'm very confident that cryptocurrency will rebound in the year 2023. You will also agree with me that due to the usage of the BNB token, it will significantly raise this year based on the stated criteria I have explained above. More also, STEEM and TRX are other promising token anyone can invest in because of how solid the project is and it has a great potential to rise based on the technical analysis above.

I want to invite my friends @ubongudofot, @goodybest, @ngoenyi, @nahela and @waterjoe also join this contest and share with us their analysis about the price of our dear token which is STEEM and TRX.