2023 Crypto Industry Market Report by Technavio

2023 Crypto Industry Market Report by Technavio

Crypto Industry Market Report the FTX collapse and the ensuing bear market have made it challenging for asset allocators to deploy capital. Nevertheless, the volatility could be the catalyst that ignites new innovations in the crypto industry.

Despite the dramatic events of 2022, the heat is still on for the crypto industry. This evidenced by the increasing search volume of various crypto keywords.

Market Overview

2023 Crypto Industry Market Report by Technavio
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Cryptocurrency market 2023 expected to grow rapidly due to the escalating demand for borderless and effortless transactions. In addition, increasing online shopping activities by customers to purchase various products and services at discounted prices is further boosting the market.

The use of blockchain technology in the financial industry to secure transactions and verify and trace multistep payments is another factor influencing the market positively. Furthermore, various governing agencies are taking initiatives to legalize the cryptocurrency market which is further driving the market growth.

The report also provides a detailed breakup and analysis of the market based on application, which includes mining and transaction. In addition, the competitive landscape and detailed profiles of major players included in this report. These include Advanced Micro Devices Inc, Alphapoint Corporation, Bitfury Holding B.V, Coinbase Inc, Cryptomove Inc, Microsoft Corporation, and Quantstamp Inc. among others. The research study offers a comprehensive view of the global cryptocurrency market and helps in making informed business decisions.

Market Trends

Technavio’s report explains regional trends and developments that are shaping the 2023 crypto industry market. North America leads the market, followed by Europe, Asia Pacific, and Latin America. The growing traction of cryptocurrency payments in these regions is driving the growth of the crypto industry.

Additionally, the increasing adoption of blockchain technology to secure transactions, verify and trace multistep payments, and share and record data across a distributed network is further boosting the market’s growth. Moreover, various governments are undertaking initiatives to make the use of crypto legal, further fueling the market’s growth. However, the US government’s efforts to choke legal crypto players through the banks sector may restrict the market’s future growth. Furthermore, the rising distrust of centralized exchanges (CEX) and growing voice for decentralized exchanges (DEX) expected to boost the market’s growth. This trend will further strengthen on-chain regulation and the security of crypto transactions. Thus, the industry’s growth is likely to accelerate in 2023.

Market Analysis

Q1 2023 was a positive quarter for the crypto markets. This is thanks to several factors including the recovery of the broader macro environment, China re-opening and resilient demand. But more importantly, it was a quarter that saw the rise of several narratives such as the AI crypto project narrative and the Hong Kong/China crypto asset narrative.

Moreover, the report includes a comprehensive competitive analysis of key players in the market. This is done from the perspective of their market shares, concentration ratio, strategies and business plans. In addition, mergers and acquisitions, partnerships, regional conflicts and the impact of COVID-19 on this market have also been analyzed.

In terms of value, the top five players in the market are Advanced Micro Devices Inc, Bitmain Technologies Limited, Ebang International Holdings Inc, Northern Data AG and Canaan Inc. These companies account for a total of 30% of the global cryptocurrency market share. A detailed breakup of the cryptocurrency market based on component and application has also been provided.

Market Forecast

After the drama-filled crypto winter, 2023 started with a bit of fresh air with prices rising and many projects coming back to life. However, there are still some significant issues such as the bankruptcies of major US banks and fears of a recession. In addition, the US government’s anti-crypto sentiment is evident by their actions such as shutting down CEX staking services and suing BUSD.

The growth of the global cryptocurrency market primarily driven by the emergence of digital assets. A demand for safe and secure transactions, and the increasing popularity of blockchain technology.

The market is also being boosted by the growing traction of cryptocurrency in financial markets and the rising adoption of digital assets by various end-user institutions such as BFSI and retail. In addition, the increased demand for cryptocurrency management platforms will also propel the market’s growth during the forecast period. This is because cryptocurrency asset management platforms facilitate the creation and management of investment portfolios based on user-defined goals.

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