The chances of a crypto bull market in 2023 may be decreasing due to the Federal Reserve’s hawkish stance on inflation and economic growth. The Fed has increased interest rates, which can reduce investment in cryptocurrency as investors seek more stable returns from traditional assets like stocks and bonds. Additionally, recent threats of a recession in the U.S economy have further reduced investor confidence, making it less likely that they will invest heavily into cryptos over the next few years.
Cryptocurrency markets are highly volatile compared to other asset classes; this means that any downturn could lead to large losses for those who invested early or at peak prices during previous bull runs. This makes it difficult for investors to justify investing such high amounts into digital currencies when there is no guarantee they will see a return on their investments if markets crash again shortly after entering them long term.. Furthermore, with central banks around the world tightening monetary policy amid rising inflationary pressures caused by stimulus spending programs implemented during COVID-19 pandemic recovery efforts – these policies could also dampen demand for cryptocurrencies as well as other riskier assets like equities and commodities going forward too .
In conclusion, while there is still potential for significant gains from investing in cryptocurrencies over time given their disruptive nature within financial services – current macroeconomic conditions suggest caution should be taken before committing large sums of capital towards them anytime soon due to increasing uncertainty about future price movements based upon both domestic & global economic trends alike . That being said , only time will tell whether or not we experience another crypto boom similar what was seen back 2017/2018 - but until then its best advised not take excessive risks without proper research first before doing so.