The cryptocurrency market is just at the very beginning of growth, investment company Pantera Capital said in its official blog. The firm's analysts called for buying bitcoin and named two reasons for its upcoming price hike, writes RBC Crypto. The first is the US policy of issuing additional money supply. These measures are aimed at supporting the economy after the crisis caused by the pandemic, but lead to the depreciation of the dollar. In this regard, the rate of assets with limited emission will grow, they are confident in the company. Analysts named the development of the industry as another reason for the future growth of the cryptocurrency market. As an example, they pointed to the explosive growth of the Decentralized Finance (DeFi) industry. Now in this sector, cryptocurrencies worth $ 10 billion are blocked, although in January this figure fluctuated around $ 1 billion, and two years ago did not exceed $ 200 million. Inflation in the dollar, actions of the world's largest central banks, demand for defensive assets and the development of blockchain technologies will have a strong positive impact on the rate of cryptocurrencies, agreed lead analyst at 8848 Invest Viktor Pershikov. He believes that digital assets are indeed at the initial stage of a new growth cycle, as a result of which the bitcoin rate may rise to $ 30,000-40,000. “I believe that the new bullish cycle of the crypto market could lead the BTC rate to $ 30,000-40,000. in the next few years, however, the growth of market capitalization to the level of $ 1 trillion from the current $ 380 billion, in my opinion, will occur due to the growth of altcoins and cryptocurrency market tokens, while BTC will follow the general positive market trends, "Pershikov suggested. He stressed that technical analysis allows for the possibility of reducing the price of BTC to $ 9,000. If a downturn occurs, it can be used to increase the position in the cryptocurrency, since a significant decline in its price is unlikely. The founder of the STASIS stable cryptocurrency platform, Grigory Klumov, believes that the policy of the US Federal Reserve System (FRS) to double inflation has provoked a new cycle in the life of digital assets. BTC is limited, and the US government has issued more dollars this year than in the previous 200 years. The problem is that these dollars are not backed by economic activity, which means they will be overvalued relative to assets with a projected inflation curve. This makes it possible for Bitcoin to rise to $ 20,000 within a year, and in the long term to $ 100,000. “In the baseline scenario, Bitcoin will draw a new high in dollar terms. If the scenario of a premium in a limited asset against an inflationary background is realized, it will not be surprising to see the six-figure value of bitcoin, "Klumov predicted. United Traders analyst Fyodor Anashenkov also adheres to the position that the Fed's intention not to fight inflation above the previous target level can really have a positive effect on cryptocurrencies, primarily bitcoin. Investors fear that inflation may appear due to the Fed's actions, and they buy protective instruments or simply go into currency. However, the effect of inflation is unlikely to manifest itself immediately, so one should not expect serious movements in the BTC price until the end of the year. There is also a risk of small depreciation of the rate, as happened in early September against the backdrop of a downturn in the stock market. “Bitcoin is doing well in such conditions, although there may be short-term corrections, for example, as we saw recently (due to falling markets). Nobody knows how the US economy will behave when inflation is high. The last time it was there was in the 70s, nothing good happened. Although the effect will not appear immediately.