Cryptocurrency trends for the future
Celebrating a decade, the Bitcoin the whitepaper has certainly inaugurated a revolution that many have hoped will succeed. The blockchain it is certainly a technology of the future that is challenging the homogeneity of central banks and many other financial institutions.
Cryptocurrencies are now trying to replace this centralized model with a more transparent form of distribution in which money has a fixed supply. Thus, it will make systemic manipulation much more difficult. While this is a great concept, the implementation has been notoriously difficult. After all, if the cost of technological progress is power, those at the top would naturally prefer this last one.
Many skeptics accuse this as the cause of the slow embrace of the criptos and even come to point their fingers at these institutions to design the current downward trend. While this could be a wild accusation, it certainly helps in the current financial configuration.
There is no doubt that the excesses of the market at the end of last year meant that valuations of many encrypted assets were enormously inflated. However, his biggest problem was the price bubble that was designed by people who were looking for a quick profit from this venture.
As speculation goes on, the hard truth is that the scrambled have lost more than 80 percent of their value. People who have kept the faith have learned more about this nascent industry, with "buidl" which means building and growing the blockchain ecosystem, being the new operative word.
Learn from the extraordinary year that was 2018
At the beginning of the year, many expected that the industry would explode, not implode. This year has certainly kept things interesting:
Success DApps: Many DApp expected to enter the market slowly before they could succeed. However, Tron made some exciting gains and convinced many developers to jump ships.
End of ICOs: With a bull run, there was a craze for ICOs that only cooled after the mid-year mark. Governments around the world have implemented regulation to curb the ubiquitous scammers, but have also made it more difficult for regular projects to take off.
Scalability problems: Just Bitcoin [BTC] gained traction, the enigma of scalability had to be addressed. This was duly done by the Lightning network [LN], with other criptos working on similar solutions.
Ease of transactionMultiple platforms like Cashapp and exchanges like Coinbase are making it easier for investors to buy bitcoins and other altcoins.
Trends not to be missed in 2019
2018 it was a year of the roller coaster with the price of Bitcoin, the flagship coin, becoming restless at most a day of slow movements. The strong downward trend was attributed to a number of factors. However, there is no clear cause and, as such, no magic solution to bring the industry back on track.
However, it might be useful to keep some things in mind:
Crypto trading trend: The year was like being in the wild west for traders. However, when the dust stabilized, those who made a good profit had kept those gains in Bitcoin, a cryptography that was not immune to market forces. Even those who cashed were heavily taxed on "capital gains".
With prices now much closer to their predicted values (estimated between $ 1600 and $ 2000) this kind of trading trends it will retire and while trading will continue it will be carried out when absolutely necessary. Therefore cryptic-fiat exchanges and vice-versa should become more common than crypto-cryptic exchanges.
Finally, institutional investors will play a bigger role once prices have stabilized. This will inject the much needed life in the market, but it will be limited to coins that have direct trade nodes.
Less fluctuation of the priceAs the industry matures, it will be established without question. This year was characterized by the extreme volatility of Bitcoin prices, which brought the entire industry into the storm.
Except for a sharp drop in November prices, it had been fairly constant for most of the second half of the year. It seems likely that this tread will continue as it is in the best interests of coins and investors. Indeed, stability will undoubtedly attract large institutional investors, which would have an impact on consolidating these gains.
The advent of institutional investments: Any industry needs financing to be profitable. While the scrambled had a total capitalization of over $ 700 billion at most, this was without money Institutional investors. As Morgan Creek CEO Anthony Pompliano explained, "Crypto investors ask how much can we do?" and institutional investors ask "how much can we lose ??" "
He continued to raise the most important concern for such investors by stating that "Most of the public utility funds in the space are not bankable by the institutions.No experience, no compliance obligations, no risk control, etc. It is not possible to exceed the due diligence and the size of the funds too small (some institutions write $ 50-100M min size of control). "
While it may take some time for institutions to feel comfortable, 2019 will introduce the Bakken Bitcoin Futures. This is hoped to be the door for Institutional investors and several financial products have been developed to meet this segment.
Market stability: This year saw many price fluctuations, some based on a voice. Traders have sold and purchased digital goods based on this news. However, the news may not be such an important factor for the new year.
This is mainly due to the fact that speculative operators have already lost too much in the last two months. Traders still aged with cryptography will be slower to trust and trade based on the items. Unexperienced traders are unlikely to come together or make important comedies. All these factors will help the market to stabilize.
No huge bull market: When the bull's run ended and the markets slowed, prices started to fall. Many expected prices stop at around $ 12,000. Soon support levels of $ 9k, $ 5k and even $ 3.5k were discontinued. While prices have been around $ 4000, the market continues to be prey to a bear market.
The recovery process is expected to start next year, however, a miraculous bull is not foreseen for December 2017.
More projects crashes2019 is expected to be the year that many encryption projects will be closed due to stricter legislation or lack of funds. When many projects were launched with pink sunglasses, during the peak of the criptos, they did not take into account the prolonged sentiment of the bear market. Although this will be a blessing as it will act as a natural selection and only those with sound design and appropriate business plans will come out of it.
The problem of scalability: While LN did well to solve BTC problems with scalability. speed and competing transactions are still a problem. For example, Ethereum is working on the Casper protocol to address this problem. However, it is likely that the crypts will need more time to find a concrete solution to this problem.
Support for national cryptocurrency: Countries are rapidly adopting a regulatory framework for encrypted ones. Nations like Russia and Venezuela they are rather eager to launch and adopt a state cryptocurrency, even if this has an external possibility, if it should happen, it will certainly trigger an upward race.
More security token: With a better regulatory framework, the interest in this sector will certainly flourish. Another reason could be the fact that unlike traditional tokens, where tokens are currency and are not supported by any participation in the issuing company. these tokens are.
Final thoughts
A new year should always bring renewed vigor and hope with it. 2019 should do the same for the cryptographic sphere. The accent will undoubtedly be on finding ways to rebuild the industry and help it get back on its feet first, thereby gaining back the evaluation it enjoyed at the start of this year.
This is easier said than done. Yet, after all fluctuations in the 2019 market, it should introduce more stability and therefore incrementally improve the evaluation of the crypto market. While no one expects prices to reach the highs of December 2017, there may always be some surprises. Changes to the mining process or the exclusive use of blockchain platforms, anything that could trigger wider adoption will be useful
In any case, if the new year is interesting or depressing, only time will tell.
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