Cryptocurrency market can dramatically change the state of things and grow higher than last year’s values. Experts believe that the past drop will be followed by rapid growth. According to their expectations, the capitalization of the cryptocurrency market will overtake last year’s rate of $1 trillion. Bitcoin prediction 2018 is $50.000.
The cryptocurrency has currently shown increased volatility. Bitcoin exchange rate for the first time since November fell below $7.000. However, some experts told CNBC that by the end of 2018 the total market cap will reach $ 1 trillion. And bitcoin prediction 2018 is $50.000.
“Increasing regulatory recognition of cryptocurrency exchanges, the entrance of institutional capital and major technology developments will contribute to the market’s rebound and push cryptocurrency prices to all new highs this year,” said Thomas Glucksmann, head of APAC business development at cryptocurrency exchange Gatecoin. “There is no reason why we couldn’t see bitcoin pushing $50,000 by December.”
According to Glaxmann, one of these technological projects is the Lightning Network. This project will allow users to significantly increase the speed of transactions by making them lightning fast.
“One possible appetizer for the bulls, or the catalyst for the recovery, will be the release of another cryptocurrency backed instrument listed on a major exchange. There are several candidates in the pipeline, it’s only a matter of time until we have a cryptocurrency backed ETF (exchange-traded fund).”
In 2017, the Chicago Mercantile Exchange and Chicago Board Options Exchange added to its lists the bitcoin futures. Adena Friedman, CEO of Nasdaq, said that the exchange will “continuing to investigate” cryptocurrency futures.
Now there is no bitcoin ETF or exchange-traded on cryptocurrency market. Such a fund monitors the price of assets and allow all users to trade without buying bitcoin on the exchange. The government has already rejected one project of a cryptocurrency exchange fund last year. Its creators are outstanding crypto investors, twins Cameron Winklevoss and Tyler Winklevoss – who founded the crypto exchange Gemini Trust.
Crypto Winter sell-off
The recent sell-off on the cryptocurrency market followed last year’s rally of many cryptocurrencies. Bitcoin jumped by almost 1300%, the Ethereum grew more than 8000%, and the Ripple increased more than 32000%. Despite the large-scale price increase, some experts predict an even more impressive rally for crypto assets this year.
Jamie Burke, CEO at Outlier Ventures said that soon the market will grow dramatically. Then it may lose some steam and begin to become the norm.
“We believe after February the market will likely go on a bull run comparative if not greater than last year potentially reaching the trillion-dollar mark before a proper crypto winter sets in where the market becomes more focused on proper market fundamentals,” said Burke.
“Utility Tokens” provide hope
Many analysts rightly point out that bitcoin, like the rest of the cryptocurrencies, does not have a fundamental value. However, some of them are sure that tokens like Ethereum are likely to become value. The market is constantly developing.
Some companies, like IOTA and NEO, are also trying to create their own blockchain platforms, open to third-party developers. These platforms will be provided by IOTA and NEO-tokens respectively. It’s exactly like Ethereum.
Mick Sherman, co-founder and executive director of Hercules Tech, said that these tokens are likely to be appreciated in 2018.
“Utility tokens and assets with a working platform and a clear-cut reason for requiring both a blockchain and their own token, are more likely to appreciate in value this year. Some of these cryptoassets will not be used for years, meaning they have no utility value,” said Sherman in his email to CNBC. He fears that during this time there may be a lot of “bubble” projects:
“The revolutionary nature of blockchain technology is what’s driving the hype and even though we may be years away from viable blockchain-based assets, we may very well see several more bubbles”.