Crypto Market Prediction For 2018?
From relatively unknown to becoming the most talked about topic in the world, this has been the journey of cryptocurrencies this year. The crypto industry has grown tremendously this year, with both established investors and first time investors investing in the industry.
What lies ahead for them in 2018?
This is the question on everyone’s minds. Their fortunes this year cannot be used to help in predicting their future, though we can use it to draw inferences and see how the crypto market would be like next year.
Bitcoin (BTC) has led the pack this year, with its price growing from $1000 at the beginning of the year to $19,000 by the end of the year. This has drawn the attention of financial bodies across the world. As the year comes to an end, the price of bitcoin begins to plunge, with fatigue an obvious sign. The introduction of bitcoin futures on exchange platforms CME and CBOE have contributed to the pressure on bitcoin prices.
Factoring in this situations, 2018 is most likely going to see traders and investors focus on altcoins like ETH, LTC, IOTA, and Ripple (XRP). Analysts are of the view that altcoins would take center stage in 2018 while bitcoin stays in the background.
Altcoins had a good run this year, with the price of ethereum increasing by 100 times, they just didn’t get the attention that Bitcoin got. 2018 though will likely see investors paying more attention to altcoins as they begin searching for the next bitcoin.
Cryptos’ ethereum, ripple and IOTA are built on some strong fundamentals that make them different from bitcoin and other digital currencies. As more traders and investors are looking for ways to get value for their investments, these three cryptocurrencies are likely to be favored in the medium term, with signs already visible for all to see.
Regulatory bodies started turning their attention to cryptocurrencies this year. It is almost certain that they will pay more attention next year, with some regulations likely to be put in place. Central banks are tracking the developments of the digital coins. Their interest is broadened because of crime such as cyber-attacks, money laundering and others that are being committed using cryptos. Regulatory bodies will likely want to track and tax crypto investments and trades.
ICOs are being regulated now in countries like Japan, South Korea, Malaysia, US, Singapore and others. More countries will regulate them by next year while others would follow the path of China by banning them entirely.
If the market becomes regulated, then it is possible that sophisticated investors and traders would be ushered into the crypto market. Its maturity would be slow and steady after that. 2017 has been all about bitcoin and the rise in crypto prices. 2018 expects to be the year for altcoins and the growing regulation and maturing of the crypto market in general, steps that will lead to the crypto market accepted as one of the mainstream financial systems.