Cryptocurrency Predictions and Future Trends
June 12, 2020
Cryptocurrencies have been in existence since 2008, beginning from Bitcoin and leading to many other altcoins. Even though these new assets aimed to provide financial stability, the crypto market remains highly volatile.
Tim Draper is well known for his big predictions on Bitcoin. After predicting that Bitcoin will hit a price of $250,000 by the end of 2022, he further added that he is only underestimating Bitcoin’s market. Draper expressed that Bitcoin and AI have the potential to transform all industries, such as the banking sector as well.
In this article, we take a look at what we can expect from Bitcoin, Ethereum and Ripple in 2020 and beyond.
Bitcoin Market Overlook
The Bitcoin Halving took place on 12th May 2020, and we saw an instant drop in the price below $8,500. However, since then the price has slowly recovered to around $8,800.
A few days before the Halving, on 8th May, Bitcoin had surged to a high of $10K, the highest since February. Due to the global virus pandemic, the Bitcoin market was poorly affected, the price of 1 BTC had gone just below $5K, but the bullish pattern followed, and currently, Bitcoin is looking healthy and looking to break past $9,000.
Bitcoin also had a market cap of $178.26 billion, with a total of 18.38 million BTC in the market. Grayscale Q1 2020 report showed that approximately 88% of the investment into Bitcoin came from institutions, primarily through hedge funds . With increasing institutional investments, the price of Bitcoin should surge to new highs by Q3 of 2020.
Bitcoin Predictions from the Experts
A bitcoin investor and research analyst Tuur Demeester predicted that even with the Halving dropping the prices to a low of $4,000, the bullish pattern continued, and a price target of $50,000 – $100,000 does not seem insane. He also tweeted out saying that institutions will help to drive the price up as they rush to buy Bitcoin as a “land grab phase” .
Raoul Pal, the CEO of Global Macro Investor, released charts on May 8 that predicted Bitcoin would reach $40,000 and even $1 million. He used a log chart and standard deviation for his predictions of future Bitcoin prices .
Ethereum Market Outlook
Ethereum is at a market value of $203 at the time of writing this article, with a market cap of $22.62 billion and 111.09 million ETH in circulation. ETH is the second biggest cryptocurrency in the market right now.
Ethereum crossed the $270 by mid-February but saw a drop in prices in mid-March. But the bulls roared on, and the market has recovered ever since finding new resistance levels.
Ethereum 2.0 will be kicked off in the summer of 2020 and will go on for another year or two until three phases are complete. Here Ethereum 2.0 Staking involves locking up a certain amount of cryptocurrency in a wallet to participate in the staking of a blockchain for rewards .
Staking means validating blocks of the blockchain and earning rewards for it. In theory, anyone can stake a token, but practically a protocol will determine who can validate blocks and earn the rewards.
Ethereum worked on the proof-of-work concept and is switching to proof-of-stake, which is much more energy-efficient. It also leads to a more decentralized network. ETH has been following Bitcoin, and with Bitcoin reaching new highs, it also relates to altcoins reaching new highs and providing a chance to catch up.
Ethereum Prediction from the Experts
Alex Ohanian, the co-founder of Reddit, is highly positive about the Ethereum market. He expects ETH to have a value of $1,500. He even told Forbes that ETH is relatively new, and people are still building on it.
The CEO & Founder at Alchemist, Steven Nerayoff, who is known as the “architect of the ICO,” helped ETH to skyrocket in 2007, and he expects ETH to reach $3,000 soon. He bases this prediction on the reasoning that there is an exponential increase in the number of projects bringing billions of dollars to the ETH market.
Nigel Green, the CEO of deVere Group, one of the world’s leading independent international financial consultancy agencies, gave a future price prediction of $2,500 and could even go further in 2020. He backed his predictions with facts such as more platforms are using ETH as a form of trading, increased use of smart contracts, and decentralization of cloud computing.
Ripple Market Outlook
Ripple was at a high of $0.32 by mid-February, but the price dropped down to $0.14 by mid-March, likewise Ethereum and Bitcoin. But the prices stabilized since then, and they seem to follow a slight bullish pattern.
Ripple currently has a value of $0.19. The market cap sits at $8.62 billion with a total of 44.11 billion XRP in circulation. The recent 24-hour volume was 1.56 billion USD. There are chances of breaking the current support or resistance levels in the price drops or surges, respectively. If the bulls manage to push the price above the $0.20 mark, we can expect prices as high as $0.27 .
Ripple Prediction from the Experts
TechCrunch founder Michael Arrington said, “Ripple is a really, really good way to move money.” He even plans on changing his career path to focus on cryptocurrencies and related tech. He also opened a $100 million hedge fund denominated in XRP to show how high XRP can go.
Ashton Kutcher, who invested in Ripple through his venture capital firm Sound Ventures, was featured on Ellen Degeneres Show with his partner, where they talked about Ripple and its future. Kutcher said that Ripple is a platform to transfer money from account to account quickly. Millions watched this episode on the television, giving Ripple an extensive exposure.
The former US president, Bill Clinton, also shared positive thoughts on Ripple and the technology that backs up its cryptocurrency. He said that this cryptocurrency has the potential of being applied across the national borders and income groups.
A CryptoMaps Analyst, Craig Cole, claims that XRP could come out on top and beat Bitcoin to become the world’s leading cryptocurrency. The lower fees and faster transaction fees work in favour of XRP and have led to its increasing popularity. If Ripple grows to such an extent, the investors could see this as a potential opportunity, and further help grow XRP.
Ripple has the potential to become the first cryptocurrency to dethrone Bitcoin in the years ahead as it helps financial institutions save money and be more efficient in payment flows.
As we move into a Bitcoin bull run post-halving we will have to watch closely to see what predictions come to pass. While some appear to be outlandish in value, you have to remember where Bitcoin began. Back in 2019 you could purchase 1 BTC for twelve cents. Many had no idea what the price would eventuate too, back then they would have thought the predictions were inconceivable!