Despite the pessimistic start and the large decrease in the price of bitcoin and other alt coin, there is still high probability that bitcoin is still going to thrive to a market cap of over $300billion. Bit coin started the year 2018 with a market cap of $224billion and currently at a market cap of $186billion.With this wide and obvious decrease in the price of bit coin which obviously affects other alt coin, 2018 still promises to become very successful for crypto investors. Why? Here we go
1 Scaling issues
The pressing issue that needs to be addressed in order for cryptocurrency to be adopted by the larger population is the issue of scaling and blockchain congestion on Bitcoin and Ethereum blockchain. More and more second-layer projects are coming up to solve the problems bitcoin faces — scalability and lack of liquidity. And this, in turn, can cause a significant spike in BTC. The lightening Network is the proposed solution to bit coin scalability problem and is currently under development. It makes use of an off-chain protocol and relies on Segwit.
2 Large scale and more legitimate ICOs
An ICO is a method whereby funds are raised with cryptocurrency like Ether or Bitcoin for Blockchain projects and companies absolute. More legitimate ICOs will lead to greater interest in ether and other alt coins, as we are already seeing with the billion-dollar ICO of Telegram and that of Kodak. That means we could see a rise in the market cap of Ethereum to $200 billion by the end of the year. The cryptocurrency price for ether could possibly double to $2,000 before the year runs out.
Contrary to the belief about regulations, Regulations will actually make cryptocurrency price to spike up. Many believe regulations hurt markets, but that is a short-sighted perspective. In the long run, companies require rules for the sake of legal stability and certainty. Jurisdictions regulate and clarify legal status of cryptocurrency, crypto market will become more stable and widely adopted, and thus, Regulation will give users and institutional clients the confidence to invest.
4 Crypto ATM and Debit Card
There is several start-ups Cryptocurrency company like Abjcoin who is set to launch the first cryptocurrency atm in Africa and there are other companies like that offers the use pos machines and debit cards for transactions. This means the number of users and merchants is set to increase sharply in 2018.
5 Institutional investors
It is estimated that $10 billion to $12 billion has so far flown into the crypto ecosystem, but that’s nothing compared to what institutional funds could invest. Since those first funds propped up the market to around $500 billion, the next $10 billion to $12billion, which is peanuts for some funds, could double the market cap this year.
Have a successful trading.