My Prediction of Where Crypto Money Will Go In 2021

1 44
Avatar for jamesmichelea
3 years ago

The year 2020 brought very good returns to crypto money investors, and we all experienced a year in which the growth in the crypto money markets was much more stable than in previous periods. Eyes now where is the crypto money going in 2021? at the question. If we briefly summarize the crypto currencies in 2020, Bitcoin saw the highest values ​​in its history at around 23,000 USD this December. However, the situation for cryptocurrencies was not always as stable as it was in 2020. Bitcoin reached its previous highest value at $ 19,703 in December 2017. However, its value dropped by up to a quarter afterwards, and we could only experience the recovery this year. So what will we be talking about in 2021? Let's examine it together.

First of all, as we enter 2020, the expectations were that institutional investors will increase their Bitcoin investments, while individual investors will increase their interest in altcoins. We have seen these expectations come true. While Bitcoin investments made by institutions such as Square, Stone Ridge Management, MicroStrategy and Grayscale brought a positive atmosphere to the market, the market size of altcoins increased. Apart from that, in the uncertainty during the pandemic period, individual investors increased their savings and turned to cryptocurrencies, which positively affected the cryptocurrency world.

So what awaits us in cryptocurrencies in 2021?

2021 seems to be a very active year for the cryptocurrency world like 2020. It is quite possible that we will have a year where governments will talk more about regulations, central banks will launch their own cryptocurrencies, and more institutional investors will turn to cryptocurrencies.

Regulation Expectations for 2021

As we know, cryptocurrencies are not regulated like traditional currencies, and uncertainty about how they will be controlled continues. 2020 has been a year in which administrations have given signals about regulations, and there are serious expectations in the market that more regulations will be implemented in 2021. On December 4, it was announced that studies were conducted on the regulation of Bitcoin and other cryptocurrencies on the US side and would be announced in a period of 6 to 8 weeks.

Will Central Banks Issue Their Own Cryptocurrencies?

The increasing interest in unmediated payments, the necessity of regulation for cryptocurrency markets and the global attention of Facebook's token Libra led central banks to consider issuing their own cryptocurrencies.

The Bank of China has come a long way in issuing its own national currency DCEP, acting quickly, and they are about to complete their testing process. In 2021, the central banks of South Korea and Japan announced that they will start piloting their digital currencies.

Will the Bitcoin ETF (Exchange Traded Fund) be approved?

Exchange traded funds, ie ETFs, are investment instruments that allow investors to enter a certain market without the risk of purchasing the asset itself.

So far, the applications of companies wishing to make Bitcoin ETFs available have been rejected by the SEC (The U.S. Securities and Exchange Commission) or suspended for future decision. The SEC cited this as a reason for the question marks regarding the reliability of cryptocurrency exchanges, as they are not regulated yet.

However, the process continues with the persistent applications of the companies, and regulations for the cryptocurrency markets have gradually started to appear on the horizon. It is quite possible that we will encounter a Bitcoin ETF in the near future. Some analysts think that the approval of bitcoin ETFs will make a great contribution to the digital currency world.

In this context, the price predicted by most analysts for Bitcoin is between $ 100,000 and $ 150,000, but my prediction will be a more realistic approach. This range is between $ 75,000 and $ 100,000. I hope we will all see this interval and profit from this business.

4
$ 3.31
$ 3.31 from @TheRandomRewarder
Avatar for jamesmichelea
3 years ago

Comments

Very informative

$ 0.00
3 years ago