Cryptocurrency Market Reviews 03 Jan '2022
Cryptocurrency market review for the previous week and predictions for this week:
The bitcoin market began to fall again in the preceding week. Finally, BTC was around 47000.00 (–7.4%), ETH was around 3725.00 (–9.6%), BNB was around 515.00 (–5.9%), USDT was around 1.0000 (–0.03%), and SOL was around 170.00 (–16.2 percent). By the conclusion of the week, the entire market capitalization had dropped to $2.214 trillion, with BTC’s share fluctuating about 40.3 percent.
The negative trend has no evident fundamental grounds, and numerous analysts believe it is the result of investors closing profitable positions following a weekly rise of digital currency quotes. Because market participants are on vacation for the holidays, this week has been rather quiet.
In general, the digital assets industry had a fantastic year: the overall market capitalization was approaching $3 trillion, and many cryptocurrencies had renewed their all-time highs. BTC has risen to 69000.00, while ETH has risen to 4800.00. In addition, Coinbase, the first significant cryptocurrency startup, went public in April, and ProShares launched the first Bitcoin futures ETF in October. Tesla Inc., a leading American company, accepted payment in “digital gold” for its products, but only momentarily. All of this has contributed to a wide range of institutional investors adopting cryptocurrencies.
However, the sector’s prospects appear to be bleak. According to several experts, the digital asset business will continue to rise in 2022, and BTC might reach $100000. The introduction of the first spot Bitcoin ETF fund, which is anticipated to be approved by the US Securities and Exchange Commission (SEC) next year, is expected to help to the surge in prices, according to Bloomberg’s top analysts. Some analysts, however, feel that the broad adoption of cryptocurrencies by the general public will push governments to impose strict controls on the business. Experts are already predicting a serious “bearish” trend, as the BTC market leader has dropped 30% of its value from November’s highs.
The pessimists admit that the first cryptocurrency’s price will fall to $10000, and such dynamics would surely have a detrimental impact on all altcoins’ positions.
Members of the cryptocurrency community and analysts take stock at the end of the year and make predictions for the coming year. Last week, Brad Garlinghouse, the CEO of Ripple, stated that the litigation that his business has been exposed to has had no effect on Ripple’s successful development, as the number of transactions utilizing XRP continues to rise rapidly. Japan and the United Arab Emirates have already implemented instant transfer systems. Then Ethereum co-founder Vitalik Buterin spoke about his future goals. He stated that he plans to switch to the new Ethereum 2.0 network, which will be based on the Proof-of-Stake algorithm and will be much more decentralized next year. Charles Hoskinson, the founder of Cardano, pledged to release an upgrade in February to modernize the work with Plutus smart contracts (the fork may take place in June). In addition, the firm intends to improve the conditions for the establishment and operation of Defi-protocols, including the launch of an electronic wallet to engage with the decentralized finance industry. In addition, Charles Hoskinson stated that the previous year was a positive one for the company because the network had roughly two million members and several thousand developers.