Since cryptocurrency entered the market, it has become the primary topic of interest. For information regarding the past and future trends of cryptocurrency, we will circumvent Bitcoin, as it is the most talked about and traded cryptocurrency on the online exchange platform.
First, you need to consider the rule of supply and demand of coins being traded in the market. Secondly, there is a group of people who are willing to do trading, either from coins to currency, coins to cash, or currency to coin, but in the end, the coin’s value must be determined by a value expressed in a certain currency. To sum it all up, when there is an increase in buying trend, the value of the coins goes up, and when there is an excess supply of coins or units in the market, the prices go down.
There will come a point in the future where you will need to factor in whales. In the trading market, whales have investors on a large scale to the extent they become opinion leaders. Their investment and expansion are exponential, creating a monopolistic environment to speculate the market by trading in large volumes.
Likewise, we can anticipate the phenomenon of crypto whales too. In short, we can see the trend of Bitcoin. On December 24, 2016, the value of one Bitcoin was $915.54, and on December 18, 2017, it was $18,919.27, with the highest touching $19,453.35 in the same month.
We can see the volatility of Bitcoin; however, as opposed to other cryptocurrencies, the trend has been rather stable with marginal growth.
With this new and innovative concept of cryptocurrency, various software programmers are developing a respective application, which will be made available to the coin owners via the internet and cellular communications technology. This digital currency will create a paradigm shift of paramount importance as one of the emerging products in the market. In the above section, we have discussed the scope of Bitcoin as a substitute for conventional currency. What is important is that in the future, we see the existence of cryptocurrency as an emerging player in the market, whether in the form of trading, investment, or inherent risk. If cryptocurrency comes under regulators’ policy, can it be a giant leap forward? Bitcoin will be a role model for designing virtual currencies within the dynamics of cryptography. A mechanism where an array of transactions is chained together in chronological order, also known as “Blockchain,” originates from Bitcoin’s system development, which provides technical expertise and security.
In the end, the outlook of cryptocurrency will be dividing the Bitcoin block by two. This will perhaps be the foremost happening and erratic era in the overall history of Bitcoin. The concept of block (set of transactions) reward-halving was built into the genetic structure of Bitcoin by its developer. In essence, its purpose is to make Bitcoin vulnerable to devaluation. Primarily it implies that the number of tokens of Bitcoin currently in circulation will be reduced. This is something inevitable to the fate of Bitcoin. So, in essence, it can be predicted over time, the value of Bitcoin will increase, and coins in circulation will decrease. However, it is also imperative to mention here (unlike conventional trading of shares in a stock exchange) that it will be a challenging task for the users of cryptocurrencies. They not only need to have the awareness and knowledge related to technology but also understand the mechanics of mining, exploit the opportunity in crisis (in the event of arbitrage), and be very cautious in trading crypto in the futures market. It is suggested that the portfolio mix should not be concentrated on one particular type of coin or tokens. Predominantly, the value of crypto behaves well as per the essence of a capital market as opposed to a commodity or money market. In other words, the future trend can lead to panic, but it does not mean an individual goes berserk. Stay calm, provided you have tailored your mindset as per the knowledge and become well-versed in all kinds of connotations.About Complete Controller® – America’s Bookkeeping Experts Complete Controller is the Nation’s Leader in virtual bookkeeping, providing service to businesses and households alike. Utilizing Complete Controller’s technology, clients gain access to a cloud platform where their QuickBooks™️ file, critical financial documents, and back-office tools are hosted in an efficient SSO environment. Complete Controller’s team of certified US-based accounting professionals provide bookkeeping, record storage, performance reporting, and controller services including training, cash-flow management, budgeting and forecasting, process and controls advisement, and bill-pay. With flat-rate service plans, Complete Controller is the most cost-effective expert accounting solution for business, family-office, trusts, and households of any size or complexity.