The industry has been wobbling throughout 2018. () is the best example to look to understand how the situation has been. At the start of 2018, was about $13,500 having gotten to a high of $19,783.06 by the end of 2017. Towards the end of 2018, was at $3,400, which was about a quarter of its value a year before. Other have been experiencing the same challenges with (ETH) going to a low of $91 by December 2018 having reached $1300 in the past.
Today, is on the rise, on a number of fronts and not in value only. Investors, institutions and corporate entities are gearing up to plug into the space through heavy cash inflow and integrations with the technology. If crypto gets floated in more exchanges, its reputation and value are most likely going to receive a major boost. However, there still is some fight to do in the crypto industry in 2019. It is a question of how the space will adapt and ensure survival.
Interest from Institutional Investors
Despite the evident decline in trade figures among individual investors on many fronts, institutions are getting into the game. Investors from an institutional setup are making bigger volumes than what individual investors have done in the past. This means that, even with few partners doing transactions in the space, the industry is still in a position to remain in operation.
Ideally, there are a number of significant developments believed to occur in 2019 that could have a significant impact on the participation of institutions in the market. If crypto gets floated in exchanges, its reputation and value are most likely going to receive a major boost.
Uncertainties
Crypto enthusiasts have for many years continued to pin for digital currency accessible to typical investors in the U.S. These have either been rejected by the U.S. Securities and Exchange Commission () or applications delayed by the same body waiting for decisions to be made in the future. VanEck is one of the common funds whose final approval decision has been taken to February 2019.
A number of analysts believe that mainstream approval may provide a huge blow to the industry, allowing entry to investors willing to take part in the industry investments without a number of risks associated with the directly. At the moment, VanEcK’s future remains uncertain and we can only wait in the hope that the approval will be made.
Progress made by Stablecoins
Stablecoins are digital attached to a fiat currency acting as hedging mechanisms provided against risks of a potential decline of the basic collateral prices. These appear to be the only hope of the industry in 2019. There is an anticipated growth of Stablecoins in the coming year because of the long-term instability of that are not centralized.
The leading Stablecoin, tether is currently facing stiff competition. Tether (USDT), having reached the mainstream early enough has gone through highly publicized growing challenges as the sub-industry continued to develop. At the moment, the other Stablecoins are getting into the space with the aim of dethroning it.
What’s certain about the Industry?
Currently, it may not be easy to tell which will experience a dramatic price increase in 2019. Even with all these uncertainties, the confidence built around in the past is not likely to go away that soon. The has found applications outside the industry. There will be efforts by regulators to see what ways they can facilitate control over the digital .
Final Thoughts
The industry is unlikely to go down despite the challenges realized on almost all fronts including unstable value among the digital currencies. The technology behind , is increasing in its use in many other ways with institutions coming on board. It may not be possible to say which currencies will gain value but at least, it is not all over for the industry.
Published at Mon, 22 Apr 2019 10:29:46 +0000
