For many, 2018 will stay in their minds as one of the most disappointing years for the crypto market. They had so many hopes for 2018 as experts predicted crypto prices to hit marks as high as $50,000. In contrast to the bloated predictions we had at the beginning of this year, crypto has failed to sustain its uptrend and prices have crashed to new lows.
Nonetheless, there were a lot of great things we learned in 2018 that will help the crypto space build a formidable market in 2019. And so, it begins, experts have started giving their take on the outlook of the market in 2019 and the prices they are expecting to see. Unlike many of these publications, we will only discuss factors that will have a say in the 2019’s crypto market trend.
The Introduction Of Bitcoin ETF
Bitcoin ETF is one of the most talked about topics in 2018 and the possibilities of having one directly influenced price movements at one point. However, these possibilities didn’t come to fruition and it would seem that our drive for a crypto ETF was futile. Despite the futility of the ETF movement in 2018, we got to learn several key things that indicate that 2019 will give us what we have always wanted.
Firstly, we got to know that the market is correcting itself and many of the issues limiting the establishment of an ETF were almost resolved. Also, there was an incident when there was a split in the decision of SEC to reject a Bitcoin ETF application. This is a hint that SEC is gradually having a change of heart and the watchdog will approve one sooner than we think.
The Mass Adoption Of Crypto By Institutional Investors
Like Bitcoin Etf, the mass adoption of crypto by institutional investors topped the trending topics in the crypto space in 2018. However, owing to the fact that SEC didn’t approve any of the many Bitcoin ETFs it assessed this year, institutional investors were unable to have much influence in the crypto market. Nonetheless, if the former emerges in 2019 the latter is bound to follow.
Although the majority of the crypto community believes that the influx of institutional investors in the crypto market will help in crypto’s pursuit for mainstream status, few crypto experts like Vitalik Buterin are quite skeptical about the future of the crypto market if the big guns come to play. Still, one thing is for sure, the explosion of institutional investors will greatly influence 2019’s market trend.
The Influx Of Decentralized Exchanges
Decentralization is the major talking point of crypto and many believe that it should serve as the global standard for conventional systems. In spite of this, the concept of decentralization is yet to live up to the hype and topple centralized exchanges that remain the powerhouse of the crypto market. In a lot of ways, decentralized exchanges promise to offer better features and services than the centralized ones. These include lesser transaction fees, the elimination of the middlemen factor, instant exchanges and a trustless network that depends on transparency.
The fact that developers of decentralized exchanges were unable to perfect the system stood as a limitation for the adoption of decentralized exchanges in 2019. The tremendous progress developers have made in the past few months, however promises to spur the mass adoption of decentralized exchanges in 2019.
The Influx Of Security Tokens
Security tokens are the latest trend in the crypto space and it will become bigger in 2019. The regulatory embargoes startups are facing in many regions of the world have influenced the categorization of some tokens as security tokens. Although it is trending, investors are still skeptical as they are yet to fully grasp its concept. Nonetheless, the explosion of educative publications on the topic will aid its mass adoption in 2019.
The Continuous Regulation Of ICO
ICO has come under scrutiny since the last bull run of the crypto market and in a way, it has helped clean up some unethical practices in the industry. We are aware that fraudsters take advantage of the unavailability global standards in the crypto space to introduce various sketchy projects which in turn have damaging effects on ICO. We expect that the regulatory mop-up of this industry will continue in 2019 and it will spur the explosion of legit projects that will help crypto attain mainstream acceptance.
The Resolve Of Blockchain’s Scalability Issues
One of the good things about 2018’s bearish market is that it helped developers focus on the more important things. One of these is the scalability issues that presently plague a number of blockchain projects. In particular, the numbers of joint projects focusing on this issue show the level of commitments of developers in getting rid of the roadblock. Breakthroughs in blockchain scalability are looking plausible in 2019.
2018 revealed the tenacity of the crypto market and its tendency to stand the test of time. Although the prices of crypto are not where we expected, 2018 has certainly established the crypto market as a major player in the global economy. The above-listed factors will further elevate its status in 2019 and they will determine the general outlook of the market.