2018 was a tough time for many. We saw Bitcoin fall from highs of $20,000 to below $3500. Altcoins took an absolute hammering. Huge mining companies have suspended operations. We saw many Masternode coins lose over 98% of their value in a few months.
It’s been overall very brutal. Many Cryptocurrency investors have gone into Hodl mode. Others have used the downturn in the markets to learn how to trade themselves.
Despite all this 2019 has started on a relatively positive note. There’s a lot of optimism that 2019 is going to be a good year for Cryptocurrency. Let’s take a look at some of the things that may affect the Cryptocurrency markets this year
Predicting what is going to happen with bitcoin can be pretty tricky. While the charts can tell us a lot about the short term much more accurately they can also offer insight in the long term too. Historically Bitcoin runs in cycles.
Many believe that 2019 will see a return of a bullish cycle. Bitcoin has seen several crashes in the years since 2009 to varying degrees. These are often followed by periods of sustained growth. Could we be about to see the start of a new cycle of growth?
There’s a lot of figures flying around about the potential bitcoin can reach. I’ve seen people talking of over 50k by the end of this year. Is that likely?
The Bitcoin ETF’s:
Now there’s a few Bitcoin ETF’s (Exchange traded funds) that have been trying to get approval to open the floodgates to institutional investment. The VanEck-SolidX is the most notable among them recently having the decision on it deferred until February this year (you can read more on that here).
Many believe that this year will see them finally get the approval of the securities and exchange commission and open the door to huge investment from Wall Street. Many are expecting around the end of March to early April.
Could this be the spark that ignites the whole Crypto markets and sets us on our way to some new all-time highs? Will further rejections damage the potential for profit this year?
Who knows but many out there believe it’s the key to Cryptocurrencies success.
Like Bitcoin Altcoins have had to endure a torrid 2018. However, there is a lot of optimism for 2019. Over the last year attitudes towards Altcoins seemed to have changed. Many more investors are now seemingly carrying out a lot more due diligence. Most people are now looking for more than simply tag line and a fancy website. They want more coins that serve a purpose and offer something to the marketplace.
2019 is being touted to be alt season. There are some big expectations for huge gains in the Altcoins market. I understand why. There’s a lot of exciting things happening with Altcoins. Is 2019 the year some of them really take things to a whole new level?
Mining is still struggling but there are signs of life. The difficulty is slowly decreasing. However, it’s going to be a while before we see things getting back to normal. The cost of buying the hardware and running the machines is huge. While some coins aren’t very profitable for miners, the miners will always find a way.
Masternodes have probably been hit hardest in general over the last year. Especially lower down the pecking order for emerging coins. It’s going to be a long time before many node operators will even begin to contemplate selling their hauls but as the market overall improves it could very well drag the masternodes along with it. So if you’re a node operator just be patient.
What Are The Odds?
I like to be realistic. Cryptocurrency predictions can be tricky. There’s a lot of factors that can affect the market. There’s a lot of manipulation in the marketplace. There’s also a lot of things that could go very right for bitcoin and the Cryptocurrency markets in general.
That being said there’s a lot more eyes and institutional investment in the market these days. Even if all goes well with the ETF’s I think big moves being made too quickly make investors nervous.
I do think we will see Bitcoin and Altcoins grow significantly this year. However, I think there could be one or two pretty heavy drops before we start to see it happen. Also, I think growth will come much slower than we saw in previous bull markets.
I see us back around 18-22k at some point this year but I’m not buying into the talk of highs of 50 and 60k for bitcoin. Sorry to burst your bubbles. I just can’t see it. However, with what the market has lost over the last year people getting into Altcoins now are likely to bank some pretty impressive profits. Overall I sense it’ll be a better year for Altcoins than Bitcoin itself.
What are your thoughts? Drop them below.