What’s the Prediction for Crypto for This Year?
Cryptocurrency has changed the way we think about financial transactions and investments, online and in the real world. But what do experts predict for the future of digital currency in 2021?
The past year has been a roller coaster for crypto markets, with many news stories questioning the legitimacy of the digital currency. Despite this, Bitcoin, the most popular digital currency, still remains a volatile, yet undoubtedly profitable investment. It has even seen massive gains throughout 2020, going from a low of around $7,000 in March to a high of nearly $28,000 in December.
But what will happen to the cryptocurrencies in 2021? Many experts believe Bitcoin will continue to experience volatility yet yield large returns for investors.
Rise of Altcoins
A plethora of “altcoins,” or alternative cryptocurrencies, have also emerged in recent years, allowing investors to diversify their portfolios even further. While many of these altcoins have been deemed extremely volatile, some have seen incredible successes, with Ethereum (ETH) prices soaring over 1,000% in the past year. Other altcoins, including Ripple (XRP), Litecoin (LTC), and Dash (DASH) are also gaining attention for their relative stability and potential for growth.
One of the biggest factors influencing the future of cryptocurrency is government regulation. Many governments, including the U.S. and EU, are beginning to recognize the potential of digital currencies and are now taking steps to regulate and protect investors from fraudulent activities. This could mean more stability in cryptocurrency markets and more widespread adoption among everyday consumers.
Overall, the prediction for the cryptocurrency market in 2021 looks promising. With more investors jumping in, prices should continue to rise and provide opportunities for profitable investments. However, as with all investments, investors should do their research and ensure they’re aware of all risks before getting involved.