Cryptocurrencies in 2018

Although the truth is that no one can have absolute certainty of what can happen with Bitcoin or the emerging cryptocurrency market in this new year, we want to share some predictions collected in Zerohedge for this year.

The year 2017 has been characterized by the rise of the ICO's, the hard fork trend on Bitcoin's blockchain, the price of Bitcoin or the spectacular increase in the market cap of this new technological space, which has exceeded 700,000 million of dollars. And what will happen in 2018? Well, although nobody can know, Zerohedge are encouraged to make predictions that we quote below.

1. An important Exchange will be pirated

The Exchanges are an important part of this new ecosystem. In fact, they are among the first successful use models that have been generated thanks to the Blockchain technology. To the most veteran and settled, new alternatives are being joined, such as in Japan and Korea, which in many cases start from scratch.

 This proliferation and the need and knowledge necessary to ensure the security of the platform will place many of these businesses in the cross hairs of hackers. Many will be attacked and very likely that a major Exchange may succumb to one of these sophisticated attacks. And here an important reminder, if a user is not the owner of their private keys then they do not have control over their cryptocurrencies and may end up losing them.

2. The influence of the Exchanges will continue

Platforms capable of exchanging crypts for fiat currencies and vice versa are currently few in the US. They stand out, Coinbase, Gemini or Kraken and it will take time before new actors join these three examples cited. It is not easy to establish contact with the current US banking infrastructure.

 Hence, in this second prediction the accent is placed on the influence of these exchanges, especially in Coinbase. In any case, this 2018 will be an interesting year for exchanges and we are still surprised by the behavior of some of these who manage to be decentralized.

3. There will be futures in other cryptocurrencies, more sophisticated structures and we will see the ETFs in cryptocurrencies

The futures issued on Bitcoin was one of the news of this closing year 2017. And in the current year it is possible that, already open this vein, arise these same possibilities for other cryptocurrencies. Other financial instruments or the normalization of funds in cryptocurrencies could also be launched.

4. There will be a major correction in ALTSCOINS. What comes easy, easy goes, says the saying. Many users in cryptocurrencies have made large gains in tokens with little market depth and very illiquid. Many of these currencies are traded in small exchanges, with limited capacities. 

It is possible that a severe correction will come and that sellers will not find buyers will produce a huge correction in the price that could drag other altcoins to the same drift. To deal with a loss of, say, 85% steel nerves will be needed, as well as to re-invest and reposition positions.

5. The shadow of the regulator will be present

The manipulation suffered by this incipient market, examples of big purchases to launch the price of a token and subsequent sales, insider trading and other bad practices are actions that can push regulators to interfere in what is the first truly global market and accessible to everyone

6. We will see the first institutional investments.

The absence of actors and providers of traditional services in this new crypto-economy has kept many institutions and large funds out of cryptocurrencies. This situation could change with new regulatory measures or others that eliminate the current risks of the cryptosystem. In this sense, by 2018 we will have these new service providers, which emerged in 2017, with a sufficient track record to attract new institutional players.

7. Fund managers will have to provide added value

Last year, it was not uncommon for a fund manager in cryptocurrencies that bought and limited to hold positions to acquire large returns on their investments. This trend will change next year as markets continue to mature and gain efficiency. Then, the ability of these fund managers will have to prevail over the past buying and waiting trend.

8. We will see hypervolatility episodes due to futures maturities, option maturities and ETF rebalancing.

As these new financial products become more popular, their effect on market trends will be more pronounced. Even traditional stock markets experience high levels of volatility due to these scheduled events. This type of volatility will have a greater magnitude in the world of cryptocurrencies when futures and other derivatives expire or must be liquidated.

9. We will see brokers quibrar for the mismanagement of a derivative product.

A bad operation in this sense or a line of vulnerable code in this type of companies, inexperienced in the cryptocurrency trade, can ruin an entire office and bankrupt it.

10. The psychology of this market can be key.

Rumors spread in social networks, feelings of endless growth or favorable opinions within the community may have more travel in purchases than an analysis in the fundamentals of these cryptocurrencies.

11. A collapse in the withdrawal of fiat?

It could happen that, at some point, many users of cryptocurrencies want to sell their tokens and convert them into legal tender money. And that's where the exchanges that have this responsibility could have a bottleneck to meet the demand of their customers. Many have limited these operations to $ 100,000 per month. So the relatively easy feeling at the moment of exchanging crypts for money could be damaged

Regardless of whether any of these predictions come true or not, it seems that 2018 will be another vibrant year for the crypto universe, still very young and embryonic, global, fast-paced and working 24 hours a day, 7 days a week.

If you liked the post comment-upvote-sigueme- @ arpost