RE: Cryptocurrency Growth & Prediction Chart #27 Jan 26
Not sure about your optimism here.
Right now we're sitting at 550 billion, give or take. By your graph, you're estimating nearly 20 trillion before the end of 2018. That's more than a 3600% market cap increase in the next year!
The fastest growth we've seen recently was an increase of roughly 400% (200B to 800B) over the two month period between Nov 1, 2017 and Jan 1, 2018. If that sort of growth were sustained throughout the year, the market cap you're predicting is certainly plausible... But I'm not sure that such growth is likely.
What numbers are supporting that, and where do you foresee the growth? Are you expecting this to come in the form of new ICOs? Certainly I can see potential with big players considering crypto, such as Amazon, Alibaba, Apple, etc - or are you expecting to see most of the growth fueled by existing cryptos?
Answer: History. It looks incredible, but historically, this growth is nothing new. I've even put a conservative growth factor in place. The market is bearish right now. If it stays that way then we will not see those figures in that amount of time. If the market goes bullish, then it is very easily to obtain or exceed. The 3600% is a normal growth. the 400% is over a short period which happens to have a major correction.
What sells the concept for me is the simple fact I could ask anyone in my company about cryptocurrency a few months ago, and no-one knows about it. These are smart, educated people with money. Yet they have no clue what cryptocurrency is. In a matter of two months, that is starting to change. There is still has a massive untapped user base that just starting to learn about cryptocurrency.
Cryptocurrency doesn't grow like companies. Companies rely on sales, hiring, building facilities, obtaining contracts, logistics, etc. Cryptocurrency is just money. All it takes for it to grow is someone converts their hard earned cash to cryptocurrency. Cryptocurrency moves at a lightening pace.