2021 was a record year for the cryptocurrency industry in many ways. The total value of the cryptocurrency market in November reached an all-time high of $3 trillion. However, in January it fell by almost half. Many consider this to be the beginning of the crypto winter, others are optimistic and are waiting for a strong recovery. Meanwhile, to a large extent, demand is growing, and investors add this asset class to portfolios and use it for all kinds of transactions.
Experts in cooperation with the Binance exchange have prepared forecasts for the major cryptocurrencies for 2022. But do not take it as investment advice, it is only opinions, not guarantees.
Bitcoin (BTC)
Over the past few months, the bitcoin price has fallen more than 40% from its all-time high of $69,000 to $37,000. However, these sharp drops are not new to veteran BTC holders who witnessed the 2017 rally to $20,000 and the subsequent crash. (up to 4000).
Looking at the behavior of countries and companies, Bitcoin has every chance of a recovery even above the previous record high of 2021 - Microstrategy continues to buy at the bottom, and El Salvador continues to add BTC to its budget. Some experts have suggested that it could exceed $100,000, especially as financial institutions and powerful companies continue to add this asset to their investment portfolios.
Ethereum (ETH)
New entrants to the crypto industry joining in 2021 may know Ethereum better as a blockchain for DeFi and NFT. Along with the rest of the market, the price of ETH has fallen by 40% from $4,800 to around $2,500. Here too, we can give an example of 2017. Then ETH rose to $1,400, only to fall below $200 in the following months.
However, as the NFT space continues to grow and become mainstream, and Ethereum 2.0 looms on the horizon , as everything indicates a readiness to launch this cryptocurrency back to the peaks of 2021. It is believed that ETH will reach a five-digit value by 2025 and even exceed 20,000 dollar.
XRP Ledger (XRP)
XRP price surged over $1.8 before declining 65% to $0.73 today. And it's important to remember that XRP is still one of the few coins still in the top 10 four years after the ICO boom of 2017.
And right now, while Ripple is busy battling the SEC legally, XRP remains one of the most time-tested crypto assets in the world. In the XRP community, price expectations fluctuate wildly, with some believing that the cryptocurrency will stay below $5 until 2025, while others are convinced that it could break $10 and possibly approach $20 soon.
polygon (MATIC)
Until the end of 2020, MATIC 's cost was less than $0.03 on average, and at the intersection of 2021 and 2022 it was close to $3. However, after 30 days, the price of the cryptocurrency fell by almost 50%.
Polygon is the next generation of the blockchain , offering layer 2 scaling solutions that enable high throughput of transactions. As more users enter the crypto world, the need for Polygon solutions increases. Bullish investors believe that MATIC will reach $10 in the next five years and possibly exceed that number by the end of the 20s.
Cardano (ADA)
The price of the ADA rose to nearly $3 before dropping below $1 in early 2022. The year 2021 for the project was marked by the implementation of Alonso's hard fork and the introduction of several new solutions. However, none of these decisions generated any media hype, leaving Cardano fighting for his place at the top.
Most experts expect ADA to be under $5 in the next five years, and with the potential to reach $10. Others think it could drop to less than $1 over time if the ecosystem can't eventually propagate.
Litecoin (LTC)
In 2021, Litecoin slightly exceeded its 2017 highs, approaching $400. Since then, the rate has fallen by 75%, temporarily dropping below $100. Once known as "digital silver" (similar to "gold" - bitcoin), Litecoin has remained relatively quiet compared to its competitors. Despite this, the team is constantly working to improve the network to increase speed, reduce cost and make the blockchain more secure overall.
These updates make it an attractive platform for many users. However, there are no prerequisites for becoming a common network. A modest increase is expected over the next five years, with many proponents believing it will eventually be between $200 and $300.
Dogecoin (Doge)
What once started as a parody has quickly become one of the most important and valuable crypto assets in the world. And after hitting an all-time high of nearly $0.7 throughout 2021, DOGE has captured the minds of investors with its eye-catching dog mascot and Elon Musk endorsement .
The coin also shows no signs of stopping yet, although it is trading at 80% off all-time highs. With Tesla accepting it as a form of payment and Musk's regular tweets, many experts believe DOGE could eventually hack $1.
Shiba Inu (SHIB)
The price of SHIB also showed astronomical growth in 2021, rising to $0.00008, although it did not exceed Dogecoin. And it must be understood that at the beginning of 2021 its price was about 0.00000004 dollars. SHIB is emphasizing the relationship with Vitalik Buterin, to whom more than 410 trillion SHIB tokens have been sent, as a means of asset burning.
In turn, Vitalik donated a large amount to SHIB to fight the epidemic. Of which $100 million was recently returned to him. Given Vitalik's continued association with SHHIB, we can believe that the cryptocurrency will continue to rise throughout 2022 and beyond.
Binance Coin (BNB)
BNB has many uses inside and outside of Binance . In 2021, the price increased to nearly $700. However, it has since fallen more than 40% to below $400.
Regardless, it is important to understand that as the crypto market becomes mainstream, BNB will continue to play an important role for those looking to buy, sell and trade digital assets. The future of BNB looks good as its utility, as well as the overall industry, continues to expand. Experts also see that BNB has the potential to cross $1,000, and some are even convinced that it could cross $2,000 in the next five years.
Cryptocurrency predictions for 2022 and beyond
The “ cryptocurrency crash ” that started in 2022 is not a new phenomenon, the cryptocurrency market has experienced this before. It looks like the crash of 2018, but it is not entirely known yet whether we are at the start of another crypto winter or whether cryptocurrencies will recover quickly during this year.
Either way, mainstream adoption of cryptocurrencies seems increasingly likely in the coming years as blockchain technology continues to evolve and introduces new features. The overall demand for cryptocurrencies in the world will grow as people add this class of assets to their investment portfolios and buy them for transactions. Meanwhile, the overall market capitalization of the industry is ready to breach the 2021 cap ($3 trillion), BTC is well positioned to break through $100,000 and justify a digital gold address, and all the other crypto systems that will be essential to powering infrastructure and daily life will follow. the growth.
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