Forecast for 2024
It is difficult to find a person who would not like to know the future. Not surprisingly, strategic decisions depend on our understanding of the future. It is especially important to understand trends when it comes to evaluating investments.
Forecasting key trends in the cryptocurrency market even 1 year in advance is a difficult task, since this market is very volatile, dynamic and influenced by various factors. However, several key trends can be identified that will further develop in 2024:
Arrival of institutional investors
In recent years, many major players have entered the crypto market, including such giants as Morgan Stanley, Goldman Sachs, BNY Mellon, MicroStrategy and many others. The interest of institutional investors is a reliable indicator that stability will come to the market and there will finally be less volatility.
But the arrival of institutions does not always look like something positive for crypto enthusiasts. For example, in November 2023, significant changes occurred in the cryptocurrency market that affected Binance, the largest crypto exchange in the world in terms of trading volume. Changpeng Zhao, the company’s founder and former chief executive, resigned and agreed to a $50 million fine for violating US anti-money laundering regulations. At the same time, Richard Teng, head of Binance’s regional markets and WEF man, became the new head of the company. This is a clear example of how institutions take the place of pioneers. Most likely, large funds, traditional finance and other representatives of financial monopolies will continue their expansion into the crypto market in 2024.
With growing interest from large investors and financial institutions, institutional investment in cryptocurrencies is expected to continue to grow in 2024. This can lead to increased market legitimacy and stability.
This event can be perceived in two ways. On the one hand, the arrival of major players on the market is another proof that crypto is with us seriously and for a long time. On the other hand, this means that the free reign on centralized crypto exchanges is ending and the market is being captured by monopolies. This is bad news for crypto-anarchists, as dreams of an independent financial system are moving further away from reality. However, for investors who like a slow and stable market, this is good news, as there will be less volatility and there will be a more certain legal framework.
CBDC
The abbreviation CBDC stands for central bank digital currencies. Although CBDCs are not cryptocurrencies, they are already influencing both the crypto market and the traditional monetary system. According to the Atlantic Council, 130 countries are currently exploring the possibility of implementing a CBDC.
Central banks and governments are realizing the potential benefits of a CBDC, such as tracking all transactions, reducing printing costs, and combating tax evasion and illegal activities. On the other hand, this further strengthens the monopoly of central banks and states on printing money, which increases the risks associated with uncontrolled emission, for example. It is safe to say that the number of states and central banks aiming to create their own CBDC will grow.
RWA trend
The abbreviation RWA stands for Real World Assets — which can be translated as “real world assets” — this can include both physical assets and financial assets from traditional finance — stocks and bonds, for example.
One of the most important events in the crypto market in recent years is the understanding of the prospects of tokenization of real assets. It is noteworthy that this trend gained strength not “from below”, but “from above”.
For example, in July 2023, the Avalanche Foundation announced the launch of a new program called Avalanche Vista, which provides up to $50 million to develop infrastructure for working with tokenized assets (RWA).
According to a Boston Consulting Group report from August 2022, the tokenized asset market is expected to reach between $4 trillion and $16 trillion by 2030. Celent’s 2022 study found that 91% of institutional investors expressed interest in investing in tokenized assets, including RWA. Larry Fink, CEO of Black Rock, a $10 trillion asset manager, stated that “Tokens Are “The Next Generation For Markets.”
The RWA trend turned out to be very favorable for our company — this was also reflected in the price of the token. Our marketplace specializes in tokenization of real assets, be it real estate, clothing, transport or even services.
We believe that the trend towards asset tokenization will only intensify in 2024 and this will have a beneficial effect on our platform.
Use our apps:
Barter Smartplace — trade real and digital assets for cryptocurrency.
Barter Wallet Bot — use free cryptocurrency transfers in Telegram and earn 22% per annum.
Subscribe to read our publications:
Join our crypto community — BRTR Holders:
