What will happen to the cryptocurrency market in 2019

As the New Year approaches, cryptocurrency investors are increasingly thinking about what the upcoming 2019 will be. Almost the entire current year has passed under the bear claw unfavorable for cryptocurrencies. However, very much in the industry has changed for the better, and these changes laid a solid foundation for the development of the cryptocurrency market next year. What exactly waiting us in 2019?

The growing popularity of decentralized applications

Image result for decentralisation application
Picture from Chris McLoughlin

Decentralized applications (dApps) appeared at about the same time as smart contracts. They are based on a very interesting concept. It was originally planned to decentralize the financial system, but after a while, it became obvious that this concept could be applied to other areas. Applications are no exception.

A decentralized application (Dapp, dApp or DApp) is an application run by many users on a decentralized network with trustless protocols. They are designed to avoid any single point of failure. They typically have tokens to reward users for providing computing power.

Now, in order to influence the world, in most cases, they need to enlist the support and attention of users. One of the popular decentralized applications is CryptoKitties on the Ethereum platform. The application goal is to Collect and breed digital cats. Although such a game is unlikely to revolutionize the financial system (the task that was initially assigned to dApps), its idea attracted numerous developers to the industry. Active work on the decentralized applications is in progress, which continues to this day. Ethereum, NEO, EOS and other platforms began to fully support the development of dApps. The leader in this direction, of course, remains the Ethereum blockchain. In 2019, dApps will finally grow so much that the whole world will know about them.

Investors will move to decentralized (DEX) exchanges

Image result for dex exchanges

The main goal of the blockchain is universal decentralization. There are separate centralized digital currencies, but the vast majority of cryptocurrencies tend to decentralize. That is why the circulation of decentralized coins on centralized sites seems unnatural to many people.

The developers found a way out of the current paradoxical situation — decentralized cryptocurrency exchanges. WebSites of this type still suffer from low transaction verification speed, potentially high costs, etc. These and other problems are the reason that DEX currently own a rather limited market share in comparison to centralized exchanges dominate by a large margin. Even in its current state, DEX is much safer than the most secure centralized sites.

Cryptocurrency ETFs Approval

The ETF decision for cryptocurrency was to be made by the SEC in August 2018, but the Securities Commission decided to postpone the final decision by late September.

An ETF, or exchange-traded fund, is a marketable security that tracks a stock index, a commodity, bonds, or a basket of assets. Although similar in many ways, ETFs differ from mutual funds because shares trade like common stock on an exchange.

Bitcoin-ETF will become a bridge between cryptocurrencies and institutional investors. Companies will be able to help developing the industry without investing in cryptocurrencies themselves (which is considered risky). This is a win-win situation, which is why all public attention is directed to the SEC: the world is waiting for ETF decision.

Still, the SEC has explained all its rejections (not delays) for ETFs in a similar fashion. The main problem seems to be that the applicants are not meeting the requirements to “prevent fraudulent and manipulative acts and practices” on the market.

A single assessment method will ensure market stability.

Image result for how to value crypto

It’s no secret that people are suspicious to cryptocurrencies because of their obscure origin. Another important disadvantage is the lack of an understandable method of valuation, which allows correlation of the prices of digital currencies with their fundamental indicators. It is not surprising that in nowadays situation, the old school investors avoid cryptocurrencies: during their long career, they have seen enough scams. We believe in 2019, investors will find out the universal single method to way to assess the crypto value.

Investment tokens will come into use

People realized that smart contracts can be used to the different things and the popularity of ICO soared to the skies. In just one year, various cryptocurrency projects attracted more than $ 17 billion. Soon after, new kind of token appeared — investment token.

What is the difference between utility and investment tokens? Investment tokens are a fully legally transparent, representation of a share in various traditional assets. These include bonds, real estate, stocks, etc. Investment tokens, or securities, are aimed at a huge market, so interest in them is extremely high.

Thanks to the blockchain, investors can buy and sell them at any time of the day or night. Also, many are still afraid of the rapid development of the industry; others simply do not understand it. In 2019 the situation will change for the better. Investment tokens will come into use (which is what many crypto-enthusiasts dreams of).

HQ team wishes you all the best in the upcoming year! 
Watch your dreams coming true, see the results of your efforts! 
Let’s make 2019 a breakthrough together! 
Be happy :)

Do not hesitate to ask any question in our social media!

The following are links to know more and be updated about HyperQuant