The Crypto Market: Will It Continue To Decline This 2022?
People are predicting the trajectory of the cryptocurrency market based on historical parallels. In 2021, bitcoin’s share of the cryptocurrency market capitalization fell by half as a plethora of new crypto projects and non-fungible tokens flooded the market. While BTC started 2018 at $921, it ended it at $13,062 – representing a three-year-low – according to analysts from CryptoCompare.
During the so-called dotcom-bubble era from 1995–2002, internet firms such as Amazon saw a 95% decline in its stock price and was greatly harmed during the burst but still managed to survive and persevere. Like this season’s weed phase, some projects were hit but most will fall with time.
The 2000s dot.com crash saw an abundance of poor internet companies collapse, but several of those whose business models were successful enough to survive emerged from the collapse to become some of the world’s biggest companies by market capitalization. The hype surrounding internet firms attracted large inflows into the emerging sector during that time where a burst also occurred, leaving shareholders with losses reaching $5trn. Could history repeat itself?
Historially speaking, people are aware of cyclicality in the market where bull and bear runs repeat every four years after which comes another boom/bust cycle. Some projects will fall out with time as they are not useful but others who have proven themselves to be useful have made it through these periods before. This year may well reveal a similar pattern in the cryptocurrency market; however, there are also other factors to consider such as regulation and usage of digital assets.
There are some who started following cryptocurrency in its early days who still feel that same sense of feverish excitement. They talk about how it used to be so easy to mine bitcoin on an old computer, or how they got their first cryptotoken for free from a friend. There are also some who have felt the fear, uncertainty and doubt ( FUD ) spread by journalists as mainstream media scrambled to catch up with this strange new technology.
While some people were sad to see Bitcoin’s price drop below $10,000 again after December 2017’s unprecedented bull run, others were eager to take advantage of the low prices and buy more coins at discount prices. The market bounced back again. In just a few weeks, between April 1 and April 21st 2018, Bitcoin has been rallying from $6500 to over $8000.
However, the market is still very risky for investors, especially since there is no regulatory body that can take action should anything go wrong. This volatility could also be seen as an opportunity for savvy investors who are willing to look at other cryptocurrencies instead of just sticking with familiar names like Bitcoin or Ethereum .
One such cryptocurrency which shows great potential right now is Gifto ( GTO ), currently priced at $0.32 on Coin Market Cap .Gifto provides an easy way for content creators to monetize their work by creating virtual gifts for fans to buy – usually in the form of trendy emojis – which can then be sent to anyone on their social networks. This lets content creators build a following without being forced into advertising or sponsorship deals that may hamper the creation of high-quality content, while also letting fans support their favorite artists in a more personal way.
This cryptocurrency has been gaining popularity rapidly , and its price has increased from $0.05 when it launched on January 5th, 2018 all the way up to $0.31 as of April 21st . Gifto is currently listed on Binance and OKEx , two of the largest exchanges by trade volume, meaning there are plenty of ways you can buy this coin with either Bitcoin or Ethereum.
In terms of development progress, Gifto has been fairly active, and there is also a very high potential for growth. Also, this is one of the few cryptocurrencies which can claim to already be listed on an exchange ( Binance ), making it easier to invest.
Of course, Gifto does still have many of the risks as any cryptocurrency. But with its low price right now, you might want to consider investing in Gifto before it goes up .
That being said , only invest what you are willing to lose. Cryptocurrency is a volatile market – some coins go from $0.05 all the way up to $10 over a single year’s time frame. If you’re feeling adventurous and want to follow some more hot tips like this one check out our Telegram Tracker .