What is the outlook for cryptocurrencies in the coming year? By the end of 2022, the cryptocurrency market will have gradually improved from its dire situation. Investors should invest now since the bitcoin market is now going through a lot of events. But what will the state of the bitcoin market be in 2023?
Investors and industry professionals are eager to discover what 2023 has in store for them, though. Will the cost of Bitcoin keep increasing? Will the cryptocurrency industry have something interesting and new to offer? Let’s look at some of the most popular estimates for the price of cryptocurrencies in 2023.
Ethereum will outperform Bitcoin in terms of market value
The first 2023 crypto prediction is that Ethereum will perform the unimaginable and surpass the market value of Bitcoin, although for a very brief period of time.
Bitcoin has long reigned supreme among cryptocurrencies. Given the token cap of 21 million, investors have been encouraged to support a financial priority per token. However, Bitcoin falls short in terms of utility. The total number of Bitcoin trades each day has remained relatively consistent over the previous seven years, according to BitInfoCharts.com transaction statistics.
In contrast, Ethereum had 40,000 transactions daily in 2016, 700,000 in 2019, and has continuously over one million transactions per day for the last two years.
Whereas the Ether tokens may potentially be used to make payments, Ethereum’s true usefulness has been demonstrated as a platform for developing decentralised apps (dApps). According to TokenTerminal.com statistics, Ethereum outperforms all other projects in terms of dApp protocol income, earning $3.8 billion in the last 12-month period.
Dog-meme coins will split half their value
In 2021, Shiba Inu and Dogecoin emerged as the most prevalent cryptocurrencies. In the six months leading up to Elon Musk’s debut as the “Dogefather” on Saturday Night Live, Dogecoin increased by more than 20,000%. Between the stroke of midnight on January 1, 2021 and its all-time high on October 27, 2021, Shiba Inu gained more than 121,000,000%.
To start with, Shiba Inu and Dogecoin are simply payment currencies – and payment coins aren’t very noteworthy. If merchants accept digital currencies, thousands of them can be used to pay for goods and services.
Furthermore, neither Shiba Inu nor Dogecoin provide any sort of competitive edge or distinctiveness. While they may have strong social media presences, there is nothing substantial that distinguishes these tokens from other projects that provide real-world usefulness.
The fall of a major cryptocurrency
Another well-known bitcoin exchange is anticipated to fail in the upcoming year, which may surprise a few of you.
Even though the pieces of the puzzle are still being put together and everyone is deemed innocent until and unless proven guilty in a court of law, it looks that Sam Bankman-Fried, the creator of FTX, and his collaborators were responsible for one of the biggest financial scams in history. The collapse of LUNA-Terra, another promising currency, has also shocked the market as a whole. These are not isolated incidents, and in 2023, another significant cryptocurrency is predicted to crash.
DAOs and Gaming to the sky
Several analysts feel that cryptocurrency will be the future of gaming. The game has become much more realistic, with in-game items now having real-world monetary value. Due to blockchain technology’s ability to facilitate real-world non-fungible token transactions, the cryptocurrency gaming sector is worth billions of dollars (NFTs). Ember Sword, Star Atlas, and Bug Time are three well-known games that have been in production for a while and will be launched in 2023. The present bear market may bring an end to the decentralised autonomous organisations, or DAO, sector. DAO growth has increased as a result.
Bitcoin has been on a roller coaster since 2009, and with its meteoric rise over the last decade, many industry pros have questioned if the crypto market will experience a bull. Hopefully, these projections will help you make an investment decision.