The market capitalization and fiat currency value of cryptocurrencies is never at any time static. This is why even the most professional analysts and experts would not easily predict trends in the cryptocurrency market. In 2017, bitcoin price per dollars in January was just $1000, in December of the same year, the value rose by more than 1,500% to $20,000
Some cryptocurrencies dwindled in market capitalization within a short period. Bitcoin gold, for example, fell by market capitalization $5.3 billion on the January 13th, 2017 to about $ 3.23billion on the 15 January.
Much of the present decrease in the value of cryptocurrency started with the decline of January 15, 2018. Some cryptocurrencies lost as much as 50% of their market value. We can compare this to what happened following the ban on Bitcoin payments in China in 2014. The market capitalization of Ethereum dropped from $125 billion straight down to $98 billion in just 48 hours from January 2018.
Ripple was one cryptocurrency that proved to be the next big name after rising from 0.03 in the second quarter of 2017 to about $1.5 in just 10 months. Ripple’s application of the blockchain technology to cross-border payments was quite innovative and garnered support from several banks on the international scene. Its transaction speed of just four seconds at most was also a game changer.
There are still strong positions against the genuineness of cryptocurrencies as assets or money. This is because there are no reasonable valuations for most cryptocurrencies. Cryptocurrencies run on the blockchain and mathematical cryptography secures activities on the blockchain. This uncertainty and the insanely volatile nature of cryptocurrencies led to futile attempts aimed at providing a theory that predicts cryptocurrency activities in the normal sense.
Much of cryptocurrency analysis is a discussion about ups and down. In the latter part of 2017, after the December 20 bitcoin bubble, South Korea government announced that it has taken steps to put a halt to the ongoing cryptocurrency mania in the country. This action alone resulted in a somewhat disastrous turnaround in the cryptocurrency market. Bitcoin, which has reached a historic $ 20,000 per coin as market value, went straight down to $14,000 in just one day. Iota and bitcoin cash users were the most hit by the blow on the crypto market. Each of these coins lost not less than 10% of their market value. Same happened this January 2018, with the same issues on South Korean Government Stand on Cryptos.
In 2017 alone, the market valuation for cryptocurrencies saw a stunning growth from about 18 billion at the start of the year. Of all cryptocurrencies available on the market, it is sure that some of these would go out of circulation. You may start to wonder why and how this is possible. The truth is that not all cryptocurrencies out there have real value when looked at from the ability to solve any existing problem. This is unique. The same holds true for ripple XRP and Omise GO or Cardano. The developers of these cryptocurrencies had shared plans and did a lot to ensure that they stand out in doing what they propose to do.
In 2017, Ripple was the world’s biggest winner in percentage gains among the most traded cryptocurrencies. NEM followed closely, while dash and Ethereum were margins above each other, leaving Litecoin at the fifth spot. That Bitcoin did not get the biggest gains despite its market capitalization and fiat money value goes a long way to explaining that potential uses and unique solution to problems might be the best predictor of a coin’s future.
At the time of writing this article, there is an encouraging surge in the value of all cryptocurrencies on the top 15 range of coinranking list. Cardano is the highest out there with 21.58% surge. This article can give you a good insight into the insanely volatile nature of the cryptocurrency market. Although, you should take this article with a pinch of salt, as further research would be best for serious business.
