In 2021, Bitcoin and most major cryptocurrencies hit all-time highs. This unprecedented boom has led some specialists to make somewhat overly optimistic predictions for the cryptocurrency market.
When the price of Bitcoin reached an all-time high of $ 69,000 in November 2021, the total market capitalization of the cryptocurrency market reached $ 3 trillion. A lightning-fast growth that has given rise to a lot of speculation and above all to very bold crypto forecasts.
However, 2022 has hidden many unpleasant surprises from investors. Macroeconomic uncertainty, inflation and interest rate hikes have hit the volatile cryptocurrency market hard. The bear market, which spared no cryptocurrencies and no market segment, killed any hope of recovery in 2022.
Here are some of the cryptocurrency predictions that are likely never to come true in 2022.
A $ 100,000 course for Bitcoin
In the third and fourth quarters of 2021, when Bitcoin was in the midst of a bullish rally, eventually reaching an all-time high of $ 69,000, very optimistic crypto predictions were made for the end of 2022. Some analysts even predicted a price of 100,000. $, or even $ 162,000 for the asset.
Since the beginning of the fourth quarter of 2022, the price of Bitcoin has struggled to cross the $ 20,000 mark. And so far, everything suggests that Satoshi Nakamoto’s cryptocurrency won’t go very far in the coming weeks.
Model Stock-to-flow (S2F) of Plan B predicted extremely high prices for Bitcoin: up to $ 100,000 in 2022 and $ 1 million by 2025!
The worst-case scenario, according to PlanB, was for BTC to close 2021 at a price of $ 135,000, a far cry from the $ 45,700 annual close the asset saw last year.
Likewise, the famous analyst Willy Woo he also predicted a Bitcoin price of $ 162,000 or even $ 200,000 by the end of 2021. Mr. Woo also believed the asset would never drop below the $ 50,000 mark.
However, after nearly a year of cryptocurrency winter, Mr. Woo has scaled back his cryptocurrency predictions. According to him, the $ 30,000 level is the new $ 100,000 for BTC.
No more bear markets
Last year, in an interview with the podcast host What Bitcoin DidMr. Woo stated that after the 2021 bullish cycle, there would be no bear market in cryptocurrencies and most likely the price of BTC will continue to fluctuate.
Unfortunately, Bitcoin’s price has dropped more than 70% from its all-time high. Furthermore, the current bear market is considered to be one of the most devastating in the history of the cryptocurrency market. In fact, most cryptocurrencies have suffered double-digit losses since their last record.
Ethereum will overtake Bitcoin
In 2021, when Bitcoin and Ethereum reached new all-time highs, ETH significantly outperformed BTC in terms of performance. Between October and November 2021, BTC posted gains of nearly 64%, while ETH was up more than 70%.
Prior to the launch of The Merge update in September 2022, the cryptocurrency market was expecting the price of ETH to skyrocket, outperforming BTC once again. This prediction, just like other crypto predictions, did not come true. So far, Ethereum continues to follow in Bitcoin’s footsteps.
Currently, both ETH and BTC have negative short and long term ROIs. The annual return on investment of Ether amounts to -65.48%, while that of Bitcoin does not exceed -68.30%.
USDC will overtake USDT and become the largest stablecoin on the market
When its market cap hit $ 55 billion, USDC was at the center of all the speculation. Some have even predicted that the latter will surpass the USDT to become the largest stablecoin in the world.
So far, however, USDT remains the first stablecoin on the market and the third largest cryptocurrency by market capitalization. Currently, the market capitalization of USDT is $ 68.43 billion, while that of USDC does not exceed $ 44.99 billion.
Even though USDC lags far behind USDT in terms of market share, the stablecoin maintains its second position in the stablecoin ranking.
The memecoins and metaverse tokens will explode
Memecoins like Dogecoin (DOGE) and Shiba Inu (SHIB) have been in the news throughout 2021, mainly due to the flurry of speculation unleashed by Elon Musk. Native tokens from metaverse projects, such as ApeCoin (APE) and Decentraland (MANA), have also generated unprecedented excitement.
Metaverse token prices rose sharply towards the end of 2021, while memecoins such as DOGE and SHIB recorded huge gains in the third quarter of 2021. This year, however, cryptocurrency investors have moved away from these tokens and moved away. targeting the largest cryptocurrencies on the market.
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