Recently, there has been a lot of speculation about crypto assets, Bitcoin, the future of crypto investments, and whether or not they have any future. Ian King seeks to offer answers to these questions, and talk about why he thinks that the height of the crypto market has yet to be reached.
Crypto Assets Continue to Diversify as the Market Grows
The diversification of the crypto market has shown most prominently in the growth of Bitcoin and Ethereum. While Bitcoin continues to see massive gains, Ethereum has begun to massively outpace it, making gains of more than 12,000 percent over one year, compared to 1,400 percent on Bitcoin’s end. Additionally, well over 1,000 new blockchain-based projects have cropped up in recent years, a far cry from when Bitcoin wasn’t just the top dog, but the only dog. Bitcoin currently only holds about a third of the market share, with Ethereum now taking the top spot.
This diversification is both good and bad for investors. It makes investments riskier, as assets are more volatile, and you have a much lower chance of investing in a unicorn, but, it’s also good, in that it helps to stabilize the market, and create a competitive incentive for innovation. With crypto now being looked into for real-world applications, and Wall Street investors finally arriving at the party, the crypto market is no longer simply a libertarian pipe dream, but a legitimate investment platform with the potential for real-world applications. However, while crypto assets may be revolutionary, they’re also dangerously volatile, especially right now, and the market has yet to mature.
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— Ian King (@IanKingGuru) January 9, 2018
Could the “Crypto Bubble” End Crypto Assets?
There’s been a lot of discussion and speculation about the “crypto bubble” and the risk it presents to investors. However, King believes that there’s still a chance to capitalize on this meteoric growth, noting that it still has yet to reach anywhere near the same height as the dot-com bubble that happened in the late 90s. In addition, much like the dot-com bubble, the crypto bubble of recent years may cause significant market turbulence and could crash an untold number of useless altcoins, but there will also be the Googles and the Amazons of the crypto world, which will stand out among the rest, and continue to steadily gain value, representing stable investment opportunities as the fledgeling market solidifies.
So, while your Glassblower Coins, Backgammon Coins, Zimbabwe Coins, and Jesus Coins may not make it through the crash, crypto assets such as Ether, Ripple, and perhaps even Bitcoin could represent a brighter future, not only for the crypto market but the financial industry as a whole. Learn more:https://iankingguru.com/