The future of the cryptocurrency market: from Bitcoin to DeFi projects

  1. Maximum Supply: this is a kind of guarantee that the increase of the demand will cause a rise in prices.
  2. The importance of the mining interest in a PoW system: today Bitcoin is a technological innovation with centralized power centers. The biggest miners deliberately follow a financial strategy; in which, they can constantly increase their interest on the market.
  1. Bitcoin will thrive, and the altcoins together will be able to move forward only to a small extent. Thereby, the market will be even more bipolar which means that the market cap of Bitcoin could be, in itself, multiple times bigger than all of the altcoins (this is already visible). The rise of Bitcoin shows that the corrections are making the altcoins proportionally weaker. In other words, even if the altcoins are getting stronger due to the rise of Bitcoin’s price, in reality, all altcoins are getting weaker. Of course, these numbers could be approached from different angles, but on the real value side, Bitcoin is the winner of the market growth. Obviously, this doesn’t mean that it is not possible to realize bigger profit with an altcoin or a token than with Bitcoin.
  2. Bitcoin will be knocked down in order to let the altcoins strengthen further; letting them catch up in their lagging. It would be wise to ask the miners about this idea. In my opinion, the tendency shall remain the same. In other words, everything will be on the rise, but the best will be Bitcoin. In short, I don’t think that this scenario shall occur.
  3. Starting from the logic of the previous point but with a totally different objective, it is also conceivable that even 25–30% of declines could happen with Bitcoin exactly for displacing the weaker ones. It is natural, but I think it is not imperative. The market has already gone through a great purification. The present DeFi projects are able to create a much bigger value than the ICO’s of 2017. Of course, DeFi’s also have weak points which were detailed in one of my previous articles.

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I have a master degree in Management. I am the Co-founder and Executive Manager of ILCoin Blockchain Project.

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Norbert Goffa

Norbert Goffa

I have a master degree in Management. I am the Co-founder and Executive Manager of ILCoin Blockchain Project.

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