By almost every measure, 2021 was a record year for the crypto market and blockchain. At its peak in November 2021, the total cryptocurrency market capitalization will be close to $3 trillion. It’s hard to imagine that just two months later, the market cap plummeted by 40%, wiping more than $1.2 trillion off in the process. Depending on the market’s stability, there could be many opportunities for battered cryptocurrencies. So today, we will talk about what will happen to cryptocurrency in 2022 and beyond; let’s take a look!
Over the past few months, Bitcoin prices have fallen 41%, from an all-time high of $68,000 to below $40,000. However, such a sharp drop is nothing new for seasoned BTC holders, who saw prices soar to $20,000 in 2017 only to fall below $4,000 in the following year’s Dollar. With headlines like Microstrategy continuing to buy the dips and El Salvador continuing to build up their reserves, Bitcoin appears to be well-positioned to even rally above its pre-2021 highs. Several experts have weighed and suggested it could exceed $100,000, especially financial institutions, large corporations, and governments continue to add this asset to their balance sheets.
New entrants to the crypto space in 2021 are probably most familiar with NFT blockchains, where ether’s price dropped 40%, from $480 to below $3,000. As with Bitcoin, ETH holders present during the 2018 crypto winter remember that ETH rose to $1.40 in 2017 but fell below $200 in the following months. However, as NFTs continue to rise and become mainstream, and with Ethereum 2.0 on the horizon, many catalysts will push the chain back to 2021 heights. As a result, many believe ETH will reach five figures (over $10,000) by 2025, and some believe it could one day exceed $20,000.
In 2021, Litecoin slightly surpassed its 2017 highs near $400. Since then, the price of Litecoin has fallen by 75%, falling below $100 at one point. Once known as the silver of Bitcoin gold, Litecoin has remained relatively quiet compared to its peers. Still, the team has been continuously improving the network to increase speed, reduce costs, and make the blockchain more secure to attract more people. But as it turns out, it probably won’t be the platform of choice for most people. Nevertheless, moderate growth is expected over the next 5 years, and many proponents believe it will eventually trade between $200 and $300.
Antminer L7, as a newly listed LTC and DOGE dual miner, brings more crypton benefits to everyone.
DOGE hit an all-time high of nearly $0.70 in 2021, taking the mainstream market with its adorable mascot and support from Elon Musk. The coin shows no signs of stopping, even though it is now trading 80% below its all-time high. Due to Tesla’s recent acceptance as a payment method and Musk’s frequent tweets about the coin, many experts believe that DOGE could eventually top $1 when it enters the mainstream.
To not be overtaken by DOGE, SHIB’s price has also seen an astronomical rise in 2021, pushing its value to $0.00008 after seeing most of the token spend most of its time in the $0.00000004 range from 2021. Celebrities Vitalik Buterin once burned more than 410 trillion SHIB tokens. Vitalik has also donated a large amount of SHIB-denominated funds during the pandemic, of which $100 million was recently returned to him. With deals like this and Vitalik’s continued partnership with SHIB, we may see the cryptocurrency continue to climb in 2022 and beyond.
BNB has many use cases both inside and outside Binance. In 2021, BNB’s price climbed to nearly $700. However, it has fallen more than 40% to below $400. Nonetheless, it is essential to realize that BNB will continue to play an essential role for those looking to buy, sell, and trade cryptocurrencies as cryptocurrencies go mainstream. BNB can be used to settle transaction fees, travel expenses, loans, incentives, and more, and as its utility and the industry as a whole continue to expand, the future of BNB looks bright. Experts believe that BNB could top $1,000; some even think it could top $2,000 within five years.
Cryptocurrency predictions for 2022 and beyond
The “crypto crash” that started in early 2022 is something those who have been in the cryptocurrency space for a while have seen before. However, with some similarities to the 2018 crash, it remains to be seen whether the crypto world is currently at the start of another crypto winter or whether cryptocurrencies will rebound quickly later this year.
However, as blockchain technology and cryptocurrencies continue to evolve and offer new features, functions, and capabilities, mainstream currency adoption is increasingly likely in the coming years.
In such a world, the public demand for cryptocurrencies appears to rise as people add this new asset class to their portfolios and acquire them to support on-chain transactions. With this, the industry’s total market cap is on track to break its 2021 high of $3 trillion, and BTC is well-positioned to cross $100,000 and realize its vision of being digital gold, with all it needs to power critical infrastructure and power other cryptocurrencies. In addition, daily life will be pulled up with this growth.
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