Cryptocurrencies, once seen as the domain of innovators and speculators, are now transforming into key elements of the global financial system. Bitcoin, the flagship of the digital currency world, is on the verge of reaching a new record – $80,000 in 2024. But it’s not just Bitcoin that’s making waves. In the shadow of its rise, stablecoins – digital equivalents of traditional currencies – are preparing to take over the baton as leaders in payment processing, outpacing giants like Visa.
In the dynamically changing world of cryptocurrencies, forecasts for the future can be as volatile as the rates of digital currencies. Nevertheless, market experts from Bitwise, known for their in-depth analysis and research, point to 2024 as a turning point in the history of cryptocurrencies.
According to the latest forecasts from Bitwise, Bitcoin, the most recognizable of cryptocurrencies, is set on a growth trajectory to reach an impressive $80,000. Such predictions are not unfounded. Upcoming events, such as the first Bitcoin ETF on the spot market and the approaching halving (reduction of the bitcoin mining reward), are key catalysts that could significantly impact its value growth.
But it’s not just Bitcoin that’s in the spotlight. Stablecoins, representing the digital form of traditional currencies like the dollar or euro, are also gaining significance. Bitwise predicts that in 2024 these digital equivalents of fiat currencies will process more transactions than Visa – a payment giant that processed over $9 trillion in the third quarter of 2023.
The growing interest in stablecoins highlights the increasing demand for safe, online forms of currency, especially in light of global economic turmoil. Jeremy Allaire, CEO of Circle, points to an “enormous appetite for dollars on the internet” as a major driving force behind this trend.
It’s not just speculation. The actual numbers speak for themselves. Stablecoins, which were almost unknown just a few years ago, have reached a market capitalization of $137 billion. And forecasts suggest further growth, with the potential to reach a market capitalization of $200 billion by the end of 2024.
Another important player in the cryptocurrency scene in 2024 will be Ethereum, with a projected revenue increase of 100% to $5 billion. The introduction of the EIP-4484 upgrade, which could lower transaction costs to less than $0.01 on the main network, is also expected.
Finally, it’s also worth paying attention to traditional financial sector companies like Coinbase. Bitwise predicts significant revenue growth for them in the next year, which could far exceed Wall Street’s expectations.
In summary, 2024 is shaping up to be a period of significant transformation in the world of cryptocurrencies, with Bitcoin and stablecoins as the main players. Therefore, it’s worth closely watching the developing trends and being ready for the dynamic changes that will undoubtedly come.
