Following the trail of institutions and big-time investors is wise to make profits in crypto. So called ’smart money’ will be where the future is. What will the future look like in crypto?
Disclaimer: This is education only, and not financial advice. Please, do your own research and consider what is best for your financial situation. Be careful friends.
Smart money is the capital that is being controlled by institutional investors, billionaires, central banks, funds, and other financial professionals. Companies and institutions and big-time investors employ the smartest people around to look into the future. No one really knows what the thrilling future of crypto exactly will look like, but there are a few signs.
We are amid the fourth industrial revolution, and this societal shift has in store great changes. In the next 5 years we can predict a further digitalization of things, business, and society. I see the following scenarios in the future:
1. A further digitalization of our existence will mean a dramatic increase in data. This data needs to be stored somewhere. So, investing in digital assets that store data is probably wise.
2. As more and more virtual land is bought by big brands, investing in the metaverse is also likely to be profitable.
3. Layer 1 protocols are also likely to blossom as thousands of dapps are being built on them. It is very likely that the biggest ones will survive the bear market.
4. The banking industry is looking at blockchains that can make cross border transactions more efficient, faster, and cheaper. They will also upgrade the way they do their business. Therefore, look for coins that are ready for iso 20022.
When we have a likely picture of the future, we can use the information to find crypto currencies that are involved in the development of society and business. We need a picture of the future to have a long-term mindset in investing.
My take on the current market:
October has the nickname pumptober, but this october is more likely to be mediocre or even red. Not even Bitcoin can withstand the vast array of negative macro-economic factors affecting the world. As Russia’s war on Ukraine drags on along with a looming recession it is difficult to predict crypto prices. Even crypto experts are guessing or just following their gut…
We are in a bear market and the price of crypto coins are likely to continue going down slightly or stay flat until the end of the year at least. Some predict that prices will continue being boring all through 2023. Boring meaning a slight upturn each month beginning in early 2023. The real action upward is likely not to start until April 2024.
Crypto has an index that measures what emotion and different sentiments are driving the market. The Fear & Greed Index is now showing ‘extreme fear’ among investors which may cause a strong selling pressure. Basically, investors are too worried to invest. However, those believing crypto regard ‘extreme fear’ as a buying signal.
Coins on my radar:
Bitcoin, Ethereum, Solana, Cardano, Filecoin, XRP, Algorand, Sandbox, Decentraland. But there are many more to consider.
Please consider the following rules in investing in crypto:
· Stay up to date with crypto news.
· Think long-term.
· Be ready to lose it all.
· Keep your money on cold storage.
Be careful. Not investing is wise. Investing after doing your own research is also wise.