For some years now, the future of money has changed from minting to digital currency. Today, so many people hold their assets in cryptocurrency and even effect purchases with cryptocurrency as a means of exchange.
Though more volatile than the traditional paper note, cryptocurrency has found its way into the hearts of many people. This is why there is so much talk about what the future holds for digital currency.
In this light, Nimrod Santo weighs in on what the future holds for cryptocurrency, especially in 2021. Nimrod Santo is a business developer, direct-response marketer and online entrepreneur.
He’s passionate about sharing his extensive marketing experiences to provide tips and insights to people. In this post, he weighs in with cryptocurrency predictions for 2021.
Bitcoin would Close Above $30 000 For 2021
Nimrod predicts that bitcoin can close 2021 with more than $30,000. Compared with the runup of 2020, this prediction might be conservative.
Nimrod, however, believes that prices aren’t supposed to be up forever. And, given the recent price trends, this prediction seems to be having some support.
Tax Enforcement for cryptocurrency would tighten
In the previous years, there have been numerous moves by the tax authorities. Though the goal has not been achieved, 2021 opens with a new chapter on how to tighten their efforts.
What makes this prediction more solid is that cryptocurrency had a runup in prices just last year. Due to this, it is believed that there’s revenue in it, and it is not expected that the tax authorities will slack.
Expansion of blockchain beyond financial services
Blockchain is expected to shoot beyond its current financial service availability. Blockchain will move into mainstream sectors like healthcare, transportation and be a common thing.
Though this might not happen all in 2021, considerable changes will, however, be made. So, in 2021, it is expected that not only financial services will enjoy the availability of blockchain.
Central bank digital currencies (CBDCs) would launch
There has been so much talk about a central bank for digital currencies, and 2021 seems to provide the opportunity for its launch. What seems to be left is when exactly this would be and what country would launch it first.
Asides from all these, there have been efforts globally for a coordinated and central bank. So, its launch is being awaited.
Stable coin would bolster
Talk about cryptocurrency, and it won’t be complete without bitcoin. But then, there is the fast rise of the stable coin, and it’s fast becoming an entry point for enlarged adoption.
Also, considering different market trends, stable coin will bolster in 2021. This would be possible given its market capitalization and how it has been serving as a bridge for incumbent payment processors.
Its wider utilization also seems to be a plus towards the realization of these predictions.
In all, cryptocurrencies are volatile currencies, and there are many things to consider before making a prediction. Nevertheless, based on the available evidence and market trends, the above predictions have been rightly made.
This, however, does not suggest total reliance on them, as it is often impossible to say what’s around the corner.
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