Things that look positive for cryptocurrencies

Although there were market adjustments in the cryptocurrency market in 2018, everyone agrees that the best is yet to come. There were many activities in the market that changed the tide for the better. With the right analysis and the right dose of optimism, anyone who has invested in the crypto market can earn millions from it. The cryptocurrency market is here to stay in the long run. Here in this article we give you five positive factors that can stimulate further innovation and market value of cryptocurrencies.

1. Innovation in scaling

Bitcoin is the first cryptocurrency on the market. It has the maximum number of users and the highest value. It dominates the entire value chain of the cryptocurrency system. However, it is not without problems. Its main obstacle is that it can only process six to seven transactions per second. By comparison, credit card transactions average several thousand per second. Obviously, there is room for improvement in the scaling of transactions. With the help of transactional networks at the top of blockchain technology, it is possible to increase the volume of transactions per second.

2. Legitimate ICOs

Although there are cryptocurrencies with a stable value on the market, newer coins are being created that are designed to serve a specific purpose. Coins like IOTA are designed to help the Internet of Things market exchange currencies for energy. Some coins address the issue of cybersecurity by providing encrypted digital vaults for storing money.

The new ICOs offer innovative solutions that disrupt the existing market and add new value to transactions. They also gain market credibility with their easy-to-use exchanges and reliable backend operations. They innovate both in terms of technology in terms of the use of specialized mining hardware and in terms of the financial market, giving more freedom and opportunities to investors in the stock market.

3. Clarity on regulation

In the current scenario, most governments study the impact of cryptocurrencies on society and how their benefits can be reaped for the community as a whole. We can expect that there may be reasonable conclusions based on the results of the research.

Few governments are already embarking on the path of legalizing and regulating crypto markets, like any other market. This will prevent ignorant retail investors from losing money and protect them from harm. Existing regulations that stimulate the growth of cryptocurrencies are expected to appear in 2018. This will potentially pave the way for widespread acceptance in the future

4. Increase the application

There is a huge enthusiasm for the application of blockchain technology in almost every industry. Some start-ups offer innovative solutions such as digital wallets, debit cards for cryptocurrencies and more. This will increase the number of traders who want to make transactions with cryptocurrencies, which in turn increases the number of users.

The reputation of crypto assets as a transaction tool will grow as more people trust this system. Although some start-ups may not survive, they will make a positive contribution to overall market health by creating competition and innovation.

5. Investments from financial institutions

Many international banks are watching the cryptocurrency scene. This can lead to institutional investors entering the market. The inflow of significant institutional investment will fuel the next phase of growth in crypto markets. It has captured the imagination of many banks and financial institutions.

As surprises and bottlenecks around cryptocurrencies diminish, there will be more absorption from traditional investors. This will lead to much of the dynamism and liquidity so necessary for all growing financial markets. The cryptocurrency will become the de facto currency for transactions worldwide.