A new report predicts an increase in the Bitcoin exchange rate (BTC) up to USD 2020 for 20, with fees up to USD 000.
In its annual report known as the State of Crypto, investment firm Blockchain Capital has compiled a list of 11 predictions for the new year, regarding BTC and cryptocurrencies.
- BTC could break its historic record of 20'089 USD.
- The number of Bitcoin transactions will increase, bringing payment commissions up to 100 USD, favoring their expansion.
- The minor cryptocurrencies could go through an unhappy moment and many of these will be excluded from the main trading squares.
- USD could see growth of over 300% in transaction value, issuance, market capitalization and trading volume. The report also reports that US dollar trade volume has already risen 954% this year. (Blockchain Capital is one of Circle's investors, which is behind USD).
- Decentralized finance (DeFi) is already widely spread, but the book value locked in DeFi for the next year is estimated to be around $ 5 billion.
- Traders active in the cryptocurrency business will need to keep up to date on issues of Know Your Customer (KYC) compliance and money laundering, and cope with regulatory pressures.
- Staying on the subject of regulations, the report predicts that the Financial Crimes Enforcement Network (FinCEN) and the Financial Action Task Force (FATF) will work to tighten the standards for digital money transfers over cash.
- Facebook's Libra could receive U.S. approval as part of a strategy to counter growing competition with China.
- Financial sector regulators could put the judiciary to the test, with an American federal judge likely to act against the Securities and Exchanges Commission (SEC) in a cryptocurrency case.
- Finally, the report's speakers say that a cryptocurrency company will be acquired for over $ 500 million, but that in 2020 there will be no network launch of proportions so large as to enter the top 10 list of the most influential networks.
- And it will also be a difficult year for John McAfee, a controversial entrepreneur and supporter of Bitcoin, who will lose his bet (1 million USD for BTC by the end of 2020) and will reduce his optimism.
Forecasts are often wrong
It is important to remember that another half-life of BTC will take place in 2020. And as the network is being consolidated, reserves will be affected, affecting taxes and likely increasing them, a fact that the authors may have considered when they made their forecasts for transaction fees.
Another point to keep in mind is that forecasts, especially those in the economic sector, are often wrong. Experts, companies and authors carry out their research based on certain data and observations, but the hypotheses on the future are only a small possibility among infinite others.