eth exchange rate forecast. Forecast of changes in the course and development of the Ethereum project
There has been an oversupply in the cryptocurrency market for a long time. That is why many experts predict a collapse, due to which only the most reliable digital money will remain on the market. Along with this, new cryptocurrencies appear every month. As a result, investors have to carefully analyze the digital coin market before making an investment. In this article, we will focus on how promising the NemXem currency is.
Today, in terms of capitalization, it is in the top ten. This phenomenon speaks of the constant infusion of funds into NemXem and the trust of users in this coin. That is why many analysts confidently predict a rise in the price of such a cryptocurrency. However, some of them argue that it will become the main currency in Asian countries in the foreseeable future. Other analysts do not make such serious predictions, however, they say that NemXem will be among those cryptocurrencies that will stand confidently on their feet. Both of these opinions speak in favor of investing in this type of digital coins.
Reasons for NemXem Price Increase
When analysts make a Nem Xem forecast for 2018, they rely on certain factors. We decided to voice the main reasons for the prospects of such a cryptocurrency in the future:
- Almost instantaneous transaction processing speed - about 20 seconds. Due to this, many companies can pay attention to this cryptocurrency in order to make quick transactions.
- Low commission. Its size is fixed and is 0.01%. This option is the most convenient, because it allows you to control costs by varying the amount of the transfer. In many other cryptocurrencies, a certain rate, for example, $5, acts as a commission, which does not change, even if only 50 cents are transferred.
- The chain technology was thoroughly tested on a private blockchain before the network was launched. It can process up to 4000 transactions in one second. If we compare such an indicator with the VISA system, where about 1600 operations can be performed per second, then it immediately becomes clear that the throughput of NemXem is very high.
- Cryptocurrency works on an open source, which excludes anonymity. This fact makes it relevant for integration into the financial systems of countries.
- NemXem is based on advanced POI and Eigentrast++ algorithms. Thanks to them, it was possible to create a unique type of cryptocurrency, which surpasses existing digital coins in many respects.
- The level of security increases in proportion to the amount of issued coins. How more money becomes online, the more reliable their storage is.
- Integration of the NemXem currency as a means of payment in the popular WeChat manager, which is already used by more than 900,000,000 people. Due to this, the demand for such a cryptocurrency will only grow.
- By the end of the year, the creators of NemXem will present an updated blockchain, it will be even faster and scalable.
- At the beginning of 2018 will be presented new map project, where development plans for 1-2 years will be announced, which will attract even more attention to this cryptocurrency.
NemXem forecast for 2018
There are many reasons why NemXem will increase in price in 2018. It is safe to say that its cost will increase at least 2-3 times. At the same time, some analysts predict a 10-fold increase in the price of NemXem, which is quite possible. Such a cryptocurrency has good prospects for development in the future. That is why you can invest your money in it now. Moreover, the cost of such coins is not so high that it will not require you to invest a lot of money in NemXem.
Today, the cryptocurrency market is in a state of real glut. In the wake of the popularity of Bitcoin, new cryptocurrencies began to appear one after another like mushrooms after rain. However, not all of them are destined to shoot and achieve popularity, the majority will remain just an extinct startup, unable to withstand fierce competition. In this regard, it is necessary to approach now very carefully and deliberately, carefully studying the investment object before giving your hard-earned money there.
If you want to make investments as safe and justified as possible, then it is better to pay attention to cryptocurrencies from the top ten of the capitalization rating. Big money and large investors are already behind these projects, which means that the risk of losing is significantly reduced compared to an unknown currency.
It is about the cryptocurrency, which has already managed to gain popularity and is firmly entrenched in the top ten best cryptocurrencies in the world, and we will talk today. The NEM cryptocurrency, which is also known by the name of its XEM exchange token, has proven itself well in the Asian market, managed to make noise among Japanese banks and recently took the sixth place in the capitalization rating. In this article, we will try to give a forecast for the XEM cryptocurrency, as well as talk about its most interesting features.
Features of NEM as a Cryptocurrency
To better understand what the NEM cryptocurrency forecasts are, first of all, you need to consider its history and features. Indeed, before investing even the most modest money in cryptocurrency, it would be absolutely useful to understand what exactly it is and what goals it pursues.
The abbreviation NEM means New Economic Movement, which translates into Russian as "new economic movement." We can say that NEM is a broader platform than just a cryptocurrency, the currency itself inside the platform is called XEM and has the same exchange token. The cryptocurrency was founded in 2015, and coins were released to the market in 2016. In total, at the launch of NEM, exactly nine billion XEM coins were created, which, in turn, were equally distributed among 1,500 initial investors according to the funding provided by each of them. NEM is built on , which is also used in many other cryptocurrencies, and due to the wide adoption of the currency in the Asian market, it is often called the “Asian blockchain”. Many people also think that programmers from Japan are behind the development of the cryptocurrency, but in fact, the NEM development team is international. It includes both Americans and representatives of many European countries, and the headquarters of the currency is located in Singapore.
In , which uses PoW and PoS (Proof of Work and Proof of Ownership) mechanisms to prove useful work, the Neem system uses a currently unique PoI, or “Proof of Importance” mechanism, which is supported by the Eigentrast ++ algorithm. The essence of the system is such that in order to confirm new transactions, the algorithm gives preference to those nodes that are the most active, which means that they are more reliable and more useful to the system than others.
There is no traditional mining in NEM, however, anyone who has ten thousand XEM coins on their account can become a node of the system. Previously, when one currency token cost about ten cents, it was very profitable, because, having invested only a thousand dollars, a person simultaneously invested for the future and opened up an opportunity for additional income. Now, the rising cost of NEM suggests that it is not so easy to connect to the network, since you will have to invest as much as fifteen thousand US dollars in the system.
Miners in the NEM system are originally called "harvesters", or, in other words, "collectors", and the mining process is called "harvesting", or "harvesting". Having expressed a desire and having ten thousand coins on your account, you become the holder of the node, while you do not need large computing power, an ordinary home computer will suffice, and not the most expensive one. The main condition is to have a stable Internet connection and be constantly online. By confirming transactions, you will receive a reward in the form of coins, but new coins are not generated in the system, but are taken from existing ones. Thus, XEM mining does not require a lot of electricity and does not lead to the emission of cryptocurrency. The more transactions you confirm, the more preference the algorithm gives to your node, thus the system encourages you to be devoted to Him, and you get more money for the same time spent online.
Although the NEM cryptocurrency works as a payment instrument and money transfers for individuals, however, the main goal of the creators in the development was to use it specifically in banking. NEM is already being used by many private banks in Japan, Malaysia and South Korea, and in mid-2017 the system was tested by a large trust bank NRI, which recognized the prospects of NEM cryptocurrency as an effective system for interbank transfers.
Platform Benefits
The NEM system has many technological advantages that distinguish it from many other cryptocurrencies. We propose to consider in detail the most notable of them in order to understand as well as possible why large investors and financial institutions around the world work with NEM, preferring it to other systems. It would be best to do this, in our opinion, in the form of a numbered list, in order to most clearly and concisely highlight the facts, while omitting everything superfluous.
Rate dynamics in 2017
At the beginning of its existence, the NEM cryptocurrency exchange rate was only five cents. The XEM exchange rate forecast assumed a cost in the region of ten cents, followed by a smooth increase. However, at the end of 2016, large Japanese banks became interested in the currency and the value of the coin increased by about five times. Throughout 2017, the rate fluctuated in the range of 20–30 cents per coin. The second jump in value occurred in the fall of the seventeenth year, when NEM signed a cooperation agreement with the large Japanese bank NRI. It became a signal to others financial institutions Japan and neighboring countries to support Nem, as a result of which the exchange rate soon first crossed the bar of fifty cents, and then approached as close as possible to one US dollar.
Also in 2017, it increased very much. If at the beginning of the year it was equal to two and a half billion US dollars, then closer to December, thanks to active investment, NEM managed to increase its capitalization to nine billion dollars and take ninth place in the ranking.
Prospects and growth drivers for NEM in 2018
At the very beginning of 2018, the value of the NEM cryptocurrency made its third sharp jump, having risen in price to the level of $1.8 per coin and increased its capitalization to $13.5 billion, which allowed NEM to bypass currencies such as Litecoin and IOTA, and confidently take sixth place. cryptocurrency rating. Now the course is slightly corrected and the cost has dropped to $1.5, but most experts believe that the prospects for the XEM cryptocurrency are very high, as the company has chosen the strategically correct course and this will undoubtedly lead to strengthening and then to an increase in the current value of the coin.
It is rather difficult to give an accurate forecast for 2018 of the NEM cryptocurrency, however, due to the success of the developer in attracting investments, we can make a bold assumption that by the end of the year the value of the coin is likely to approach two US dollars or even exceed this figure, if the cryptocurrency market will not experience global shocks.
Real technologies and investors stand behind NEM, not empty promotions and attempts to ride on the popularity of more eminent colleagues. NEM is steadily moving forward, and the main factors for its growth are:
The cryptocurrency market is bursting at the seams every day. Probably, only the lazy one does not know the word cryptocurrency, token, but when faced with reality, he understands that he is poorly versed in this topic, which can become rich and successful at one moment.
The NEM cryptocurrency in 2018 is a good start for a profitable investment, which just a couple of months ago had no prospects for steady growth.
The crypto asset marker is XEM.
At that time, the Japanese were the leaders of the cryptocurrency segment, and only other participants.
In Singapore, 6 desperate developers decided to do an all-in, which justified itself after some time.
Algorithms for NEM - a proven way of reliability
Each currency has its own unique meaning and no less interesting history.
interpretationNEMcan be literally translated as New Economic Movement.
The currency system itself is adapted on the Mosaics platform.
The developed algorithms for the functioning of the crypto asset are tied to the systems - POI and, additionally - Eigentrast ++, which are practically not used anywhere (recall, priority Cryptocurrency works mostly on algorithms and POW).
If you understand the essence of POS and POW enough, then POI and Eigentrast ++ will be a curiosity for you.
Below we will understand what the essence of all four algorithms is.
1 POS- the literal translation of this technology is "proof of stake", from the derived meaning. That is, the full operational security of a cryptocurrency account will depend on the quantitative indicator on users' crypto accounts.
4 Eigentrast++, a node reputation criterion. This algorithm takes into account the direct proportionality of the database for successful transactions.
Considering that the NEM user uses only the last two algorithms for work, it is automatically set by the node or node.
What is the work of the node, this is a constant mode of checking all transactions and full protection of all actions in the working network.
The role of the algorithm– POI distribution of active rewards between all nodes according to activity parameters, while taking into account computing power, as well as total amount wallet funds.
Eigentrast++ has a procedure that only works when nodes with a proven reputation work.
Banks trust XEM like no other
The predominant factors of the NEM cryptocurrency in 2018 include the requirements for mining coins in a smaller amount in the future - no more than 9 million coins.
Accordingly, the pluses can be attributed to the smaller.
The development team believes that there are prospects, and not bad ones at that.
Negotiations are underway with the financial sector of the economy different countries, where the world's leading banks are connected, which are ready to work directly with NEM crypto assets.
Very soon the banking sector will become a driver forXEM.
What's in store for NEM in 2018?
Experts' forecasts vary greatly about the growth of NEM in 2018.
The most optimistic forecast is $20, but most tend to believe that the real figures will be in the range of $5-10.
The total total capitalization changes almost every day. For example, let's take the latest data for January 2018.
On January 17, the total capitalization at 20 pm (Moscow time) was $6859016363.64, and on January 18 literally in 16 hours it was $10807865227.53. Over this timeNEMincreased from $0.76 to $1.2.
Growth continues, although there are moments of decline within 1 day.
Even these data allow us to state that the crypto-coin remains in the top 10 leaders, taking about 7th place.
Given these data, we can safely say that in the long term, XEM will continue to grow upwards.
Growth factors are obvious
From the foregoing, we can conclude that the NEM cryptocurrency will be one of the most promising according to two main parameters:
- Unique algorithms that are rarely used in the cryptocurrency asset environment.
- Connecting the banking sector to the promotion of NEM.
The last accent remains in the most difficult position, since.
China and the US are not going to implement any regulation in this direction at the moment.
Until now, many countries do not know which category to include crypto funds.
IN South Korea adopted cryptocurrency, but regulation became strict.
Despite this, South Koreans are actively participating in the system, even agreeing to undergo verification and identification, and mobile applications exceeded the popularity demand dozens of times compared to last year, where NEM occupies a worthy place in popularity and demand.
But cryptocurrency has come to change the world, so there is hardly anything now that can prevent this.
The NEM blockchain was founded in 2015, and it was far from the Japanese who had a hand in this event, as is commonly believed in the global cryptocurrency community. The base was located in Singapore, but the Americans and Europeans took up the development (in total, the team includes 6 developers). The name of the currency itself sounds like XEM.
Key Benefits of NEM
In order to understand the possibilities of NEM in 2018, it is necessary to have a competent understanding of it. First, the benefits will be explored. The main ones include:
- Fast transaction processing speed.
The average is 20 seconds.
- Low commission.
Is 0.01%. The developers took care of fixing it. So, if you turn to bitcoin, you can find that its commission is $ 2, while the system does not care what specific amount will be transferred - 10 thousand dollars or 20 cents.
— Proven technology with testing on a private blockchain.
About 3 thousand transactions can be easily processed per second (according to the developers, the maximum allowable number is 4 thousand). For comparison with conventional technologies, you can take the payment Visa system. Within its walls, about 1600 transactions are processed every second, which is half the throughput of NEM.
Why NEM could easily become the world's payment system
- The technology easily supports transaction processing.
By the way, even on Visa's top days, the maximum number of transactions stops at around 4 thousand, which is quite consistent with the capabilities of NEM.
— The system is open.
Unlike most cryptocurrencies, which are closed source, NEM provides all the necessary data. This means that there is no anonymity. This fact automatically puts cryptocurrency in the first place, as it is the most attractive in terms of integration into the financial systems of countries.
NEM completely erases the main fears (terrorism financing, the inability to track the turnover of funds), but at the same time retains favorable conditions for users, in the form of a small commission percentage, fast processing and independence. It turns out that if it becomes necessary to include cryptocurrency in financial system, it is NEM that will be the first candidate, regardless of the backlog in terms of capitalization.
- NEM has a limited number of coins and does not depend on mining.
The system really does not involve mining, however, you can earn money on this cryptocurrency (more on that later).
— The system is very flexible.
NEM can be easily integrated into any system and is compatible with all programming languages.
Features of working with NEM
It is noteworthy that the owners of the largest number of cryptocurrencies have more privileges. Developers carefully monitor the translations and activity of using their product. This is done solely for the purpose of promotion. Thus, the commission for the most active users is reduced, and NEM in return gets an excellent opportunity for natural distribution support.
In what areas NEM can be used
The work takes place according to the system, the translation of which roughly sounds like “smart assets”. Thanks to this development, NEM becomes incredibly ductile. It guarantees complete security in advance and allows you to simplify many areas as much as possible. It can be easily integrated into:
- - bookkeeping;
- - issuance of loans.
The ability to store data allows you to use it as a tool for voting and the like. Even informational support for the storage and confirmation of data on the transfer of ownership is not a problem.
The ability to self-program eliminates the involvement of a third party and additional costs.Curiously, NEM can be programmed to not be transmitted further. This function also allows you to protect it from unauthorized actions, or limit the range of use.
Earnings through NEM, or an alternative to mining
Cryptocurrency technology allows you to earn on it. So, the replacement of mining was honest work in the form of transaction processing. The bottom line is the same provision of capacities for processing the needs of the network, however, existing coins will be paid as a reward (a certain part of the commission).
Attention! To start working under this scheme, you need to have 10 thousand coins on your account. To obtain the right to vote, which opens up the possibility of participating in the future fate of the cryptocurrency, you will need an immodest account of 3 million coins.
It turns out that the more nems on the account, the more transactions were made, the more profitable the terms of use become. This move allowed the cryptocurrency to gain additional development power.
And what about the Japanese?!
Many users sincerely believe that a Japanese company became the founders of the project, but this is not so. The fact is that NEM managed to take the second place in popularity in Japan, losing only to bitcoin, and in this regard, many considered the assumptions about the origin to be very logical.
On the technical side, NEM does have support on the Japanese side. This currency is actively integrated into the financial system.
NEM Behavior
Behind recent months, NEM showed stability that won over most users. His schedule for several months is as follows:
A classic lateral movement that continued until recently. The accumulated energy poured into the beginning of active growth, thanks to which NEM jumped to the mark of 0.72.
It should be noted that the jump demonstrated high volatility, and, accordingly, an insufficient volume of cryptocurrency masses in the market.
The reason for such a rapid jump is the WeChat extension, which will become available for XEM transactions.
An additional reason for growth lies in the activities of the company Tech Bureau (the company that promotes NEM in the Japanese market). With their light hand, news about the creation of the Comsa platform, which will become the basis for the ICO, was announced. It would seem, but where does NEM?! The fact is that the platform will be built entirely on its protocol.
In any case, active development work, as well as beneficial friendship with the Tech Bureau, are invariable trump cards.
Big goals as the basis of success
The development and gradual implementation of the Catapult system has been a fundamental factor in expanding NEM offerings. "Catapult" is a system aimed at working with bank transfers. So, according to the developers, its use can significantly improve the current situation, since it is based on competent systematization and data protection.
The principle of operation will be to create private blockchains, thanks to which information will be clearly structured.
Background of NEM prospects in 2018
Now it is necessary to systematize the received information. The situation with NEM, in general terms, is as follows:
- - developers offer original innovative solutions, thanks to which NEM is increasingly attracting the attention of users;
- — Cryptocurrency is actively developing;
- - A positive user reaction to the introduction of new features and changes indicates a general mood conducive to growth.
Recall that Japan is one of the most progressive countries in terms of the use of cryptocurrency. So, after the forced legalization in the spring of 2017, cryptocurrency has become the most popular means of payment, which can be paid in most places.
The Japanese were among the first to appreciate the flexibility and convenience of the NEM functionality.
NEM and forecast for 2018
Users predict a truly bright future for this ambitious cryptocurrency. Many are convinced that the moment has come for active buying of NEM, as the price went into a correction with profit taking after another positive news.
In any case, working with cryptocurrencies involves a huge risk. In many ways, the reason is the increased volatility caused by insufficient volumes of masses in everyday life, as well as the fragmentation of application. Thus, rumors about upcoming problems (which may not even have backing) can easily provoke sharp drop cryptocurrencies. Yes, a correction will come after it, but you need to be prepared for sharp jumps.
Since, in light of recent events, NEM has shown a jump of more than 65%, at the current level of capitalization, in the future these figures will only grow. The application of classical analysis, from the point of view of considering the movement within the channel, becomes difficult. The reason is excessive fluctuations that do not allow you to determine the boundaries of the course.
Now all the attention of traders is focused on the correction, the completion of which will show the current level of NEM. Everyone is actively following the announced changes to the company, but one thing becomes clear - NEM stands out among its brethren in a striking way, and has already attracted enough attention to keep it on the lips.
Most analysts see NEM, after the jump, as a long-term candidate. It is noteworthy that it is often compared to ether (forked), and even given the title of "sleeping giant". In fact, both cryptocurrencies have much in common - a non-standard approach to solving many issues. However, it is NEM that still stands on the threshold of its glory.
Active growth is expected during 2018, which cannot be accurately predicted. Some analysts stop at around 20-30 dollars. In any case, the main thing is perspective, and NEM has it.
Thus, NEM is definitely worthy of attention. The absence of direct analogues, technical innovations, the ability to integrate into many systems and many other advantages make it one of the most promising cryptocurrencies in 2018. In addition, right now it demonstrates an excellent point for entering the market (a correction is being observed now, after which the price will continue its upward movement again).
Throughout 2017, Bitcoin was in the spotlight - pessimists constantly predicted a “bubble collapse”, but the cryptocurrency set new highs over and over again.
At its peak, the cost of BTC reached $20,000, which is 20 times more than the rate at the beginning of 2017. It was the growth rate of Bitcoin and other altcoins that made investments in cryptocurrency a real trend in 2017 and there is every chance that this trend will be next year will continue.
Today we will focus on Bitcoin, try to unravel its phenomenon and understand what awaits it in 2018 - a crash or another wave of growth.
All crypto money is not backed by real value, and Bitcoin is no exception to this rule. It is valued due to the trust of people and their belief that BTC tokens will grow in the future.
This leads to the fact that more and more people enter the crypto market, invest in bitcoin (such investors have not heard of other altcoins), and this pushes the crypt up.
All this resembles a self-sustaining chemical reaction, at the start it takes some effort to start it, but then it proceeds without human participation. The same with Bitcoin, in the early years of its existence, a limited number of people knew about it, everyone looked at the blockchain with caution. As the popularity of the crypt grew, so did the demand for it, at the moment it steadily exceeds supply.
Note that a relatively small traded volume of bitcoins is traded on the market. According to coinmarketcap.com, only 758229 BTC are circulating on the market per day, which is 4.5% of the total number of coins mined. This also affects the exchange rate, creating a shortage and not fully satisfying demand.
Is it possible to predict the exact price of Bitcoin for 2018
Not so long ago, an interesting study was conducted by James Fossett, a leading analyst at the Morgan Stanley holding. His team set out to find out what the real value of Bitcoin is. According to the results of the study, a document called “Bitcoin decrypted” was sent to the holding’s clients, and it contained an interesting section entirely devoted to the evaluation of cryptocurrency.
Fossett came to the following conclusions:
- Bitcoin cannot be considered a regular currency as it has no interest rate;
- it can be considered a payment network with serious scaling issues;
- despite its inapplicability in real life (the same gold is used, for example, in industry), investors still attribute some value to it.
As a result, analysts confirmed with their conclusions the point of view that the crypt is completely based on the trust of users and whether it can be used to evaluate any assets. By the way, this is true for any currency.
As for the forecast of the Bitcoin exchange rate for 2018, in theory, its value may fall to $0, this will happen if the technology is not in demand and BTC tokens cannot be used to pay for goods and services.
In practice, it is hard to believe in such a scenario, there were ups and downs in the history of the first cryptocurrency, but the complete collapse of Bitcoin is unlikely to wait. And the point here is not even in the cue ball itself, but in the fact that the blockchain turned out to be too attractive technology to refuse it.
Bitcoin forecast for January 2018
Cryptocurrency is very difficult to predict using standard methods; graphical and indicator analysis does not give much effect here. Extremely high volatility affects, as well as the sensitivity of the market to various kinds of rumors.
For example, here is the BTCUSD chart for January 2017. Everything looked normal and hardly anyone in the world could have imagined that after a couple of months the crypto market would start to feverish and Bitcoin would grow by leaps and bounds.
At the beginning of next year, there are no important events regarding Bitcoin. So the news background is calm and only loud statements from regulators (primarily Chinese) can greatly affect the crypto market. Well, traditionally - if a cue ball is legalized in any country, this will lead to its growth.
If we consider the optimistic scenario, then the task for the maximum for January 2018 is to gain a foothold above the $20,000 level. Under the pessimistic scenario, a return to the range of $7000-$8000 is likely.
The price was trading around this level until the Segwit2X hard fork that failed in November, after which another wave of Bitcoin growth began (not particularly supported by anything).
Bitcoin price in 2009
It is 2009 that is considered to be the date of birth of the cue ball, although the documentation on it was posted online at the end of 2008. At that time, it fully corresponded to the term "shitcoin" - translated from English. it means "junk coin". Bitcoin is worth next to nothing at the time.
It is not known what the rate was at the time of launch, the data has been preserved only since October 2009. Then on the New Liberty Standard for $1 you could buy 1309 BTC tokens.
Investing in cue ball in 2009 would have become the most effective investment in the history of mankind, investing a couple of tens of dollars then, you could become a dollar multimillionaire in just 8 years.
Period 2009-2011 can be called the formation of cryptocurrency, only in 2011 the cost of the cue ball equalized and after that serious fluctuations in its rate began to occur. Prior to this, the idea of digital money was treated as a fun experiment, nothing more.
Bitcoin price change over 5 years
Now let's take a closer look at the key events in the life of the first cryptocurrency over the past five years, it's interesting:
- 2012 - everything is relatively calm, the cue ball has not been able to gain a foothold above $15/1 BTC all year. During the year, the rate fell even to $2-$3 per 1 coin. By the end of the year, the situation began to improve, contributed to this by a positive news background - in Europe banking license got the first crypto-exchange;
- 2013 - the cost of the bitcoin increased by an order of magnitude and at the moment even exceeded $1000. The year turned out to be rich in events - here is another theft in the amount of over $100 million, and a sharp increase in the cost of military-technical cooperation against the backdrop of support from Zynga. In December, a huge impact of news on the Bitcoin rate was manifested, only against the backdrop of reports that China had closed the BTC China crypto exchange and Norway negatively assessed the prospect of using bitcoin, the rate fell below $500;
- 2014 - the year as a whole turned out to be difficult, there were problems with the implementation of transactions at a number of exchanges, there was a scandal with the Vice President of the Bitcoin Foundation. On the other hand, BTC China, which was previously closed, began to work again, and in Ireland, bitcoins began to be accepted as payment for goods and services. Throughout the year, there was a gradual decline in the value of Bitcoin, by the end of the year, 1 BTC was estimated at about $300;
- 2015 - set a couple of records for the number of funds raised by startups in Bitcoins. At the beginning of the year, over $75 million was collected by the Coinbase exchange, and later 21 Inc reported on the collected $116 million in BTC tokens. The number of members of the crypto community is growing, against this background, Bitcoin has broken downtrend last year and even tried to storm the $500/1 BTC mark;
- 2016 is a great year for Bitcoin, first in Japan the cue ball became the official means of payment, then Steam and Argentina's Uber began to accept payment in BTC tokens. There was also a negative, the hackers managed to overcome the protection of the Bitfinex exchanger and steal almost 120 thousand BTC from the accounts of the crypto exchange, at the exchange rate of that time it was the equivalent of $60 million. Despite this, by the end of the year, Bitcoin crept up to the level of $1000;
- 2017 is another good year for Bitcoin. An increase of almost 20 times compared to the rate for January 2017. There are also quite deep corrections, but each time they ended in reaching a new historical maximum.
If you look at the graph as a whole, you can see that the cost of BTC is growing exponentially. At an early stage of the project's existence, there was distrust on the part of newcomers to this field.
We note that such a sharp movement cannot last forever, so a protracted correction and a slowdown in growth remains likely next year.
How many Bitcoins are there and when will the last one be mined?
Bitcoin is positioned as a digital analogue of gold and it has some of the properties inherent in the yellow metal. One of these properties is the finiteness and complexity of production.
Just as the amount of gold in nature is limited, the number of Bitcoins cannot exceed 21 million coins. Such a restriction was created by the author himself at the stage of creating a cryptocurrency.
On coinmarketcap.com you can see how many coins have been mined in total. At the time of writing the review, the miners managed to get 16762925 BTC, that is, 79.86% of their total number. The mining process is designed in such a way that every 210,000 blocks the reward issued for the mined block is reduced.
The network even has an online clock showing how much time is left until the next halving of the reward. Given this feature of mining, it was estimated that the last block would be mined only by 2140. Mathematically, this can be expressed by the formula for the convergent series
in this formula:
- N is the number of BTC tokens that were mined before the first halving. Then for 1 block they gave 50 BTC, that is, then 10.5 million were mined;
- k is the number of a member in the series.
The power of bitcoin mining devices is constantly growing, in order to keep the mining speed constant (1 block is mined every 10 minutes), the complexity is also growing. Given the regular halving of the block reward, the growth rate of the number of bitcoins mined will also decrease. In fact, the number of 21 million BTC will not be reached, the maximum number of tokens will be 20999999.9769. Moreover, until 2036, miners will produce 99.2% of the designated emission maximum.
Theoretically, it is possible that super-powerful devices will appear that will break this scheme and mining will be completed earlier. But this hypothesis looks more like a fantastic scenario, this requires an increase in performance by orders of magnitude, it is unlikely that any of the manufacturers will allow this (not to mention the fact that it is technically difficult to implement).
Bitcoin outlook for 2018: rise or fall
You need to understand that in the case of cryptocurrency, the blockchain is more important than the tokens of this crypt. It is due to the fact that the blockchain began to be used in many areas of our lives and cryptocurrencies began to grow. Bitcoin is skimming the cream largely because it is the first successful crypto in the world, hence the increased attention and record capitalization.
As for the correction of the last days, nothing catastrophic has happened yet. It's just a correction for a sharp rise after the hard fork was cancelled. Then, on a wave of optimism, the cue ball soared to almost $20,000, now there is an understanding that there were no real drivers for growth.
The Bitcoin exchange rate forecast for 2018 is generally positive. Those pessimists who talk about the collapse of the bubble, the collapse of the pyramid and other apocalyptic scenarios are frankly cunning, focusing only on the fact that the crypt is not backed by anything.
In fact, you need to look at the issue more broadly, cryptocurrencies are taking away the monopoly on the issue of money from central banks, a literally new type of economy is being formed, more profitable for end consumers, but unprofitable for the Central Bank.
It is almost impossible to name a specific course. For example, the Winklevoss crypto billionaires expect a rate of at least $100,000 for 1 BTC. At the same time, another well-known person in the crypto community, Emil Oldenburg (founder of Bitcoin.com), sold all BTC tokens and preferred to invest in Bitcoin Cash.
Next year, it is likely that Bitcoin will be added as a payment method for goods on popular online platforms such as eBay or AliExpress. This would be a powerful support for the first cryptocurrency.
Conclusion
Most likely, in the next few years, we will see continued growth of Bitcoin. Perhaps it will not be so sharp and more extended in time, but it is difficult to imagine a scenario in which it would fall to zero.
And the point here is not only the hype and the ever-growing demand for it. It’s just that the prospects for using the blockchain have become visible to the naked eye, so cryptocurrencies are not going anywhere and Bitcoin is unlikely to collapse.
Note that risks remain in the form of a ban on the use of Bitcoin. If something similar is introduced in the EU, China, then the cryptocurrency will receive a serious blow. But so far there are no prerequisites for this, even in China, where the authorities do not treat crypto very well, to ban it on legislative level are not going to, rather they are looking for an opportunity for legalization.