The year 2022 was strange, to say the least, in the world of cryptocurrencies. On the first day of the year, the price of one BTC was $47,773 and it seemed as if it was going to be a great year for “hodlers.” It was like that until May, which is when a major dip in the BTC price happened. It plummeted all the way to $16.5k for the first time since 2020.
It wasn’t only bad news for Bitcoin enthusiasts, but for pretty much everyone involved with cryptos – Ethereum went from over $3k in April to just over $1k in the summer; Dogecoin dipped from 16 cents per unit in the early months of 2022 to just $0.053 in June.
The good news, however, is that some digital currencies have started showing signs of life again. People are once again enthusiastic about cryptos, hoping for a major bullish move in 2023. But what do we think is going to happen? Here are our top 5 bald cryptocurrency predictions for the new year.
#1 A Big Crypto Company Will Go Bust
In 2022, the world was shocked when the FTX crypto exchange went bust, prompting “hodlers” to start getting rid of their digital assets. As a result, a serious drop in the value of BTC and other cryptos followed.
Unfortunately, FTX wasn’t the only crypto company that went bankrupt, and we suspect a few more will go the same route in 2023. At least in the first half of the year, while the crypto winter is still ongoing.
#2 The Bitcoin Dominance Will Diminish
Bitcoin is the world’s most popular cryptocurrency and will probably stay that for a long time. However, being the most popular also means that BTC is the one that suffers the most when things go sideways in the crypto universe.
Another reason why we think Bitcoin’s dominance will diminish is that other coins will catch up with BTC. In fact, there are nearly 22,000 different cryptocurrencies in the world today, and some of them are (at least) as good as BTC. It’s only a matter of time before traders figure this out and start investing more in other coins.
#3 Monero (MNR) Will Continue Growing
One of the main reasons why Bitcoin became popular is that it used to be anonymous. However, in 2023, it’s practically impossible to buy BTC in the West without giving away your private information. The same goes for most other cryptocurrencies, but there are some that still keep the aura of anonymity.
Dubbed the privacy coin, Monero (MNR) is the only major digital currency whose users are anonymous by default. Senders and receivers of Monero, as well as the amount of every MNR transaction, are hidden, which makes Monero almost impossible to track.
#4 Dogecoin Won’t Do Great in 2023
Elon Musk is a polarizing figure, whose business/political moves have angered a lot of people in 2022. Some of them have started doing just the opposite of what the new owner of Twitter is recommending.
And knowing that he’s a proponent of Dogecoin, we could see DOGE owners getting rid of this crypto in 2023. Its price has already dipped by 88.9% from its all-time high in 2021, and we suspect it could plummet even more.
#5 BTC and Other Cryptos Will go Bullish in Q4
We believe the cryptocurrency world will resurrect in the later months of 2023, with the fourth quarter probably seeing BTC and other major cryptos enter a bullish period. By then, inflation should get lower, the energy crisis should be solved, and even Russia’s war on Ukraine could end. All those things are likely to do great for cryptos.
That said, we strongly believe BTC will go above $30k at the end of 2022, meaning that now might be the best time to buy and store Bitcoin and other cryptos (e.g., Ethereum or Monero).