These predictions cover various aspects of the cryptocurrency world, including market dynamics, technological advancements, and regulatory changes.
On December 7, 2023, asset manager VanEck shared, on social media platform X, a complete set of predictions for the cryptocurrency market in 2024.
The US Recession and Bitcoin ETFs: VanEck predicts the start of a US recession alongside the launch of the first Bitcoin spot ETFs, anticipating more than $2.4 billion to flow into these ETFs in the first quarter 2024, which will potentially strengthen the price of Bitcoin.
Impact of Bitcoin Halving: The company anticipates minimal market disruption due to the fourth Bitcoin halving in 2024, followed by an increase in the price of Bitcoin, which will especially benefit low-cost miners.
Bitcoin Price Rise: VanEck suggests Bitcoin could hit an all-time high in Q4 2024, driven by political developments and regulatory changes following the US presidential election.
Ethereum Market Position: VanEck doesn’t think Ethereum will outperform Bitcoin in 2024, but he expects it to outperform major tech stocks. However, Ethereum’s market share could be challenged by other smart contract platforms.
Ethereum Layer 2 Release EIP-4844: Following the implementation of EIP-4844, VanEck anticipates that Ethereum Layer 2 solutions will dominate EVM-compatible TVL and trading volume.
NFT Market Rebound: The company predicts a resurgence in NFT activity, reaching an all-time high, with Ethereum leading the way and Bitcoin gaining ground through the Ordinals protocol.
Change in spot trading leadership: VanEck expects Binance to lose its top position in spot trading, with platforms such as OKX, Bybit, Coinbase and Bitget vying for leadership.
Stablecoin Market Growth: According to VanEck, stablecoin market capitalization will reach new highs above $200 billion, with USDC reversing market share losses.
DEXs Hit Market Share Highs: The firm predicts that decentralized exchanges will hit all-time highs in spot trading market share, driven by fast blockchains like Solana.
Blockchain in Remittances: VanEck foresees an increase in the use of blockchain for remittances, and Bitcoin Staking on the Lightning Network offers yield opportunities.
Breakout in Blockchain Games: A blockchain game can surpass one million daily players, VanEck predicts, highlighting the potential for Immutable X to climb positions in market capitalization.
Solana Market Cap Rise: The company projects Solana to become one of the top 3 blockchains by market cap, TVL, and users, potentially surpassing Chainlink’s TVS.
DePin Network Adoption: VanEck anticipates increased adoption of networks such as Hivemapper and Helium, which offer cost-effective alternatives to traditional infrastructures.
New Accounting Standards and Corporate Cryptocurrency Holdings: VanEck suggests that new accounting standards will boost corporate cryptocurrency holdings, and Coinbase could report significant Layer 2 revenue.
KYC-compliant DeFi applications instead of non-KYC applications: The company expects KYC-compatible DeFi applications to outperform non-KYC ones, which could increase the value of the Uniswap token.
VanEck noted that the projections and opinions expressed in his thread are for illustrative purposes only, are valid as of the date of publication and are subject to change. He also mentioned that these opinions represent the VanEck authors and not necessarily the entire company or its employees.
VanEck emphasized that the thread is not a recommendation to buy or sell any of the assets mentioned and should not be considered an advisory for any investment-related actions.
By Leonardo Perez