Top Crypto Predictions for 2022: More Institutional Adoption, will memecoins Fizzle out?Crypto Opinions
Crypto Opinions :2021 has been an exciting year. Even as the world recovers from the effects of the COVID-19 pandemic, crypto assets have been posting exemplary results, minting millionaires and billionaires worldwide.
With Bitcoin, the most popular, many other cryptocurrencies are bursting onto the scene, partly because of the enormous returns that investors have been earning. Even still, in our crypto opinions Bitcoin the “old” pioneer coin has been performing exemplary, hitting an all-time high of $68k in H2 2021.
Concurrently, during this time, Bitcoin and cryptocurrencies across the board saw adoption. For example, El Salvador made history by making Bitcoin legal tender. Meanwhile, the SEC for the first time approved a Bitcoin Futures ETF–after many rejecting over 10 different applications since 2014.
While regulators and firms are finding a reason to embrace, even diversify into cryptocurrencies in 2021, there are nagging concerns that the rejection by China and increasing calls for climate preservation may present challenges in months and even years to come. Could these be punctures that will bog the adoption of Bitcoin and crypto despite the sphere showing its potential for all and sundry in 2021? Or better, will there be even more adoption and expansion in 2022?
This article explores the different possibilities on how crypto would likely pan out in 2022.
More Adoption of Crypto as the Mode of Payment in 2022
Other than the price which the crypto community can’t seem to look away from, cryptocurrencies are primers of platforms offering solutions to pain points. 2021 saw companies adopt cryptocurrencies in droves. In our crypto opinions the spur was El Salvador which approved Bitcoin, making it legal tender. There is MicroStrategy which said yes to Bitcoin, holding a massive chunk of the coin while Elon Musk couldn’t resist the rockets of Dogecoin–promising to accept DOGE in the next space mission in 2022. Recently, AMC Inc included DOGE as one of the entertainment company’s accepted payment methods. SHIB also found approval by BitPay.
With the precedence set, there is no limit as to how many businesses will adopt crypto for payments in 2020 for obvious reasons. Unlike fiat, crypto payments settle faster and are relatively cheaper and private.
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Crypto Opinions about Price Prediction for 2022
Crypto prices are known for their volatility. From $300 to around $5k, Ethereum outperformed Bitcoin whose prices soared from around $6k pre-COVID to a record $68k in 2021. Altcoins were also soaring with the prime example being meme coins like DOGE. With Elon Musk’s pumps, DOGE jumped from negligible value to $0.75 at peaks, thrusting the project as one of the most valuable in the space.
If 2021 is the base, what then does 2022 have to offer for crypto? Will it be another blissful round or a painful freeze like in 2018?
The Bitcoin brand is hard to dismiss even if there are environmental concerns. Its resilience shows with the sharp recovery of hash rate despite the ban from China. Adoption by companies, support of its derivatives by the U.S. SEC, and coupled with the coin’s interpretation as a store-of-value means it anchors the crypto market–directly impacting trajectory. Analysts are positive on Bitcoin’s prospects, expecting a quick turnaround from spot rates to $100k.
Ethereum is the home of DeFi, NFTs, and everything in between. Although it is activity dense and the second in the pecking order, analysts are confident of what lies ahead. Factoring in developments in scaling through Layer-2, continuous innovation, and the brand name of Ethereum, most expect ETH to outperform Bitcoin, even soaring to $10k in 2022.
ADA prices have been dumping down in recent days despite activating smart contracts. Still, Cardano is one of the most secure proof-of-stake networks with analysts convinced ADA is under-valued at spot rates. In 2021, ADAUSDT rallied to over $3, registering all-time highs. Even so, there could be more room for ADA to rise more so once dApps begin launching on its rails. While ADA may dump and trail Ethereum’s activity in 2022, its valuation may likely expand than dump. In that case, ADA may reach $5–even double digits if there is a mass migration to the staking platform.
DOGE only gained prominence because of hype, capitalizing on the memes of Elon Musk. However, this is not to say Dogecoin is worthless and designed for pumping like other aggressively-architectured memecoins. DOGE is worth billions but riding on Elon’s tailcoats. As things stand, if the hype dies, DOGE may suffer in 2022 and may not retest 2021 highs of around $0.75. In that case, due to the rapidly changing nature of cryptocurrencies, DOGE may remain under pressure in 2022.
Most crypto Crypto Opinions are bullish on leading digital assets. Bitcoin will remain the lead asset and flippening won’t happen in 2022 even if Ethereum finds even more widespread adoption. While Bitcoin might expand to $100k, altcoin gems like Cardano or Polkadot for instance might set the pace in 2022, cementing their position in the top-10. Meanwhile, the memecoin industry is fragile, depending on whether the hype will die down or even go viral, providing tailwinds for DOGE.
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Dalmas is a very active cryptocurrency content creator and highly regarded technical analyst. He’s passionate about blockchain technology and the futuristic potential of cryptocurrencies.