Crypto Market Outlook and Investing Advice from Top Analysts

2021 was definitely a very big year for the crypto industry. But then what?

We’ve watched bitcoin multiply hit all-time high prices, heard regulatory talks that will have a massive impact on the crypto market, and even more investments from the world’s leading companies. Meanwhile, investor interest in cryptocurrency has skyrocketed this year. Cryptocurrency remains a hot topic not only among experienced investors but among newcomers to the industry, thanks to everyone from Elon Musk to that kid from your college who suddenly exploded as a crypto mogul.

“In many ways, 2021 was a huge advance due to the huge focus and interest on cryptocurrency,” says Dave Abner, CEO of global development at Gemini, a popular crypto exchange.

This time the book team for the mediation platform that offers Download mt5 for PC Try to see why Crypto will be of interest for the rest of 2021 and the coming years.

The status of the crypto market in 2021 and the regulation of cryptocurrency

Most cryptocurrency investors welcome clear regulations. Regulatory regulations are likely to be one of the massive loopholes in the global crypto market. Therefore, going forward, we may expect to continue talks about the finally regulated crypto market as lawmakers around the world seek to establish rules and guidelines to make cryptocurrency safe for investors and less tempting for cybercriminals.

However, regulations tend to come with hurdles. For example, China has declared all transactions in Cryptocurrency to be illegal nationwide, putting a decisive end to any cryptocurrency related operations within its borders.

In the US, things are looking less clear, although US companies and individual investors are operating without clear guidelines at the moment. However, Federal Reserve Chairman Jerome Powell recently indicated that he has no intention of banning Cryptocurrency in the US However, the recently proposed legislation would make it easier for the IRS to spot cases of tax evasion in connection with cryptocurrency. However, cryptocurrency investors should keep track of any significant gains or losses on their crypto assets. However, the new directives may make it more convenient for customers to properly report cryptocurrency transactions. And if the bill is passed, cryptocurrency exchanges will be required to issue 1099-B tax forms with cost basis information to their clients, which significantly reduces the burden of crypto tax filing.

Clear regulatory policy can also affect the price of Crypto in volatile markets. The point is that market volatility is precisely the reason why financial experts recommend limiting any investments in Crypto to less than 5% of your portfolio and avoid investing anything you are not OK with losing.

In the end, many experts were convinced that regulation is the right solution for the cryptocurrency industry. “Reasonable regulation is a win-win for everyone,” says Ben Weiss, co-founder and CEO of CoinFlip, a cryptocurrency buying platform. “It gives people more confidence in cryptocurrencies, but I think it’s something we have to take our time with, and we have to do it right.”

ETF Cryptocurrency Approval

We have already seen a breakthrough on this front, as the first Bitcoin ETF recently appeared on the New York Stock Exchange. It represents a completely new and more traditional way to invest in Cryptocurrency. The BITO Bitcoin ETF allows clients to buy Cryptocurrency directly from traditional investment brokerage platforms they are already subscribed to, such as Fidelity or Vanguard. The SEC has considered approval of the ETF several times over the past few years, yet BITO is the first to eventually receive approval.

It can be hard to know how many investors will go to BITO – the fund is still seeing dynamic trading in its first week. In general, the more accessible crypto assets are within the traditional investment products, the more people can invest in and influence the market. Thus, you can add Crypto to your wallet directly from the same brokerage platform instead of going through a cryptocurrency exchange to trade your digital assets.

However, some say that the BITO ETF may not be enough because the fund does not hold the cryptocurrency directly while it is pegged to Bitcoin. However, what it holds are Bitcoin futures contracts. Although these futures contracts follow the general trends of the actual bitcoin, experts say that they may not track the price of bitcoin directly. For now, investors have to wait for the ETF that will hold the bitcoin directly.

Furthermore, investing in a cryptocurrency ETF, such as BITO, is known to carry the same risks as any other crypto investment, being a volatile and speculative investment. So, if you don’t want to lose the money you put into Crypto, while buying on the exchange, you should probably stay away from putting it in a crypto fund. Before dealing with cryptocurrencies, carefully consider whether taking the risks of having cryptocurrency in your wallet is a good thing for you.

Best cryptocurrency market analysts to follow

To get a better perspective, here are some Crypto insights from popular personal financial influencers.

#1 Jeremy Schneider from the Personal Finance Club

Schneider has been familiar with the world of Cryptocurrency since the early days of Bitcoin. Today, he stands against allowing FOMO to pressure people into making their investment decisions, and he constantly reminds them of two key principles for building long-term wealth: live below your means and invest early and often.

Expert opinion: “Cryptocurrencies stand in stark contrast to the things I invest in: stocks, bonds, real estate. These asset classes are productive because they just pay me to own them. The longer I own them, the more money they produce, which I can reinvest to achieve this compound/exponential growth.” I see cryptocurrencies the same way I see commodities or currencies. As a store of value and a speculative bet that someone will pay more in the future. Historically, commodities and currencies have been crushed by productive assets.”

#2 Mark Russell from Betterwallet

Like some others, Russell warns cryptocurrency investors not to get caught up in the emotional rush of getting into Cryptocurrency without proper care. His philosophy as an investor is to stick to the basics and focus primarily on long-term strategies. However, Russell acknowledges that Crypto definitely has a place in a long-term plan. He recommends allocating 5% to 10% of your wallet to cryptocurrencies.

Expert opinion: “My best recommendation is to learn the basics before you start investing! People don’t understand the other side of the spectrum, you can make 50% on your investment, but you can also lose 50%. They think you either earn 50% or you earn 30%, and that’s It doesn’t work that way. But for those who are market educated and know what’s at risk, it’s an excellent way to diversify because it’s mostly unrelated to the stock market. And when you’re looking for something to diversify, it’s essential to understand what you’re looking for.”

#3 Kiana Daniel From Invest Diva

Danial began exploring the cryptocurrency markets in 2016, after making her first Cryptocurrency investment in late 2018. She now runs an Instagram account called InvestDiva, where she shares her thoughts on investment goals and Cryptocurrency buying.

Expert opinion: “Do you buy it because you want a lottery ticket to win a million dollars a year?” Daniel asks. If so, “You might like it Reconsider your investment strategy Because some people got lucky, but the majority got burns. But if you do your research and are OK with the risks, Daniel says it might make sense for investors who still have plenty of time before retirement to allocate up to 20% of their portfolio to Crypto. But please do not invest in cryptocurrencies based on trends on Twitter.”

#4 Humphrey Yang Humphrey Talks

Humphrey Yang gave his financial advice which went viral on YouTube and more recently on TikTok. Being a believer in index funds, Yang believes that Cryptocurrency is making a somewhat speculative investment. He recommends putting in 5% to 15% of your portfolio, an amount that he claims limits your exposure during times when the market is down. Yang also prefers to stick with two of the most popular cryptocurrencies at the moment.

Expert opinion: “I don’t really believe in a lot of altcoins. I prefer Bitcoin and Ethereum because they are the most stable and have the most history.”

Other coding influences you should check out:

#5 Notsofast

Having been around since the inception of Crypto, Notsofast brings an abundance of educational content and own commentary on Cryptocurrency through its YouTube and Twitter channel. He has become a prolific commentator on Bitcoin, Ethereum, and niche cryptocurrencies like Parkbyte, and is simultaneously an Altcoin miner.

#6 plan

If you are looking to follow a blockchain and crypto influencer who knows their stuff well, PlanB is your plan A. Cryptocurrency enthusiasts draw a lot from his two decades of experience as an institutional investment expert before moving to cryptocurrencies and switching to one. One of her most famous supporters. He also used to generalize the stock price prediction model to the flow of BTC, which proved to be really accurate.

#7 Fred Ehrsam

Ehrsam, who co-founded the largest cryptocurrency brokerage in the US, Coinbase, has turned his sights on cryptocurrency and blockchain more than a decade ago, and remains highly optimistic about Cryptocurrency’s future, stating, “We are only watching cryptocurrencies.” . start.” Like any other crypto influencer, Ehrsam is very active on Twitter.

If you are into technical analysis day trading, Josh Olswzewics aka CarpeNoctom is the one to follow on social media. Being a self-taught science trader, Olszewicz first stumbled upon a Crypto scientist by chance on Reddit, invested in his first cryptocurrency in 2013, and predicted that Bitcoin would be worth $33,000 by July of 2018. Josh is known to be posting related information. Relevancy related to current events, financial news and trading tips on his Twitter account.

Crypto Market Outlook 2022

While the cryptocurrency industry is still in its infancy and gradually evolving, it is somewhat difficult to predict where things will go in the long-term, but in the coming months, experts are following the path of regulation and institutional adoption of crypto payments to get a better sense of the market.

While it is impossible to make accurate predictions, we can speculate about the value of current cryptocurrencies that may be in store for crypto enthusiasts in the coming months (many of whom will certainly do so). However, the truth is that it is still an unsettled and speculative field, without much of the backstory on which predictions are based. Although it is important to keep yourself informed of what financial experts are saying, no one really knows for sure. That’s why you should only invest what you are prepared to lose, while sticking to more traditional investments to build wealth in the long run.

“If you were to wake up one morning and find that developed countries have banned cryptocurrencies and become worthless, will you be okay?” wonders Frederick Stanell, CFP with Lifewater Wealth Management in Atlanta, Georgia.

In any case, always make sure to keep your investments rational and never put investing in Crypto above any other financial goals of yours, such as paying off high-interest debt, keeping an emergency fund, or saving for retirement.

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