A report conducted by the Royal Bank of Canada (RBC) has estimated that cryptocurrencies and blockchain technology could reach $10 trillion market capitalization. According to Mitch Steves and Amit Daryanani, we are experiencing the beginning of the cryptocurrency boom. The total cryptocurrency market capitalization has arrived at $769 billion dollars. One year ago it was $17 billion.
A Growing Cryptocurrency Market
The last year was one with an unexpected growth for cryptocurrencies. The market received an incredible support in 2017 from important and institutional investors. Big money is starting to arrive to the system and it will keep doing so during this year. For RBC Capital Markets analysts this is just the beginning.
“On a near-term basis we think it is quite difficult to make price statements which is why we are flagging the move now in the case that it sustains,” Steves and Daryanani wrote. “Longer term, we think cryptocurrencies are here to stay and will likely become a large market (our long-term estimate for the Cryptocurrency space is in the $10 trillion-dollar range versus $500 billion today).”
Cryptocurrency Mining on the Rising
Different companies have been making interesting profits because of this surge in mining. Companies like Nvidia, that produce GPUs, have received an incredible support from the markets. The interest in these cryptocurrencies has lead several individuals and enterprises to start mining some virtual currencies.
At the end of the last year, different cryptocurrencies grew at really high rates. Bitcoin, Ethereum, Ripple, Litecoin and other cryptocurrencies reached all time highs. The media played an important role to inform the population (and sometimes misinform) about these virtual currencies. Coinbase and other crypto exchanges were processing an incredible amount of new registered users.
The cryptocurrency market is heading towards $1 trillion dollars. If the market experiences just a fraction of the increase that it received the last year, we could reach five trillion dollars sooner than what most experts expect. Besides that, it is important to be cautious. Many alt-coins have been increasing in price and Bitcoin supremacy has been eroded. What will happen in the future is yet to be seen.
Image Source: news.bitcoin.com