2019 is coming to an end, it has been a positive year for cryptocurrencies, in particular for bitcoin which closes this year with a performance that is in any case higher than 100%, a little less positive year for the altcoins that have instead suffered the exuberance of BTC by accumulating losses paired with this currency. Leaving aside what is the analysis of the current year we want to focus instead on what will be the market trend in 2020 and to do so we decided to take inspiration from an article published on the official ripple blog in which future market scenarios are analyzed for the next year. In the article in question it is possible to read that:
Looking ahead, we believe that 2020 will reveal new technologies and applications for digital resources that will lead to significant and tangible changes in a wide range of sectors. In particular, we expect that three main themes will develop in this first year of the new decade which will lead to a more mainstream embrace of digital resources
According to ripple, therefore, one of the themes that will favor the mass adoption of cryptocurrencies during the 1920s will be the birth of a consumer financial products market that will take advantage of blockchain technology to establish itself; in practice, while to date the small savers remained excluded from some financial instruments over the next ten years we will witness a radical change in this sense, with the cryptocurrencies that will make it possible for everyone to resort to certain instruments that, up to now, had remained the preserve of a restricted financial elite. The other aspect that will guide market growth and the transition to what we at ValuteVirtuali are used to call "crypto-economy" concerns the flow of liquidity by institutional investors, including banks clearly; according to Breanne Madigan, head of global institutional markets at ripple, the entry of large institutional investors into the cryptocurrency market will help build confidence around this eco-system, promoting growth and generating mass adoption of virtual currencies such as means of payment. Brad Garlinghouse, CEO of ripple, has an even more bullish view of the evolution that the market will have in the next ten years, according to him, in fact, at least half of the top 20 largest banks in the world will hold and actively trade digital assets in 2020; Garlinghouse, then, goes even further by claiming that next year will mark the epochal transition from FIAT currencies to digital CBDCs, a trend that we at ValuteVirtuali have also had the opportunity to highlight over the past few months. The last aspect that the article published by ripple highlights as the engine of a fundamental push for market growth concerns the consolidation of companies active in the sector; this consolidation will take place through the natural selection of the various projects in circulation.
As regards, for example, exchanges, the need to invest in security, compliance and regulatory adjustments will cut out small exchange platforms, which will bring out more solid projects allowing them to consolidate and grow further; the same trend will concern altcoins, moreover Garlinghouse himself has recently declared that he believes that a good 90% of the cryptocurrencies currently in circulation is destined to fail. As the coins that do not have a real use case behind them or a sufficiently large community will begin to become extinct, the more solid projects will have the opportunity to further grow and consolidate, thus attracting more liquidity and emptying the most interesting projects of interest and trust. little ones; in short, in a certain sense the main cryptocurrencies of the market will end up engulfing the smaller ones, which many observers already claim to be completely useless today. 2020, to conclude, will be the year of the definitive turning point according to ripple, which will generate an even greater push (compared to what we have seen so far) to the mass adoption of cryptocurrencies and blockchain technology.
