FxPro: Cryptocurrencies pave the way to messengers

Successful Ethereum hard fork and IT attempts to use cryptocurrencies in their applications support market participants positive expectations.

Preparing for the next breakthrough? The cryptocurrency market ends the week quietly: the top 10 coins fluctuate between a slight increase and a decrease. The community is waiting for the weekend, watching the growth of bitcoins among the largest wallets: the level above $4k is a fairly serious resistance, and it will take significant news triggers to break it.

Successful Ethereum hardfork One of the most important recent news is hardfork on the Ethereum network. It has already taken place, and almost 30% of the network has switched to a new client. It is expected that the update will take place without any problems, as it has long been expected by the participants. Obviously, the developers carefully thought out this process. The update will solve the problem with the difficulty bomb and reduced reward due to postponing the fork. Experts suggest that the ETH price may rise and create momentum for the entire market.

ABBC Coin showed remarkable dynamics, gaining more than 150%, although now the cryptocurrency is rapidly losing ground. The very existence of the coin, whose abbreviation stands for Alibabacoin, but is not related to a Chinese company, is already the subject of lawsuits.

Cryptocurrency on your phone In addition to the regulator’s decisions, crypto-projects including Facebook and Telegram have a high potential to influence the entire market. In addition to the stablecoins race produced by large financial institutions, the largest IT corporations’ internal cryptocurrencies will also come into play. For example, if the cryptocurrency is integrated into the WhatsApp application, 2.7 billion users worldwide will get access to fast money transfers on the blockchain. This is 35% of the population of the planet. The similar solution from Telegram means that crypto transfer sector in a fairly short time can be divided between the largest messengers. The authority and a huge user base can completely change the balance of power on the “crypto map”, but you need to understand that retail investors will not be allowed to participate in such projects, but these projects will immediately be fully coordinated with the regulators.

How did we live without it? One thing is for sure: market competition will be really tough. Almost all well-known IT and financial companies prepared their crypto solutions. So far, the cryptocurrency market is quite difficult for ordinary users, but simple and convenient solutions from IT giants are able to make a revolution: one morning several new functions will appear on your smartphone, and in a month, you won’t be able to remember how you lived without them before.

Alexander Kuptsikevich, the FxPro analyst