What Makes Digital Currencies Increase in Price – 2024 Guide


Digital currencies are the money of the future. Some even suggest that it will replace traditional money. Everybody knows about Bitcoin, but BTC in only one of many cryptocurrencies out there, but the most important one. Entire market capitalization, which stands for the market value of all the digital currencies, is around 269 billion dollars. Most of that value comes from BTC, but some of the other currencies, like Ethereum, increased its price a lot. There are many reasons why people invest in digital currencies, and that’s why a lot of people became investors, traders, or miners. Digital money guarantees privacy and anonymity for users, and blockchain technology provides security, not to mention that many have lost confidence in traditional currencies and banks. Also, no government in the World can control Bitcoin and the digital money market, and there are almost 10.000 Bitcoin ATMs in the World, which is also a plus. Besides a wast amount of advantages that digital currencies give, some things drive people away from investing in these currencies, and one of those is constant price oscillation. These price oscillations can also become an advantage if you know how to predict and use it to make some money.

Source: Institute for New Economic Thinking

Bitcoin was worthless at the start in 2008, and it’s value remained very low for a few years, but with constant rising. In the year of 2017. there was a big breakthrough for Bitcoin, and the value skyrocketed to almost 20.000 USD per coin. After that, there was an enormous fall of value, falling to only 3.300 USD in late 2018. That constant change can scare some of the future investors into crypto. Experts state that the price of almost 11.000 USD per coin is just the beginning of another significant rise of BTC value. It is valuable to know which company and experts to trust when starting investing in digital money. Most of the new investors want to know about people’s experiences and reviews of some specific companies and trading software. You can find the answers at trustpedia, where you can also compare different financial services and find the most suitable. Besides BTC, most of the experts agree that it is safe to invest in other digital currencies this year. Some of those, like Litecoin, BAT, Ethereum, or NEO, should also rise in value during 2024. It is safe to assume this is a perfect year to invest in the digital money market, and there are numerous reasons for that statement.

Source: Medium

Geopolitics often dictates changes into a variety of markets, and this market is no exception. At the beginning of this year, lots of tensions between the USA and Iran threatened to start a war. Whenever there was a crisis in history, people always decide to buy gold to have security and independence from banks and politics, but now we have a different approach. Besides gold, many have decided to invest in crypto, which represents security in modern times. Covid-19 pandemic affected the lives of many and forced a lot of people to stay in their houses. Some of those people lost their jobs and decided to try to earn in trading, which resulted in the digital money demand increase. Quarantine also means lots of spare time for many, and more people who want to try their luck after listening to stories about BTC rise. BTC represents security in these times, which are far from safe, and this can also explain higher demand.

BTC value came to a constant 11.000 USD, and statistics show that it will test the market value of around 15.000 USD, according to experts and top traders. According to those researches, whenever a market value consolidates, it is a warmup for a significant increase, so it wouldn’t be a surprise for BTC to test around 15.000 USD in the last quarter of 2024. At least, BTC price cycles state that.

Source: Nairametrics

Bitcoin halving plays one of the crucial roles in value rising. To ensure there will still be BTC left for miners, every few years, Bitcoin rewards from mining decrease by half. There are 21.000.000 BTC blocks, and around 18.5 million are already in circulation. With that in mind, in about every four years, the reward from mining is halved. Experts state that this halving will last until 2140 when all the Bitcoins in the World should be in circulation. At first, the reward was 50 BTC with every block, and by the year of 2024, it dropped to 12.5. On May 11, the reward fell to 6.25 BTC per block, which made mining less effective. After every halving, the price of BTC skyrocketed between 1.200 % and 6.000 % in the next year, and there is no reason why this year should be an exception. This artificial inflation will increase the market of BTC in 2024, but also in 2024. And with BTC leading the way, all other respectable digital currencies follow the trend in rising.

Ethereum can be a digital currency with a bright future, probably already in 2024. Ether also reached its highest value ever this year with more than 350 USD. Top traders predict the price of around 400 USD by the end of 2024, and it is in connection with the release of ETH 2.0 with rising options.  That expanded the market, and many have decided to invest in ETH. With higher demand, the price went up too.

Investing in digital money has always been a safe bet on a long term basis, and many top traders keep a significant part of their capital in e-money. The main difference this year is that 2024. couldn’t be far away from an ordinary year, and some basic rules don’t apply now. That is the primary reason why you should investigate what can determine the market value and price of any particular currency. There are many indicators of a price increase, and halving is probably the most important one. With these reasons in mind, it is natural to predict a price increase in digital currencies in 2024.