crypto: 5 crypto predictions for the second half of 2022

It has been an unpredictable year in more ways than one for crypto assets to say the least. A series of unfortunate events has seen the industry take one blow after another, throwing off projections that industry experts had made when the year began on the back of Bitcoin reaching an all-time high last November. While it seems difficult to predict what might happen here, we have listed some predictions on how the rest of 2022 might look for both – crypto investors and enthusiasts. Here they are, in no particular order.

The industry will remain volatile
Volatility will continue to remain the buzzword for the crypto industry in 2022. The year began on a positive note for the entire industry, but several shock events such as the war in Ukraine to multi-decade high inflation in the US and many countries and rising oil prices spooked the stock and crypto markets in equal measure . Worryingly, most of these problems have shown no signs of going away anytime soon. This means that volatility will continue in global markets as well as in the crypto industry through 2022. The winter period will definitely ease, but without any clear incoming signs, it is difficult to predict when things will start to improve.

Crypto regulations are coming
The European Parliament’s law on cryptoasset markets unveiled late last month has become the first comprehensive regulation surrounding cryptoassets, with many experts saying the law could be a trendsetter globally. On a related note, India’s Finance Minister Nirmala Sitharaman has also raised concerns about cryptocurrencies being used for harmful activities and has called for a global solution. Industry bosses in the crypto space are themselves hoping for some form of government intervention that will allow them to operate more freely. It is not difficult to predict that we will start to see some form of regulation coming to crypto sooner rather than later.

Pop culture will popularize NFTs
Be it games, movies or music, NFTs have made their mark through them all. In fact, popular culture will connect to the crypto industry through NFTs as well as the metaverse. Be it cricketers or celebrities, gaming characters or global brands, everyone will jump on the crypto wave sooner rather than later if they haven’t already. A number of NFTs are being readied for distribution, including some exciting ones from our team at Yunometa that will have fans drooling with excitement.

Another stab
It may not happen, and we certainly don’t want to hope it does, but current events point to at least one more major crash in global markets before the recovery begins. It is difficult to quantify this prediction, especially considering how many things are changing at this time, be it crypto regulations to recession. For anyone looking to invest in cryptos at the moment, one can only suggest that they do their due diligence and only invest small amounts until conditions improve to a visible degree.

Crypto no longer an outlaw
The big promise of the crypto industry was that it was independent from the global financial industry. That doesn’t seem likely to happen anytime soon, if at all, as global events have shown us. In fact, investors feel the turmoil and withdraw their investments from an industry that is still considered risky as soon as negative news comes in. While this does not directly impact the crypto industry as such, what it does tell us is that any future investment in the crypto industry will also have to take global conditions into account.

These are just some of the predictions of how the global crypto industry will play out. One thing is certain – by the end of 2022, most experts predict that the current downturn will be reversed. We already see this happening in bits and pieces, but a real revival is still some time away. When that happens, there will be no looking back for the crypto industry as it emerges stronger than ever from its forced hibernation.