The current crypto market has undergone several ups and downs recently, reaching an all-time high of $69K on the 10th of November, 2021. After that, it fell all the way to below $40K by early January 2022.
Yes, the downtrend has been hard on people’s nerves. But perspective is needed during these trying times.
At Zenfuse, like most in the crypto space, we believe the long-term outlook remains bullish for Bitcoin, Ethereum and other great crypto projects. Even Goldman Sachs has predicted $100K Bitcoin by the end of 2022.
For investors and traders to navigate this potential bear market (or temporary downturn), they need to rely on technical indicators and crypto trading tools like Zenfuse — instead of letting emotions and FUD take control.
More importantly, you should look at the emerging trends in the crypto space. Some projects will do better than others this year. And if a bull market returns in full force, the projects in high-growth sectors like NFTs and DeFi stand to gain the most.
Here’s a further explanation about the upcoming trends for 2022, as well as how Zenfuse will intersect with these trends to make a positive impact in the crypto world:
1. The Metaverse
The word “metaverse” has been flying around on the internet lately but only a small number of people know what it means. Regardless, some industry experts believe the metaverse could produce $1 trillion in annual revenue by the end of the decade.
Wow!
But what is the metaverse?
The metaverse is a virtual world that users can explore with personalized avatars. Metaverse extends beyond gaming, allowing users to interact with people and experience different activities in real-time. The popularity of the metaverse has been growing rapidly to the extent that Mark Zuckerberg showed interest in implementing this feature on Facebook.
Zenfuse will implement the metaverse in a unique way, and it should benefit our community of crypto traders greatly. We’ll leverage the capabilities of the metaverse to take trading to another level. No specific date for this feature to be implemented yet but it’s a work in progress. So, Zenfusians should expect something great soon!
2. Non-Fungible Tokens (NFTs)
The rising popularity of NFTs might be what the crypto market needs to go to another level. The fact that NFTs are original collectibles makes them lucrative investment opportunities.
Today, the popularity of NFTs has led to their mass adoption as lots of investors continue to invest in them. Based on statistics from Finder, about 29% of people in the United States know about NFTs while only 2% own them.
Even though a small percentage of folks own NFTs, sales numbers are already huge. NFT sales reached $27 billion in 2021, up from just a few hundred million in 2020.
Even popular brands like Nike and Adidas have implemented the metaverse features and shown interest in NFTs. In December 2021, the vice president of Adidas Erika Wykes Sneyd announced Adidas’s release of an NFT collection.
Seeing how quickly the NFT market is growing, it’s clear projects will find more use cases for them, which means sales should grow.
At Zenfuse, we’ll help you stay updated on all that’s going on with NFTs by providing real-time data and news updates. This way, you know where the money is going and what stories are breaking the moment it all happens.
3. DeFi
Decentralized finance (DeFi) makes it possible for people to be their own bank. DeFi uses smart contracts to offer financial instruments without going through intermediaries such as banks, lenders, brokerage firms and other financial institutions. They create a space for lending, borrowing, trading, saving, and earning interest that doesn’t require all of the usual bureaucracy and minutiae.
DeFi is a financial revolution, and it’s enabled everyday savers and investors to put their capital to work more efficiently and earn more yield. The attractiveness of DeFi to the common person can’t be underestimated. It’s simple numbers:
- Interest rates for savings accounts with banks in European Union countries averages around 0.24%.
- Interest rates for depositing stablecoins to provide liquidity in DeFi protocols exceeds 10% on some platforms. Aave, which currently has $25 billion+ in their liquidity protocol, offers 8.43% on Fei USD deposits.
Traditional banks simply can’t compete with those rates. No wonder the total value locked in DeFi protocols has reached $240 billion, according to Defi Llama.
At Zenfuse, we’ve added DeFi features to our platform with ZEFU farming, which is part of the Fiji development. This ensures our community supporters can earn yield by holding and supporting our project. It should benefit the strength of the ZEFU token in the long run.
4. Ethereum Alternatives (Layer 1 Competitors)
The competition between layer-one smart contracts has been intense for a while now.
In search of faster transaction times and lower fees, many traders have begun exploring and utilizing the opportunities from Ethereum alternatives. Ethereum 2.0 should enable greater speed and lower fees for the network, but other players have emerged while we await its release.
Solana (SOL), Avalanche (AVAX) and Fantom (FTM) continue to trend with massive price gains over the past year. For instance, despite the market being generally bearish last month, Fantom rose from $1.28 to $2.92 (14–12–2021–14–01–2022).
In January, the ‘FOAN’ trade has turned into a popular move, as traders seek to put money in a variety of high-speed layer 1 blockchains. The ‘FOAN’ trade, which includes Fantom (FTM), Harmony (ONE), Atom (ATOM), and Near (NEAR), takes its name from the stock market’s FANG (Facebook, Apple, Netflix, Google).
So, will Ethereum alternatives beat the layer 1 king, Ethereum?
Whether that happens is yet to be determined. Ethereum market prices have indeed been flat in the past few months, but that doesn’t mean it will remain like that for long. They could rise a lot once Ethereum 2.0 goes live.
However, it’s clear other layer 1 chains have positioned themselves well. And they could take market share from the giant.
At Zenfuse, we’ll make sure our platform provides you with the latest analytics and news on layer 1s. This way, you can make your trades ahead of the market.
5. Institutional Investment
Bitcoin (BTC) and Ethereum (ETH) have been the target of institutional investors like MicroStrategy and Grayscale in the last few years. Other tokens like Polkadot (DOT), Cardano (ADA), and Binance Coin (BNB) are making remarkable breakthroughs that are enough to attract the attention of investors.
In 2022 and beyond, look for institutional investors to go beyond the big two coins and invest in other cryptocurrencies, such as Chainlink and Decentraland. A major investment could push a token currently in the top 20 or 30 in market cap up into the top 5. Pay attention — because you want a piece of those gains.
At Zenfuse, we plan to take our trading platform to another level and become a Swiss Army knife for traders. This way, you can invest in projects before the institutions do. And you can ride with them for big gains.
We also hope the development and progress of our platform in 2022 will attract the attention of major players in the industry, like large exchanges. Such listings would make Zenfuse a much more attractive investment for the wider crypto community and even whales.
We’re working hard to make big things happen. So, stay tuned to all that we’re doing in 2022.
About Zenfuse
Zenfuse is a powerful all-in-one platform for cryptocurrency traders and investors.
It aggregates multiple cryptocurrency exchanges, allowing control of funds via API, and powers up the trading process, making trading more profitable, simple, and stress-free.
Our cross-platform app provides rich analytics of both your portfolio and order history, giving you the ability to control your funds on a mobile device.
