Technavio Predicts Continued Growth in the Crypto Market

Technavio is an American research and advisory company with global reach. It specializes in pinpointing opportunities, trends, and triggers that could influence market growth. Using these identified trends, Technavio models various market scenarios and constructs forecasts for different regions and market segments. With a track record of serving major institutional investors and governments, their openly published data is highly reliable.

One of its recent reports addresses the cryptocurrency market. 

Technavio estimates that the global cryptocurrency market will grow at an average annual rate of 15.81% until 2027, reaching a valuation of $1.8 trillion. As of now, the total market capitalization stands at $1.2 trillion, with an 11.8% increase just in the past week according to Tradingview. Given these figures, Technavio’s projection seems relatively conservative.

The market’s expansion hinges on a variety of factors, including the dynamics of investments in digital assets, greater accessibility of crypto wallets, and increased spending on FinTech.

The report highlights that major players in finance and technology are driving the market, forging critical strategic alliances, and venturing into new markets. 

Dominant liquidity providers include:

These companies are poised to shape the market landscape in the upcoming years.

Notably, North America is anticipated to become the central arena for competitors, garnering nearly half of the global share in blockchain projects and cryptocurrency trading.

Technavio predicts that the United States, China, and the United Kingdom will remain the pivotal nations driving the primary trends in the blockchain sector.

Researchers identify the main issue in the digital market as its vulnerability to manipulation and asset volatility. 

Large corporations and financial conglomerates, as major cryptocurrency holders, wield substantial influence over asset values, often resulting in substantial profits. Consequently, traditional investors, who prioritize stability and low risk, remain cautious about including cryptocurrencies in their financial portfolios.

Indeed, the initial indications of the bullish rally that we are witnessing today may be pointing toward the accuracy of the researchers' predictions.