Research Summary
The report from Web3 Academy presents a series of predictions for the cryptocurrency and blockchain industry in 2024. The predictions cover a range of topics including ETF approvals, market cap surges, new all-time highs for cryptocurrencies, growth in user bases, and developments in Layer 2 solutions.
Key Takeaways
ETF Approvals and Filings
- Anticipated Approvals: The report predicts that Bitcoin (BTC) and Ethereum (ETH) spot ETFs will be approved in the USA in 2024. A Solana spot ETF is also expected to be filed, but approval is not anticipated within the year.
Cryptocurrency Market Predictions
- Market Cap Surge: Coinbase ($COIN) is predicted to reach new all-time highs, surpassing a $100 billion market cap, a 127% increase from current levels.
- New All-Time Highs: Bitcoin ($BTC), Ethereum ($ETH), and Solana ($SOL) are expected to reach new all-time highs in 2024.
Blockchain User Base and Value Growth
- User Base Explosion: Solana is predicted to become the number one chain in terms of daily active users, with over 10 million DAU, a 17x increase from current levels.
- TVL Growth: Layer 2’s Total Value Locked (TVL) is expected to soar past $100 billion, a 5.07x increase from the current $19.7 billion TVL.
Developments in Layer 2 Solutions
- No Gas Fee L2s: The report predicts that applications and entire Layer 2 solutions with no gas fees will become the norm in 2024.
- Corporate Ventures: Two publicly traded companies are anticipated to launch their own Layer 2 solutions, moving beyond Coinbase’s initiatives.
NFT and Stablecoin Market Growth
- NFT Market Growth: Weekly NFT volumes are expected to surpass previous records of $3.2 billion from 2021.
- Stablecoin Market Cap Expansion: The stablecoin market cap is predicted to exceed $250 billion, almost 2x its current value ($129.9 billion) and 25% more than the previous all-time high in April 2022.
Actionable Insights
- Monitor ETF Approvals: Keep an eye on the progress of ETF approvals for Bitcoin and Ethereum in the USA, as these could significantly impact the market.
- Track Coinbase’s Performance: Given the prediction of a significant market cap surge, it would be beneficial to monitor Coinbase’s performance throughout 2024.
- Assess Solana’s User Base Growth: With the predicted explosion in Solana’s user base, it may be worth evaluating the potential impact on the platform’s value and the broader market.
- Investigate Layer 2 Developments: The anticipated growth in Layer 2 solutions and the emergence of no gas fee L2s could present opportunities for investment and development.
- Examine NFT and Stablecoin Markets: The predicted growth in the NFT and stablecoin markets suggests these areas could offer potential opportunities in 2024.
