VanEck Forecasts Major Shifts in Crypto Landscape by 2024: Binance Overthrown, Bitcoin Peaks and US Recession

By: Eva Baxter

According to investment management firm VanEck, the crypto sector is poised for a transformative year in 2024. A series of predictions suggest pivotal events like a U.S recession and the launch of U.S Bitcoin Exchanged Traded Funds (ETFs). Additionally, a market shift with Binance losing its leading spot trading position to emerging competitors is also expected.

Bitcoin, retaining its market dominance, could potentially reach a new all-time high by late 2024, amidst a U.S. recession and regulatory changes following the next U.S. presidential election. VanEck predicts that the first U.S. spot Bitcoin ETFs will be approved in Q1 of 2024, which might drive a significant influx of investments like the early success of the SPDR Gold Shares (GLD) ETF in 2004. This is expected to drive a 'hard money' preference towards Bitcoin in the financial landscape. Despite regulatory shifts and economic downturns, Bitcoin's price could sustain above $30k in early 2024, reflecting a robust demand.

While Ethereum is expected to make substantial strides, it would still remain beneath Bitcoin in terms of market dominance. Furthermore, Ethereum's Layer 2 solutions are expected for significant growth, thus, solidifying the position of a few dominant players in the network. This shift could potentially double Ethereum's current decentralized exchange (DEX) volume. Meanwhile, the Non-Fungible Token (NFT) market is also slated to scale new heights, powered by both Bitcoin and Ethereum.

Lastly, the integration of Know Your Customer (KYC) protocols in decentralized finance (DeFi) is expected, signaling a shift towards mainstream and institutional adoption of cryptocurrencies by 2024.