Experts predict that the future belongs to cryptocurrency, so everyone is trying to join this industry. But the volatility and unpredictability of cryptocurrencies is what repels most investors.
Analytical review of the future price movement of DASH
Unlike traditional investments, market forces do not act in order to achieve an equilibrium price level, optimal supply and demand. The cryptocurrency model may resemble a fixed supply model. Cryptocurrencies have a pre-determined amount. This factor negates all supply-side influences.
Three factors affect the price of DASH:
- Consumer perception
- Competing coins
- Favorable environment
We will explain in more detail how these factors affect the value of the coin, but first let’s discuss why DASH?
DASH was the brainchild of founder Evan Duffield. The coin was launched on January 18, 2014. It currently ranks fifteenth in the cryptocurrency market. It was originally priced at $ 0.213,899 at launch, but by 2017 it had reached a whopping $ 1,642. 22. Today, DASH is valued at $ 99.3, with a total market capitalization of $ 980 million.
DASH price dynamics for all time
DASH is a digital currency based on the same blockchain technology used by Bitcoin. And in addition to the distinctive features of blockchain technology, DASH has also integrated other features that would help it stand out. The coin offers greater privacy and faster transaction speeds. That’s why it’s popular with investors. Moreover, the system does not require any external funding or management. The model is robust, as DASH can Fund its system without any external intervention.
The project focuses on solving problems that create obstacles to the widespread acceptance and adoption of cryptocurrencies, such as scalability, sustainability, simplicity and cost of transactions, and security. This feature sets it apart from the rest of the crypto assets, and there are promising things about its future.
What makes DASH different
The three features that give DASH lightning-fast transaction speeds and greater privacy are masternodes, Privatesend, and Instasend.
Cryptocurrencies are mined by users who confirm ongoing transactions. DASH, however, is mined, but it also has masternodes. Masternodes are mostly users who have invested at least a thousand DASH coins. The masternode network is constantly growing. Masternodes are responsible for Privatesend and Instasend, the anonymous function and the instant transaction function. Masternodes form the main structure of the coin and are the defining feature that ensures the security of the crypto asset.
Bitcoin does not provide privacy when it comes to transactions. All details, including the sender and recipient, are publicly available and can be easily found online. DASH offers an alternative to this. The Privatesend function in DASH provides complete anonymity, and transaction details are not disclosed to anyone. Privatesend transactions cannot be tracked.
Since each bitcoin can be traced back to its origin, traders can easily find out if the cue Ball has been involved in any illegal activity. However, since DASH offers higher privacy, this distinguishes its interchangeability. Each DASH coin is interchangeable, and cannot be differentiated.
One of the main criticisms that cryptocurrencies, especially Bitcoin, often face is the long transaction time. This is also considered the main obstacle to the way of the BTC to large-scale implementation. If bitcoin transactions take an average of 10 minutes, using the Instasend option, DASH transactions are confirmed in seconds. However, there is an additional fee for Instasend. It takes about 2 minutes for normal DASH transactions to be confirmed.
The unique system has a self-financing function. Bitcoin miners receive all the rewards, but 10% of the reward of DASH miners is returned to the system and invested in the blockchain. Therefore, the project can both Finance itself and support itself. The use of the Fund is determined by the voting of the network participants. This system ensures that the DASH network does not stagnate, but grows and adapts to development.
Factors affecting the course
All factors that determine the price of DASH are related to demand. In the cryptocurrency market, supply factors do not play a role in setting price levels, since supply is already fixed.
There are many factors on the demand side that negatively affect the price of a crypto asset. Some of them are:
- The perception of consumers
Like the dangers of paper money, the value of cryptocurrencies depends on their perception by consumers. Demand increases the value of cryptocurrencies. Thus, the more traders value DASH highly, the higher ITS value will be.
The cost of any product increases due to its shortage. Since the supply of cryptocurrencies is predetermined, there are already few of them. The fewer coins there are on the market, the more valuable they will be. The total volume, hard limit, of DASH is 18 million coins, whereas for comparison, the hard limit of Bitcoin is 21 million coins. Hence, DASH already has an element of scarcity.
Consumers ‘ perceptions are also influenced by news and expert opinions. The DASH Foundation is actively trying to establish partnerships with various companies, and analysts are optimistic about the future of the coin. These factors have a very positive effect on consumer perception.
- Competing coins
DASH is currently in 28th place, but the 27 coins higher up the list have a big impact on its value. At the macro level, all cryptocurrencies move synchronously with the BTC, and have a relatively high correlation.
Although DASH does not have a high positive correlation with the cue Ball, Bitcoin still affects its prices. It affects the mood of the entire cryptocurrency market. The rise in the value of Bitcoin, which we have seen recently, will give the market a bullish trend.
Other competing coins that bear a strong resemblance to DASH may also rise. Dash’s critics often point to similar coins, such as Monero, that manage some things much better than it does. The rising value of such competing coins will definitely hurt market sentiment towards dash. Further developments that can lead to the creation of better, faster and cheaper coins can lead to the fact that the asset will simply become obsolete.
- Favorable environment
As the world moves towards digitalization, cryptocurrencies seem to be increasingly accepted. The General idea is that one day digital currency will become a payment method all over the world. The DASH founder’s vision seems to fit the future of the world as it seems now.
After the craze for cryptocurrencies in 2017, the situation has changed slightly, and investors are showing a little caution. But this year, Bitcoin has reached its historical high, which makes it obvious that optimistic sentiment is approaching.
DASH has a lot of potential. It has received support from some reputable cryptocurrency experts. A $ 50 investment in 2014 would have made a whopping $ 382,826 in 2017.
DASH does not serve as a means of saving, as it is a valid cryptocurrency. It is actively involved in the evolution of digital payments and is influenced by it. Major financial institutions are also looking for alternatives to cash, and DASH with its features seems like a viable option. It may well be on its way to leading the digital payments market, which is one of the reasons why investing in the project may be a good option right now.
What are the pros and cons of investing in DASH
Advantages of investing:
- DASH is considered one of the most secure cryptocurrencies. It offers better privacy and greater security, especially when compared to Bitcoin and the likes.
- The masternode network guarantees complete anonymity, and no transaction can be traced back to its source.
- The coin is interchangeable, which means that each coin is unique, as it is impossible to trace the history.
- The transaction cost is also a fraction of the value of Bitcoin.
Disadvantages of investing in DASH:
- The downside of the increased privacy that DASH offers is the vulnerability to illegal activities.
- Since transactions cannot be traced, there is a possibility that DASH will be used for illegal transactions.
- This does not Bode well, if governments decide to put cryptocurrency on a leash and introduce regulations, DASH will undoubtedly be under the microscope of the authorities.
- Some experts argue that the DASH system contradicts the Central belief of cryptocurrencies, namely decentralization. Since the masternodes are at the top of the pyramid, someone controlling most of the masternodes will have full control over the entire system. While this scenario is unlikely and difficult, it is not entirely impossible.
- DASH also suffered from a release bug. The bug allowed 2 million coins to be mined in just 48 hours from launch.
What does the future hold for the coin?
The forecast for 2021 looks positive. The project actively establishes partnerships with many enterprises. DASH is not just an easy-to-use cryptocurrency. It also offers more features and is not at all difficult to use.
The team is constantly working to improve the user experience, and has created an extensive and secure network. Cryptocurrency adoption in the near future seems inevitable, and perhaps DASH is at the forefront.
Primexbt predicts that the coin can grow to $ 2,000 in 2021, and the price will not stop there. As coins become more popular, prices can skyrocket.
Technical analysis of the asset currently shows that it is ready for a bullish return
According to Primexbt, in an idealistic situation, DASH could be worth up to $ 8,000 by 2025, which is really optimistic. The close-knit team of developers DASH Labs Development with their constant development of the network gives high hopes that the crypto asset will again enter the top 10 cryptocurrencies by market capitalization. The continued expansion of the network will also affect the value of the coin.