Qtum is an open-source, decentralized Blockchain platform and Value Transfer Protocol. It can execute smart contracts on multiple virtual machines and run environments with Proof-of-Stake consensus.
It is a hybrid Bitcoin and Ethereum blockchain platform. Qtum (pronounced Quantum) was created by adding an account abstraction layer on top of a Bitcoin fork code to allow sidechain integration with blockchain virtual machines like the Ethereum Virtual Machine.
This hybrid model combines the best of both worlds, adding Bitcoin’s value-storing capabilities to Ethereum’s smart-contract platform.
In March 2017, Qtum launched a crowdfunding campaign to seek funds for the development to their new blockchain-based platform. The crowdshare was scheduled to last 30 days, or until all tokens were sold.
Qtum sold over 10 million dollars’ worth of its tokens after only 90 minutes, eventually raising a total value of $15.7 million before stopping the campaign early after only 5 days. They raised a total amount of 11,156.766 bitcoins (BTC) and 77,081.031 ether (ETH) in exchange for the 51 million Qtum tokens being distributed to the public.
Although anyone can use QTUM, the QTUM foundation is focused on business applications of smart contracts. Their goal is facilitating the transition from legacy systems in aging organizations over to blockchain-based solutions that increase automation and decrease cost.
General Market Movements and Sentiment Shift
The downfall of altcoins that were mainstream media darlings at the start of the year, QTUM among them, can be attributed, in part, to new, naive investors getting scared off once the bear market kicked in with a vengeance. Every resurgence of bitcoin in recent period, was met with the, for the most part, weakened ability of altcoins to rally with it.
Reason for that can be novice investors learning from their mistakes, while smart money that was previously watching from the sidelines has begun to enter into bitcoin.
These entities weren’t about to buy BTC when it was trading at an all-time high, but they’ll take a look now, having missed the boat the first time around. None of them, it seems, are interested in altcoins however, despite the fact that many are trading at a 5x discount. Institutional investors may be cautious, but they’re not foolish.
Some altcoins will continue to have some speculative value for the foreseeable future. But just like the now infamous tulips, the hysteria will eventually subside. We are already witnessing the first phases of that slide and even though most of the bag holders react emotionally to articles that criticize their coins, these observations are not opinionated but based on the developments on the market. You better start emotionally detaching yourself from your “great sounding” coin because if goes nowhere, ideas are worthless without execution and real users that see value in the project.
2018 was a very interesting year overall for the broader DLT community, “ICO projects” came and burst in a spectacular, fireworks similar fashion.
While the mass death of barely-alive-in-the-first-place projects causes some uncertainty and skepticism among the newcomers, it is something veterans and pioneers of this space have been longing for.
In order for DLT to become established, we need quality over quantity, we need convergence on standards and consolidation of communities to bring to life what we’ve been working on for years. With less noise, 2020 will act as a Darwinian selection mechanism, much like that of which the IT companies post-dotCom Bubble experienced.
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This is a good thing and absolutely necessary for the real maturation of the space.
Captain Altcoin’s QTUM Price Prediction for 2020
QTUM, as the rest of the market, is tied at the hip of bitcoin’s price action. If bitcoin embarks on another bull run, QTUM can hope for one as well.
Since a strong Bitcoin move in 2020 is very likely, we can expect some swings and moves upwards by QTUM as well. So 2020 will be a year of potential big moves (more likely upwards) and we can see QTUM at least doubling its end of 2019 price value.
Of course, we speak about QTUM price denominated in USD. In terms of its BTC value, it is more likely that BTC will outperform it and QTUM will be worth less Satoshis by the end of 2020.
The main currency in cryptocurrency markets is Bitcoin and given this, altcoins tend to fuel Bitcoin runs and Bitcoin tends to do the same in return. Given this relationship, Bitcoin price movements (or lack thereof) tend to effect altcoin prices.
When Bitcoin goes up swiftly, it will likely:
- Suppress or depress altcoins as money flows into Bitcoin;
- Or, take altcoins along for the ride
In cases when Bitcoin plunges, it will likely:
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- Depress altcoins as money flows into fiat;
- Or, cause altcoins to boom as money flows into them, but this is rarely the case.
When Bitcoin moves sideways, it will likely:
- Cause altcoins to mimic that as traders wait for a clear sign on the direction of the market;
- Or, cause altcoins to flourish as traders look for returns in altcoins and try to get favorable trades in terms of BTC pairs.
To summarize, Bitcoin is the focal point of the crypto market in many ways, and with BTC trading pairs on every exchange, the gravity of Bitcoin is hard to evade.
Overall, the price change of any altcoin token is explained by the dynamics of the bitcoin-influenced market. However, there are also fundamental reasons for the individual token rise and fall in price, which can be pinned down to a big tech upgrade or more often, big partnership.
The majority of projects will fail — some startups are created just to gather funds and disappear, some would not handle the competition, but most are just ideas that look good on paper, but in reality, are useless for the market.
Vitalik Buterin, co-founder of Ethereum said:
“There are some good ideas, there are a lot of very bad ideas, and there are a lot of very, very bad ideas, and quite a few scams as well”
Qtum Coin (QTUM) Future Outlook
However, not all projects have the same chance of failing (risk), nor do they have the same potential upside (reward).
As a result of ICO teams’ incompetence and lack of integrity, fueled by basic human instinct that is greed and crypto investors’ naivety, over 95% of successful ICOs and cryptocurrency projects will fail and their investors will lose money. The other 5% of projects will become the new Apple, Google or Alibaba in the cryptoindustry. Will QTUM be among those 5%?
While Qtum can run Ethereum smart contracts, there isn’t a lot of a large incentive for developers to start developing on Qtum over Ethereum at present time. Ethereum has 50 times the market cap and 50 times the brand awareness. There’s also a huge community of tooling built up around ETH with its first mover advantage.
Ethereum is not the only problem for Qtum. A whole slew of platforms are emerging and are already taking a good chunk of the market; most notable EOS and Tron but also Stellar that has some unique features attractive for new token launches.
Cardano, Tezos are yet to launch properly, Zilliqa and NEO are still a question mark. These are only the top of the line competitors, a plethora of smaller cap projects are also seeking their place under the blue sky (Stratis, Waves, Nebulas, Ethereum Classic, Lisk, Ark etc).
So the say that competition is fierce, is an understatement.
Additionally, QTUM is not popular in the West. Qtum is relatively unhyped in the West. Even cryptos with smaller market caps like Nano seem to have more passionate fan base in the West. To this day, most of Qtum’s trading volume comes from Asian exchanges.
People on the Korean Qtum community site (https://qtum.or.kr/) are very concerned about the absence of QRC-20 token support on major exchanges. According to them, a number of existing DApps were denied exchange listing already and Qtum Foundation is not doing enough to make it happen.
As 8btc.com writes, over the past year, Qtum has left the impression that it is a gathering place of “broken cryptocoins”- BOT, INK, SPC, HLC, OC, AWR. All these tokens issued on Quantum failed to hold their ICO price after listed on exchanges, some of which even drop close to zero.
Lastly, the overcrowded market for smart contract platforms will take its own natural selection course and eradicate the weak entities while rewarding the strong ones. Qtum is going to have an uphill battle to be in the latter camp.
All of this summed up means one thing: QTUM might live through couple of orchestrated and, for a regular trader, completely unpredictable pumps but the majority of time will be murky sideways trading with small volume and no significant interest from the market.
Price will heavily depend on what BTC will do and since many analysts think BTC will not be making big moves in this year, it is hard to expect QTUM will do them either. The price will probably stagnate and record slow-moving depreciation or appreciation depending on the team activity, potential technological breakthrough or high-level partnership.
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Market prediction for Qtum – QTUM Price 2020
With the market being completely unpredictable, forecasting the cryptocurrency price is really more of a gamble and luck rather than a data driven guesstimate.
Let’s throw a glance at the eminent publications and personalities, and their predictions regarding the QTUM price, which will give us another point of view to consider:
Cryptoground.com is cryptocurrecy prediction algorithm that is moderately to overly bullish on most of coins, similarly on QTUM token as well. They forecast QTUM to climb up to $8.2 per token by EOY, which means an almost 4x increase in comparison to the current price.
Walletinvestor is a popular website that does technical analysis-based price predictions of various cryptocurrencies and traditionally has a skeptical outlook for most coins, but especially for QTUM. According to them, QTUM is expected to sink by more than 7x – from the current $2.57 to $0.33 by the end of the year.
Trading beasts is on a diametrically opposite side of Walletinvestor and sees a much more bullish future for Qtum token. Their algo forecasts that QTUM can ascend to around $6.5 within a year which means it will essentially grow 2.5x in value in the next year.
Another crypto prediction algorithm that is most conservative in its approach of the 4 we enumerated here – DCP usually predicts price to hover around the same level as the current state, forecasting a twofold increase or reduction for certain coins. QTUM is on the bullish side of their algo that sees it reaching $4.42 per coin by December 2020.
Qtum Coin Future: 2021, 2023, 2025
QTUM Price Prediction 2021
QTUM has been one of the second tier crypto projects that was always on the sidelines, looking in on the action of main players, especially during the peak of 2017 crypto frenzy that spawned thousands of new coins. However, despite the big hopes pinned on it by the coin holders, there is a shroud of doubt around the token’s viability and general competence of QTUM team to pull off the laid out plan. Unfortunately, long-term QTUM doesn’t seem to be a solid investment and price in 2021 might be artificially held around the same level as now – $2.57.
QTUM Price Prediction 2023
If QTUM survives to see 2023, which is highly unlikely, the token would surely be at 10-100x of the current value which means it would be at $25 – $250 per token.
QTUM Price Prediction 2025
Again, should QTUM survive to see 2025, which is highly unlikely, the token would surely be at 100x+ of the current value which means it would be at $250+ per token.
Realistic QTUM Price Prediction
Predicting prices of novel, highly volatile and risky asset classes is a thankless task – best answer is no one knows. Educated guess is that realistic QTUM price for the foreseeable future is somewhere between its current price and zero.
We don’t yet know which crypocurrencies will make it out of the crypto winter we’re wandering in right now. There are plenty of coins that stand a good chance of weathering the crypto storm and perhaps becoming more relevant as the market contracts and devours some of the weaker projects. However, there are even more of those projects who are already dead but no one noticed yet.
But, looking at things from this point in time and place, it’s reasonable to say that Qtum had its five minutes of glory but failed to seize the opportunity. The project is most likely going to die a slow death, leaking value month by month until an official shop closed announcement is released.
CaptainAltcoin's writers and guest post authors may or may not have a vested interest in any of the mentioned projects and businesses. None of the content on CaptainAltcoin is investment advice nor is it a replacement for advice from a certified financial planner. The views expressed in this article are those of the author and do not necessarily reflect the official policy or position of CaptainAltcoin.com