MIOTA, the cryptocurrency based on the Internet of Things [IOT] has had a great start to the year with several developments being discussed in the pipeline.
The cryptocurrency market had returned to a stagnant price movement after a few days of bullish rises. A majority of the users have been expectant of another surge soon as the immediate support of most 0f the altcoins have been elevated.
MIOTA, the cryptocurrency based on the Internet of Things [IOT] has had a great start to the year with several developments being discussed in the pipeline. This ranged from landmark partnerships with major organizations to internal network updates. After having a very sombre 2019, the cryptocurrency was not at the 23rd position on the price charts.
At press time, MIOTA was trading for $0.235 with a total market cap of $654.55 million. After a 5.8 percent drop in the previous 24 hours, the cryptocurrency’s 24-hour market volume had dipped to $9.39 million.
The hourly chart has been consistent for MIOTA after a sustained hold between $0.23 and $0.26. The immediate support was at $0.228 while the immediate resistance held at $0.25. After the bullish rise on January 17, the price has maintained a steady path.
The Relative Strength Index had fallen below the oversold zone for the first time since the start of the year. This crash indicated that the selling pressure was much higher than the buying pressure. Some analysts claim that is is because of the stagnated price movement.
The Chaikin Money Flow indicator had risen slightly above the zero line. This came at a time when there was an increase int the overselling characteristics of MIOTA. The hold above the zero line meant that the capital coming into the MIOTA market was much higher than the capital leaving the market.
The Parabolic SAR was above the price candles, a sign that MIOTA may be heading into bearish territory. The SAR markers have stayed up for the past 48 hours now.
The daily chart projected a reprieve for MIOTA as the cryptocurrency was going up in value for the first time since October. The immediate support on the daily chart was $0.15 which was formed in mid-December.
The Chaikin Money Flow indicator was leaps and bounds above the zero line in the long term. Despite MIOTA’s low price hold last year, the community seems to have stuck with the cryptocurrency. The IOTA market has clearly been enjoying a higher influx of capital now than it had over the course of the past 6 months.
The Parabolic SAR was below the price candles in the long term. This means that the cryptocurrency could expect bullish gains soon. This has also been helped along by positive sentiment within the IOTA community.
The Relative Strength Index had fallen back into the graph after staying above the overbought zone. In the long term, more people were buying into MIOTA than those who were selling it. The graph might only shoot up again after the IOTA’s plans for 2020 comes to fruition.
Although IOTA price at the moment looks bleak, the long term analysis showed a resurgent spark in the cryptocurrency. This also comes on the back of the much-hyped ‘altcoin surge’. Many people expect 2020 to be the year that a lot of assets other than BTC enter the limelight. IOTA with its multitude of updates lined up looks to be a solid contender to join that roster.
IOTA Up 12% Despite 11 Days Offline
IOTA has seen its price surge by more than 12% in the past 30 days, despite its network being offline for nearly two weeks due to a hack. The price is a testament to the lack of any predictability in the crypto market.
IOTA Investors Unbothered?
IOTA, an ambitious project designed to facilitate transactions in the Internet of Things (IoT) ecosystem, has had a hard time maintaining a consistent uptime. Following a 15-hour outage in December last year, the network was turned off earlier this month to deal with the consequences of a massive wallet hack.
The IOTA Foundation turned off its transaction validator called Coordinator on Feb. 13 after a major vulnerability in its Trinity wallet was exposed. The vulnerability has reportedly cost the network between $300,000 and $1.2 million in IOTA.
While users have been unable to send or receive IOTA for almost two weeks due to the outage, it seems that the controversy hasn’t affected their trust in the network.
While the coin saw its price drop by around 20% since the outage, its current price represents only a 10% drop since the beginning of the month.
No Rules in the Crypto Market
As CryptoBriefing reported last week, the majority of users holding IOTA said that they plan to hold onto their tokens when the network goes online on Mar. 4. In a poll conducted by Julian Hosp, the co-founder of Cake DeFi and I-Unlimited, only 32.5% of respondents said that they intended on selling their IOTA.
The coin’s unexpected performance goes to show that, when it comes to the crypto market, there seem to be no rules.
The coin has seen its price increase by 12.7% since Jan. 24, according to data from CoinMarketCap.
However, it’s worth noting that while users can trade the IOTA kept on exchanges, most coins remained locked on the network. It’s possible once the network goes live there will be a significant selloff.
10 Days since IOTA Shut Down, Centralized Digital Assets and their Actions
Ten days ago IOTA reported that funds were stolen from ten of its highest-value users to counter the situation the project shut its network for further investigation.
In the official release, they stated,
“Currently the Coordinator is halted until further notice to investigate reported issues with stolen funds. We ask you to keep the Trinity wallet closed for now until further notice.”
In a progress report, the IOTA group clarified that the issue came from a third-party integration in the desktop app of Trinity – their official wallet for MIOTA tokens. The vulnerability in the framework was exploited by the attacker who stole users’ seeds [digital key passwords] and accessed the wallets.
Pros and Cons of centralization
Pros: Every other day, users holding funds in millions lose their seeds keys, undergo phishing attacks and ever so often get their wallets hacked due to lack of security. Nevertheless, no question of a rollback or re-gaining the assets come in the picture. Except in 2019, when Binance was hacked for 40M USD and CZ thought he could rollback [yup, we still remember that]. However, no matter what rollback is not possible with Bitcoin. The primary reason being its decentralized network that runs with no central point of authority to make decisions. Which is why if you lose your key, you lose your coins.
Funnily enough, centralized cryptocurrencies can actually rollback the chain and write over the ledger to gain lost coins, like Ethereum did when it split into ETC and ETH.
Similarly, IOTA has published multiple steps for remediation plans to get things going.
- Users need to install the latest updated version of the Trinity wallet.
- Users need to change their wallet passwords to new ones.
- Users need to transfer their assets to a safe seed using seed migration tools
Once all the precaution is taken users will be in a position to reclaim their stolen MIOTAs. This will happen through the IOTA team taking a global snapshot of the network which other users will have to validate. Following this, the project will take the help of a third-party to restore what’s lost and credit it back to the users.
Cons: Centralized digital assets are no different than centralized banks. If someone can keep you from using your assets irrespective of what has happened, your assets are managed by them even if its owned by you.
From the past 10 days, the IOTA network has been shut. This limits MIOTA users from using their funds for any purpose. Especially for users that work with MIOTA tokens on a daily basis. One day it works normally and suddenly something goes wrong, to battle it the decision-makers of the project shut down the whole network. You’re stuck with your tokens, unable to convert, trade or use.
Speculations suggest this was also done in order to prevent MIOTA price crash since history repeats itself and dumps usually come in when a particular coin/token has been hacked or used for malpractices [although, this doesn’t show any correlation with Bitcoin anymore].
People have expressed how anxious the network shutdown of IOTA makes them feel
Future Forecast For IOTA 2020 | 2025 | 2030
IOTA was started to provide distributed ledger technology for the machines and internet-of-things (IoT) space where small connected devices regularly share data.
Because these machines and devices are generally specialized to be low power and perform only specific functions IOTA does not use a traditional consensus mechanism like proof-of-work or proof-of-stake nor does it use a blockchain structure. It rather uses a different type of public ledger with a popular moniker “The Tangle”.
The goal of the project is to allow these devices to conduct micropayment transactions between themselves and potentially to securely transfer data. At the core of the project is what is referred to as the ‘Tangle,’ a directed acyclic graph (DAG) that acts as the public ledger system. The team believes that this structure will allow for feeless payments, lower compute cost, and the ability to connect to billions of devices.
The efficiency of this system also grows as the number of participants increases as transactions will be processed at a faster rate. One of the project’s more recent releases was a data marketplace that allows for storing and selling data streams while masking the source of the data.
Year in Review
IOTA expanded their team in 2018 with active talent acquisition, building an almost 100 man and woman army of researchers, developers, domain experts and ecosystem building enthusiasts.
IOTA’s holy grail is Coordicide – or the removal of the centralized server called coordinator that disqualifies IOTA as a decentralized ledger as long as it runs under a control of single entity (IOTA Foundation). Throughout 2018, IOTA have validated aspects of their earlier roadmap and come up with great improvements, but also started researching a potential breakthrough that if validated, would greatly accelerate the performance of Coo-less IOTA.
The IOTA Foundation officially signed an MOU with UNOPS. Through this collaboration, the IOTA Team will work with different units at UNOPS to increase transparency and efficiency, as well as safety and security for UN workers who are out on the field on a mission.
The IOTA and European Smart City Consortium +CityXChange received a green light from the EU Commission. The ENGIE Lab CRIGEN and the IOTA Foundation (IOTA) signed a Memorandum of Understanding to cooperate in experimentation with the IOTA Tangle in the Energy and related IoT domains.
The list of similar memorandums and partnerships is extensive and goes beyond the scope of this article.
During the last year we could see, for example, the development of the Trinity wallet and although it is still in a Beta stage, we can use it without major worries. Trinity is undoubtedly much easier to use and has more user-friendly functions.
IOTA Roadmap for 2019
The Foundation already has plans in place to make community engagement on development, research and adoption a lot more interactive and open in the new year, starting almost immediately.
IOTA Roadmap is very detailed and transparent and you can scrutinize their plans on this link.
In short, Coordicide will be the buzz word of the year for IOTA community and the last update we had on this project was the creation of a testnet without Coo to prove that the network can work without the Coordinator. Thus we arrived at CLIRI which is a fork of IRI (IOTA Reference Implementation) in which all trace of the Coordinator was removed. CLIRI is a test therefore it is not ready to be tested in the main network. Anyone who wants to research the CLIRI function can do so in the following GitHub repository https://github.com/iotaledger/cliri
How to evaluate fundamentals of a crypto project
We should consider crypto valuations like educated gambling, a ‘prediction market’ where we are betting on the odds of project and token success. There are some catalysts of success we can identify:
- Project success drivers (user traction, strong financial bottomline, good treasury management, network effects/synergies between users and token investors)
Real user traction is the most important driver of success, that is what most of holders call “adoption”. If people start using certain crypto project because they find it useful and it makes their life easier, that is a guarantee of success. So far, almost no crypto project can claim to have done so.
Strong financial warchest that will enable teams behind the project to develop their visions, incentivize other developers to join them and start using their product is also a crucial aspect of any project. Tied into it is treasury management – especially for the project that had big ICO proceeds. Temptation to squander all those millions into “conferences and events” (read hard-core partying on yachts and luxury hotels) was massive, especially if we consider that majority of token projects founders were no-names and ordinary employees that worked for a paycheck before the ICO fairy-tale happened to them.
Another adoption indicator – network effects, where every additional user of a good or service adds to the value of that product to others. When a network effect is present, the value of a product or service increases according to the number of others using it.
If you can objectively notice that your favorite token project has some of these traits happening for it, be happy – you might have found a winner.
- Token success drivers (favourable demand-supply dynamics, programmable incentives on token, aligned incentives with management team and consensus on token as common unit of value creation).
Token success is completely dependent on tokenomics. As defined by infloat.co, tokenomics involves the incentivization of certain stakeholders to ensure particular behavior.
So, tokenomics is essentially an incentive structure designed to ensure that a token has a purpose and utility within its native network. It is the study of how coins/tokens work within the broader ecosystem that can be considered as a sovereign micro-economy. This includes such things like token distribution as well as how they can be used to incentivize positive behaviour in the network.
For example, bitcoin is designed to ensure that bitcoin miners have a reason to mine new bitcoin. Miners validate bitcoin transactions and receive (or create) newly minted bitcoin in the process.
On the other hand, individuals, businesses and other bitcoin users pay a transaction fee for miners to include their transaction in the next block. This ensures that even when all bitcoin have been minted (to the tune of 21 million, which should happen in around 2140), bitcoin miners are still incentivized to keep ‘mining’ (i.e. validating transactions).
To paraphrase all of the above in the simplest terms: if you, after weeks of research and reading, can’t figure out why the project needs to have a token, it probably doesn’t.
So why does the token exist then?
– To make the project founders rich.
But there are some people on Twitter, Reddit, Telegram claiming otherwise.
-Yes, they are either: paid to do so by those same founders, they are desperate and delusional bad holders or they are just stroking their own ego with newly learned fancy economic terms and jargon.
Needless to say – stay clear of such projects.
General Market Movements and Sentiment Shift
The downfall of altcoins that were mainstream media darlings at the start of the year, IOTA among them, can be attributed, in part, to novice 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, inability of altcoins to rally with it. Reason for that can be rookie 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.
Check out our guide on the next big cryptocurrency.
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, I am just observing 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 similar fashion to the firework that painted the evening sky tonight.
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, 2019 will act as a Darwinian selection mechanism, much like that of which the IT companies post-dotCom Bubble experienced.
This is a good thing and absolutely necessary for the real maturation of the space.
Our IOTA Price Prediction for 2019
IOTA, as the rest of the market, is tied at the hip of bitcoin’s price action. If bitcoin embarks on another bull run, IOTA can hope for one as well. Since that is very unlikely, don’t expect much to change for IOTA price-wise in this year. So 2019 will be a year of boring sideways action with minor bitcoin ignited jumps and slumps.
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:
- 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.
IOTA-BTC Price Correlation
The vast majority of trading that occurs in the crypto markets are between BTC and altcoin trading pairs. Since most altcoins do not pair with fiat currencies (and only a few are paired with stable coins like USTD), Bitcoin is the next best option. Therefore, when Bitcoin is stable, it forms as the ideal base currency for buying altcoins (which is why altcoins tend to do well when Bitcoin goes sideways).
Correlation is measured on a scale from -1 to 1. Values above 0 shows the degree to which altcoin is moving in the same direction as BTC prices (either up or down in tandem), and values below 0 shows the degree to which altcoin moves in the opposite direction of BTC prices (so when BTC goes down, altcoin goes up, or vice versa). Values around 0 shows that when BTC price moves, altcoins stays steady, or alternatively that when altcoin moves up or down that the BTC price is staying steady.
Based on the correlation analysis, BTC and IOTA have a strong positive relationship. The correlation coefficient of their prices is 0.62, which was estimated based on the previous 100-days’ price dynamics of both coins. Source – coinpredictor.io
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”
IOTA (MIOTA) Future Outlook
As a result, 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 IOTA be among those 5%?
Highly likely it will.
Future of this world is data.And data is IOTA’s main target.IOTA targets IOT(Internet of Things). IOTA has even started data marketplace alongwith the partnership of Microsoft,Fujitsu, Bosch etc. You can check it here – The IOTA Data Marketplace.
IOTA now has not only many premium companies as official partners, but also two world renowned influential experts (Dr. Richard Soley and Dr. Rolf Werner) as members of their supervisory board.
But not all is bed of roses with IOTA. Tangle and IOTA approach to DLT is absolute cutting edge and highly experimental.
The team is, at times, pretty mullish in their decisions, like the one to use a balanced Ternarywhich is a numeral system that has 3 digits,-1, 0 and 1. Iota was made to be used with existing hardware, But all existing Hardware now is completely binary. This means that all of iotas internal ternary notation has to be encapsulated in binary, This will result in increased storage and computational overhead. Iota cannot be successfully implemented into the present hardware and even if it is it will cause a significant wastage of both storage and computation power.
Iota violates cryptography’s best practices i.e Don’t Roll Your Own Crypto and this has resulted in a lot of vulnerabilities in the system and a team led by Neha Narula found many vulnerabilities in iota’s hash function curl and the one of iota’s co-founder (Sergey Ivancheglo) claimedthat they had deliberately added the flaws in the curl hash function as a ‘Copy Protection’. All of this summed up means one thing: IOTA 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.
All of this summed up means one thing: IOTA 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 IOTA 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.
Market prediction for IOTA – MIOTA Price 2019
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 IOTA price, which will give us another point of view to consider:
Walletinvestor is a popular website that does technical analysis-based price predictions of various cryptocurrencies and traditionally has a skeptical outlook for most coins. According to them, IOTA is expected to drop heavily to $0.05 per token in one year.
Trading beasts display that IOTA can climb to around $0.75 within a year which means it will essentially grow 2.5x in value in the next year.
Cryptoground predicts that IOTA might eclipse the current level by almost 3x and reach $0.85 by the end of 2019. They even added their version of IOTA price prediction 2024, where they stated that IOTA might reach $5.18 by 2024, a 20x increase to the current price.
Digitalcoinprice gave a neutral prediction saying that by 2019 end, IOTA might be worth two times more than now – around $0.5 per token.
IOTA Future: 2020, 2023, 2025
IOTA Price Prediction 2020
IOTA (MIOTA) has been one of the most argued projects in cryptocurrency over the last year. However, unlike many other vaporware projects, IOTA team kept working on their network and the project seems to have a solid future, despite being disputed by most of the bitcoin maximalists. In 2020, once the market wipes out the worthless projects, IOTA might jump into spotlight and top 5 coins ranks which could see the IOTA token price go up to its all time high levels of $5.69 per coin.
IOTA Price Prediction 2023
If IOTA survives to see 2023, that would mean the project stood the test of time and user adoption is growing, which would all lead to the token being worth at least 10-100x than its hitherto all time high. That would mean BAT would cost $56-560 per coin.
IOTA Price Prediction 2025
Again, if IOTA survives to see 2025, that would mean the project stood the test of time and user adoption is growing, which would all lead to the token being worth at least 100x+ than its hitherto all time high. That would mean IOTA would cost $560+ per coin.
Realistic IOTA 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 IOTA price for the foreseeable future is somewhere between its current price and its all time high.