The Prediction for Filecoin for the year 2021

Posted 2021-06-03 IPFS_hotfish

I’m gonna be making a price prediction for filecoin for the year 2021. So when I make these price predictions, I’m just looking at the big picture, the overall macro economic landscape seeing what certain external factors could affect the filecoin price, and just trying to find that peak that we could see in this year. You know take into account how far we’ve come so far, and just how far we could go from this on.

 I’ve made these price predictions in the past especially in November and December of last year. I made quite a few and then I also made some this month. The rest kind of revisiting those past price predictions just to see how close I was and if anything is changed in the overall macroeconomic landscape. That would affect those price predictions. But with filecoin I actually did not make one the first time around. It was something that I knew about and I knew that decentralized file storage is going to a big need for the world in general. Now it is definitely proven itself that this could be a crypto currency that could be around for a very long time and could be one of those top ten that you always see market cap. Because I think that what they’re working on is absolutely revolutionary. A lot of people are working on it, but it’s just a problem that needs solved. I think that we’re seeing massive data storage problems all over the world and everything is centralized which makes it not only a lot less efficient and a lot harder to keep track of, but it also makes it a lot less secure. I think that security is something that is starting to mean a lot to people when maybe it didn’t in the past 5 or 6 years, but when you think about your data, your information, everything that’s out there on the internet, people are getting a lot more conscious about their security. 

So I think filecoin is a big step towards that. Because of that, I think that we will see continued price movements upward, but we saw a massive run up in the beginning of this year all the way up to all time high of $237 before a big time crash. I think that this was just a classic example of something you see in crypto currency all the time. It was moving a little too fast, a little too high, a little too fast. And I think that it was kind of just feeding off a lot of catalysts that getting a lot of hyper on the coin of the coal mining operation in China is one of the biggest catalysts right now, but I also think the Gray Scale Trust was a big one. I think that when people realized they could buy the Gray Scale Trust on the stock market, and even people who don’t have Coinbase could still get somewhat exposure to filecoin. I think that was a big moment for them and that’s why the price ran up so much.

But where we are from here sitting at around the $160 to $150 range, I still think we could see a big movement upward. It may not be one of the bigger movers of the cycle, but when everything comes crashing down at the end of the cycle, it’s one that I’m really gonna keep my eye on and maybe try to jump in when there’s a little bit of discount. Because I think that is something that’s going to be around for cycles to come. And until someone else comes around and actually has a better network fit for this endeavor. I think that there’s still the leader in the clubhouse and that’s such an important thing when like we said in the beginning of the vide. It’s a problem that needs solved and it’s something that a lot of people are working on. It’s something that definitely is going to happen at some point that being decentralized file storage.

But I think that when we’re looking at the rest of this year and what we can see, I don’t know what the next catalyst is going to be. So every time that happens, I get a little bit worry it’s just to ride the momentum of the rest of the crypto currency market and nothing specially on its own is gonna make it move like it did in February and March. There’s already talk that there’s certain data storage units they’re trying to use by a coin to kind of create an infrastructure for all of crypto currency, but we’ll see how all of that goes. 

I still think at this point I’m looking at somewhere between the $600 to $750 range as the peak of 2021. That still is about a 6 to 7 X from where we are right now, so I think that is still a very big move in a very big investment potential.Just looking at the rest of the year to see where it eventually will go.

So I think eventually we’re gonna see a bit coin of theory and all the big names, but filecoin might join that inner circle. When that happens, we could definitely see this thing $1000 plus for each point, maybe $2000 plus. 

The interesting thing about their circulation supply is that the max supply is going to be around 2 billion or actually is exactly 2 billion. But there’s not even close to that in circulation right now. There’s only tens of millions in circulation. I still think like we’re talking about all the mining that’s happening in China, the scalability is gonna be something to watch and see just how this process goes and to see if they can pick up the pace a little. Because I think eventually you’re gonna have a situation where you want you know a well scaled network, and I think that’s what they’re going for. But you get a situation where you’re thinking about what these coins are worth with the circulation that’s available, not the total circulation.

So right now I’m gonna stick with around $600 to $750. I would lean a little bit more towards $750. I think that we will see some one of a seven X from here. But I still think that when the crash comes, it’s gonna hit filecoin going hard, it’s gonna hit everything hard. So when that happens, I’m gonna try to get a little bit of a discount. But who knows that drop could be less or it could be more than it is now. 

Right now could be less than where bottoms out after the drop. We will just have to see how all of that goes. It’s gonna be very interesting to watch, but I think I’m very intrigued by this project, even though it had that massive take down after the big run up to $237. I still think it has a lot of potential, and I think that people are starting to realize how important that would be to the overall ecosystem of the Internet.

So definitely check out filecoin, follow that price. It’s something that I really think could be a big mover at some point. I think the next cycle could be when it really takes off. We’ll just let’s see how all this happens. This is not financial advice, it’s just personal perspective.

 

By Protocol Labs