Indian cryptocurrency builders and traders are still hopeful about the fate of the digital currency in India despite the vulnerabilities in guidelines with respect to trade in cryptocurrencies and the recent crash in the crypto market.
At the beginning of this year, the crypto market dropped below the $2 trillion mark and continued to have a steady fall before witnessing a slight recovery in April. Overall, the cryptocurrency market has slumped by approximately 70% in value from its all-time record high in November 2021. Tokens like Dogecoin, Avalanche, and Solana, among others, have witnessed up to a 90% dip. Currently, the total cryptocurrency market cap stands at $860 billion.
Despite the all-time low, experts believe that India can still play a significant role in the future of cryptocurrency if it forges ahead in the right direction. This notion is backed by the fact that crypto is still a very new concept, and like any other novel innovation, it will require time and investment to make regulations in its regard. According to a study, the global cryptocurrency market is expected to reach $1,902.5 by 2028, and artificial intelligence will play a significant role in that.
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The fate of cryptocurrency in India is not as bleak as it should be because of its decision-making government. The Indian government is currently formulating a policy on Web 3.0, which is the new breed of the internet that can potentially become the decentralized version of the virtual world. This policy can enable India to take part in the worldwide strategy improvement and adjust its strategies to this quick world. According to experts, Web 3.0 is the eventual fate of cryptographic money, and embracing artificial intelligence, India is making efforts to be at the forefront of creating strategies around it.
How can AI help the fate of the cryptocurrency industry?
Artificial intelligence is already being used quite actively in the cryptocurrency industry. However, many experts believe that the adoption of AI in the crypto market will continue to grow steadily in the upcoming years. The AI market size is expected to reach $360.36 billion by the year 2028. Since the AI industry itself is developing at a drastic pace, it can effectively support the further development of the cryptocurrency industry as well.
Over the past few years, artificial intelligence has been effectively used to create numerous chart patterns and indicators to assist crypto traders in their ventures. With AI tools, traders can make the most out of the volatile cryptocurrency market. However, AI has so much more to offer.
One of the major concerns for traders regarding crypto trading is that the market stays open 24×7. This means that there is always some sort of activity taking place in the crypto market. Considering that, it is almost impossible for traders to analyze these price movements constantly. However, artificial intelligence is more than capable of monitoring the price movements in the market at all times. For example, it can ensure that whenever there is some movement in the market that might earn traders some profits, the automated trading bot will take informed actions on behalf of the traders.
The past few months have been quite damaging to the cryptocurrency market. The majority of the crypto assets fell in value, resulting in massive panic in the market. Experts in the market are predicting different scenarios of developments in the near future. Some experts claim that the prices of crypto assets will continue to dip, while others say they will start to recover in the foreseeable future. However, one thing is certain. As artificial intelligence keeps upgrading every single day, AI will become even more effective in terms of contributing to the cryptocurrency industry in the future.