In this guide, we will express our and the market’s opinion on the future of AR as we discuss Arweave’s pricing forecasts for 2023 and beyond.
Keep in mind that you should take this and any other forecast with a grain of salt as predicting anything is a thankless task, let alone predicting the future of a new highly volatile financial asset like Arweave.
Now, let’s get into it.
Before we delve into Arweave’s price prediction and answer questions about whether AR is a good investment or not, why AR will succeed or fail, or why Arweave’s prices will rise or fall, let’s quickly take a look at what AR is and its history to date.
What Is Arweave crypto?
project is a decentralized data storage solution that works with blockweave technology and the native Arweave token (AR). Network users can pay a one-time endowment to be used and provide permanent, immutable data storage.
As such, Arweave has a lot in common with other decentralized storage platforms like Filecoin and Sia, both of which also use cryptocurrencies to create marketplaces for users who want to buy and sell data storage services.
Anyone can contribute to the network by renting unused storage space on their computer. In addition, the Arweave project uses the new consensus mechanism Succinct Proofs of Random Access (SPoRA) to maintain stability and security throughout the network. Next to this is the ‘permaweb’. The permaweb is a community-owned network that works just like the traditional web. However, once a user adds data to the permaweb, it cannot be changed or removed, not even by the creator.
Arweave’s AR Token Economy
55 million AR tokens were created when the Arweave genesis block was mined and another 11 million tokens will be introduced into circulation as mining rewards. To store data in the blockweave, you need to pay fees in AR tokens. Arweave miners receive these tokens in exchange for mining new blocks, which forces them to store data.
However, transaction fees do not go entirely to miners. Most of the transaction fee is allocated to a storage “endowment”, which is distributed to miners over time. In effect, the user pays an upfront commission on which interest accrues, which is subsequently distributed to the miners. This incentive cliff serves to limit the amount of volatility of the AR token, while ensuring the long-term viability of its mining-based consensus mechanism.
AR Price Prediction for the next 90 days
The entire cryptocurrency world is on the verge of complete collapse. Bitcoin fell 75% from its all-time high amid broader market declines caused by furious inflation and the US Fed’s rate hikes.
When you add the most recent collapses of huge industry players (FTX, Celsius, Moon etc.) into the equation, the horizon is murky and there will be more blood on the streets of the crypto city.
Investors are selling risky assets and moving to more stable markets. Crypto is still perceived as a very risky game and therefore sell off.
Our algo still sees some green in 2023, especially in the second half of the year. This is reflected in our forecast for 2023.
Right now, Bitcoin needs to find a bottom before we can move in the opposite direction and reverse the trend.
Once Bitcoin settles into the new price range, altcoins will start doing the same – we’ve seen this scenario dozens of times in distant and more recent history.
Our price forecasting model is bearish for the next 90 days with a hint of a bull market straddling quarters from Q1 to Q2. We expect whales and other larger players in the market to finish filling their bags around that time, which will cause a typical and sudden crypto spike.
The fundamentals we evaluate are teams, tokenomics, use case, community, marketing efforts, liquidity and availability of exchange, hype and speculative potential, and some other proprietary factors developed in our crypto lab.
Arweave Price Prediction 2023
Our forecast model calls for a temporary shift to a bear market in early 2023 before moving to another lead in Q3 and Q4 of 2023.
AR Price Forecast 2025 – 2030 – 2040
Our forecasting model predicts that AR will reach new highs in 2025:
The AR price in 2030 and 2040 is expected to be a couple of orders of magnitude higher than our 2025 forecast.