As time goes by, the world keeps getting more digital. The digital universe keeps growing more and more through a vast network of computers and devices known as the internet. All of us use WiFi or Cellular Data to stay connected; be that for entertainment purposes or reading articles like this one. Even so, not only people stay connected through the internet; from smart light bulbs to smart cars, many other things use the internet. Moreover, there are moving things that need to stay connected to the internet in order to function normally – drones or smart watches just to name a few. Most WiFis set a password in order to keep their networks safe. While this enhances the overall user experience, it makes it impossible for many people and things to connect to it.
For instance, the Amazon Prime Air service drones need to have a persistent internet connection to deliver packages. Because drones cannot just magically guess the internet passwords, they need to use cellular data – a service that is relatively expensive. This is where blockchain technology steps in to save the world once again. This DLT does not fail to amaze us, making the internet more efficient, cheaper, and safer. This time, a project known as Helium is providing a solution to the above-mentioned problem. But what is Helium? How does it work? What are Helium Hotspots? What does the future hold for this project? These are a few of the questions that we will try to answer as briefly as we can throughout this article.
Helium (HNT) Fundamental Analysis
To start off, Helium was founded by Shawn Fanning, Sean Carey, and Amir Haleem in 2013 but remained on testnet until late-2019, when its mainnet was finally launched. Helium claims that the wireless connectivity options that are available in today’s world are utterly inadequate for the upcoming generation of technology. The Helium Network is a wireless network that thrives based on the coverage it has through its devices. Through this project, the team aims to provide new options for wireless connectivity, making it easier to build connected devices. In other words, Helium serves as a decentralized network for Internet of Things (IoT) devices and is powered by blockchain technology.
Helium’s circulating supply is 87 million, and it has a capped maximum supply of 233 million. Helium has a market capitalization of $962 million and a market dominance of 0.08% as of right now.
After five years, it is expected that there will be over 70 billion devices that will require to be interconnected in order to function normally. With such a potentially high demand, the internet that we know as of today is not going to be able to keep up with the pace, leaving users all over the world with high fees and low internet speed. Helium claims to be the solution to all this, providing long-range wireless technology through blockchain and possibly building a revolutionary network. Being built on blockchain technology, Helium aims to keep itself decentralized, giving each individual the chance of building and owning parts of the network. Additionally, Helium is known as “The Peoples Network” – being built and run by ordinary citizens. The network is validated and secured by nodes, also known as Hotspots.
What is Proof-of-Coverage (PoC)?
Helium secures its network by using a novel work algorithm that is called Proof-of-Coverage. That is to say, PoC aims to continuously verify that Hotspots are truly representing their actual location and their wireless network coverage. To do so, PoC tries to take advantage of the properties of radiofrequency in order to produce proofs. Because radiofrequency travels at the speed of light, this makes PoC extremely quick in producing proofs that are meaningful to its network.
What are Hotspots?
Hotspots are P2P wireless networks that provide IoT devices efficient and low-power data delivery to and from the internet. Helium Hotspots act as nodes to the Helium network, creating a blanket of connectivity in areas where they are connected with other hotspots. Because the network coverage widens as people use these hotspots, you get rewarded for using them. In one way or the other, this is a process of mining during which you get rewarded with HNT tokens for providing wider coverage of the network. Basically, hotspots supply a low-bandwidth internet connection, throughout miles range, to numerous devices; and they are able to do this using a wireless technology known as LongFi.
There are three distinct hotspot roles:
- Challenger Hotspot – they construct an issue the discrete unit of work for PoC known as “challenge”
- Transmitter Hotspot (Challengee) – they are responsible for transmitting or beaconing data packets
- Witness Hotspot – they report the existence of packets or “challenge” packets after they are transmitted.
Helium (HNT) Price Analysis
The cryptocurrency market has come a long way, with its market capitalization surpassing trillions of dollars. Helium is one of the new additions to this market. Having joined the market with its mainnet release in 2019, this coin is still in its early days. According to Coinmarketcap, HNT held a price of $0.2721 with a 24-hour trading volume of $66,395 in mid-2020. Throughout the months, the HNT saw a steady increase in its price, reaching a trading value of $1.29 by the end of the year. The coin continued to experience small price movements throughout the first weeks of 2021, until the end of January when its trading value almost doubled, leaving it with a price of $2.49. Its price growth continued throughout February, setting a new all-time high of $4.60 per one HNT. The coin cooled off for a week or two, just for it to skyrocket again during March.
This year’s bull run proved highly fruitful for the coin, during which the coin experienced a 1300% increase in its price, leaving it with an all-time high of $23.01. At the time of writing, one HNT is trading for $10.64, 4-5% less than yesterday, with a 24-hour trading volume of $15.3 million.
Helium (HNT) Price Prediction 2021
As we mentioned before, Helium is relatively new to the cryptocurrency market. That being said, there is still a long way to go before it finally reaches its goal – worldwide internet coverage using its technology. However, this project has been in development for quite some years now; starting its journey in the universe of blockchain as early as 2013. From the day it started its development until its mainnet release, Helium had four Funding Rounds; gathering a total of $53.8 million.
These funding rounds built a strong foundation for Helium, making its mainnet migration slightly easier. This project is just getting started; therefore, we should expect huge price increases on its native token. On a bullish note, the price of Helium may reach $40-$50 short term; with a potential trading value of $55 by the end of 2021. When it comes to long-term predictions, once its supply reaches its limit, its price might explode to new heights since the coin will become deflationary.
Helium (HNT) Price Prediction 2022
The coin is predicted to continue its growth slowly after the end of 2021. Entering 2022 with a potential price of $55 may prove to be a big boost. According to many predictions regarding the coin during 2022, it is said that HNT may experience a doubling in price during that year, possibly surpassing the $100 milestone and setting a new all-time high. That being said, the coin is likely to close in the year 2022 with a price between $75-$105.
Price Prediction For The Next 5 Years
The above-stated estimation that, in five years’ time, there will be more than 70 billion devices in need of constant internet connection to function gives us one more reason to believe that this coin is likely going towards a bright future. Having a low supply and high utility all while being run and governed by the community, gives this cryptocurrency nearly every element that it needs to flourish.
Helium may have a trading value of $180-$200 after five years, with a potential market cap of $46 billion; if it reaches its maximum supply by that time. Based on this estimation, HNT is a highly profitable investment, leaving investors with a potential 2122% of gains if they invest while the price is still around $10.
Helium (HNT) Market Prediction
Because of numerous factors that we stated throughout the article, HNT might have one of the best runs during the next few years. According to the forecast done by GovCapital, this cryptocurrency might end the year with a price of $28, just $10 above its current all-time high. The coin may continue this slow increase throughout the whole of 2022, potentially hitting the price of $53 exactly one year from the time of writing this article.
As we move on, the coin is likely to surpass the $100 milestone in March 2023. When it comes to long-term predicting, GovCapital states that HNT might hit the price of $533 by the end of five years, experiencing a 5800% by mid-2026.
Another prediction done for the future of Helium was done by WalletInvestor. Based on their analysis, the coin is set to end the year 2021 with a price between $23-$27 – a similar prediction to that of GovCapital. As per 2022, WalletInvestor states that the coin might double its price throughout the year, entering the year with a trading value of $24 and potentially closing it somewhere between $44-$49. To wrap it up, they estimate that HNT might surpass the $100 milestone by the end of 2025, and close the five-year period with a price of $117.
Our Price Prediction
The vision that the team behind Helium has is undoubtedly astonishing; and even better, it is totally realistic and possible. Interconnecting the world using a totally decentralized solution may sound crazy at first, but with Helium, it is not.
After careful research and analysis, we at Crypto Academy predict that the coin might continue increasing during this year, closing down in 2021 with a trading value of $45. Moreover, we think that the coin may continue this uptrend throughout 2022 as well, hitting the $100 milestone and setting new all-time highs.
As for the long term, we believe that the coin is set to increase to a price between $300-$350. To wrap it up, the coin might experience a short downtrend and then skyrocket back up, possibly reaching $600 by 2030.
Historic Market Sentiments
According to Coinmarketcap, this year was not a good one when it comes to the price of the HNT coin. During this year, the coin’s price fell as low as $0.25, setting an all-time low – one that has yet to be broken. However, the price recovered shortly after and HNT left December 2020 with a trading value of $1.29.
As for most cryptocurrencies, 2021 was the best year HNT experienced so far, reaching skyrocketing prices and setting many new all-time highs. In the 28th of May, the coin hit $23.01, setting its current all-time high.
Frequently Asked Questions
Can Helium (HNT) be mined?
Yes, you can mine HNT by using their hotspots. By using their devices you are giving them a wider coverage of their network; therefore, you get rewarded in HNT tokens.
Can Helium (HNT) reach $100 by the end of 2021?
Maybe, it all depends on the way the whole market moves. Even though Helium is an amazing project, the overall market success is also a factor that plays a huge role. Despite that, many prediction websites and experts claim that HNT is likely to reach $100 in the upcoming few years.
Is it worth investing in Helium (HNT)?
Based on the research that we have done, investing in HNT might be a clever move; yet, never invest without doing research on that particular coin. Read more on 6 Tips For Investing in Cryptocurrency In 2021.
Where can I buy Helium (HNT)?
- Helium (HNT) is a blockchain network that claims to be totally decentralized.
- It uses Proof-of-Coverage (PoC) through its nodes that are continuously being distributed.
- You get rewarded in HNT to broaden the area covered by their network using their nodes – also known as hotspots.
- At the time of writing, there are 87 million circulating HNT tokens, with only 233 million to ever be created.
- On the 1st of August 2021, the rewards earned for mining HNT using their hotspots will be halved.
- As of today, there are 68649 active hotspots spread throughout the world.
- According to many prediction websites and crypto experts, now might be a good time to invest in Helium.