Forbes 2026 Crypto Trend Forecast: Where Will the Market Go After Volatility Decreases?

Original Title: 5 Crypto Predictions For 2026: Breaking Cycles And Crossing Borders
Original Author: Alexander S. Blume, Forbes
Translated by: Peggy, BlockBeats

Editor's Note: As digital assets gradually move into the mainstream, the industry is undergoing profound transformation. After the volatility and adjustments of 2025, the crypto market remains sluggish, investor sentiment is cautious, and the industry is at a critical moment of consolidation and reshaping. However, a downturn does not mean stagnation; rather, it is the prelude to the next stage of innovation and maturity.

In the author's view, as institutionalization accelerates and regulatory frameworks become clearer, 2026 is expected to be another strong year for the development of digital assets. This article is written by Alexander S. Blume, CEO of Two Prime and a veteran digital asset investment advisor. Founded in 2019, Two Prime focuses on digital asset management and institutional-grade financial services, with a focus on bitcoin-related asset management, lending, and structured products.

This article presents his five major predictions for the crypto market in 2026, covering stablecoins, DATs, market cycles, cross-border liquidity, and product refinement, helping readers grasp the key opportunities and challenges in the digital asset field for the coming year.

2026 will be another strong year for the development of digital assets

At the end of last year, I predicted that 2025 would be the "year of transformational implementation" for digital assets, as significant progress had been made in mainstream adoption in both retail and institutional markets. This prediction has proven true in several respects: increased institutional allocation, more tokenization of real-world assets, and the development of regulatory and market infrastructure supporting cryptocurrencies.

We have also witnessed the rise of Digital Asset Treasury companies (DATs), although this trend remains fragile. Since then, the prices of bitcoin and ethereum have risen by about 15%, and these two types of assets are gradually integrating into the traditional financial system and gaining wider adoption.

The mainstreaming of digital assets is no longer in question. Looking ahead to 2026, we will see continued maturity and evolution, with the experimental phase giving way to more stable growth. Based on the latest data and emerging trends, here are my five major crypto predictions for the coming year.

DATs 2.0: Bitcoin Financial Service Enterprises Will Gain Legitimacy

This year, DATs (Digital Asset Treasury companies) have experienced rapid expansion, but also growing pains. From liquor brands to sunscreen companies, many have rebranded themselves as buyers and holders of crypto assets, but investor skepticism, regulatory pressure, mismanagement, and depressed valuations have all challenged this model.

Among a series of new projects, some DATs even hold so-called "altcoins," but in reality these are merely speculative projects lacking historical track records and investment value. However, in the coming year, many of the issues surrounding the DAT market and its strategies will gradually be resolved, and companies truly operating on a bitcoin standard will find paths to enter the public market.

Many DATs, even the largest ones, will begin trading at prices closer to the value of their underlying assets, and managers will face greater pressure to create value for shareholders more effectively. After all, a company that simply holds a large amount of bitcoin and does nothing (while maintaining private jets and high management fees) is not a good investment for shareholders.

Stablecoins Will Be Everywhere

2026 will be the breakout year for stablecoins. USDC and USDT are expected to further penetrate traditional financial transactions and products, no longer limited to trading and settlement scenarios. Stablecoins may appear not only on cryptocurrency exchanges, but also in payment processors, corporate treasuries, and cross-border settlement systems.

For enterprises, the appeal of stablecoins lies in enabling instant settlement without relying on slow or expensive bank payment networks.

However, similar to the situation with DATs, we may also see oversaturation in the stablecoin market: too many speculative stablecoin projects launching, too many consumer-facing payment platforms and wallets emerging, and too many blockchains claiming to "support" stablecoins. By the end of the year, many speculative projects are expected to be eliminated or acquired by the market, leading to industry consolidation, ultimately dominated by more influential stablecoin issuers, retailers, payment networks, and exchanges/wallets.

The Four-Year Cycle Will Become History

I am announcing now: bitcoin's "four-year cycle" will officially end in 2026. Today's market is broader and more institutionalized, no longer an isolated ecosystem. Instead, a new market structure and sustained buying pressure will change bitcoin's trajectory, resulting in continuous, gradual growth.

This means overall volatility will decrease, and bitcoin will become a more stable store of value, driving broader adoption by global traditional investors and market participants. Bitcoin's evolution from a trading tool to a new asset class will be accompanied by more stable capital flows, longer holding periods, and less "cyclical" volatility.

U.S. Investors Will Gain Offshore Liquidity

As digital assets further enter the mainstream and favorable policy environments advance, relevant rule-making and market structures will allow U.S. investors to access offshore crypto liquidity. This change will not happen overnight, but over time we will see more approved affiliated institutions, improved custody solutions, and offshore platforms that meet U.S. compliance standards emerge.

Certain stablecoin projects may also accelerate this trend. USD-backed stablecoins can already circulate across borders, something traditional bank payment networks cannot achieve. As major issuers expand into regulated offshore markets, they have the potential to connect U.S. capital to global liquidity pools. Simply put, stablecoins may ultimately achieve what regulators have long sought: connecting U.S. investors to international digital asset markets in a clear and traceable way.

This is crucial because offshore liquidity plays a key role in price discovery in digital asset markets. The next stage of market maturity will be the standardization of cross-border market operations.

Products Will Become More Refined

The new year will bring a new wave of refinement in bitcoin-related debt and equity products, along with more trading products centered on bitcoin-denominated yields. Even investors who were previously cautious about digital assets will begin to embrace this more sophisticated product ecosystem.

We are likely to see structured products collateralized by bitcoin, as well as strategies aimed at generating real returns through bitcoin exposure, rather than merely betting on price fluctuations. ETFs have already begun to go beyond simple price tracking, offering yield through staking or options strategies. Although fully diversified total return products remain limited, derivatives will become more complex and better integrated with standard risk frameworks. By 2026, bitcoin will no longer be just a speculative tool, but will gradually become a core component of financial infrastructure.