If you are looking to buy OMG Network, it’s a good idea to familiarize yourself with it and learn how to make price predictions. It’s not a good idea to rush into any investment.
By learning the basics (at least) of OMG Network, its ambitions, realistic projections and how to read its price data, you will be able to start distinguishing between fact and fiction on the internet. Not only that, but most cryptocurrency forecasts are out of date and a lot can change within an hour, let alone a few days in the crypto market. Finally, the answers to how to buy OMG Network and where to buy OMG Network vary from person to person and they can make or break your investment!
Defining OMG Network
OMG Network, previously called “OmiseGo”, was created in 2017. It aims to connect currencies, assets, and payment providers through the use of its blockchain technology. Its blockchain is decentralized, running as a “dApp” on the Ethereum network. “dApps” are “decentralized applications”, and although Ethereum acts as a “parent chain”, essential to the processing of transactions on the OMG Network, both cryptocurrencies are distinct entities with separate ambitions. While Ethereum aims to be the number one currency, OMG Network wants to be the biggest payment portal. Think of it like the PayPal of cryptocurrency.
Many cryptocurrencies have slow transfer speeds, unpredictable fees, and varying levels of security. OMG Network seeks to offer users the reverse: fast transaction speeds, low fees and high security. If blockchain is to become the central exchange and store of value, it will certainly need a safe, cheap, and reliable payment system. OMG Network is referred to as “layer-2” (built upon Ethereum). Ethereum is called “layer-1” because it is a standalone network. The problem layer-1 networks like Ethereum face are ensuring the blockchain is both secure and “trustless” (not reliant on a 3rd party). As a result, transaction processing times and fees can increase. The OMG Network can focus purely on the quality of its transfer service.
OMG Network Explained
The OMG Network use a good analogy to explain how their technology works on their website. Think of a transaction on the blockchain like a cab journey. You will be charged for the distance and time you are taken. This means your fare will go up if there’s lots of traffic on the road. This is how fees are determined when you use the Ethereum network alone. By using the More Viable Plasma mechanism (“MoreVP”), the OMG Network turns your cab ride into a “carpool”. MoreVP groups payments together, meaning they can be processed quicker and cause less congestion on the network.
Using Ethereum’s blockchain comes with some big advantages. OMG Network has all the security of Ethereum and, on top of that, it uses another transaction verification body to make it virtually impossible to disrupt or steal from the network. Just like Ethereum, OMG Network is also trustless, so even if it stopped working overnight, all users’ funds could be retrieved from Ethereum via the root chain. Ethereum acts, therefore, as a security, transfer and insurance service. The OMG Network is then free to focus on sorting transaction requests into groups for a cheaper and faster service. Not only this, but the OMG Network is free to facilitate cross-platform payments (via separate “smart contracts”) and its unlimited scalability means it has the potential to perform all transactions globally.
OMG Network has grown rapidly, since first joining the cryptocurrency market in 2017, with a current market cap of around $500 million. The price of OMG began at around $0.40 and, less than a year later, it reached its all-time high of $25.72. Prices have since dropped to between $4 and $5. Although its price spike in 2018 was inflated due to an extremely bullish crypto market, OMG Network has gained a lot of support which is a reflection of the utility of its technology. There is a need for the kind of payment service OMG Network is offering and so it is easy to envisage their success growing with the marketplace as a whole.
There are two major obstacles in the way of OMG Network. The first is simply that the cryptocurrency market may fail over time. Cryptocurrencies may never get the same sort of stability as fiat currencies (preventing mass adoption), environmental fears may win out or any number of other possibilities. The second big threat is competition. There are currently no exact replicas of OMG Network but some cryptocurrencies are using similar technologies or working in the same market space. MATIC Network, for example, is also using “plasma” architecture to connect to Ethereum as a child chain and, likewise, Terra Luna’s ambition is to be a global payments provider. Nevertheless, most crypto pundits foresee OMG Network’s price rising over the next decade by between five and ten times.
Predicting The Price
As mentioned above, price predictions for OMG Network are bullish. With the likely price tag for OMG being over $30 towards the end of the 2020s. Compared to the growth of stock market, this may seem like an impossible growth rate, but it is quite a conservative estimate relative to many other cryptocurrencies. Perhaps these predictions will turn out to be massively undervaluing (or overvaluing) OMG Network. There are so many factors involved that it’s impossible to forecast the price of any cryptocurrency with complete certainty. If you are interested in buying OMG, however, it will serve you well as a trader to be able to make price predictions, without relying purely on others (who may have a vested interest). Furthermore, price forecasts quickly go out of date with new factors and data emerging.
Chart indicators are the most popular method for making price predictions, not only on cryptocurrency but across all marketplaces. Indicators help traders to make future price forecasts (from seconds to years in advance). They do this by elucidating various price patterns within their data. Some indicators, such as Bollinger Band, can be used to show the volatility of a cryptocurrency. Moving Average Convergence Divergence (MACD) highlights possible trends, some indicators measure volume (amount being traded) and so on. There are hundreds of different chart indicators which you can use. It is advisable, when you start, not to use too many indicators at the same time as you can end up overcomplicating things. See if you can find any basis for long-term predictions in the charts!
Buying OMG Network
The best way to buy OMG, or invest in OMG Network, varies from trader to trader. Certainly, the easiest way to have a stake in the company is by purchasing its OMG tokens. This can be done at numerous exchanges and online trading platforms. After buying OMG, the safest way to store your coins is to transfer them into a wallet and keep them offline i.e. in an external hard drive USB stick. Just don’t forget your passcode! Another option is to place derivative bets on OMG. This means you will agree on a separate contract relating to the underlying asset (OMG), without owning the asset itself.
Forms of derivative bets include options and futures contracts (these are “hedging” options to reduce potential losses), CFDs or shorting. “CFDs” (“contract for differences”) enable traders to leverage more money and increase their potential profit margins. CFDs have become a particularly popular trading option over recent years but remember you can lose just as much as you can gain. Shorting is another derivative market if you believe OMG Network will go down in value. Check carefully the time period of your shorting contract before you place your bet and work out your potential losses if OMG stays the same or goes up in value.
Where To Buy
While there are many exchanges and trading platforms available now, we believe the best place to buy OMG is from our online brokerage, TradeOr. TradeOr has a comprehensive list of cryptocurrencies available to buy, sell and bet on today. Not only that, but we also cover other major marketplaces, including the stock market, forex, indices, and commodities. If you are interested in trading using CFDs, our fees are some of the lowest. Our online trading platform has a wide range of features and functionality. We have many types of market analysis and chart indicator tools at your disposal, for example. Our support team is fantastic. They can offer both technical and expert advice to keep your trading experience running smoothly.
OMG Network uses the Ethereum blockchain to provide a payment service that can trade any form of cryptocurrency. There is a clear need for this sort of technology within the industry. This is reflected by its huge successes since it began in 2017. Its future path isn’t without a few obstacles, such as the welfare of the cryptocurrency market in general and various competitors within its market and technological sector. The general prognosis for OMG Network is bullish over the next five to ten years, however, and you can create price predictions using chart indicators. If you want to buy OMG Network’s token “OMG” then this is relatively straightforward. Alternatively, you can place a derivative bet. For all your trading needs, we highly recommend our very own TradeOr.