Looking back at the year in crypto: highs, lows, what’s in store for 2022
2021 has been a great year for cryptocurrency, despite some hiccups along the way.
We’ve seen Bitcoin hit multiple new all-time high prices. Ethereum, the second-biggest cryptocurrency, reached its own new all-time high in November as well.
Cryptocurrencies also broke into the mainstream this year, thanks to long-standing crypto believers like Tesla CEO Elon Musk and buy-in from influencers: from finance giants like Goldman Sachs and Mastercard to pop-culture top dogs like Paris Hilton and Snoop Dogg.
The industry is only in its infancy and constantly evolving. As many analysts have pointed out, crypto’s long-term value is determined not by its immediate volatility but by its acceptance in major retail and finance spaces. Much of which was achieved this year in various industries:
- Real estate: Many real estate companies worldwide now accept part or full payment in Bitcoin and other cryptocurrencies. In July, a $22.5 million Miami Beach penthouse became the most expensive home ever purchased in cryptocurrency.
- Finance: Multinational financial services competitors Mastercard and Visa have integrated cryptocurrencies in their operations, and many investment institutions now have crypto as part of their investment packages.
- Currency: This was also the year Bitcoin officially became a legal tender in El Salvador and Myanmar.
Cryptocurrencies have also benefited from the launch of investment products like the Bitcoin-linked futures ETF, approved in the United States after years of failed attempts. Bitcoin ETFs allow traditional finance traders to invest in Bitcoin without owning any crypto, further expanding the reach and possibilities of the space.
Looking ahead to 2022:
According to crypto strategists, the cryptocurrency sector is maturing, and assets like Bitcoin are showing their revolutionary resistance — this year, we’ve seen the crypto market go through waves of dips and relatively quick recoveries. They believe crypto’s resistance will likely be replicated next year, backed by the continuous expansion to various industries.