Bitcoin has been put to the extreme test during the past few weeks as this year’s cryptocurrency market crash has raised questions about the viability of the industry, with investors bearing the brunt of the collapse and market fear hitting a new high.
Fears of a worldwide recession and the highest inflation in over four decades have delivered a heavy blow to the young cryptocurrency market in 2022, spawning a brutal crypto winter that has driven once-soaring companies to shut down and investors into panic-selling.
Nearly $2 trillion in market value, billions of dollars in frozen assets, and thousands of jobs have been lost because of the turbulence, but these losses may only be the beginning.
Despite the bleak outlook, the chief executive officer of this digital assets management company is optimistic.
Gavin Michael said in an interview with Yahoo Finance on Friday that the cryptocurrency industry is “not going away.” In fact, he claims that interest in the field is motivated by the likelihood of a significant resurgence next year, following the recent decline of Bitcoin and other cryptocurrencies.
The ICE-founded Bakkt, which offers a platform for institutional investors to trade bitcoin and other cryptocurrencies, continues to make gains in the digital assets market. The site just announced a partnership with Visa to provide crypto debit and credit cards. Mastercard is also an existing partner of Bakkt.
According to Michael, Bakkt’s partners, the majority of which are international corporations, continue to exhibit significant interest and enthusiasm.
“They have been monitoring this area for a very long time. They comprehend the peaks and troughs that we are witnessing.”
In his evaluation, Mike McGlone, senior commodity analyst at Bloomberg Intelligence, believes the cryptocurrency market’s sharp turnaround in early August, led by Bitcoin, is just getting started.
(As of this writing, Bitcoin was trading at $21,416, down 13 percent in the last seven days, data from Coingecko show).
After the crypto market meltdown in the first half of 2022, according to McGlone, the crypto market will lead other asset classes in a recovery in the second half of this year.
After reaching $3 trillion in value in November of last year, the cryptocurrency market had its worst first half ever, falling more than 70% by July.
According to analysts, the cryptocurrency market has now regained almost 33% of its losses, but is still down more than 60% from its all-time high.
Meanwhile, Michael states that Bakkt continues to innovate because “customer interest in crypto remains robust.”
The CEO said:
“We continue to expand our crypto capabilities in order to suit these changing market demands.”
Crypto total market cap at $999 billion on the weekend chart | Source: TradingView.com Featured image from GOBankingRates, Chart from TradingView.com
Explore the transition from Avalanche's WebWallet to the new Core wallet. Discover Core's advanced AVAX staking features, multi-chain access, and user-centric functionalities, marking a significant leap in blockchain technology
BrianDive into SushiSwap's strategic evolution as Kanpai 2.0 concludes and the xSushi model makes a triumphant return. Explore the impact on Sushi Bar, the innovative changes in tokenomics, and the future of decentralized finance. Join us as we unveil the next chapter in SushiSwap's journey, balancing tradition with innovation in the DeFi space.
WeiliangExplore the transformative Kepler hardfork on BNB Smart Chain. Delve into the significant updates and Ethereum compatibility upgrades set to redefine blockchain efficiency and security.
MiyukiIn response to the recent security breach, Kyber Network unveils a robust compensation plan for affected users. Starting February 1st, the plan offers structured options for reimbursement in USD stablecoins, prioritizing transparency and user choice. Complete KYC by January 23rd to participate
BrianExplore the transformative realm of Open Campus: a revolutionary Web3 educational platform fostering innovation through its Open Campus ID, OC-X accelerator, and an expansive, collaborative network. Discover how it's reshaping the landscape of global education, empowering learners and startups alike.
WeiliangDiscover how Cosmos Hub's proposal to set ATOM's minimum inflation rate to 0% aims to redefine its scarcity and impact the blockchain ecosystem. Voting ends January 23rd.
MiyukiNumerous complaints on various platforms highlight growing frustration over the sudden increase in eligibility requirements by Memeland. Ray Chan Chin-ching (陳展程) CEO and co-founder of entertainment online platform 9GAG.
AlexDiscover the groundbreaking integration of $GPC (Gold-Pegged Coin) and Goldstation on the Klaytn blockchain. Explore how this pioneering move paves the way for cost-effective and accessible gold token trading, setting new standards in the DeFi space.
BrianExplore the revolutionary MintID by Mint Blockchain, a multifunctional utility NFT PASS. Discover its unique features, limited availability, and the potential it holds to reshape the future of NFTs and digital assets. Dive into the transformative journey with Mint Blockchain's Q2 mainnet launch
WeiliangChina, traditionally anti-crypto, is making waves in the metaverse with tech giants like Huawei and Tencent forming a consortium to set standards. This unexpected shift signals a strategic pivot, showcasing China's adaptability and positioning it at the forefront of metaverse innovation.
Joy