Bitcoin encountered massive corrections after hitting its record highs. Nevertheless, the crypto entered 2022 with gains exceeding losses.
Bitcoin had roller-coaster movements in 2021. However, the asset entered with gains despite the lows and highs. The leading cryptocurrency saw the most gains than the previous year, recording its highest peak at $69,000.
Meanwhile, BTC suffered plunges after the record highs, exploring the lower levels of $42,000. COVID-19 variant contributed to Bitcoin’s fluctuations. The best thing is that BTC entered the New Year with gains surpassing losses.
Bitcoin dominance fluctuated around 40% for most of 2021. BTC remained range-bound after touching the new ATH some months ago. Meanwhile, the digital coin turned from a speculative product to a store of value. With that, Mudrex founder Edu Patel believes institutional buying will increase in 2022.
Patel believes Bitcoin can rise towards the $100,000 level. Meanwhile, adoption is vital for the asset’s price actions. He also believes limited BTC’s network usability might need revolutionary adjustments to even near ETH’s adoption.
The crypto market in India might depend on the Authority’s strategy to introduce regulation for the space. Narendra Mod, Prime Minister, stated that digital tokens could fuel more fraud.
Early on the year, minister of finance Nirmala Sitharaman revealed that the lawmakers reviewed a bill that seeks to ban cryptocurrencies, with no plans for BTC legalization. She rattled speculations about the upcoming crypto bill, saying it was unhealthy. Sitharaman stated that the government would rework a well-thought crypto law.
Nevertheless, the parliament’s winter session ended without a crypto bill mention. The Reserve Bank of India repeatedly highlighted the impacts of crypto on macro-economic stability. RBI trusts private cryptos to risk customer safety. The bank cited price volatility and online frauds like terrorist financing and money laundering.
Indian move on the crypto market can affect Bitcoin’s price, similar to China’s impact. Nevertheless, Bitcoin has always won its battles. Analysts maintain a bullish outlook on Bitcoin setting the next target at $100,000. Institutional adoption is essential for BTC to hit its enthusiastic aim.
What are your thoughts on the crypto spectrum a far as 2022 is concerned? Should we wait for new ATHs? You can comment below.