Coinspeaker
Crypto Renaissance: One Year Since FTX Collapse and 2 Years Since BTC $69K ATH
A year after the crypto market saw the collapse of the now-defunct FTX Derivatives exchange and two years after Bitcoin (BTC) saw an all-time high of $69,044, the narrative of “Crypto is dead” has been unequivocally debunked.
Crypto Market: Post-FTX Collapse
The collapse of FTX was a turning point for the crypto market, leading to widespread skepticism and calls for its demise. However, the past year has seen a remarkable shift in sentiment. As highlighted in a recent blog post from Coinbase Global Inc (NASDAQ: COIN), institutional interest in cryptocurrencies has surged, with the filing of Exchange-Traded Funds (ETFs) and increased participation from financial titans.
Additionally, the user base for crypto assets has grown to an estimated 420 million globally, with 52 million in the United States alone. This growth far surpasses the adoption rates of electric vehicles and union memberships, signaling a profound shift in public perception.
Despite the difficulties posed by FTX’s demise, the crypto market has seen continued innovation driven by a dedicated developer community. Moreover, the technology behind cryptocurrencies, especially blockchain and Web3 projects, has evolved significantly.
Over half of the Fortune 100 companies have engaged in crypto-related initiatives, recognizing the importance of crypto investment for competitive advantage. Payment integration with mainstream services like PayPal and Visa has further bridged the gap between crypto and traditional finance.
The regulatory environment for cryptocurrencies has also seen substantial progress. Approximately 3% of the G20 and major financial hubs have either passed national crypto legislation or have legislation in progress.
Notably, the passing of MiCA, a unified framework for crypto across 27 countries in the European Union, is a significant step towards providing a clear regulatory environment. The increasing regulatory clarity has contributed to the legitimacy and acceptance of cryptocurrencies in mainstream financial markets.
Justice for Bad Actors
The crypto market in the past year witnessed a reckoning for individuals who engaged in unethical practices during the previous bull cycle. Notable figures like Sam Bankman-Fried, Alex Mashinsky, Do Kwon, and Su Zhu are facing consequences for their actions. Bankman-Fried’s conviction, in particular, serves as a symbolic moment in holding bad actors accountable.
As the crypto industry moves forward, it is crucial to remember the core principles of decentralization, self-custody, and the power of digital assets like Ethereum (ETH) and Bitcoin. The industry must remain vigilant against bad actors and uphold the principles of Decentralized Finance (DeFi).
The recent bullish crypto market sentiment, boosted by the prospect of regulated ETFs, points to a bright future. Looking ahead, Bitcoin is projected to enter an “acceleration phase,” with some analysts expecting prices to surpass the previous All-Time High (ATH) record of $69,044 by mid-2024.
The cryptocurrency’s historical trends indicate that significant gains often occur a year and a half after the bottom, suggesting a rapid price surge in the coming years.
Crypto Renaissance: One Year Since FTX Collapse and 2 Years Since BTC $69K ATH
