For many of us, we will remember the “golden years” of Crypto, and when Bitcoin reached an all-time high in 2021. We will also remember the not so “golden” period, whereby many Crypto fanatics said goodbye to a lot of money, and a lot of Crypto. However, we think that we’re going to encounter a boom in 2024, and here’s why:
“The year 2024 has marked a significant milestone in the realm of cryptocurrencies, witnessing an unprecedented surge that has captivated investors and market analysts alike. Bitcoin, the pioneering digital currency, has led this remarkable rally, soaring beyond the $64,000 mark and rekindling memories of its historic highs.
This resurgence is not merely a reflection of speculative fervour but is underpinned by a confluence of factors, including regulatory milestones and technological advancements. As we delve deeper into the dynamics of this surge, it becomes imperative to understand the catalysts propelling Bitcoin and its counterparts to new zeniths.
As we look beyond 2024, the trajectory of cryptocurrencies, particularly Bitcoin, appears poised for continued growth. Treasurers and investors alike must prepare for this evolving landscape by staying informed, embracing regulatory changes, and adopting strategic risk management practices to navigate the future of finance with confidence.” – Global Treasurer
It seems as though Bitcoin and other cryptocurrencies are here to stay, and a number of factors – particularly regulatory changes, have caused crypto to (potentially) come back stronger than ever. However, the proof will be in the pudding!
Regulatory changes were a negative contributing factor to the world of crypto, as a world that was once ‘shut off’ from rules and regulatory laws could be scrutinised, and essentially, controlled. The initial beauty of crypto was that it was truly available to everyone – whether you were in a developing country with limited internet access or a woman living in a country without equal rights.
Crypto allowed for diversity and equal opportunity, particularly within gender equality. Regulatory changes that were discussed in 2022 and later enforced in 2023 did cause the crypto market to fizzle out for a while. However, now that the dust has settled, regulations haven’t stopped individuals from investing in crypto and giving it a second chance.
Let’s talk about Ethereum
There can often be a lot of confusion around how Crypto works, so we’re going to try and explain it simply before going into a more in-depth look at Ethereum, a flexible Cryptocurrency.
In essence, what makes Cryptocurrency so attractive is that it has the same value no matter where you use it in the world. There’s no currency exchange, and there’s no increase or decrease in value. It is considered a global currency. Cryptocurrencies such as Bitcoin and Ethereum (which are the two most popular) are stored using Blockchain technology. Blockchain is incredibly secure and has been adopted by financial institutions such as banks due to how thorough and safe Blockchain is. Naturally, crypto is considered to be safer because it’s stored using Blockchain technology.
“Blockchains manage a large-scale record of transactions and additional data, wrapped in several layers of data security. As a result, these systems are generally regarded as safe and secure. A blockchain is a digital ledger of transactions managed and updated by a distributed network of computers.” – Motley Fool
Now, the two well-known Cryptocurrencies that are commonly spoken about are Bitcoin and Ethereum, and Ethereum has been a talking point for many in the space this 2024:
“Ethereum’s flexible design and its multi-year plan for upgrades, including ones that will improve interoperability, have made it a popular platform for digital bond issuances. Large institutions such as the European Investment Bank have issued bonds on Ethereum, which was also the blockchain underlying a digital green bonds Moody’s rated in 2023, a €10 million senior unsecured digital green bond issued by Société Générale.
Over time, in Moody’s view, public blockchain networks like Ethereum and traditional infrastructure will be more interlinked, which will enhance blockchains’ use cases, promoting industry growth.”
In essence, there are predictions that Ethereum will continue to grow in 2024 and beyond due to its malleability not just as a cryptocurrency “for the people” – but also for institutions and industries alike. There is a huge element of supply and demand within Crypto, and with a predicted demand for Ethereum continuing to rise past the year 2025, its value will naturally grow as a by-product.
What can you look out for this year?
If you’ve never considered dipping your toe into the world of Crypto, now might be the time to whet your appetite! Ensure that you educate yourself (as there’s a lot of information – and misinformation out there) and look at how Crypto could benefit you. From an organisational perspective, looking into Blockchain technologies and how they can support your organisation can also be a smart move to consider with the boom that we’re potentially going to experience in 2024.
