Bitcoin has been making waves ever since it was first thought up. Recently, the prices of Bitcoin have plummeted quite a bit, recently falling below their December 2020 low of US$20,000 per Bitcoin, causing significant coverage by the media. This has shaken up the crypto world significantly, with many wondering if Bitcoin, and by extension blockchain and crypto in general, are worth the trouble.
CRYPTO NEWS NETWORK looks over whether or not the Bitcoin crash is representative of the crypto market as a whole, and if there’s still value left in crypto and blockchain technologies. As well as if DEXs like Blueshift could replace our banking system.
Is The State Of Bitcoin Representative Of Crypto As A Whole?
The cryptocurrency market is known to ebb and flow. This is due to many reasons, one of which is adoption time- a term that signifies how much it takes for a technology to be adopted by the general public. While cryptocurrencies aren’t quite there yet, their growing adoption rate leads to investors speculating over the future long-term value of cryptocurrencies.
When these speculations are too high for a given period, investors panic and sell their assets off, lowering their prices. Because of this, prices of specific cryptocurrencies, and especially Bitcoin as the poster child of crypto, tend to be unstable.
It’s well-known that the prices of many cryptocurrencies are tied to the price of Bitcoin, so when Bitcoin’s value falls, so does there. However, this doesn’t quite paint the whole picture, as certain cryptocurrencies, especially altcoins like Polygon and 1Inch are experiencing a time of rampant growth.
This is because, despite the way it’s occasionally painted by mainstream media, different coins serve different purposes. While Bitcoin, which is mainly used to send money or as an investment asset, might be falling, an altcoin like Gala Games used mainly for gaming, is skyrocketing in value. This alone is enough to show that the price of Bitcoin dropping is simply not indicative of the entire industry.
Will Blockchain Tech Build Our Future?
Although blockchain technologies have had a rough ride from the get-go, with many financial institutions claiming they would simply be a fad, their adoption rate has continued to increase. Whether this be using Bitcoin to securely and anonymously pay for a VPN, or playing a play-to-earn game online with friends, blockchain is making its way into our everyday lives.With that being said, blockchain is still far from being nigh-universally adopted in the same way the internet or cell phones are. Because of this, and the technological hurdles we need to overcome, progress can appear stagnant at times- much the same way it did on the internet before the .com bubble burst.
Web 3 is considered by many experts to be an inevitability- more of a when than an if. DEXs, for example, have already started to make headway in eliminating centralized banking from many people’s lives.
Web 3 projects have even garnered the attention of FAANG, with the Metaverse being built, and Google participating in crypto more and more heavily. This shows that the largest Web 2 companies in the world have understood the importance of the blockchain to our technological future.
Will DEX’s Take Over Banks?
