As crazy as it seems, we’ve finally wrapped up 2021, and even survived the first month of 2022. Although Bitcoin and Ethereum both continued the disappointing slide from 2021 into the first month of 2022. From a monthly candle perspective, we have formed the perfect McDonald’s arch logo.
Looks like crypto bros just have to heed that sign and flip some burgers while waiting on the tides to change.
From a macro perspective, we’re currently still marking a higher low, but just barely. But looking on the bright side, we still have another 11 months to call for $100K Bitcoin.
The numbers in January 2022 for Bitcoin
Diving into the specifics of January 2022 price action, we see Bitcoin sliding from $46,230 to close at $38,491. From a fundamentals perspective, we see companies like MicroStrategy continuing to buy into the dip. Even El Salvador has taken advantage of the past few months to accumulate their Bitcoin holdings.
Whether or not this turns out to be a hero move (I tend to think so), we’ll probably have a better idea over the next 6 months.
Fundamentals of Bitcoin remain strong, and if 2021 was the year of companies holding Bitcoin, and Bitcoin ETF applications, I think 2022 will be the year of NFT explosion (yes, a bigger explosion, if you will) and more Bitcoin legal tender announcements.
Bitcoin mainstreaming in 2022?
Here are just some of the headlines dominating January 2022.
State senator introduces bill to make bitcoin legal tender in Texas. Arizona has also jumped into the fray with its own bill. Within the US, it seems that individual, forward looking States are making their own decisions with regard to the value of Bitcoin.
India has rolled back it’s crypto ban, and clarified that it is not illegal to buy and sell crypto. It will also take a consultative approach and look at what’s happening globally in informing their regulatory perspective.
Russian government has softened their hardline stance on crypto, with the Finance Minister suggesting they allow banks to buy and sell crypto for their customers, and to treat crypto in a similar manner as gold and other asset investments.
Legal Tender domino effect?
We’ve seen El Salvador accept Bitcoin as legal tender in 2021. One country doing that might be an experiment, but the 2nd and 3rd country to do so will collectively be known as the pioneers in driving a new global monetary adoption.
Once that happens, the game theory is afoot, and everyone will scurry to not be last.
To that end, no less than El Salvador Presidente Bukele has made the following prediction in 2022.
A lot to unpack in that tweet, but $100K Bitcoin price and 2 more countries adopting it as legal tender will make it an absolute cracker of a year for Bitcoin.
Until then, would you like fries with that, ser?
If you, like me, are holding crypto and waiting for the moon, why not get some interest out of it?
Here are 2 platforms I’m using to earn interest on my crypto: