5 Themes That Might Influence Your Bitcoin Investment in 2022

The stars appear to be aligning for bitcoin in 2022. Inflation continues to rear its head in the economy, eroding the purchasing power of consumers, institutional investors have begun to dip their toe into the crypto waters, and mainstream investors are finally coming around to the idea of a digital currency.

1.) Inflation

Inflation is currently hovering at 6.8%, sending consumer prices rising at their fastest rate in nearly 40 years. While shoppers continue to face sticker shock, Americans are looking to place their hard-earned savings somewhere it won’t evaporate.

2.) Bullish Price Predictions

If 2021 taught the cryptocurrency community anything it’s that nobody knows exactly what bitcoin, or any crypto for that matter, is going to do. Market experts were calling for bitcoin to hit $100,000 in 2021, and bitcoin ultimately finished the year below $50,000 after peaking at close to $69,000 in November.

3.) Institutional Adoption

Institutional investors started coming off the sidelines in earnest in 2021, starting a chain reaction that is likely to spill over into 2022. Billionaire hedge fund trader Paul Tudor Jones has thrown his weight behind bitcoin over gold as a hedge against inflation and believes the flagship crypto is “a great way to protect wealth over the long run.”

4.) Mainstream Adoption

Bitcoin got closer to mainstream adoption than ever before when El Salvador revealed that it would make the biggest cryptocurrency legal tender in the Central American nation. El Salvador President Nayib Bukele has also unveiled plans to build a Bitcoin City, the funds for which he plans to raise with bitcoin bonds.

5.) Gaming

Blockchain games are looked to as a catalyst to bring in more users to the cryptocurrency industry, which stands to benefit bitcoin as the biggest digital asset with the longest track record. Most of the time, blockchain gaming projects have their own native cryptocurrencies.

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