What Does The Crypto Winter Mean For The Indian Crypto Market?

The last few weeks have been quite interesting in the crypto verse. 

Despite volatile crypto markets, global digital asset funds saw net inflows of $474 Mn in July, the highest so far this year. Bitcoin has recovered about 15%, while Ethereum has gained nearly 50%. This only goes to show how the industry is constantly changing and why every new bitcoin drop can easily be followed by highs.

This market crash has been beneficial to the Indian crypto ecosystem in many ways, as it has led to increased maturity in the space. After each so-called ‘Crypto Winter,’ the industry has always emerged with a stronger foundation. The current scenario provides significant opportunities for crypto companies to serve innovative offerings and for investors to deploy capital before the next bull run. 

Post Crypto Winter

While it is difficult to say whether the crypto winter is over, we can certainly see some green shoots.  With Bitcoin recovering and ETH seeing three weeks of inflows after 11 weeks of sell-off, it is safe to say that things have improved. The precipitous drop in the value of cryptocurrencies this year was deceptive. The underlying blockchain technologies continue to be truly transformative across a wide range of business applications, and adoption is approaching a tipping point. 

Although investors have had a difficult year, there are several reasons why blockchain technology is likely to continue to thrive and provide value to digital leaders and investors. This technology is currently assisting cryptocurrencies in improving the game of crypto assets and platforms without the use of a trusted intermediary. This means that there is no central bank issuing these cryptocurrencies or securing your transactions; everything takes place on a digital ledger. 

Should Investors Invest In Crypto-Earning Platforms?

Such crypto market crashes have always been unsettling for those considering investing, especially given the lingering uncertainty about how cryptocurrency works. Aside from digital currencies, research analysts estimate that the global market for blockchain technology will be $5.92 Bn in 2021. Surprisingly, the blockchain sector is expected to grow at a compound annual growth rate (CAGR) of around 86% through 2030.

Digital leaders and investors would do well to acquaint themselves more closely with blockchain technology. Those who read, conduct research and ask questions will be able to make informed choices about blockchain for long-term competitive advantage. 

Blockchain is the foundation for the future of business, and governments and organisations that act quickly are likely to reap the greatest benefits. Many venture capital firms have begun to invest in the GameFi, DeFi, and Metaverse ecosystems in order to power next-generation crypto ecosystems. Many of these allow users to buy and earn crypto rewards passively with no minimums, lock-ins, or daily compounded yields. This helps in democratising wealth for all users. 

Outlook For The Second Half Of 2022

While it might be difficult to predict where the cryptocurrency market is headed, it is safe to say that that the crypto economy is here to stay. According to the Boston Consulting Group’s report titled “What Does the Future Hold for Crypto Exchanges?”, the cryptocurrency economy will experience a period of stability in the second half of 2022.

It is expected that the cryptocurrency market will follow larger market sentiments, and we can already see a positive movement in the market in the last few weeks. The road ahead for investors is interesting because they will be the pillars for the ecosystem’s growth.  

The crypto world is brimming with opportunities; with small efforts, one can accomplish a lot, as many crypto-powered platforms provide returns in the form of passive income. Investors can begin earning passive income with the right tools without having to wait years for results. For the best returns on their digital assets, investors simply need to re-evaluate their portfolios and invest in vetted crypto platforms.

Furthermore, increased awareness and education about the potential of cryptocurrency will boost the market for a variety of products and services, in addition to investing. By the end of the year, we can anticipate the bull market to begin. 

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