This year marked the launch of the first Bitcoin and Ethereum ETFs, indicating their genuine institutional acceptance. Bitcoin broke the $100,000 mark for the first time, while stablecoins continued to fortify the global dominance of the US dollar. In addition, elected US President Donald Trump made his support for Bitcoin a central theme of his election campaign.
Collectively, these milestones established 2024 as the year when the crypto industry proved to be an unstoppable force on the global stage. Below are seven predictions regarding key events to expect in the cryptocurrency market next year.
1. G7 or BRICS countries will establish a strategic Bitcoin reserve
The Trump administration's proposal to create a strategic Bitcoin reserve (SBR) for the US sparked widespread debate and speculation. However, by signaling the possibility of creating an SBR, the US is essentially inviting other major nations to consider a similar move.
Game theory suggests that these countries may be inclined to act preemptively, potentially outpacing the US to gain a strategic advantage in diversifying their national reserves. The limited supply of Bitcoin and its emerging role as a digital store of value may heighten the urgency for these nations to act swiftly.
This move would not only bolster Bitcoin's status as a global reserve asset but could also alter the dynamics of international finance, leading to far-reaching implications for economic and geopolitical power structures.