The crypto crash at the end of 2024 was a shock for many investors, but the start of 2025 has brought a renewed sense of optimism. Bitcoin has been leading the way in this recovery, with altcoins following closely behind, restoring confidence in the market.
Bitcoin's Strength
Pierre Rochard, the Vice President of Research at Riot Platforms, has highlighted the foundational strength of Bitcoin in a recent post. He stated that Bitcoin is designed to be the most reliable monetary system in the world for savings and payments.
Bitcoin's Outstanding Performance in 2024
Bitcoin demonstrated outstanding performance in 2024. The Bitcoin network processed over $19 trillion in transactions, proving its reliability as a store-of-value and medium-of-exchange. This represented a significant increase from the $8.7 trillion settled in 2023. The approval of Bitcoin exchange-traded funds in the U.S. was a pivotal moment, attracting institutional inflows and expanding the asset’s appeal to mainstream investors. Bitcoin’s April halving event, which halved its mining rewards, added to its scarcity-driven appeal.
Early 2025: A Renewed Sense of Optimism
Despite reaching a historic peak of $108,000, Bitcoin ended the year near $91,000, a stark reminder of its inherent volatility. However, the start of 2025 has seen a recovery in the price of Bitcoin. Technical indicators suggest upward momentum, with Bitcoin trading at $97,771 at the time of writing, reflecting a 3% weekly gain.
Bitcoin's recovery at the beginning of 2025 indicates its resilience and potential for further growth, despite its past volatility. This resurgence brings a new wave of optimism among investors and analysts.
