2024 Is a Pivotal Year for Bitcoin
Bitcoin has led the way for cryptocurrencies to demonstrate their real-world utility, as confirmed with them being integrating into financial systems worldwide
May 22, 2024 08:00 AM
Reading time: 1 minute, 31 seconds
TL;DR Despite a tumultuous past, cryptocurrencies have displayed remarkable resilience. 2024 has already marked significant milestones, including approving the first-ever spot Bitcoin ETFs in the U.S. The number of Bitcoin addresses has surged, reflecting growing global adoption.
The Rocky Road to Resilience
The journey for cryptocurrencies has been anything but smooth. The 12 months beginning in May 2022 were particularly challenging for the industry.
However, cryptocurrencies have demonstrated their resilience. They have continued to integrate with global financial systems.
A Milestone Year: 2024
So far, 2024 has been eventful. The year started with the approval of the U.S.'s first-ever spot in Bitcoin (BTC) exchange-traded funds (ETFs).
These instruments have significantly expanded investors' exposure to the crypto market, and this approval marked a significant step toward mainstream adoption.
Bitcoin Adoption on the Rise
Bitcoin adoption is evident in another statistic. The number of addresses holding at least $1 worth of Bitcoin has remarkably increased.
In 2022, Finbold reported that there were 35 million such addresses. By May 2024, this number had risen to 84 million. This means approximately 1% of the global population of 8.1 billion might own at least some Bitcoin.
"Approximately one out of every 96 people in the world might own at least some Bitcoin."
Influencing Factors
It is important to note that this figure represents an upper bound. A single individual may hold Bitcoin in multiple accounts, resulting in more than one address per person.
Undoubtedly, the surge in Bitcoin's price has been a driving force. Currently standing at the nearly $70,000, following a 66.10% year-to-date (YTD) rise, Bitcoin's value has been a magnet for investors. This ongoing crypto market boom has likely fueled the increase in Bitcoin addresses, as investors scramble to capitalize on the rally.
Bullish Trends and Mainstream Legitimization
The bullish forecasts surrounding the latest BTC halving event in April have further boosted the trend.
The Securities and Exchange Commission's (SEC) approval of Bitcoin ETFs has also played a crucial role. While some cryptocurrency advocates criticize the SEC's hawkish approach, the increased discussions and enforcement actions have made digital assets appear more sensible to traditional traders.
