Bitcoin Outlook 2024: What are the emerging themes to watch out for?
Bitcoin's journey has been marked by both triumphs and challenges, and the year 2024 promises to bring about new trends and emerging themes that will shape the future of this decentralized digital asset. Before we get excited or curious about what 2024 is about to bring us, let us remember that studies and trends have showing an explosion of trends in cryptocurrency that investors can try to participate in.
However, for the sake of this article, let us try to explore a handful of these themes that we can look forward to in the New Year.
Despite the well-documented challenges faced by Bitcoin and other cryptocurrencies in recent years, there has been a notable uptick of institutional interest in Bitcoin. All signs point to this intensifying in 2024, with more traditional financial institutions and corporations exploring ways to integrate Bitcoin into their portfolios.
As regulatory clarity improves, it will only serve to strengthen Bitcoin's reputation as a store of value with institutions looking at using it increasingly as a hedge against inflation and economic uncertainty.
Another challenge that Bitcoin has been dealing with for a few decades is that of Scalability, leading to slow transaction processing times and higher fees during periods of high demand. In 2024, seeing the rise in fees, adoptability of layer 2 solutions such as the Lightning Network would see an increase.
Lightning significantly enhances Bitcoin’s transaction throughput. This would make microtransactions more feasible and contribute to a more efficient and scalable network.
Consumption of energy by cryptocurrencies expended during mining of crypto has been a hot topic of debate and has been concerning environmentalists and environment-conscious
