Will 2022 be the year the crypto bubble starts to deflate?

2022 will be the year the crypto bubble starts to deflate, Johnson says. The Federal Reserve has indicated that it will start to tighten federal policy, and tightening tends to hit the most speculative markets first. Crypto is most certainly a speculative asset, he adds.

What are crypto investors looking for in 2022?

A big development crypto investors are on the lookout for in 2022 is approval of the first spot bitcoin exchange-traded fund in the United States.

What will happen to bitcoin's price in 2022?

Spikes in the Cboe Volatility Index, or VIX, accompanied bitcoin sell-offs. Arcane Research warned that market headwinds in 2022 could have implications for bitcoin's short-term price trajectory.

What happened to crypto in 2021?

Crypto investors went on yet another roller-coaster ride in 2021. Nearly every cryptocurrency from bitcoin to dogecoin hit record highs and delivered eye-popping gains. But in May, about 50% of the entire market's value was wiped out in just seven days. And September saw China's clampdown against crypto escalate to a ban on all transactions.