The new year is looking up for crypto investors worldwide because the crypto winter is warming up. It all started with the World Economic Forum (WEF) revealing promising signs for the future of blockchain technology and its contribution to many industries. Here is what you missed and need to know about cryptocurrencies:
Crypto businesses doubled in the latest World Economic Forum
The World Economic Forum was held in Davos, Switzerland in January 2023 and there is double the number of crypto businesses joining than in May 2022. Blockchain use is pretty common in Davos but the number of participants is reassuring of the industry's future. Many of these companies hold mini-conferences parallel to the WEF sessions, too.
Several panels addressed concerns over the state of the crypto economy throughout 2022. It wasn't a good year for digital assets in general but concerns were identified and a few solutions were proposed. One of which is crypto lending where it is believed that there is a stagnation in economic growth because everyone is lending and borrowing the same assets. The most popular of which are Bitcoin (BTC) and Ethereum (ETH).
Why it matters
Most investors are only focused on their own ventures whether it is on trading, lending, or crypto gambling. Forums as big as WEF is a great way to get a look at the bigger picture and address all concerns surrounding the digital asset industry. It is through understanding the state of the economy that all of its members can exchange ideas on how to improve its state. Every company can pitch in and achieve the best state for the crypto industry together and all can benefit from this endeavour.
Meme stocks and memes coins frenzy is back in 2023
Meme stocks like GameStop and meme coins like Dogecoin (DOGE) are surging in January 2023. Plenty of stocks dipped on 5th and 9th January 2023 including GameStop which dropped by -11% since 30th December 2022. Surprisingly it immediately shot up to the opposite side of the spectrum at +11% on 12th January then again to 18% on the 18th.
Dogecoin, on the other hand, remained stable during the transition from 2022 and 2023. It made its surge even more impressive because it reached up to 26% as of 18th January. This is one of the most significant climbs in crypto since 4th December 2022. Its rival memecoin, Shiba Inu (SHIB), is still cheaper but it already climbed by 52% since the new year started.
Why it matters
Both the meme stocks and coins are volatile assets with not much confidence from their investors compared to their contemporaries like Bitcoin. They are reliant on pop culture hype rather than speculation and their surge in marketplaces proves that interest in investment is returning.
Both assets are relatively cheap in marketplaces, making them accessible to most entry-level investors. Thus, they are the first to be affected by newcomers joining the crypto trading space, indicating that the crypto winter is getting warmer. You can join the trend using your crypto gambling winnings or the other way around where you use trading profit as a bankroll fund.