Bitcoins being one of the most popular coins of trading with cryptocurrency, it’s demand alongwith Altcoins, have raise increasingly in last few months. As it is known till now that Elon Musk is one such top shot business tycoon, whose influence had made Bitcoin flourish in the exchange market. He has so influenced the crypto market that it has just doubled. These figures gradually increased from 100 Million to 200 Million in just few months and this is were maximum population get attracted.
Ethereum on the other hand became the next popular cryptocurrency and it gained its popularity during the months of May and June as it get favouritism from the institutional investors. The total no. of Crypto users round the globe have crossed 220 million till the end of June 2021.
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Initial Months Growth
The starting four months of 2021 have proved to be fruitful for Bitcoin and this is due to its speedy demand. In addition to Bitcoin, investors had shown interest in altcoins as Shiba Inu (SHIB) and Dogecoin ( DOGE). Most important point which requires your attention is that meme coins as Shiba Inu and Dogecoin had shown gradual increase of 77,37,400% and 3,663% respectively, where Bitcoin’s growth since starting of 2021 is 45%.
Well, demand for Bitcoin and Altcoins would flourish in near future. They would be used as medium of currency by way of been inserted in each digital wallet in upcoming months. Such a prediction is supported by top shot business ideals as MicroStrategy, Visa, PayPal, MasterCard, who would announce their plans in support of cryptocurrencies.
Challenges of 2021
Bitcoins and Altcoins not always had a smooth life span. Elon Musk as discussed earlier had impacted the growth of Bitcoin and not just this alone but other cryptocurrencies also as Ethereum. But according to certain report, both of the cryptocurrencies as Bitcoin and Ethereum had almost lost their market share due to certain challenges as proof of work (POW), also environmental impact cause of Bitcoin mining.
One biggest obstacle faced by cryptocurrencies during the period were loss of their market share as a result of green energy been used in Bitcoin mining. It so impacted the environment,which not only affrighted many but also became a serious issue to be taken care off. After watching all such consequences, 90% of Bitcoin mining is closed down in China. This had become a serious issue cause it captured round one-third of the global crypto network’s processing power at a time.
Proof of work(Pow), as discussed above was of a concern or a challenge due to its nature of verifying transactions on blockchain network of various cryptocurrencies involving the major ones too, being Bitcoin and Ethereum. For this, advanced form of mathematics which could be solved only by powerful computers is so used. But to point to be noted with this is that, it consumes ample amount of electricity, which again is a waste.
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