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9 Reasons the Fall of 2021 is absolutely huge for Bitcoin

Bitcoin is the genesis of cryptocurrency, and it’s due to experience one of its most massive Fall sessions.

Graphic of Bitcoin rising on financial graph.
Image courtesy of Canva

Bitcoin has broken the $50,000 ceiling and continues to grow in popularity around the world. Bitcoin’s price went up after Nigeria’s inflation failed to affect its value and even helped citizens provide an alternative source of value for their money. Bitcoin adoption in China and Russia is growing fast. You can buy almost anything in Japan with Bitcoin; that includes food, clothing, electronics, cars, houses, pets — pretty much anything you can think of! El Salvador will legitimize Bitcoin as legal tender, which will allow people living there to invest in it without having any risk because it is now safe from confiscation or seizure by the government. Bitcoin’s bull run will end eventually; what does this mean? What will its bear market look like?

Bitcoin breaks the $50K mark

Bitcoin has broken the $50K mark from a strong bull run from investors looking to push Bitcoin high for the over $600M option expiry coming next week. Bitcoin has struggled lately with fluctuations but thrust past its hardships twice this week alone, with one day soaring by $4,000.

But what does breaking the ceiling mean long-term for BTC? Hitting that milestone scores another notch in Bitcoin’s belt as money with muscle in a market and socio-economic system that wants to see it dead. Although we are looking at a bear run coming soon, it’s expected and will afford an excellent chance for investors to scoop up BTC for lower prices strengthening the embattled coin.

Hitting the $50K milestone is a big win for Bitcoin, and it will need consumer confidence more than ever with future challenges on the rise. Crypto is a hard adoption for most people, but it’s practically a pariah in the West. Still, hope remains if we stand firm and take control of our financial freedom.

Bitcoin’s monthly options expiry

August’s options expiry is a baby compared to last month’s $1.6B, but the option expiries coming during a time of COVID resurgence could prove challenging for BTC. Wallstreet elites and their political allies cannot keep traditional markets on life-support forever, which hits Bitcoin too. So it could see a series of its heaviest attacks.

Fortunately, there are bright spots worldwide for BTC that might be able to steady the currency during an American tumult (discussed below). Hopefully, after the expiry, we’ll see a rich bear run and a clean month to give us another strong expiry for September as we had in July. Still, it depends on several other geopolitical situations.

The monthly options expiry isn’t a singularity hence the monthly part. However, it’s more about the timing. The Fall of 2021 contains many critical financial convergences, of which one factor could have massive implications for Bitcoin.

The upcoming bear market

Bear markets are scary for the financially illiterate, but there’s no denying that there is cause for concern on those “in the know” as well. Winter is coming, and the financial army of the dead will show no mercy to traditional markets, so what do you think will happen to BTC? Well, it could be a time for celebration or despair. I don’t see a middle ground scenario for Bitcoin this Fall.

One marker for a bear run is BTC’s RSI (Relative Strength Index). While a spike to 70+ means BTC is overbought, a dip below 30, oversold. As of Sep. 3, 2021, RSI sits at 68.37 as of this writing. Therefore, we must remain vigilant through next week.

When you want a return on your money beyond simple banking, you must take risks. Stocks, commodities, crypto, they’re all a gamble. First, however, you must steady your ship. Financial waves will crash against the hull, but a good shipwright keeps their boat above the water. And suffer though you may, it’s only anxiety. The bulls and bears come and go like waves. So, hold fast and stay educated.

El Salvador

El Salvador is set to legitimize BTC as legal tender in the coming few days. Their economy is struggling, so Bitcoin has a great chance to become their saving grace. BTC is already an option on the El Salvadorian Stock Exchange (BVPES), and Bitcoin could help its economy with small businesses using crypto for transactions.

Nigeria

Nigeria’s economy saw a boom in recent times but took a downswing at the start of 2021. In Feb., the government banned the banks halting cryptocurrency. Exchanges were also closed to stifle crypto’s usage. However, it didn’t work. Citizens switched to peer-to-peer transactions helping them weather the 18% inflation spike.

That is a promising performance from BTC to have the resiliency to hold against Nigeria’s inflation bubble. Yet, Bitcoin’s most significant test may come if the government again tries to tamp down cryptocurrency. Nigeria is an essential player in Africa and one of Bitcoin’s most influential markets on Earth.

Bitcoin needs a win like this, but it also has to strengthen its position across other regions (discussed below).

Russia

Russa and Bitcoin’s history is a tumultuous one. In 2018, Russia banned Bitcoin from being traded as an official currency or used in financial transactions. However, this year the Russian government began to warm up to Bitcoin and other cryptocurrencies with proposals for mining regulations and tax breaks on crypto-to-crypto revenue.

Despite the volatility surrounding Russia’s relationship with Bitcoin, it’s still a significant Bitcoin market. More importantly, Russia has the potential to be one of Bitcoin’s strongest allies if relations continue to improve.

China

China’s relationship with Bitcoin is a mixed bag. China legalized Bitcoin mining in the country, but Chinese citizens have been banned from trading BTC against the Yuan since 2017. Yet, China remains a significant Bitcoin market, with over 50% of Bitcoin’s hash rate coming from the region itself despite its regulatory climate for cryptocurrency exchanges and ICOs being extremely strict.

Bitcoin has already defied expectations by surviving in China despite the country’s Bitcoin ban. So if Bitcoin can survive that, it may well be able to withstand whatever the Chinese government throws its way (including another full-on cryptocurrency ban).

Not to mention, China is making a push for the gold-backed digital Yuan. These countries see the future. And even if it’s a hybrid market, it takes crypto one step closer to massive adoption.

Japan

Japan is Bitcoin’s second-largest market, and it already has a legal framework for Bitcoin. The government legalized Bitcoin in Apr 2017, meaning exchanges could operate legally without fear of repercussion from the FSA (Financial Services Agency).

This is excellent news for Bitcoin as Japan could be just what BTC needs right now: A buoyant Bitcoin market. Bitcoin needs a strong ally in Asia, and Japan is that nation to do it. This year the government also legalized Bitcoin payments for BtoC (Business-To-Consumer) and BtoB (Business-To-Business).

This legitimization of Bitcoin as an official payment method will go a long way toward mainstream adoption.

You

It’s up to us to keep Bitcoin alive through harsh regulatory climates. Bitcoin needs more than just good news to survive. It also has to have the people on its side. If you’re still trading Bitcoin or if you keep your BTC stored in a wallet instead of an exchange, then there is hope for Bitcoin yet!

Bitcoin will be fine as long as we remain committed and strong even during these challenging times. Bitcoin is a rollercoaster, and we have to buckle in for the ride because there’s no turning back now!

Conclusion

Bitcoin’s future is uncertain. Bitcoin may be banned in a few countries, but it has survived bans before and thrives as the most valuable cryptocurrency on Earth. Bitcoin needs people like you to keep trading Bitcoin, holding Bitcoin, and supporting Bitcoin through its ups and downs. If we can survive these challenging times, then Bitcoin will come out stronger than ever!

Do you own Bitcoin?

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T.C. Gunter

T.C. Gunter

I draw sounds. And, I can speak them back. I write about a wide variety of topics.

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