The USA Made The Highest Gains From Crypto In 2021 – Chainalysis Data
There is no doubt that there has been increased competition between the top economies and the developing ones in terms of crypto adoption. Even though there is supposed to be a higher level of crypto adoption in these developing economies, the developed nations usually enjoy access to the best crypto-related services. Hence, it wasn’t a surprise when a new Chainalysis data revealed that one of the top economies made the highest gains from crypto last year.
A Surprise Inclusion
Per the Chainalysis data, the US amassed nearly $50B in crypto gains for last year. The country which came a distant second in the United Kingdom, earning a little over $8.5B. Germany, Japan, and China were other countries that rounded the top five.
Surprisingly, China retained its position among the top five. However, the data remarked that there was still a decline in the top Asian nation’s crypto growth for 2021 compared to the other top four nations. For perspective, USA’s crypto growth rate rose by about 477% between 2020 and 2021, while that of china only rose by 193% within the same period.
Investors Invested More In Ethereum Than Any Other Digital Asset In 2021
The next question would be which crypto enjoyed the largest investment from investors globally? The Chainalysis data revealed that investors bought nearly $76.4B worth of Ethereum, which was slightly higher than the $74.8B worth of BTC. However, the data noted that the higher investment in the second leading digital currency was partly due to the fast growth of the DeFi industry.
What is strange about this data is that many industry analysts would have expected that the UAE, Singapore, and Mexico would top the crypto adoption rankings and estimated gains. These nations have developed more crypto-friendly policies than the other nations mentioned above. Yet, the seemingly crypto-unfriendly nations had higher estimated crypto gains.
While the USA might be the leading country in terms of crypto gains, there are still some worrying signs ahead. For instance, the latest BTC-tech stocks correlation index by Arcane Research reached a 2-year peak. The crypto analytics firm disclosed that this index over the last month was 0.71. Other worrying concerns include the effect of the recent rate increase on the crypto space and current Russia’s invasion of Ukraine.
Some Promising Times Even In The Short Term
As of this writing, the crypto market is slightly bullish. BTC currently trades at about $40.6K, while eth trades at about $3.014K. Furthermore, the Santiment data remarked that there is ongoing FOMO among prospective crypto investors because the keyword ‘pump’ has frequently been appearing in searches on social platforms lately.
This is evident in the increased number of Ethereum whales loading up huge amounts of SHIB tokens since this week. However, the Santiment report didn’t indicate how long this short-term bullishness would last. Many crypto bulls would hope it lasts more than usual.
Tokenhell produces content exposure for over 5,000 crypto companies and you can be one of them too! Contact at info@tokenhell.com if you have any questions. Cryptocurrencies are highly volatile, conduct your own research before making any investment decisions. Some of the posts on this website are guest posts or paid posts that are not written by Tokenhell authors (namely Crypto Cable , Sponsored Articles and Press Release content) and the views expressed in these types of posts do not reflect the views of this website. Tokenhell is not responsible for the content, accuracy, quality, advertising, products or any other content or banners (ad space) posted on the site. Read full terms and conditions / disclaimer.
