Recently, Fortune Business Insights, a company offering market studies and consulting services, released a report revealing that North America is leading the global cryptocurrency market thanks to the mass adoption of digital currencies such as Bitcoin in the region.
The trend is unlikely to change, and the region may lead the global cryptocurrency market through the forecast period of 2018-2026. Moreover, the rising demand for online financial services in the region is likely to contribute to more growth in North America’s crypto market.
The crypto sector in the Asia Pacific is also projected to expand at a relatively higher compound annual growth rate (CAGR), mostly due to the increasing number of cryptocurrency transactions in countries like Japan and South Korea.
The latest findings come just a few months after Fortune Business Insights projected that the global cryptocurrency sector would be driven by extensive internet adoption in the world by the year 2025.
The research team noted that this technological growth would be brought about by top tech companies such as Microsoft, Intel Corporation, NVIDIA, and Ripple Labs Inc.
Europe Set to See Increased Demand for Crypto
As per the report, Europe is also among the prominent areas in the global crypto market, with growth in the sector largely attributable to the mass adoption of e-financial services in the EU zone.
Furthermore, Germany’s resolution to consider cryptocurrency as a private currency without any payable taxes, if held for less than one year, is likely to fuel demand for crypto and increase the number of owners in the country.
The developing world will also not be left behind in the accelerated crypto adoption being experienced elsewhere.
According to an analyst at Fortune Business Insights, the government initiated awareness programs regarding digital currencies in developing and undeveloped nations are expected to enable growth in the global cryptocurrency market.
The report further added that some of the key factors expected to drive the global cryptocurrency market during the forecast period are causing the adoption of e-wallets and consumer shift towards online platforms.
Moreover, cashback, promotional offers, and other rewards tied to digital currency transactions are anticipated to fuel the demand in the global market.
Bitcoin Thrives Despite Covid-19 Pandemic
Fortune Business Insights also examined the impact of COVID-19 on Bitcoin and the equity market, citing the Black Friday crypto crash that occurred soon after the pandemic started gaining pace.
On 12 March 2020, the price of Bitcoin fell below $4K after a sharp decline in the S&P Index in the U.S, pointing to an apparent correlation between the world’s leading digital asset and traditional stock markets.
Despite the proliferation of the coronavirus and the instability concerning the global economic environment, Bitcoin has gained widespread acceptance as a safe haven asset and a store of value.
Indeed, the past week produced enormous gains for BTC, marking the start of an extended Bull Run for the flagship cryptocurrency.
The BTC price exploded above $10.5K and currently continues its steady run within the upper $10,700 region.