Bitcoin annual overview 2021: the biggest outliers

Despite the massive crash of the middle of this year, Bitcoin still closes 2021 with a very solid success. What else did this year bring?

2021 was a turbulent year for a variety of reasons, and this was clearly reflected in the crypto market. From gigantic peaks to painful valleys; investors have seen it all come to pass. For them, therefore, today a 2021 annual overview of the instigator of all happiness (and all pain): Bitcoin.

flying start

Bitcoin opens on January 1, 2021 at roughly $28,923 per coin and is quickly getting off to a flying start. In the first month, fanatics can easily add tens of percent after Bitcoin is continuously on the rise.

The largest crypto coin is steadily moving forward, thanks in part to Elon Musk and the fact that Tesla is going to accept the coin. In mid-February, the coin breaks a record amount of about $50,000. In March, the enthusiasm continues to run rampant and Bitcoin breaks record after record.

The Great Crash

In April of 2021, on the other hand, Bitcoin will start to falter a bit. Despite all the positive factors in the west, there is one big player right in return for cryptocurrencies. This is, of course, about China. The gigantic country was good for a large part of the mining of Bitcoin, among others. But the Chinese government didn’t like the concept and slowly tightened the thumbscrews.

The fact that Tesla suddenly started to yo-yo with the policy after a commitment to accept Bitcoin did not help either. Those two factors initially cause what to expect fluctuations; A few percent down is painful, but it is part of a healthy market.

Tens of percents, on the other hand, are not. The May crash was a huge loss for many investors. Valued at as low as $30,000 versus nearly double a month earlier, May turned into a massacre. Those depressing numbers remained a reality in June.

An advance towards an ATH

In the summer of 2021, the Bitcoin scare has finally abated a bit and investors dare to dream again. This is accompanied by a relatively timid rise in July and August.

Everyone then expected the big breakthrough in September, because El Salvador was the first country in the world to adopt Bitcoin as legal tender. This should have been proof for the practical application of the cryptocurrency. Oddly enough, the tiny South American country wasn’t enough to unleash an all-time high. In fact, in that month we saw a small dip.

That will be more than made up for in October with a massive surge towards 50% and a new ATH of $67,0000. That craziness was short-lived, as despite another ATH in November ($69,000), the market is quickly reversing to $47,170 at the time of writing.

What did it do?

In short, as would be expected with something as volatile as a cryptocurrency, Bitcoin has experienced significant peaks and troughs. But what was the bottom line? If you had invested in Bitcoin on January 1, 2021, you would have had a return of over 63% at the time of writing! Were you a master crypto trader and managed to sell that same investment during the 2021 ATH? Then you would have even made a 138% profit!

In short, while Bitcoin has been very volatile in many ways (and barely lived up to wild predictions), there is still huge returns to be had with the largest cryptocurrencies. Despite all the setbacks, we are again closing this year with a strong positive difference compared to the beginning of this year. Now only the question remains: where will we end in December 2022?!

Thanks to: BTCDirect