Crypto Trends: What You Need To Know (2023)

In recent years, Bitcoin experienced the largest crash in crypto history.

It went from an all-time value of more than $62,000 per Bitcoin down to just under $16,000 per Bitcoin.

The rest of the cryptocurrency market crashed almost in unison with this big drop for Bitcoin.

Of course, Bitcoin and crypto have gone through crashes in the past and always come back.

There are even signs that this may happen again, as Bitcoin is now up from about $16,000 to over $20,000.

However, some people think that crypto trends are starting to change. Just because crypto has bounced back every time in the past does not mean that it always will.

On top of that, there is a lot going on in the world that is changing the way that people relate to crypto.

If people continue to invest in crypto the way they used to, they may be caught off guard by all of the new trends that are changing the crypto investment game. So what crypto trends do you need to track in 2023?

Read on to learn all about the most important changes that are sweeping through the world of crypto!

Crypto Trading Is Getting A Bad Reputation

For a long time, most people ignored the world of cryptocurrency. However, as it grew more and more, almost everybody heard at least a little bit about it.

At first, they may not have had much of a positive or negative opinion about it.

However, within the past couple of years, a long series of events has started to chip away at the reputation of crypto in the eyes of many people.

In particular, the idea of crypto trading has taken a huge hit.

Many people look at successful crypto traders as people who take advantage of others.

When crypto was at an all-time high, more and more people started to casually invest in it in the hopes of enjoying the same kinds of profits that turned so many crypto investors into millionaires and billionaires.

However, when the market took a huge crash, people realize that some of the largest crypto investors had sold off much of their crypto.

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Criticism Of Large Investors

Many people considered that these investors had decided to take advantage of the influx of new investors and reap profits by selling their crypto.

Of course, large investors know that if they make huge sales, there is always the possibility that others will join in and the market will go way down.

That is exactly what happened, and many people think that large crypto investors knew that millions of people would lose money on their investments as they pursued this strategy.

This judgment seems unfair to many savvy traders, but there is no denying that it is affecting the way that some people view the crypto space.

However, this is only one of the most recent ways that the reputation of crypto trading has taken a big hit.

Several earlier events set the stage for the eventual crypto crash.

Understanding these events can help you appreciate why the crypto market is starting to trend differently in response to the reputational effects of past actions.

Reputational Effects Of Dogecoin

Dogecoin was one of the earliest crypto phenomena that damaged the reputation of crypto.

However, nobody saw that coming when Dogecoin first began to make waves. 

Dogecoins started as a joke. The image used to represent this coin is a chubby dog used in internet memes.

Not only that but Dogecoin was designed to allow for infinite inflation.

This was a purposefully humorous design intended as a joke. However, many people loved the joke so much that they bought into Dogecoin and the price soared.

Then, Elon Musk began to talk about it and its popularity increased even more. However, that is when things started to go bad.

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Many investors noticed that they could follow tweets from Elon Musk to predict when more people would find out about Dogecoin and invest in it.

They began to use these tweets to time their trades. Some people began to speculate that Elon Musk was purposefully changing the price of Dogecoin so that he could cash in on it. We are still seeing the aftermath of this event.

Many people are suspicious that the crypto trading space is full of unfair manipulation.

When so many people later lost money investing in crypto, it cemented these concerns in the minds of many people.

The Crash Of FTX

In more recent history, one of the largest crypto companies in the world went bankrupt.

That would be enough to damage the reputation of crypto on its own, but the story gets even worse. By most appearances, the bankruptcy of the FTX crypto platform was the result of fraud.

Many millions of people lost almost all of the money they had on this trading platform.

We have still not seen how this story will play out. However, it has led more people than ever to conclude that the crypto space is full of shady behavior and should not be trusted.

This is one of the biggest recent contributors to crypto trends toward trying to improve crypto’s reputation.

However, this has also caused many people to start viewing crypto as a currency again rather than as a commodity to invest in.

The more that these events damage the reputation of crypto, the more it is causing many people to be cautious about investing in it.

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Mining Consumes Energy

People have been criticizing crypto for many years because it consumes a lot of electricity.

People consume tons of electricity while mining coins. Many coins consume even more electricity to verify their transactions.

Although this has been affecting the reputation of crypto for years, it has started to have bigger effects in recent history.

Around the world, international unrest and other issues are leading to energy shortages.

In fact, there were headlines all around the world in the summer of 2022 describing how people were dying because of extreme heat and the high cost of air conditioning.

In this context, the idea that the crypto world was wasting electricity suddenly became much more salient.

This is one of the reasons that crypto is trending toward more efficient energy practices.

Trends For Crypto Track The Economy

Another big crypto trend to track is its relationship to the economy. To a moderate degree, the general health of the economy correlates with the success of the crypto market.

In recent months and years, the economy has been suffering in a big way.

Not only that, many people are pessimistic about the future. Some experts predict that things are going to get even worse before they get better. As a result, crypto is also taking a big hit.

The worst the economy does, the worst you can expect crypto to do as well.

Inflation May No Longer Be A Friend To Crypto

In the past, many people considered that one aspect of economic difficulty was actually beneficial for the crypto world. That was inflation.

When a currency suffers from inflation, people who hold on to that currency lose some of the value of their money.

Many people try to avoid this problem by spending their currency on things that preserve their value, like precious metals or investments.

Many people chose crypto as a way for them to counter the effects of inflation.

The higher inflation went, the more people spent their money on crypto to try to preserve its value.

However, new crypto trends indicate that higher inflation may now correlate with a less successful crypto market.

As the economy suffers and inflation goes up, many people are starting to see the crypto world as less stable.

That means that they are going back to precious metals, real estate, and other ways to hold on to the value of their wealth.

Once inflation starts to go back down again, we may take that as a sign that the crypto market will also start to regain some of its former glory.

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Crypto Guides Are Emphasizing Capabilities

So many people look at crypto investing as a negative thing. However, cryptocurrency was never intended to be a tool for investment.

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The first cryptocurrency ever invented was Bitcoin. At the time, no one had any idea that it would make people millionaires and billionaires.

Instead, the idea was simply to create a form of currency that did not depend on a government to function.

The whole point of a currency is simply to allow people to make transactions, not to make profits.

Cryptocurrencies allowed people to make transactions with people all around the world without having to worry about exchange rates.

They also added new functionalities to currency that was not available in traditional forms of currency.

Cryptocurrency transactions are often more private and reliable than transactions that have to be verified by some sort of governmental or financial institution.

However, so many people loved the idea of a more powerful currency that it exploded in popularity.

People who originally bought cryptocurrency to make transactions discovered that they had increased their wealth without even realizing it.

At that point, other people began to invest in cryptocurrency not so that they could make transactions, but so that they could increase their wealth.

However, with all of the recent hits to the reputation of crypto investing, people are beginning to emphasize cryptocurrency as a tool rather than as a way to make money.

Crypto As A Tool

Although some people are predicting that cryptocurrency will continue to crash until it fades away completely, that seems unlikely.

There are too many people who want to use cryptocurrencies as tools for transactions.

To them, it does not matter whether the crypto market is going up or down. They can buy however much cryptocurrency they need to make a transaction and then spend it right away.

As long as people are using cryptocurrency to make transactions, there will always be some market for it.

As people use cryptocurrency as a tool once again, they are also emphasizing the capabilities that crypto has.

On top of the original benefits of anonymity and reliability, more modern cryptocurrencies provide extra functionality.

Crypto Tools Are Getting More Powerful

Modern cryptocurrencies allow for more complicated functions like the creation of smart contracts.

Companies are also using cryptocurrencies to create NFTs and other blockchain tools.

None of these tools depend on a rising crypto market for their value.

Many people even think that in the future, we will all use cryptocurrency tools to establish smart contracts. If that does happen, we will probably not see it for many years.

However, with more and more powerful cryptocurrency tools, there are more and more options for the best crypto gifts out there.

Although people are shifting away from investing in cryptocurrencies, more and more people are beginning to shift toward using them because of the functionality they provide.

Crypto Is Getting Greener

Many crypto coins are figuring out how to redesign themselves to consume less electricity.

Some people are still critical of the relationship between crypto and energy consumption. However, many coins are succeeding at generating efficient designs.

As cryptocurrencies become greener, their reputation may recover somewhat.

When you combine that with more people using cryptocurrencies for their functionality, this might help restore the reputation of the crypto space in the coming years.

Understand The Biggest Crypto Trends In 2023

Tracking the top crypto trends in 2023 is essential if you want to avoid making uninformed investments.

As the crypto world evolves, it is vital that investors also adapt their strategies so that they do not lose their money.

To learn more about the latest developments in the crypto world, business, and more, have a look at our other articles!

Jonathon Spire

Jonathon Spire

Tech Blogger at Jonathon Spire

My diverse background started with my computer science degree, and later progressed to building laptops and accessories. And now, for the last 7 years, I have been a social media marketing specialist and business growth consultant.

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Jonathon Spire

I blog about a range of tech topics.

For the last 7 years I have been a social media marketing specialist and business growth consultant, so I write about those the most.

Full transparency: I do review a lot of services and I try to do it as objectively as possible; I give honest feedback and only promote services I believe truly work (for which I may or may not receive a commission) – if you are a service owner and you think I have made a mistake then please let me know in the comments section.

– Jon