Bitcoin is falling, but the crypto world is still growing. Is the industry entering a new era?

Even though Bitcoin has plummeted and many altcoins are being left behind, the crypto business continues to grow strongly, from stablecoins with a transaction value of $33 trillion to the tokenization of stocks, bonds, and funds.

June 9, 2569 at 16.21:XNUMX a.m. Bloomberg News reported that Once upon a time, the easiest way to understand the world of cryptocurrency. คือ Viewing Bitcoin prices.

When Bitcoin rises, capital flows into startups, venture capital funds, cryptocurrency exchanges, and thousands of altcoins. But when Bitcoin plummets, many businesses disappear, capital dries up, and industry activity slows down.

Bitcoin is therefore not only the largest digital currency in the world, but also the center of gravity of the entire crypto economy. However, that picture is changing today.

Despite Bitcoin facing significant pressure, with its price dropping below $60,000 on Friday and losing more than half of its value from a year ago, some businesses within the crypto industry are still experiencing strong growth, reflecting that the industry's success is no longer tied to Bitcoin's price.

The recent selling pressure on Bitcoin stems from several factors, including capital outflows from Bitcoin ETFs, the increasing interest in AI among retail investors, and concerns that large companies that were once the primary buyers of Bitcoin may not be able to consistently accumulate coins as they did in the past.

Meanwhile, the altcoin market is in equally dire straits. Data from TradingView. specify that The total market capitalization of altcoins reached $431,000 billion in November 2021, but it has now dwindled to around $170,000 billion. Many ecosystems that once proclaimed their intention to revolutionize the global financial system are shrinking, merging, or gradually disappearing from the market. On the other hand, the most commercially significant businesses in the industry are experiencing their fastest growth ever.

One of the key examples Stablecoins, according to data from McKinsey and Artemis Analytics, are becoming an increasingly integral part of the global payment system, with an annual transaction value of approximately $390,000 billion.

While Wall Street's financial giants are accelerating the development of tokenization technology to bring stocks, bonds, and money market funds into the digital world.

Banks that previously rejected blockchain technology are now seriously experimenting with it. Many payment companies are beginning to integrate stablecoins into their services, while prediction markets are gaining popularity among mainstream users.

In other words, while many crypto assets are losing value, the underlying infrastructure continues to expand.

Eric Jackson, founder and CIO of EMJ Capital. said "In the past, Bitcoin price charts were the whole story of cryptocurrencies, but that's not the case anymore."

"Price and adoption are separate issues and should not be viewed as the same metric."

Although Bitcoin recovered to near $64,000 on Monday after Strategy resumed buying Bitcoin, Bloomberg data indicates that Bitcoin lost over $235,000 billion in market value in just 7 days ending June 7th.

However, a deeper look into the industry reveals that significant developments are occurring in other areas.

The original goal of cryptocurrencies was never just Bitcoin, but the idea that all money, assets, and financial activity could be moved on a digital network. Ironically, that vision is beginning to become a reality at a time when many investors are losing faith in various types of cryptocurrencies.

BlackRock's tokenized money market fund, BUIDL, launched in 2567, has now become one of the largest tokenization products in the world, with approximately $2,400 billion in assets under management.

Meanwhile, Nasdaq recently partnered with Kraken to offer tokenized stocks. Data from RWA.xyz indicates that over $30,000 billion in assets, ranging from stocks and real estate to various financial instruments, have already been tokenized. The use of stablecoins continues to expand beyond the traditional cryptocurrency industry.

Both Visa and Mastercard have added stablecoin payment capabilities, while numerous payment processors are experimenting with digital dollar infrastructure for cross-border remittances and settlements.

Information about Artemis. specify that Stablecoin transaction value is projected to surge 72% by 2568 to reach $33 trillion.

Adam Phillips, Managing Director of EP Wealth Advisors. said “While we might be surprised by Bitcoin's weakness amidst a rally of other risky assets, the reality is that Bitcoin's price only reflects investors' views of the asset… It doesn't tell us how much adoption is happening with the technology.”

In recent years, tens of millions of new tokens have been created, but... Information from Delphi Digital. specify that Currently, there are fewer than 1,700 tokens that still have significant trading volume.

A large amount of capital and interest flows in only temporarily before quickly moving out. This is the most significant paradox of the current crypto cycle.

As technologies become more successful and widely adopted, many assets built on them are being abandoned. What was once seen as a warning sign in the past is beginning to resemble the maturation of an industry.

Roxanna Islam, Head of Industry Research at TMX VettaFi. said “The crypto industry continues to evolve towards institutional use rather than retail investor speculation… Financial institutions are focusing on long-term usability and infrastructure, even as Bitcoin prices remain volatile.”

History shows that new technologies rarely grow in a linear fashion. The railroad industry survived even though many railroad companies went bankrupt. The internet continued to grow even after hundreds of dot-com companies collapsed.

Often, investment crazes finance infrastructure, the true importance of which becomes apparent only after the speculative wave fades. Cryptocurrencies appear to be entering a similar phase.

For the first time, blockchain technology and digital assets have become significant enough to grow and separate themselves from the speculation that once reigned supreme.

Mike McGlone, an analyst at Bloomberg Intelligence. said "The most important technology right now is Stablecoin... With Stablecoins available, people may no longer need to use Bitcoin or XRP to store value."

With a warning that The screening process and the emergence of low-quality assets in the crypto market have only just begun.

refer : www.bloomberg.com

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