What happened after 1 year of Bitcoin Black Friday and what happened next? Exactly a year ago, when the world first began to face an extremely dangerous pandemic and panicking global markets, Bitcoin ran into one of the biggest incidents in its short history. it. Prices almost halved within hours, to as low as $ 4,600 and is often referred to as “Dark Thursday Market Incident”. The drop in price at the time was the largest percentage drop for Bitcoin since its first launch in 2009 and led to serious questions about the perceived value of the cryptocurrency as a ‘fortune.’ safe-haven assets “,” unrelated to “other assets. Bitcoin Price on Black Thursday | Source: TradingView Since its mid-March 2020 crash, Bitcoin has taken off like a rocket, breaking every conceivable record on its way and is now poised to break all-time highs as access to $ 60,000. In fact, when you scale down the chart, that dreadful Black Thursday crash doesn’t seem so serious any longer. Bitcoin one year after the COVID | Source: TradingView “The March 12, 2020 crash affected all categories – even traditional safe-haven assets like gold – in a frenetic flight to cash in on Bitcoin. treat like any other”, said Jason Deane, a cryptocurrency market analyst at Quantum Economics. “However, the perpetual change in the macro-finance landscape that followed created a new wave of trust in crypto assets, especially Bitcoin, from being an experimental concept and a fringe concept. into a serious contender for the long-term store of value, ”he said. It only took Bitcoin about a month and a half to regain losses incurred on Dark Thursday – but it did not reach itself as it is today and may even have received some help from competing assets. A fiery DeFi summer The DeFi craze during the summer of 2020 is believed to have helped fuel the crypto market’s recovery. Decentralized Finance (DeFi) stands for a set of financial products and services that operate like a bank without the need for an intermediary like a bank. All the actions are peer to peer, and the majority happens to ETH, the second largest cryptocurrency by market cap. When DeFi started to flare up in the mid-2020s, it caught the attention of investors as well as risk lovers – and as the dominant cryptocurrency in the market, Bitcoin provided a portal to infiltrate this new territory. As more and more people flocked to participate in DeFi and more Bitcoin was traded, the price of BTC slowly recovered. DeFi channel | Source: TradingView Institutional investors add oil to the fire But if DeFi lit the game, institutional investors fueled it, starting with cloud software company MicroStrategy. The publicly traded company is probably not entirely new to most crypto market observers as early as 2020. But by August, the company has become a household name in the crypto space. MicroStrategy made the first jump into Bitcoin with a $ 250 million investment – a modest sum compared to what company CEO Michael Saylor subsequently made. Throughout the year, MicroStrategy continued to make notable announcements about major Bitcoin purchases. The company currently holds more than $ 5 billion in Bitcoin as part of its reserves. After MicroStrategy, other companies quickly followed suit. Jack Dorsey’s Square announced a $ 50 million Bitcoin investment in October 2020, before the price spike. A few days later, PayPal announced the launch of a service to buy, sell and store cryptocurrencies. That has helped push prices even higher. The story does not stop there. Earlier this year, Elon Musk’s Tesla revealed it had invested $ 1.5 billion in Bitcoin, helping BTC finally reach the completely undiscovered territory it discovers today. Certainly, MicroStrategy’s initial move with Saylor’s new Bitcoin evangelization on Twitter Crypto led the way for people like Musk and others to follow suit. Organized channel | Source: TradingView Deane said: “When the first public company MicroStrategy released strong financial reporting on Bitcoin’s sustainability, it was a clear path for other global institutions and payment systems to follow suit, driving trust. , accept and care more. The network effect of Bitcoin has increased, so has the price ”. And the result of these moves is that the “typical Bitcoin investor today” is much more aware of the financial reason to invest in Bitcoin, rather than the original buyers who jumped in with “dream thinking. pure dreams in the past ”. What should Bitcoin Hodler to expect? For now, according to the analyst, Bitcoin appears poised to continue to reach new heights, although the price drop in the process should not come as a surprise. After all, Bitcoin recently experienced its worst dollar-denomination in history just a few weeks ago. “We expect the cryptocurrency ecosystem to continue to grow exponentially, cross boundaries, test new concepts and create new services. Some of them will bring new challenges and failures, but the upward trajectory of the operation is now inevitable and unstoppable, ”said Deane. It all sounds very gratifying if you are a Bitcoin hodler.