Introduction
Time flies—another year has passed.
For the blockchain industry, 2019 was a year of dramatic twists and turns.
As the industry’s barometer, Bitcoin deviated from its decade-long pattern of clear annual trends. Unlike 2017’s meteoric rise or 2018’s prolonged decline, Bitcoin in 2019 fluctuated with major industry events, constantly shifting between bull and bear markets.
Starting from a bear-market low of $3,000 in early 2019, Bitcoin rebounded through trends like IEOs and Staking. The release of Libra’s whitepaper ignited a global wave of interest in digital currencies, pushing Bitcoin to a yearly high of $13,000. However, Libra’s regulatory hurdles and fading momentum led Bitcoin to retreat to ~$7,000. Later, China’s endorsement of blockchain technology reignited bullish sentiment, briefly propelling Bitcoin above $10,000—only for it to correct sharply as investors realized China’s divergent policies: support for blockchain but strict crackdowns on cryptocurrencies. Bitcoin then settled around $7,000, awaiting its next catalyst.
2019 was undeniably an event-driven year for blockchain and crypto. Thus, it’s critical to review and assess the year’s defining moments to navigate market cycles and anticipate the future.
1. Libra Whitepaper Launch
Impact Index: ★★★★★
In June, the long-anticipated Libra project unveiled its whitepaper, announcing plans to build a global financial system serving 5 billion users. Whether successful or not, Libra marked a watershed moment—challenging sovereign currencies and sparking worldwide regulatory debates.
👉 Explore how Libra reshaped crypto markets
Trend Prediction: Libra may pivot toward phased rollouts (e.g., Facebook-first or region-specific stablecoins like LibraUSD).
2. China’s Blockchain Push
Impact Index: ★★★★★
Amid U.S.-China tensions and economic slowdowns, China elevated blockchain to a national priority, endorsing applications in IoT, supply chains, and digital finance.
Trend Prediction: Demand for blockchain education and BaaS (Blockchain-as-a-Service) solutions will surge.
3. Bakkt’s Launch & Derivatives Market Growth
Impact Index: ★★★★
After delays, Bakkt launched physically settled Bitcoin futures—initially slow but now processing $124M daily. Competitors (OKEx, BitMEX) face pressure as institutional adoption grows.
Trend Prediction: Bakkt will expand into custody and retail services, while derivatives innovation accelerates.
4. Canaan’s IPO: Crypto Goes Mainstream
Impact Index: ★★★★
Canaan Creative’s Nasdaq listing broke ground for crypto-linked firms in traditional markets, despite post-IPO stock struggles.
Trend Prediction: More mining firms will follow, but exchanges (e.g., Coinbase) face longer paths due to compliance hurdles.
5. China’s Crypto Crackdown
Impact Index: ★★★★
China shuttered 200+ offshore trading platforms and froze thousands of accounts, reinforcing its 2017 bans with stricter enforcement.
Trend Prediction: Regulatory pressure will persist, but industry fundamentals remain resilient.
6. China’s DC/EP Digital Currency
Impact Index: ★★★
China’s central bank digital currency (CBDC), poised for 2020 trials, aims to digitize cash (M0) without disrupting financial systems.
Trend Prediction: Gradual, stability-focused rollout—no overnight revolution.
7. DeFi’s Breakout Year
Impact Index: ★★★
Decentralized finance (DeFi) hit $670M in assets via platforms like MakerDAO and Compound, though scalability limits loom.
Trend Prediction: Growth continues but depends on Ethereum’s upgrades.
8. Binance Hack
Impact Index: ★★
Binance’s $40M Bitcoin theft highlighted exchange vulnerabilities, though its transparent reimbursement set a new standard.
Trend Prediction: Major exchanges will adopt SAFU-like funds, but regulatory safeguards are the ultimate solution.
9. Research Exposes Bitcoin Price Manipulation
Impact Index: ★★
A study proved Tether (USDT) manipulated Bitcoin’s price, raising concerns for regulators.
Trend Prediction: Academic scrutiny of crypto markets will intensify, slowing regulatory approvals.
10. Justin Sun’s Canceled Buffett Lunch
Impact Index: ★
Tron’s Justin Sun backed out of a $4.56M charity lunch with Warren Buffett, epitomizing crypto’s PR extremes.
Trend Prediction: Sun will remain a master of controversy.
Conclusion
History rhymes.
Today’s "crypto winter" mirrors past cycles—clearing out weak projects while strengthening resilient innovators. As blockchain matures, patience and long-term vision will separate the pioneers from the noise.
👉 Stay ahead in blockchain’s evolution
FAQ
Q1: Why did Bitcoin fluctuate so much in 2019?
A1: Event-driven catalysts (e.g., Libra, China’s policies) created volatility without a sustained trend.
Q2: Will Libra ever launch?
A2: Likely, but in a scaled-back form to appease regulators.
Q3: Is China’s DC/EP a threat to Bitcoin?
A3: No—they serve different purposes (national currency vs. decentralized asset).
Q4: How safe are crypto exchanges?
A4: Risks remain, but top platforms are improving security and transparency.
Q5: What’s next for DeFi?
A5: Expansion hinges on Ethereum 2.0’s success and real-world use cases.