The crypto market dropped to a $1.12 trillion market cap, at the time of writing. Despite this, 2021 has been a watershed moment year for the whole industry even as the staggering bull rally has come to a halt.
Many anticipated a bullish turn of events for Bitcoin and the altcoins during the weekend. However, the prices continued to remain in a consolidation mode and were far below the record-breaking numbers.
As the crypto industry shrugged off the craziness of the bull run, several companies have flourished this season. According to reports, M&A activity figures soared like never before as pandemic grappled the space in 2020.
M&A Activity in Crypto Industry To Soar Higher In 2021
Bloomberg revealed that the total value of mergers and acquisitions in the digital asset world more than doubled last year to $1.1 billion from 2019. The average deal size surged to $52.7 million from $19.2 million. With respect to demographics, it was Europe and Asia that saw a greater percentage of activity taking place.
Fundraising in the industry, on the other hand, saw a massive rise of 33% in overall value from 2019. It also said that while merger and acquisition activity in the industry was at its peak last year, the figure is headed to continue again this year and is likely to climb higher.
On a similar note, Henri Arslanian, PwC global cryptocurrency leader, was reportedly quoted saying,
“.. is already on track to significantly surpass it from every single metric”
The impetus for a surge in activity is greater awareness of the asset class as well as blockchain technology. This can be attributed to the fact that the cryptocurrency market has expanded considerably in the first quarter of 2021 alone when compared to last year. Bitcoin surged ninefold in the last year all thanks to the mainstream embrace and interest from large investors and endorsements. All this and more has catapulted the asset class’s growth.