Bitcoin has recently been an interesting topic to discuss. Since its massive price spike in 2017, the entire world has been keeping an eye on cryptocurrencies and their growth. While many people are investigating Bitcoin to become an investor, other people just want to know why Bitcoin is getting even more popular.
The truth is, Bitcoin wasn’t always this popular. While people started paying attention to it in late-2017, it has been around since 2009, which is over 10 years ago. The reason Bitcoin wasn’t doing so well at the beginning was that it was something new. Not many people understood how cryptocurrencies worked, so they thought of them as an unsafe currency.
Bitcoin’s Price Spike
One of the reasons why some people still aren’t convinced to look into cryptocurrencies is their volatility. There’s a very thin line that separates big earnings from big losses. However, when Bitcoin had its biggest price run in 2017, some people started showing interest in the potential that cryptocurrencies could achieve.
From 2009 to 2017, Bitcoin’s price was highly volatile, and since it was new, not many people paid attention to it. In late-2017, Bitcoin experienced an exponential growth that placed it in approximately $20,000 in value, which is its all-time highest. Over the following year, Bitcoin took a bit hit, placing its value below $4,000.
Bitcoin’s Recovery
While it took a big hit over the following years, the price of Bitcoin has steadily increased, placing it at $10,700 at the time this article was written. Bloomberg analysts claim that Bitcoin could double by the end of 2020, placing it at approximately $20,000, which was its highest value ever.
According to analysis, Bitcoin has increased by about 30% since this year began, which is a big number considering how volatile Bitcoin is. The most remarkable thing about this analysis is that Bitcoin is not expected to drop anytime soon, since people are expecting it to go even higher over the following years. You can visit advfn.com to know more about bitcoin.
Why Are People More Interested Now?
There are many reasons why people could be interested in Bitcoin and its growth. Many people are watching Bitcoin’s price closely and considering investing for the first time, but why is that?
Trust is one of the fundamental aspects of cryptocurrencies. One of Bitcoin’s pros (And cons, for some people) is that it’s decentralized, meaning that no bank institution or government could regulate your assets. The money is always completely yours, and no one else can track it.
While some people loved this, some others thought cryptocurrencies to be unsafe, and that criminals would use them for illegal transactions. However, due to the 2020 pandemic’s hit to the economy, more people are leaving physical cash to lean toward digital money. On the other hand, the uncertainty of the stock market this year has made many people looking for an alternative to stocks and cash.
Another reason why Bitcoin is gaining interest is because of this year’s Office of the Comptroller of Currency decision, in which it allowed national banks to hold cryptocurrencies. Most banks are likely going to start with custody services, which adds an extra layer of security to another person’s digital wallet.
In essence, Bitcoin’s growth over the past months, and the fact that it’s widely recognized as a safe alternative to digital money has made more people pay close attention to its growth over the following months. While it’s a highly volatile currency, many experts claim that it’s expected to make a huge spike in price over the following months, causing it even to surpass its $20,000 record.
Bitcoin’s history has always been an interesting thing to analyze. It started as an alternative way to store and make money, and now, more people are considering investing in it fully to increase their earnings.
