Bitcoin, the world’s oldest and most valuable cryptocurrency, never ceases to astound us. After all, unlike almost every other revolutionary tech invention, Bitcoin has some seriously mysterious origins. Like that pesky monolith that had the world stressing about aliens, Bitcoin raises some serious concerns.
For starters, no one knows exactly who created it. The name ‘Satoshi Nakamoto‘ may refer to one or several people and might come from a pseudonym. Furthermore, security concerns about a completely decentralized currency arise, and understandably so.
As of the time of writing, Bitcoin has reached an all-time high
Being a cryptocurrency, and understanding the ways of the blockchain, means that Bitcoin is subject to dramatic highs and lows. One month it may idle around $6500, and another it may hit $16500. However, Bitcoin has never reached figures like these before. As of December 2020, it now fetches a whopping $19300, leading experts to posit a possible touching of the $20000 mark. And this extraordinary value is practically unprecedented, because of the cryptocurrency’s overall upwards trajectory as of late.
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The last time Bitcoin reached near the coveted $20000 figure, it was in late 2017. With many investors happy with their prodigal cryptocurrency, disaster struck. By early 2018, it had lost over three-quarters of its peak price and didn’t seem likely to recover again. Luckily enough, Bitcoin enthusiasts were about to have their luck change. Too bad it just took a terrible ongoing pandemic to make that happen.
Experts have several theories about this sudden spike
Over this past year, Bitcoin’s value has appreciated by over 170%. That is a significant hike up, to say the least. As cryptocurrency analysts and enthusiasts speculate, several factors contribute to this occurrence. One of the chief causes is an increased institutional investor interest like never before.
Big cryptocurrency names like GBTC (Grayscale Bitcoin Trust), the owners of Coindesk, all allow buy-ins. As the coin gains stability, more and more such buy-ins happen. Thus, the institutional investor base skyrockets. This increases the share value in drastic proportions.
Furthermore, Bitcoin enjoyed a recent clearance from OKEx. For those who aren’t familiar with OKEx, think of them as one of the biggest cryptocurrency exchanges of all time. While Bitcoin in particular had been on a ban for several weeks, they only recently got the all-clear. That opened up the markets and shares to all of the general public. So, for the average investor, now is the best time to dig into a regulated and approved cryptocurrency.
Lastly, the reputation of Bitcoin itself furthered its appeal. Now almost synonymous with gold or oil, this image attracts wealthy buyers in spades. Meanwhile, the official endorsement and approval of renowned analysts worldwide cements Bitcoin’s near iconic legacy. Even those unfamiliar with data mining, blockchains, and cryptocurrency, in general, may feel a need to invest.
At this given pattern of growth, Bitcoin may even hit $200,000 by the end of 2021
As Bitcoin billionaire Tyler Winklevoss recently put it, the coin will only go onward and upward. Many experts and analysts agree that 2021, barring an unforeseeable gamechanger, will also be a good year for Bitcoin. Seeing it hit 6 digits, with some even claiming $300000 is possible, instead of the less obscene $200000, will definitely only make hesitant buyers salivate. Or who knows, maybe this year will end on yet another disappointing low tide, and wash Bitcoin back down to the four digits. You can never fully know.
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