It’s been just over a decade since Bitcoin was introduced to the market, and since then, it’s become a worldwide phenomenon. Over 100 million people in the world now own Bitcoin, with 14% of the entire population of the USA holding Bitcoin. The secret? It’s one of the safest and most secure currencies on the planet, especially since it uses blockchain technology. So is that why millions of people have invested in this cryptocurrency giant?
History has proven that there’s plenty of reasons to invest in Bitcoin, mainly the fact that you can make huge profits from a small initial investment. Take the first Bitcoin billionaire brothers, Tyler and Cameron Winklevoss, who supposedly own 1% of the entirety of Bitcoin. Or the early investors of Bitcoin like Dan Morehead who traded on Bitcoin when it was just $65! It’s clearly very easy to make money from Bitcoin, with hundreds of companies now actively investing in Bitcoin and millions of users now choosing to use Bitcoin. So what does Bitcoin’s past tell us about its future?
The History of Bitcoin
Bitcoin was released onto the market on 3rd January 2009 by an anonymous group/person known only as Satoshi Nakamoto. It had a steady climb, increasing its value year on year until it peaked in 2017 with a 900% growth. Financial forecasters then started to predict a crash bigger than the Dot-com bubble burst of the early 2000’s, claiming it would spell the end of the cryptocurrency market as they knew it. When the crash did come, Bitcoin reportedly lost 80% of its overall value, making it the biggest drop seen since it began. Whilst many thought this would mean the end of Bitcoin, and the crypto-market as it was, it instead spurred people to invest whilst Bitcoin prices were low, which again led to a huge increase in Bitcoin’s value. By the beginning of 2019, Bitcoin had matched its value of the previous year before the crash, making it one of the biggest comebacks from a financial crash.
That wasn’t the end of Bitcoin’s troubles, however, as with great demand comes great risk of decline which is also what happened in April of 2021. Although this was almost out of nowhere, some financial experts had predicted this late in 2020, as the cryptocurrency boom continued to grow and the likes of Ethereum and LiteCoin also grew in popularity. When the crash did come, over 300 billion dollars was completely wiped off of the cryptocurrency market and Bitcoin lost a fifth of it’s value. The outcome? Again, the dip in value and lower Bitcoin prices led to a higher demand, pushing people to invest in Bitcoin and once more, bringing the value of Bitcoin higher.
For 2021, Bitcoin is expected to end on a record-breaking high with many financial experts claiming it could be valued in the hundreds of thousands, if not a million dollars per coin. Many argue that this figure is exaggerated however, as of the beginning of May 2021, Bitcoin is valued at over 58,000 dollars per coin, up massively on the previous year and continuing to surge.
If similar news like that that came out of Japan recently, allowing cryptocurrency to be a recognised and valid payment method, comes across the globe, Bitcoin’s value will inevitably soar higher than it ever has before. Why? Because demand will grow so rapidly that it will be worth more and more. That means that whoever already owns Bitcoin, or will own Bitcoin before governments worldwide follow suit, could see themselves making a profit in the thousands or millions of dollars region.
That’s not the only leading factor in the future of Bitcoin looking successful; hundreds of well-known companies are actively investing in Bitcoin, leading to a domino effect of others following the lead. Take Elon Musk as an example, he’s one of the most famous tech entrepreneurs on the planet and has managed to do Bitcoin a massive favour by openly advertising the benefits of the cryptocurrency giant. At almost every opportunity that he gets, Musk speaks about how Bitcoin is the future of currency and how he has such a strong belief in its value, that he bought over 1.5 billion dollars worth of Bitcoin just for Tesla to add to their books. It seems that this investment has already paid off, however, with figures showing that Tesla are set to at least double their money by the end of 2021.
With other famous names like Bill Gates, Gwyneth Paltrow, Snoop Dogg, Floyd Mayweather, Serena Williams and 50 Cent all reported to be investing in Bitcoin, it’s no surprise that Bitcoin is set to exceed 150 million users by the end of the year too.
So How Do You Invest?
Bitcoin is so popular because it’s so easy for users to invest in. Whether you’re a seasoned investor who has a wide portfolio of investments or you’re completely new to the investment game, Bitcoin is one of the easiest to start with. You have multiple options to buy Bitcoin, from one of the exchange platforms like CoinBase or KuCoin to using one of the many third party cryptocurrency auto-trading platforms that are on the market. These platforms let you set parameters and stop-loss rules to ensure you don’t lose more than you can afford when investing in Bitcoin, and take all of the heavy work from you by automating the whole trading experience with an intelligent bot in the background. Thousands of people have claimed to have used these platforms to make ten times their original deposit.
Ultimately, there’s never been a better time to invest in Bitcoin and if it’s past tells us anything, it’s that Bitcoin is set to boom even further. With record-breaking numbers year on year and a huge forecast for the end of 2021, it’s best to get buying Bitcoin now before it’s valued too high for you to invest in!