Bitcoin hits $56,500: What’s next?
Earlier this year, many people had a different opinion on the value of Bitcoin’s price in the coming days, Bloomberg analyst Mr. Mike McGlone predicted that Bitcoin will break above $5,000 this year. At the time of this prediction, Bitcoin was only at $30,000 and the number given by Mike was either a joke or seems impossible.
But in less than a full month, the king of cryptocurrencies not only surpassed the given number but surpassed up to $56,500. And it is showing its power apparently that nothing can stop it from advancing further.
At this point, the price of bitcoin has now almost doubled in value since the beginning of this year. Last year, the entire cryptocurrency industry witnessed the uptrend and beat all previous records, especially the 2017 figures.
Now that bitcoin has crossed the value of $56,000, everyone has a question about what will be the next value of bitcoin, what will be the future of this precious digital currency.
Take a look at Bitcoin price history
The main reason it attracts investors is its status as the first digital currency. It was created in 2009 by a person or group of developers known as Satoshi Nakamoto.
The idea behind this creation was to provide an alternative to the downfall of traditional fiat currencies.
However, people did not accept it easily, it takes too long to achieve public acceptance. In 2011 its value increased when it reached the price of 10 dollars.
Europe entered an economic crisis in 2013, which made it more prominent as a safe-haven asset and may serve as the fiat currency outside of the United States that fuels its adoption. Bitcoin Prime app began to provide services that attract many investors. Many other cryptocurrencies started based on bitcoin’s open-source code and its secure handling.
The price of bitcoin remained almost stable even sometimes showing short-term volatility. Bitcoin keeps adding zero after zeros every year. It has almost been trending up since it was created. The first uptrend was in 2013 when it crossed the value of $1,000. Then in 2017, it reached $10,000 and crossed its highest value over $19,000 and close to $20,000.
But it cannot hold its value any longer and fall back to $3,300 from $19,783 in December 2018. This drop made its price more stable and it began to regain value back to the top. Bitcoin took up to two years to reach its previous all-time high again and crossed its 20,000 marks in December 2020.
It brought its price to 2021 and continually crosses new milestones with each passing day. At the end of 2020, its price was hovering around $28,000 which soon rose to $40,000 in the first month of 2021 before taking a step back again.
In February, many large companies announced investing in Bitcoin, such as Tesla announced that it would invest $1.5 billion in it. BNY Mellon also announced that it will invest in it. This helped increase the value and the asset continued to grow in value, reaching close to $50,000 before crossing the figure on February 16 of this year just two months after crossing 20,000 for the first time in its history.
As Bitcoin has crossed the great line of $50,000. It has made skeptics and crypto enthusiasts eager to do more. But the million-dollar question “Will Bitcoin keeps its value rising?” Or will people see a huge price drop as they did in 2017? It is still there. It is a plain truth that it is very difficult to tell, but there are some forecasts on Bitcoin that you can expect from Bitcoin.
Mike Novogratz is one of the analysts and investors who predicts the massive rise in the price of bitcoin. He has predicted that the king of cryptocurrencies will cross the $650,000 line this year. This number seemed most anticipated when he first announced it. But keep in mind that it is only the second month of the year and Bitcoin has crossed the $50,000 line, it no longer seems far-fetched if bitcoin keeps pace at the same rate.
Another analyst, Mr. Fitzpatrick, said that bitcoin is going to cross the value of $318,000 by the end of this year. It seems simply magical, but looking at past increases in price, it could happen.
Story by Crective Solutions