Bitcoin : A rising cryptocurrency
If we are talking about the cryptocurrency then first of all bitcoin comes into the mind. Or if you don’t know what cryptocurrency is then you are probably living under the rocks. So cryptocurrency is a type of digital currency just like shares in the share market. We can buy this currency online and sell it digitally. For the last 3 to 4 years bitcoin has been at the top of the charts. Many investors who invested in bitcoin that time they are now billionaires. And many people think about whether we should invest or just stay away from cryptocurrency?
If you want to make profit then you should go for it. Now, many cryptocurrencies are introduced in the market. We haven’t even heard about some but they are continuously going up. My suggestion is that you should invest in that currency which has Market Capital.
History of Bitcoin
Bitcoin was introduced in 2009. At that time the value of bitcoin is zero. But in 2010, the first time bitcoin started trading and the price was 0.08 dollar. Can you believe that today the price of bitcoin is around 37,000 USD.
After 2010, in 2011 bitcoin started growing and grew by 3200%. The price increased to 32 dollar from 0.08 dollar. That was the peak of bitcoin but in the same year bitcoin fell very badly. But in the following year bitcoin sometimes went very high and suddenly crashed the other times. But the overall graph was always growing.
From the past year, we can see very clearly when bitcoin was going up and reaching its peak. Suddenly it would start to break and fall drastically. But in this fluctuation, the price of bitcoin is overall increasing every year.
So why did bitcoin crash suddenly?
If you have knowledge about the share market then you already have an idea. When something is at the peak then it is understandable it will come down. Same with the cryptocurrency, everytime when bitcoin is at its height then it also falls down.
But what is the reason? The first reason is- when some investors pull out the money in a big amount from the market then the price crashes. Sometimes the big bulls (that investors who play the major role in the market) first purchase continuously and invest big amounts. The result is that the market goes up. The price of bitcoin goes very high. Then the middle man or salary based person thinks, now the price is very high, I can’t afford to buy this anymore. That time the big bulls, I mean the big investors, sell bitcoins or other cryptocurrency. Its impacts the market and price lowers down.
After the crash many people will be ready to buy it. When they start buying then the price once again goes up.
So this way they manipulate some time. Other reasons are related to the world. I mean sometimes the leaders and some celebrities give positive comments on it then the price goes up. If they make bad comments then the price goes down.
Recently what happened?
This year the bitcoin touched the highest price ever. In January, the price of bitcoin was 40111 dollar. If we are talking about Indian Rupees then in the month of May the price of bitcoin is around 46 lac. But today, on 22 May, as I am writing this article, if I search on google about the price of bitcoin in India then it is showing 27,40,640.08 Indian Rupee. In the application of CoinDCX, the price is 30,96,202.06 and still falling down. It all happened after China issued a statement and said they banned cryptocurrency in the country.
What price is predicting in the future for Bitcoin?
According to Jeremy Liew, a partner at Lightspeed Venture Partners, in the next 10 year I mean in 2030 the price of bitcoin will be 5,00,000 dollar.
According to the June 2020 Crypto Research Report, Bitcoin will reach 397,000 dollar in 2030.