Bitcoin is quite popular today, but it wasn’t always this way. Its history has been complicated, to say the least, and the proof can be found in the road it has traveled to get here, as well as all its trends, forecasts and bull runs, and here you will find part of the journey of this virtual currency, which already has sophisticated tools, such as Bitcoin Code -style trading bots that help it stay ahead of the competition.
Bitcoin’s first steps
The first time Bitcoin saw a considerable price spike was in 2011. In April of that year, the price per coin was $1. By June, its value had soared to $32, a huge jump that was soon followed by a downturn in the cryptocurrency markets. This led to the coin’s price dropping to $2 per unit in November. This run of bad luck continued the following year, with the price staying around $4.80 in May and rising to $13.20 in August.
Things got exciting in 2013. Starting the year at $13.40, the price rose sharply to $220 in early April. As predicted, prices proceeded to fall off a cliff and dropped to around $70 by mid-month. However, optimism was rewarded as another bubble formed, taking the price from $123.20 in October to $1,156.10 in December. It then fell back to $760 three days later.
This rise was followed by a depression that lasted a good handful of years, and the price hit a low of $315 in early 2015. Things picked up again in 2017, after a rise that no specialist could have predicted, the price reached $20,089 in December.
This is the trend that put the spotlight on Bitcoin and led dozens of analysts to initiate speculative predictions of wild price rises. It also led to the creation and spread of alternative cryptocurrencies. The boom had begun.
Bitcoin: boom and pandemic times
Despite hopes of another bubble, Bitcoin stuck to the indicators and moved sideways for the next two years. Of course, this did not mean there was no activity. In June 2019, the price again surpassed $10,000, but fell back to $7,112.73 in December 2019.
By then, COVID-19 had begun to spread from one corner of the world to another, becoming a pandemic. Countries were locked out one by one, and many financial and economic markets began to experience a downturn. However, it was also the time when Bitcoin came to life. Although it started the year at $7,200, by the end of November its price had surpassed $19,000.
Whether it was government policies that struck fear into the hearts of investors around the world or the $1,200 stimulus checks that breathed new life into stock markets and others, it’s no secret that the asset had a good 2020. Not only did it come off a low, but it surpassed its previous all-time high to set a new record.
Due to fears of inflation and the declining value of the U.S. dollar, many institutions also decided to buy into Bitcoin, propelling it to never-before-seen heights. In fact, in December 2020, Bitcoin’s value was just below $24,000. Since the beginning of the year, that meant it had increased in value by 224%.
The up-and-down story continued much the same in 2021. Bitcoin has proven to be an extremely turbulent investment. In January, the currency was worth just over $30,000-31,000, while a month later its value was over $50,000 and even approaching $60,000. Unfortunately, before May, Bitcoin saw its value almost halve to $35,000. In June, BTC hovered between $35,000 and $40,000, which was similar to its performance later in July. By the end of July, the price surpassed the $40,000 mark. But as early as November, it reached its 52-week high of $67,566.
Prior to 2021, the Bitcoin price had risen at a rapid pace for three years. Last year proved that the market needed some rest. During the first few months of 2022, it returned to the red.
Considering how difficult it is to formulate the countless ups and downs that occur in the world of cryptocurrencies, it is necessary for expert analysts to do the groundwork and set the template for investors to understand the trends that Bitcoin may follow in the coming years. Only when you have an idea of what is likely to happen can you strategize on how to navigate the waters.
And if you’re wondering when the right time is to buy, you need to be reminded that as with any market, nothing is certain. Throughout its history, Bitcoin has generally risen in value at a very rapid pace, followed by a slow and steady decline until it stabilizes. For that reason, it is important to follow the market’s steps if you want to invest in cryptocurrencies.
Interesting related article: