Our history with Bitcoin

By Ganodgaga | Capital Times | 31 Dec 2022


​     There has been an explosion of interest in cryptocurrencies, with Bitcoin shooting up from $1,000 to over $20,000 in the span of 2017. There is no doubt that some will see this as a passing trend or just a scam and it certainly seems like there is considerable risk involved. However, if investors can stomach such uncertainty and volatility then there is significant profit potential to be had by buying into cryptocurrency now. The price of the most popular cryptocurrency Bitcoin has risen dramatically in recent years but it's not just Bitcoin that offers potential gains for investors. As the market matures, new and more exotic cryptocurrencies will come onto the scene which could bring much higher returns than what could be secured by investing in Bitcoin alone. These are the ones to watch out for…

18th January 2018.

Bitcoin was trading at over $15,000 per coin on 19th January 2018, its highest-ever value, having risen from $1,000 at the beginning of 2017. However, this is less than half of its peak value recorded during December 2017 and it's likely that we'll see a significant correction in 2018 which will enable investors to get a foothold in Bitcoin (and other cryptocurrencies) more cheaply than they can now. This is likely to be followed by a rise even larger than what has been witnessed during 2017 as cryptocurrencies become more widely used by investors and consumers throughout the year.

6th February 2018.

In the two weeks following Bitcoin's peak at $15,000, the price fell by over a third. In fact in 4 of the 6 weeks following December's peak, Bitcoin had lost more than 60% of its value. However, the correction that followed this was cut-short after an apparent 'taper tantrum' by the US Federal Reserve resulted in a rise in interest rates which increased demand for US Dollars (which are seen as 'risk-free' assets). This was very welcomed by investors that wish to secure their investments in US Dollars (rather than Bitcoin) and this has subsequently resulted in a huge increase in demand for USDs (and consequent rise in price).

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Ganodgaga
Ganodgaga

Forex, Stock, Crypto Trader /SwingTrader/. Financial and Investment Analyst Content Writer https://foundation.app/@ganodgaga


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