2020 was quite a wild ride of a year, but it brought us much change regarding cryptos, especially bitcoin. We don’t know what awaits us this year, in 2021, but we know Bitcoin is becoming closer and close to being a fully normalized way of payment, thanks to PayPal’s last year’s resolution.
Investors are more than willing to put their money into cryptos raising its value, knowing it is the best alternative to a current financial system. It might become a main financial system one day. The growth potential is great, and even though Bitcoin comes first since it paves the way for every other crypto, there are a few more altcoins to pay attention to. In this article, we will talk the most about Bitcoin, its third rise in its history, mention others, and what this all means for the economy.
We all heard and witnessed what happened in December 2020 when Bitcoin hit an all-time high. While many speculate whether the same fate awaits it as in 2017, the fact remains that even after its short ups and downs this year, the current value is 53,273.60 USD. From 20.000 USD in December to 53 thousand, many say it will reach 100 thousand by the end of the year. Wild to think anyone who owned a share of Bitcoin last year became that much richer, and if they are patient, who knows what might happen. Even if you bought Bitcoin in December, you’re still gaining. What makes Bitcoin so great is that many banks and companies started accepting it as a regular way of paying, making a small revolution in the economy and the world of digital currencies. Bitcoin’s more safe thanks to blockchain, and it has its cap, meaning we can yet to see what will happen when all Bitcoins are mined since the production will stop entirely after it hits 21 million Bitcoins.
Bitcoin surpassing Gold
Maybe the greatest change Bitcoin caused is for Wall Street to decide to focus on crypto the most. Until recently, their main focus was assets and golds. Not anymore. Analysts, companies, and investors couldn’t turn a blind eye to what’s happening when Bitcoin started performing very strongly. In August last year, before the crypto even started making new records, companies such as MicroStrategy prompted its rise by investing $250 million. From that moment on, the company’s total investment is equal to more than one billion dollars. Many analysts, including MicroStrategy CEO, explain this as a firm belief that Bitcoin has long-term potential rather than cash, and they are ready to invest in the future holding Bitcoin.
In October, a company called Square, a payment platform, invested $50 million. They had a similar statement emphasizing how much economic empowerment Bitcoin provides for the world and global monetary system.
Even Tesla couldn’t resist, so they purchased Bitcoin in February. Naturally, the value was around $1.5 billion. They don’t go small.
Bitcoin’s constant rise from the dead
If you are still unsure whether you should invest in Bitcoin, history speaks for itself. Did you know that Bitcoin was &dead& around 400 times over the last ten years? And yet, today, it has the value of 50 thousand dollars and rising. Everybody wants it. And it has become a regular way of paying. While the fear of crashes that happened in 2017 is still lingering, many are starting to believe it’s not the case this time. If you search for predictions made years ago, it was said Bitcoin would reach a new cap again sometime around 2020. And it did.
A few words before you invest
Make sure you know your goal and do your research – find a regulated and licensed broker. You don’t need scammers, and you can easily avoid it by trading with a trusted crypto broker. You can check regulator websites and see broker reviews so you can make sure their portfolio is good and they respect everything the law requires. Be patient, learn, and listen to what experts have to say. You will not regret it.