Bitcoin, the first Cryptocurrency to ever be introduced globally, has bounced back with force in the year 2020 after a major setback in 2018. The value of this Crypto has soared to great heights every day and aims to be on the top of the world within a short period. The investors are also doing all they can to make Bitcoin the mainstream asset of the future. However, the rise of Bitcoin has led to a distinction in the points made by the Bitcoin bears and bulls. While the bulls are thinking about accepting this Crypto as an asset, the bears are completely against this idea and are sure it will be a volatile investment to make.
The sudden spike in the investments made in Bitcoin has made people believe that opting for Cryptocurrencies will do you better than doing the same for Gold or any other assets. If you want to know more, make sure to check out Bitcoin Code for additional information.
Reasons Behind The Striking Rise Of Bitcoin’s Popularity
- The popularity of Bitcoin, which had suffered a fatal blow in the year 2018, finally started to gain pace during the pandemic. With the onset of the lockdown, there had been disastrous consequences faced by assets and investments. So, investors were unsure about investing in traditional assets. This led to the recognition and growth of Bitcoin.
- Since the main motive of investors was to keep their money safe and secure, they decided to go for the comparatively less conventional Bitcoin. Also, those investors who decided to risk their money by investing in Bitcoin got four times higher rewards than those who invested in Gold. This led to the conversion of investment in Gold to making investments in Bitcoin.
- The craze of investing in Bitcoin also reached high peaks due to the limited circulation of this Cryptocurrency. While the supply of Bitcoin was limited to 21 million, about 18 million has already been circulated and mined.
The Bottom Line
Some experts have also predicted another bubble in the working of this Cryptocurrency. There can be another disruption for this volatile currency shortly. Due to the exceeding volatile nature of Bitcoin, it has been noticed that there have been huge price fluctuations that are still ongoing. Recently, the price of this Crypto went down by more than 17 per cent (approximately $4,000), which is only reminding the investors about the high risks involved. So, it is advised to think before making any decisions.
Bitcoin, the first among thousands of Cryptocurrencies, has dealt with various fluctuations in recent years. After going through a dry period till 2018, it has emerged stronger with the motive of disrupting the working of other investment assets. If you want to know the reasons for the sudden spike in Bitcoin investments, read this article thoroughly. That is why it is a good practice to educate yourself more about Bitcoin and its related topics.