Ever Since the third halving of the most popular cryptocurrency in the world i.e. Bitcoin, there have been debates on whether it will ever reach its previous potential of breaking open the $20,000 mark. Currently at the time of writing, Bitcoin sits pretty at the $9,520 mark but fluctuates within this region and has been doing so for the past few months. It is no secret that everyone is after Bitcoin and that will not change. At least for the near future anyway. Experts and crypto magazines have all predicted the cryptocurrency giant to remain on top even under the pressure of different factors and competitors. We all know what it takes to increase or decrease its value but is there a reason why it is showing a static nature right now?
Before we can begin this dissection, let us first acknowledge that there was a time when bitcoin was worth $0.003. This was back in March 2010. And since it has not changed in any way whatsoever in the past decade, how did it jump so high? It all goes down to the demand. When anything has more demand on it, the value automatically increases and Bitcoin and other cryptocurrencies are no different. Putting it simply, the more people that are willing to buy bitcoin, the higher its price on the exchange. After this, it all comes down to the buyers and their mindset. Questions such as, is it a good investment? Am I going to get a profit? Is bitcoin going to grow more are common queries when looking at the trend but people who have been doing this over a long period of time can tell you a different side of things. It is all about the timing.
Every veteran trader out there is waiting for the right time to buy or sell Bitcoin. For an individual that wants to buy, he or she is waiting for the price to be at its lowest. For those who want to sell, they are waiting for the price to go up and both parties will wait for the right time. Since the value is set by the individuals themselves, it takes a lot of patience to always get a profit and that is where most people stop and think before making their move. Consider this; India had basically banned cryptocurrencies two years back but legalised them in March 2020. Every investor/business that could not deal with crypto before immediately decided to venture out and invest. Not only in Bitcoin but in other currencies as well. And the price subsequently rose. After the initial flurry, and a few drops, it is back to normal again.
Time is the key factor here and it will only take a monumental feat such as countries making cryptocurrencies legal again or halvings to have more than average trading. Until then, the price will remain constant. Those who manage to overcome this waiting game will be successful and those who do not match their pace with the rest of the world might not do so well. On a side note, luck can play a huge factor in this as well.
So what do you think? Will Bitcoin cross $10,000 soon? Will there be a new cryptocurrency that will take the number one spot? Is trading and getting a profit all to do with luck or is it something else? If you have your own opinion on this topic, drop me a message at the chat box or any of the social links and we will be sure to feature you and your opinions.