Analyzing Bitcoin price: Why is Bitcoin going up?

//Analyzing Bitcoin price: Why is Bitcoin going up?

Analyzing Bitcoin price: Why is Bitcoin going up?

In the middle of January 2017, Bitcoin has reached almost $20.000. The situation is a little bit different today, but the fact is that Bitcoin is still strong and the Bitcoin price we are seeing today is something that almost no one could’ve predicted in January 2017.

Experts from all over the world are analyzing the reasons behind this incredible growth of Bitcoin price. Many of them are pointing out that we are witnessing a change in the world of business. It’s obvious that technology has started affecting the business world a long time ago, but in the last few years, this influence was extremely high, which has resulted in a sudden change.

Nowadays, the traditional businesses and organizations are trying to compete against the new business and organizations and most of the latter are present online. Bitcoin has proven to be a great alternative to credit and debit cards and cash.

All these things have made Bitcoin price to rise. Another reason is the lack of control and regulation from both banks and governments. As you probably know, Bitcoin has a decentralized nature. This means that every transfer made through the blockchain network is a peer to peer transaction. There is no middleman or a government agency or a bank or a conventional financial organization involved. It looks like many people prefer to work in this way. This is quite logical after the negative impact of the global financial crisis in 2008 which affected print fiat currency.

Besides that, Bitcoin is very safe and secure. It relies on 2-sided cryptography which is included in every transaction. Additionally, there is an exact number of Bitcoin that can become available on the market (21 million of them). Having all these things in mind, investors from every corner of the world are looking for Bitcoin investments that can pay off in the long run.

Of course, the media has also contributed to Bitcoin’s popularity. More people have become aware of the existence of this digital currency and some of these people have actually invested their money in it. As with any other investment, the hype plays an important role. For example, when investors find out that some neighborhood is becoming popular they are buying properties there and as a result of that, the price of the properties in that area is going up. The same goes for Bitcoin.

By | 2018-03-01T13:22:30+00:00 February 26th, 2018|Uncategorized|0 Comments