Bitcoin remains a leader of the market of cryptocurrencies in 2024, and it seems like it will stay in that place for a long time. We can notice that the popularity is growing by each year and that this market represents a very popular topic, especially when it comes to mining and trading with BTC. When it comes to this digital asset, the main feature is that it is decentralized and that it offers advanced security solutions along with the instant transaction feature.
One of the main reasons why so many people became interested is related to the high volatility of this market. It is common for prices to frequently change. Traders can use this in their favor if they manage to invest and sell at the right moment. Even though the value is now much higher than in recent years, volatility remains one of the main factors that is keeping people interested in Bitcoin. If you want to read more about the expected volatility of BTC in the future, check out thefreemanonline.org
If you are interested in different methods of gaining profit that is related to this market, like trading, holding and waiting for a bigger price, or mining, it is essential to keep up with the most recent news and potential changes that could affect the value of Bitcoin. A lot of things can be learned from previous years as well. We are going to present you with some important things about Bitcoin and how they have changed in the last 12 years.
Table of Contents
Popularity
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We will start with the popularity. Bitcoin was introduced in 2009, right after the big recession when many countries were facing serious financial issues. This digital asset was presented to serve as a new and decentralized form of currency that will be free of the affection of current markets and financial institutions. Therefore, it cannot be affected by inflation or other economic challenges.
The popularity was quite low in the first few years, and a lot of people were skeptical about blockchain and the real value of Bitcoin. However, those who recognized the potential managed to earn a lot of money because the process of mining was simple, and investing was incredibly affordable since the starting value was under $1.
The first signs that this cryptocurrency might have a huge influence on the public were seen in 2014 and 2015 when trading became popular, and the prices became attractive to people. There is a continual trend in the years after, and we expect further expansion in the future as well.
Official Regulations
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This is one of the factors that can have a huge influence on the price. Some countries have banned Bitcoin and other cryptocurrencies, like China, Egypt, Indonesia, and more. However, their influence was not high enough to significantly affect the value of Bitcoin. Still, if some countries with a higher influence on a global economy decide to make BTC illegal, it will most certainly affect this digital asset.
On the other side, we can see that many countries are working on the integration of cryptocurrencies into current financial flows. The regulations are related to taxation and the prevention of criminal activities. For example, the US introduced a law where cryptocurrencies are treated in the same way as property, and making a profit in this field will include the same taxes as for property gains.
Mining Efficiency
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Mining was the most popular option in the first few years. However, the efficiency is getting lower with a higher amount of BTC introduced on the market. The final result of mining will be 21 million units, but we can expect to reach that point in over 100 years.
There is also a halving feature, where the rewards are getting lower after each event. Still, with the current trends related to the value, you can make a profit from mining, especially if you live in an area with more affordable electricity. The expansion of green energy sources is making it safer for the environment as well.
Value
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When it comes to changes that can be seen through the history of this cryptocurrency, the most important ones are related to values, and how trends were changing over the years. As we already mentioned, the price was incredibly low in the beginning. After more people became interested, the value raised to around $300 in 2015. We can see a huge rise in popularity during 2016, which leads to positive trends related to the price.
The point where Bitcoin became globally recognized as an investment with good potential, and that it might represent the future of transactions was in 2017. Also, it reaches a peak price of around $20,000 during that year. After that, we can notice some challenges related to supply and demand, where people started to sell it frequently, which resulted in a drop of value, that lasted for a few years. The year 2024 influenced this market as well. The whole world is affected by the pandemic and lockdowns in 2024, and according to many experts, we can expect some serious financial challenges in the following years.
Therefore, many people see investing in Bitcoin as a great way to protect their assets since it is decentralized and official financial markets cannot affect it in any way. We have to mention the influence of big investors in 2024, especially Elon Musk, who managed to affect the values, by causing a huge increase, and then a fall in value. There are positive trends at the moment, and the price is around $64,000.
The Bottom Line
It is important to learn more about the changes and trends in the previous years because some of those events could happen again, and influence the market in the same or similar way. We expect that even more people will start investing, but what is even more important, companies will start accepting it as a standard way of payment, which will lead to greater stability of this digital currency.
