The Early Bitcoins
Bitcoins came into being in 2009. They were worth cents, then. Among many stories that floated around here’s one that shows the growth of cryptocurrency. Back in the early days of Bitcoins, two pizzas were purchased for 10,000 Bitcoins by a Florida-based developer. Those Bitcoins if saved would be worth around 490 mn today.
Several pertinent questions pop-up. Is there an and to the Bitcoins, if so, when? Where will it land? The world is currently divided by its approach to Bitcoins. The anti-Bitcoin community perceives this as a market bubble that will soon burst and the Bitcoin will fizzle down to mere cents. From where it started.
The Pro-Bitcoiners, however, stand by the prediction that the price of BItcoins will increase 30- folds in the coming years.
This initial promise as floated around was that the investors would turn millionaires in ten years. Few major crashes later the Bitcoins didn’t fare badly. The Bitcoin trajectory over the past twelve years has seen steep rises, crashes, and higher rises. Considering some approximations Bitcoins have lived up to the predictions of their role.
The Price History
Bitcoins have lived up to its tag of a “highly volatile asset”. Predicting its future variations is challenging.
In 2013 its price was $13.50 which rallied to $220 by early April only to drop down to $70 towards mid-April. Again in Jan 2018, it dropped to nearly 50% by value and then recovered itself much better towards mid-2019. 2020 saw Bitcoins cap out just under $10000 followed by a sink down to $5000 in the mid-march market crash. Since then the coin has recovered itself remarkably.
What to Expect, Next?
It may be noted that Bitcoins fared exceptionally well against all other securities during the pandemic times. BTC wavered around $10,000 in early 2020, standing at $13,573.71 in October 2020 and finished at $ 28,768.84 in December 2020. This was followed by a leap to the mark of 30K in January 2021 from where it climbed to cross the 50K mark in February of this year.
A pseudonymous investor and creator of the Stock-to-flow model, known by Plan B, predicts the rise of BTC using the same model. He states the coin should reach $100,000 by December of this year. He also says Bitcoin will grow on to reach as high as $288,000.
Jeremy Liew is a partner at Lightspeed Venture Partners, an early investor in Snapchat, and an active investor. He is open about his faith in Bitcoin and predicts a scaling of $ 500,000 by 2030. Peter Smith, the CEO, and co-founder of blockchain shares his views.
Raj Chowdhury, founder, and CEO of Paybito, a global cryptocurrency exchange, pointed at the pattern in the path of Bitcoin since its creation in 2009. In his words, “Taking a cue from Bitcoin’s journey so far, it is only fair to presume that it will continue in its sharp-tooth trajectory for the next couple of years. It should finish on the $100,000 mark by the end of this year and should reach $200,000 by the middle of 2023”.
Dan Morehead, Founder, and CEO of blockchain investment fund Pantera Capital predicted the rise of Bitcoin to $115,212 by the end of the year in his blog post on Medium.
Thomas Fitzpatrick, the global head of Citibank’s CitiFX technicals product, drew parallels between Bitcoin and the Gold market of 1970. He wrote, “That surge as it came into the mainstream, was very reminiscent of what happened with the Gold as it was allowed to float in the early 1970s after 50 years of trading in a $20 — $35 range.”
Chamath Palihapitiya, co-owner of Golden State Warriors and founder of Social Capital, started his investment journey back in 2012. His zeal for bitcoin can be measured by the fact that he once owned 5% of all bitcoin in circulation. His foresight suggests that bitcoin should reach $1,00,000 in the coming 3–4 years and expects a rise up to $1 million in or by 2037.
To Sum Up
Here we’re talking about a cryptocurrency of high potential. On its worst days, in October 2010, it was valued at $ 0.125, and on its best, it shone at a whopping $50,000 in February 2021. In spite of skeptics warning a nosedive, at any time, the possibilities of that happening are next to null.