The Bitcoin Price changes literally by the second, and this is a hugely liquid asset that provides a lot of opportunity. Volatility is used alongside the words bitcoin price, and will likely remain to be so until the regulatory picture and the adoption cycle progress.
The most significant Bitcoin price movements have happened just as recently as November 2021 and there appears to be no end to the interest in ‘digital gold’. Bitcoin has been viewed as an interesting topic in the last two decades but for many, the bitcoin price topic is more relevant today than it has ever been.
Bitcoin Price Introduction
Bitcoin is a decentralized digital currency, without a central bank or single administrator.
This can then be sent from user to user on the peer-to-peer bitcoin network without the need for intermediaries.
Transactions are verified by network nodes through cryptography and recorded in a public distributed ledger called a blockchain. Bitcoin was invented in 2008 by an unknown person or group of people using the name Satoshi Nakamoto, and started in 2009 when its source code was released as open-source software.
Bitcoin isn’t the first cryptocurrency despite what many people believe, it isn’t even the second or third. Early projects like DigiCash, B-Money, and BitGold all pre-date Bitcoin by more than 10 years, but despite early successes, eventually failed.
The creator of DigiCash wrote the first known proposal for a blockchain protocol all the way back in 1982 and there are certain mathematical concepts used in Bitcoin that even go back as far as 1957!
We don’t want to break down the full history with the focus here on the Bitcoin price, but we have covered that elsewhere should you wish to know more. We will however keep the focus on a few key points in the history of Bitcoins price.
The History Of Bitcoin Price
The Bitcoin price has had a very volatile history, with values fluctuating wildly since its inception. This is often the case with any newly formed asset or company whilst a loyal user base is being built up. Historically across other assets, you usually see a slowing of that volatility along with increased user adoption and use cases.
Here are a few key moments in the bitcoin price history:
- In July 2010, bitcoin was traded for $0.08
- By November 2013, the price of bitcoin surged to over $1,000
- In December 2017, bitcoin prices hit an all-time high of over $19,0
- In 2018, bitcoin price dropped sharply, with 1BTC trading around $4000
- In 2021 Bitcoin reached a price in excess of $68,000 before retreating in 2022 to a new support level around $40,000.
What Does The Future Hold For Bitcoin Prices?
The question of bitcoins price in the future is one that comes up… a lot. But the answer remains the same. That is to say that there is no way to know the future price of Bitcoin, even when looking back into the past.
Past performance in any asset is never an indication of future results, and it must be said with Bitcoin price that there have been some trends after specific events that have repeated but there is certainly no guarantee that will happen again.
The Bitcoin halvings have tended to usher in an upward trend over the prevailing couple of years, but whether that is coincidence, or even just a result of user excitement or anticipation still remains unanswered.
The most recent Bitcoin halving took place in May 2020, with Bitcoin price at the time a shade under $9000. The previous halving before that one was in July 2016 with Bitcoins price just under $700 at the time. And looking back even further to November 2012 and the price of Bitcoin was sitting at just $12.
Usually after each halving there has tended to be an upwards trajectory, followed by a retracement to some new level of support and a period of relative range trading. With the next Bitcoin halving anticipated at some stage in 2024, we will have to see how things pan out with Bitcoin price between now and then.
One thing that is for certain, it will be worth watching!
Bitcoin Price Related Content
If you are interested in exploring how to buy Bitcoin, feel free to take a look through some of the related content on the topic here.