- Bitcoin price prediction has always been a matter of debate and spectacle in the crypto world
- Bitcoin is the first cryptocurrency that went live in 2009 and has since then climbed the price ladder time and time again, defying even the most optimistic expectations
- Bitcoin sought to create a world of peer-to-peer, decentralized, safe financial transaction that would eliminate middlemen
- The price of Bitcoin has fluctuated severely at points in time and has been influenced by a number of factors that range from supply & demand, to regulations & new laws, as well as the acceptance of Bitcoin as an alternative investment and payment method.
Since its breakout into the market, the price of Bitcoin has constantly risen, reaching all-time highs year after year. Its price has always been volatile, going back and forth like the tide, making bitcoin forecast a science of its own. You’ll learn all about the history of Bitcoin’s price and a few tips and tricks about how predictions are done.
There’s no better-looking wallet than the hardware crypto wallet that rings Bitcoin. If there’s anything synonymous with cryptocurrency, that’s Bitcoin for sure. The all-father of cryptos made its way onto the world scene in 2009 and has since then baffled the minds of even the most egg-headed analysts across the globe. Riding through all the lows and highs, Bitcoin has been nothing but an odd-ball of progress, breaking all-time-high records, one after another, creating a science of its own around Bitcoin projections.
Bitcoin price history and key steps
Believe it or not, Bitcoin started with a $0.00 price back in 2009. Its price was negotiated at the time by users on Bitcointalk.org, the first cryptocurrency forum that is still alive and kicking today. Bitcoin’s first breakthrough came in 2010 when its price first rose to $0.39. It was the year that we saw the first Bitcoin exchange, BitcoinMarket.com, going live and the first known Bitcoin purchase – 10.000 BTC for two pizzas.
2012 was the year when more than 1000 merchants started accepting Bitcoin payments, raising its price to approximately $14 by the end of the year. Following that, 2013 was a key moment for Bitcoin when a lot of money started moving away from traditional finance to crypto, raising its price to a whopping peak of $1000.
2014 was an unfortunate year that swung the price of Bitcoin back to $200-$300 as a result of a hack in which 750,000 BTC were stolen from the world’s then-largest exchange, Mt. Gox. 2015 and 2016 saw a relief of hostilities, with Bitcoin prices swinging in its favor at $750, mostly as a result of the first block halving.
You can call 2017 “the year of crypto” since it’s the year Bitcoin becomes an uncontested player on the world’s financial scene, cracking the $20.000 mark in December that year, mostly believed to be the work of a whale who wanted to manipulate the market. 2018 was the hangover year, with Bitcoin prices staying in the $6000-7000 range.
The transition from a strange and uncertain 2019 went full gear into a spectacular end of 2020 where investors and especially big companies started investing in a frenzied $20.000 Bitcoin.
2021 is the year we now cruise with impressive developments over the course of just a few months where we saw giants like Tesla pour in $1.5 billion, creating a price surge to all-time new highs of +$60.000 in April.
What factors can impact the price of Bitcoin?
Many of you might be asking themselves “why is bitcoin going up or down” at certain points in time. It might seem erratic or terribly out of control at times but know that the price of Bitcoin is influenced by a score of factors.
Supply and Demand
The most basic one that comes to mind is “supply and demand”. If there is a limited number of Bitcoin in circulation and people are buying like crazy, its price will go up. You need to be aware that not all Bitcoins are in circulation but most are held in safekeeping inside wallets. This means that supply can be very scarce at times and can make bitcoin price prediction a tough nut to crack.
Another very important factor that influences Bitcoin price is the number of institutional investors and investments pouring into it. When traditional investors and institutions like Microstrategy jumped into the Bitcoin pool, the influence in price was obvious. The same goes for Tesla. When they poured in $1.5 billion into Bitcoin, the price went up significantly.
Acceptance of Bitcoin
When looking at what impacts the price of Bitcoin, one key factor is its acceptance as means of payment. Once financial institutions and merchants started accepting payments in Bitcoin its price rose considerably. When giants like PayPal announced they were greenlighting Bitcoin payments, its price spiked.
This one’s very legit and important. To start off, Bitcoin & crypto’s weren’t regulated since the governments weren’t paying much attention to them. This meant that traditional & institutional investors shunned away from crypto. With more and more states stepping in to regulate the crypto-space, the price of Bitcoin and other cryptos constantly gets influenced by legal developments across the globe.
Popular past price bitcoin forecast
Bitcoin price prediction and forecasting have been quite a controversial arena. While some traditional financial advisors warned against its high volatility and impossibility of being considered a future-proofed asset, a lot of investors jumped on the Bitcoin boat and went “all-hands-on-deck”.
According to Robert Kiyosaki, author of “Poor dad, rich dad”, his predictions put Bitcoin at $75.000 in the next 3 years. Looks like he’s about right. More optimistic analysts, like Max Keyser, called for a $100.000-2020 Bitcoin, back in 2019.
One of the more popular Bitcoin gurus, Plan-B, follows a technical analysis method called a “stock-to-flow model”, that assesses Bitcoin price based on its digital scarcity. This allows for much more advanced mathematical precision in the distant future. His last prediction with regards to the next Bitcoin cycle is that it’s going to reach $288.000 in 3 years time.
Future bitcoin price forecasts
Ah, there’s nothing more tempting than taking a peek into the crystal ball. While predicting Bitcoin prices is not an exact science and surprise factors can influence the market out of nowhere, analysts and enthusiasts alike have tried their chops at predicting future Bitcoin prices.
Besides Plan B’s “stock-to-flow” model future predictions indicate a $288.000 Bitcoin before the halving of 2024, other predictions have made their way into the media, providing diverse perspectives as to how its price will evolve in the future.
Recently, in February 2021, Guggenheim chief investment officer, Scott Minerd stated in a CNN interview that Bitcoin is very likely to hit $400.000-$600.000 in the next few years, due to its scarcity mechanism.
Predictions for 2021, according to DigitalCoinPrice’s predictions, they put Bitcoin at ~$100.000 mark in May, which continues into a dip to ~$70.000 in June. On an even more positive note for 2021, WalletInvestor’s technical analysis puts Bitcoin at the value of $100,000+ for this year with the one question “how far up can it go?”.
In the longer term, predictions for Bitcoin vary from source to source, with most of them saying the same thing – it’s going to keep on growing. According to Previsioni Bitcoin, 2022 expects the price of Bitcoin to reach a whopping price of $226,020.1208, while for 2025 XBT’s technical analysis puts Bitcoin at over $400,000 by the end of the year.
There you have it ladies and gents – all you need to know about the historical prices of Bitcoin and its past and future predictions. Even though the crypto market and the prices of Bitcoin are highly volatile and dependent on many factors, one can find certain indicators if enough research is done and have a rough idea of where the Bitcoin train is going. Predictions are not always accurate and some may even prove to be bogus in the long run so take great care when you’re putting your money in. Always consult multiple sources and be clear-minded when making investment decisions.