Bitcoin is dead’ is probably a headline you’ve read one to many times across mainstream media outlets. So often that you’re probably beginning to doubt it.
Specialists from around the world are constantly talking about the prophetic demise of cryptocurrency’s flagship Bitcoin, saying things like “Bitcoin is just a bubble about to burst”. However, time and time again, Bitcoin has shown its resilience and bounced back to trend upwards on the charts.
A quick look at the lifetime graph of its value shows many violent dips, only for Bitcoin to shoot right back up with intensity.
Here’s just a handful of examples in 2017:
4 June – 10 July: Bitcoin drops over 25% of its market value only to rise in 200% in the span of a month and a half afterwards.
27 August – 14 September: Bitcoin drops 20% then skyrockets to over $7000 two months after.
11 November – 15 December: Bitcoins early Christmas present to the world is a 230%+- price spike to over $19000, it’s all-time high.
Like any cryptocurrency, Bitcoin is volatile, but in the bigger picture, it is not only growing but outpacing every other trading asset out there. What a lot of analysts predict is that as Bitcoin enters maturity, its fluctuations will begin to get calmer before eventually levelling out at a plateau.
With a little research, it’s easy to find that every large dip in the crypto market is caused by a governing body proposing scepticisms and sanctions to what they see as a threat to the economy. It’s only natural, really. Investors see danger and they pull out. But with the progressive and persistent future of cryptocurrencies, some suggest that these worries and bans will disappear and reinforce Bitcoin’s position in the global market.
Additionally, the bigger Bitcoin gets, the more we’ll start to see real-world retail merchants using it for day-to-day transactions. This will see the digital currency gaining tangible real-world value as opposed to just numbers on trading boards. Perhaps you’ll even be able to purchase your groceries with it sometime soon.
Hypothetically, if Bitcoin did up crashing, what then? Well, the crypto market as a whole is growing and a more popular, more secure and singular cryptocurrency might take Bitcoin’s place for worldwide usage.
When phenomenal technology like cryptocurrency comes along, the world naturally meets it with doubt, but what we are seeing here is the first of many implementations of the incredibly promising blockchain technology. For Bitcoin and cryptocurrency to die, blockchain would need to die too, and it has far too much potential for that to happen.
Find out more about cryptocurrencies at crypto101.com