BOOM! That’s the big question!? There is a mass of speculation over the future bitcoin price. At the moment bitcoin is priced at $8,235 per bitcoin. Recently the price of bitcoin peaked at about $20,000 usd. Then crashed in value by more than 50%. So this demonstrates that bitcoin is still exceptionally volatile. Some say that this is a correction in the market and was linked with an influx of fresh retail investor money that propelled the price along the massive bull run that we saw in 2017. That bull run gave bitcoin a big public promotion with now even the newbie investor asking how to get a bitcoin wallet, and buy bitcoin. And how to buy other alt coins and trade them online. Click here for Binance.com
The supply of bitcoin is limited. Only 21 million bitcoins will ever be available. Miners are rewarded with bitcoin blocks for processing transactions. In the beginning of the bitcoin Blockchain, the block reward was 50, then it reduced to 25, and now is 12.5btc for every block that is mined. How much will bitcoin be worth when block rewards are reduced to eg less than 1btc per block?
Wall Street for example has bitcoin future contracts availability, and interest in accepting bitcoin as payment from major retailers. Bitcoins future could be very bright! Imagine if bitcoin was as widely accepted as visa or MasterCard. And at a fraction of the cost. And now imagine how this would influence the value of bitcoin?
Coin Base Index Fund
Even more encouraging news from coinbase launching an index fund based on a range of crypto currencies on its GDAX exchange. The index fund will be weighted by market cap, and if a new asset is listed then it will be added to the fund. More info here.
Now image if the bitcoin Blockchain was somehow hacked! Or some sort of vulnerability was discovered. This has happened before on other networks. If bitcoin fails, suffers an attack, or becomes obsolete, what other Blockchain tech would quite happily step forward and take its place? There are many competitors.
Something is only worth the value that any one person is willing to pay. What might that price be in 5-10 or even 25 years time? Some say $500,000 or even $1,000,000. While others say $1. The future bitcoin price could just be a bubble. Has the bubble already burst?
Past performance is no guarantee of future performance. Bitcoin and crypto currencies are highly risky, and volatile. You may lose your entire investment, and/or more.