Bitcoin’s year is so far as successful as it can be. Thousands of new traders register to its network with each passing day and experts believe that the trend will continue to rise in the upcoming years. Not only that, but Bitcoin is extremely valuable as the price for 1 unit is $40,000. Back in April 2021, it even reached an all-time high of over $63,000.
With that being said, we wanted to provide you with a few things that you should know about this cryptocurrency, especially if you are a novice trader and you are getting familiar with how the network works. Without any further ado, let’s dive into the details.
Its Supply Is Finite
First of all, Bitcoin is not like regular currencies that are constantly printed. When it was created back in 2008, the number of units was limited. It is worth knowing that there are a total of 21 million units and they are being mined at a very fast pace so far.
Studies show that 99% of all Bitcoins will be mined in 2032. But, after that milestone is reached, it will take a lot longer to mine all of them. 2140 is the predicted year in which all Bitcoins will be mined.
Its Value Will Keep Rising In the Following Years
The reason why the process of mining Bitcoin will become so slow is that the price of Bitcoin will start rising a lot. Research shows that it will rise to $100,000 by 2022, but it may go as high as $500,000 by 2030. By 2037, some experts even believe that it will rise to $1 million.
As you can see, the massive spike in value is inevitable. After all, the more finite one product is, the more valuable it is. That is the reason why traders already register at trading sites such as Bitcoin Equaliser to earn Bitcoins. This trading platform is very reputable and secure. The process of registering here lasts just a minute.
Many of these experts even believe that the $100,000 mark will be reached by the end of 2021. History showed that Bitcoin’s peak values are reached a year and a half after halving events end. Just to remind you, the last halving event was held in May 2020.
No One Knows The Identity of Its Creator
The creator of Bitcoin is known as Satoshi Nakamoto. But, one interesting thing about this name is that it is a pseudonym. We have zero information on who Satoshi actually is. We are not familiar with Satoshi age, nationality, nor gender. We don’t even know whether Satoshi is an individual or a group of people who have worked together to create Bitcoin.
The Factors That Influence Bitcoin’s Price
There are quite a few factors that influence Bitcoin’s price with the biggest one being supply and demand. In layman’s terms, if the supply is bigger than the demand, then the product or services will be cheap. But, if it is the other way around, then the price of the product or service will be much higher.
We mentioned earlier that Bitcoin is finite. Not only that, but it is extremely hard to generate it. So, while the demand for Bitcoin is very high, the supply is extremely limited. Not only that, but during halving events, mining becomes very hard and the supply is lowered even more. That is why the price of this cryptocurrency is so massive and that is why it will continue to rise in the coming years.
Other factors that influence its price are the cost of production, competition, regulations and legal matters, institutional interest, and stability.