If you were lucky - or had foresight - and invested $1,000 in Bitcoin (BTC) a decade ago, then waited, your value today would be over $398,000. This is after an extraordinary growth period for Bitcoin: from less than one cent in 2010 to about $300 per coin just a few years later.
The nonlinear growth journey of Bitcoin
Over the past decade, the price of Bitcoin has not risen continuously. Instead, it has experienced huge growth spurts interspersed with sharp corrections. Looking at the price chart, we can see some key factors that fueled this strong rise:
The 2017 craze
In late 2017, a wave of awareness and interest in cryptocurrencies flourished globally. Bitcoin prices rose 20 times in just one year, attracting media attention and millions of new investors.
The COVID-19 pandemic and economic stimulus policy
During the 2020-2021 period, governments launched massive financial aid packages alongside unprecedented monetary easing. Investors are looking for profit opportunities outside traditional markets, and cryptocurrencies have become an attractive destination.
Cryptocurrency support policy under the Trump administration
Recently, several steps taken by the U.S. government have boosted the market, for example:
The Office of the Comptroller of the Currency (OCC) issued charters for financial institutions authorized to provide cryptocurrency custody services.
This has encouraged financial companies like SoFi Technologies to revive cryptocurrency trading services.
It is also likely that traditional banks will soon delve deeper into this field.
Bitcoin - from a hobby for the few to a global asset
Ten years ago, Bitcoin and financial technology (Fintech) were not popular:
It is only used by a few tech experts and early investors.
There is almost no recognition from the traditional financial world.
Considered a 'digital test' instead of risky assets.
Today, Bitcoin has become:
A store of assets with accepted value by many organizations and individuals.
A part of large funds' portfolios.
A platform for many blockchain applications and DeFi systems to grow.
In summary: Despite Bitcoin's sharp volatility, history shows that long-term holders have reaped generous rewards. However, opportunities come with risks, and not everyone is willing to endure price declines of 70-80% while waiting for a recovery.
...invest in alternative work and store it for the right time... this is the right time