The year 2009 represents a significant epoch in the annals of human economic history. It marked the birth of Bitcoin, a decentralized virtual currency powered by Blockchain technology.
The anonymous Satoshi Nakamoto designed Bitcoin as a digital investment asset, a medium of exchange, and a trading instrument devoid of governmental control.
How has Bitcoin fared since its 2009 inception? What is its present outlook, and what does the future hold?
Bitcoin’s Price History
Like all other cryptocurrencies, Volatility is Bitcoin’s recurrent decimal. Experts have consistently linked its price volatility with investors’ confidence in its ability to deliver on its fiat currency functionality mandate.
While Bitcoin was launched into the public limelight in 2009, the price remained stagnant till 2010, when it gained a few cents. It rose from $0.09 in 2010 to $26.90 by June 7, 2011. By November 2011, Bitcoin’s price nosedived to $2.05, only to rise to $13.50 by the second quarter of 2012.
By April 2013, Bitcoin’s price reached an all-time high of $230 before falling to $68.50 by the beginning of July 2013. It set a new all-time high of $1,237.55 In December 2013, only to fall sharply a few weeks later.
Since its December 2013 all-time high of $1,237.55, Bitcoin has continued to grow in leaps and bounds. By December 15, 2017, Bitcoin was trading for a whopping $19,345.99.
The COVID-19 pandemic and the resulting global economic recession took its infamous toll on Bitcoin. It traded for $6,965.72 within the first quarter of 2020 – by the last quarter of the same year, it traded at $19,157.16.
By January 2021, Bitcoin was trading at $40,000, setting a new price record. It continued to witness an upward price trajectory for the better part of 2021, setting a new price record of $63,558 by April 2021.
As historical price analysis suggests, 2021 was Bitcoin’s golden year. While its volatile nature continued to influence price swings, Bitcoin’s average price for 2021 was $50,430.
The Crypto winter of 2022
Bitcoin’s upward price trajectory suffered a devastating blow for most of 2022. While the pioneer cryptocurrency began 2022 with a sharp drop from its 2021 all-time high, no one expected it’s devastating price fall afterward.
By March 2022, Bitcoin had fallen to $47,445, only to further nosedive to $28,305 by May 11, 2022. In what is now referred to as the crypto winter, Bitcoin’s value has declined sharply, dropping to a record low of $23,000 by June. By the last quarter of 2022, Bitcoin’s price value has slipped in a free fall to $20,000. It currently trades at $16,629.
Price analysis from other major stablecoins, including Ethereum, Tether, Cardano, Tether, Tron and Dogecoin, also suggest a similar downward price trajectory.
Will Bitcoin survive its current bear market run? Will it survive the current devastating and highly frustrating winter? Find out below.
Bitcoin’s 2023 Price Forecast
Bitcoin’s 2023 price forecast is a mixed bag of borderline extremes. Some experts predict that Bitcoin will fall to $10,000, while some predict the most popular Cryptocurrency will cross the $100,000 price threshold.
While there is no consensus amongst experts on Bitcoin’s 2023 price trajectory, there are strong indications of its rise.
Blockchain investor and venture capitalist Tim Draper predicts the Cryptocurrency to go as high as #250,000 in 2023. He based his prediction on developing a more decentralized crypto exchange platform as a reaction to FTX’s centralized cryptocurrency exchange platform crash.
According to analyticsinsight.net, incoming crypto projects, including crypto social trading platforms and blockchain-improving technology, are expected to drive up Bitcoin’s demand in 2023. Analyticsinsight.net predicts a Bitcoin worth $75,000 by 2023 and $100,000 by 2025.
BitMex’s Arthur Hayes and crypto market analysts CredibleCrypto predict Bitcoin to reach $100,000 by 2023.
Insight from Crypto Communities
Insights from web-based crypto communities, including Twitter and Reddit, return mixed feelings on Bitcoin’s future price outlook.
For example, commenting on a CNBC report of crypto enthusiast and investor Mark Cuban’s decision to buy more Bitcoin, Redditors from the Cryptocurrency Reddit sub are of mixed opinions.
“Go ahead, Mark,” commented a Redditor by the name surrender_the_juice.
“Mark Cuban and I have something in common,” commented YellowCore.
While his prediction appears overkill, a Bitcoin analyst tweeting with the handle AurelienOhayon predicts Bitcoin to reach an all-time high of $800,000.
“Hoping you are right. I am in love with macro analysis, but we should take into consideration the actual global economy status… and it’s not so good,” replied Infinity DOT Ally.
“Everybody on his own analysis, but crypto is unpredictable and also “MAGICAL” all you have to do is accumulate more,” replied @Emperor39543715.
Whalechart.org’s Twitter report of Bitcoin facing a market capitulation due to Grayscale’s plan to dump some of their Bitcoin assets was met with mixed reactions.
“If this happens we will be in for a wild ride in 2023, but the best returns in crypto are available during such turbulences,” commented the ALT COIN CHIEF.
“Been foreseeing this for a while now,” commented CrespoCrypto.
Tweeting under its handle @BitcoinMagazine, Bitcoin Magazine recommends a HODL strategy for 2023, suggesting a future rise in Bitcoin’s value.
Bitcoin and Cryptocurrency, in general, are largely speculative. While it may be difficult to predict their price trajectory accurately, understanding the factors responsible for fall will help put things in proper perspective.
Bitcoin’s late 2022 gloomy outlook is linked chiefly to the crypto exchange platform FTX crash and uncertain economic climate due to Fed’s fiscal policies to stabilize the economy. As the economy stabilizes in the coming year, Bitcoin’s demand and price is expected to rise.
Also, the FTX crash will lead to the development of more sophisticated decentralized crypto exchange platforms. This is expected to reinforce people’s confidence in Cryptocurrency. It is also expected to wean the market of weak exchange platforms, thus strengthening the market in the long run.