Cryptocurrency has made it to the headlines very frequently ever since its first launch in the form of Bitcoin in 2009. People have talked about it, anticipated its growth and prospect, and invested in it for a decade now. Initially, Bitcoin was not able to grab the attention of the masses. It had to wait for two years when it first leapt from a nominal value to $0.08. The stir caused due to this faded eventually.
However, the next leap in value caused an even greater stir that cemented Bitcoin’s name in the Crypto market. In the following years, there has been a significant shift in the investment patterns of investors across the globe. According to the reports of the trading platform bitcoin benefits many investors that decreased the amount they invest in stocks and shares, in debt funds, and other means and have increased their investment in Cryptocurrency. This increase in investors and their doubled interest in Bitcoin has stemmed from it showing an average increase in value by almost a 100%. From 2009 to the current scenario, there have been instances of Bitcoin value going off the charts.
Towards the wake of the Bitcoin era, some people had invested a meagre sum of money, almost certain that they would lose it all to the whims of Bitcoin. Within the next five years, the same people were millionaires, allowing for the whims of Bitcoin.
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Pre-Covid Era
During the COVID-19 outbreak worldwide, the entire world shut down. People clutched to all the money they had frantically. Medical emergencies, hogging necessities, unprecedented expenses, and a need for assurance made people extract and retrieve most of their investments at various places. Of all assets, Bitcoin and other Cryptocurrencies were the most unreliable ones. Not having a central authorization and Government support worked as a bane, and investors pulled back their investments.
During the middle of 2019, right before the pandemic hit the world, Bitcoin was valued at almost $10,000. In 2020, Bitcoin fell on a steep curve. The government policies fed people’s minds with fears and made it difficult to keep their money invested. All the countries were aiming for maximum cash flow in their economies. Hence, they created panic and chaos. All government funds were withheld.
Everyone had a difficult time dealing with the crisis. They feared that they would soon lose access to all their savings. The pandemic was one of its kind. People had no prior experience to combat this situation.
With the Ongoing Pandemic
A few months into the pandemic, people got the hang of it. Life was not to restore normalcy for a while, but no one took their money away from them. The value of Bitcoin had gone down considerably by then. The same Bitcoin, which was valued at $10,000, had now gone down to $7,000. This fall in value worked in favour of the investors who had withdrawn their investments.
However, most of them were sceptical. They feared this might be the end of the glorious era of Bitcoin. Bitcoin, however, has a name that is associated with the stalwarts of various industries. It has been promoted by Elon Musk time and again. With the backing of people like him, nothing will obliterate Bitcoin’s popularity.
Nakamoto had fixed the number of Bitcoins at 21 million coins. It is imperative to remember that nearly 90% of that number has been mined.
Conclusion
The power resources required to mine bitcoins have increased at an incredible pace. This surge has made Bitcoin a questionable venture in recent years. Even Elon Musk has raised this concern, putting a halt to taking payments in bitcoins. Developers and researchers are constantly aiming at finding a way to make Bitcoin a sustainable choice so that it could be a viable currency, bridging the gap between the diverse range of people.
