Bitcoin (BTC)

What Experts Predict about Bitcoin in 2024

Bitcoin (BTC) still leads the way as the most popular cryptocurrency but it is also the most volatile crypto since its price is known to fluctuate significantly. As of May 2024, the price of Bitcoin reached an all-time high of $73,098 and experts predict that it will continue to rise throughout the remainder of the year. This surge in price was primarily driven by the approval of Bitcoin ETFs in the United States, which in turn increased investor confidence and market liquidity.

Bitcoin is very much affected by market dynamics, sentiment and economic announcements however experts are relatively optimistic about its performance until the end of 2024. Until now, it is experiencing strong trading volumes on centralised exchanges and has attracted increased institutional interest.

In April 2024, the Bitcoin Halving event took place which reduced the block reward from 6.25 BTC to 3.125 BTC. The effect of this halving constrained the supply of Bitcoin, driving prices higher and forecasts suggest that it may even reach $87,000 by the end of the year. Some forecasts even predict a radical price jump to $125,000.

The Revolutionary Bitcoin – History

In January 2009, Bitcoin first appeared following the release of a whitepaper entitled, “Bitcoin: a Peer-to-Peer Electronic Cash System”. The white paper was published by an anonymous entity, now referred to as “Satoshi Nakamoto” but it is still not 100% clear who exactly is behind Bitcoin.

The revolutionary publication laid out the framework for a decentralised digital currency that operated independently of any central authority, leveraging blockchain technology to ensure transparency, security and immutability of transactions. All of a sudden, there was a proposal for a new form of money that could be transferred directly between parties without the need for intermediaries like banks. This meant significantly reduced transaction costs and processing times as well as an independence current world citizens may not have known to date.

The release of Bitcoin marked a giant shift in the financial world and challenged the traditional banking system and the notion of government-controlled fiat currencies. It introduced the concept of digital scarcity through its capped supply of 21 million coins, creating a deflationary asset in contrast to the inflationary nature of fiat money. Bitcoin’s decentralised nature meant that no single entity could control or manipulate the currency, offering a new level of financial freedom and privacy to users. This was particularly appealing in the wake of the 2008 financial crisis, which had eroded trust in established financial institutions and highlighted the vulnerabilities of centralised systems.

Globally, Bitcoin’s emergence had far-reaching implications beyond just the financial sector. It sparked the development of an entire ecosystem of cryptocurrencies and blockchain technologies, leading to innovations in various fields such as smart contracts, decentralised finance (DeFi), and non-fungible tokens (NFTs). It also prompted discussions and debates around regulatory frameworks, cybersecurity, and the ethical considerations of digital currencies. As Bitcoin gained popularity and its value soared, it not only attracted investors and technologists but also mainstream attention, solidifying its status as a disruptive force in the modern digital economy.