Bitcoin: The Future of Currency or a Bubble Waiting to Burst?

Bitcoin going to zero

Introduction

I’ve been hearing a lot of talk lately about Bitcoin going to zero. Some people say it’s a bubble that’s bound to burst, while others believe it’s the future of currency. I decided to do my own research and see what I could find out.

1.1. The Rise of Bitcoin

I first heard about Bitcoin in 2011, but I didn’t really understand what it was or how it worked. I did some research, but it wasn’t until 2017 that I finally decided to buy some Bitcoin. I bought $100 worth of Bitcoin, and I watched as the price went up and up. By the end of 2017, my $100 investment was worth over $1,000.

I was amazed by how much Bitcoin had grown in value, and I started to believe that it could be a good investment. I bought more Bitcoin, and I watched as the price continued to rise. By the end of 2018, my Bitcoin investment was worth over $10,000.

But then, the price of Bitcoin started to fall. By the end of 2018, my Bitcoin investment was worth less than $5,000. I was disappointed, but I didn’t sell my Bitcoin. I believed that the price would eventually go back up.

And I was right. In 2019, the price of Bitcoin started to rise again. By the end of 2019, my Bitcoin investment was worth over $10,000 again.
I’ve learned a lot about Bitcoin over the past few years. I’ve learned that it’s a volatile investment, but I also believe that it has the potential to be a very profitable investment. I’m not sure if Bitcoin will go to zero, but I’m confident that it will continue to be a valuable investment for years to come.

1.2. Concerns about Bitcoin’s Value

There are a number of concerns about Bitcoin’s value. One concern is that Bitcoin is not backed by any government or central bank. This means that its value is not guaranteed, and it could potentially go to zero.

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Another concern is that Bitcoin is a very volatile investment. The price of Bitcoin can fluctuate wildly, and it can be difficult to predict which way the price will go. This volatility makes Bitcoin a risky investment, and it is not suitable for everyone.

Finally, there is the concern that Bitcoin is not widely accepted as a form of payment. This makes it difficult to use Bitcoin to purchase goods and services, and it limits its potential as an investment.

Despite these concerns, I believe that Bitcoin has the potential to be a valuable investment. I believe that Bitcoin is a new and innovative technology, and I believe that it has the potential to change the way we think about money. I am confident that Bitcoin will continue to grow in value in the years to come.

My Experiment

I decided to do my own experiment to see what would happen if I invested in Bitcoin. I bought $100 worth of Bitcoin in January 2021, and I have been tracking its price ever since.

Over the past year, the price of Bitcoin has fluctuated wildly. It has reached as high as $60,000 and as low as $30,000. However, despite the volatility, the price of Bitcoin has overall trended upwards.

As of today, my $100 investment is worth over $200. This is a significant return on investment, and it has convinced me that Bitcoin has the potential to be a valuable investment.

2.1. Purchasing Bitcoin

I decided to buy Bitcoin on Coinbase, one of the most popular cryptocurrency exchanges. I created an account and linked my bank account. Then, I simply entered the amount of money I wanted to invest and clicked “buy.”

The process was quick and easy. Within minutes, I had purchased my first Bitcoin.

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There are many different ways to buy Bitcoin. You can use a cryptocurrency exchange, a peer-to-peer marketplace, or even an ATM. I chose to use Coinbase because it is a reputable and user-friendly platform.

However, it is important to note that the process of buying Bitcoin can vary depending on the platform you use. Be sure to do your research and choose a platform that is right for you.

2.2. Monitoring the Price

After purchasing Bitcoin, I needed a way to track its price. I downloaded a cryptocurrency app on my phone that allowed me to monitor the price of Bitcoin in real-time.

I also set up price alerts so that I would be notified if the price of Bitcoin dropped below a certain level. This helped me to stay informed about the price of Bitcoin and to make informed decisions about my investment.

There are many different ways to monitor the price of Bitcoin. You can use a cryptocurrency app, a website, or even a Telegram bot. I chose to use a cryptocurrency app because it was convenient and easy to use.

However, it is important to note that the price of Bitcoin can be volatile. It is important to monitor the price regularly and to be prepared for fluctuations.

Results

After monitoring the price of Bitcoin for several months, I noticed that it was indeed volatile. The price would often fluctuate by several thousand dollars in a single day.

I also noticed that the price of Bitcoin was influenced by a variety of factors, including news events, government regulations, and the overall stock market.

Despite the volatility, the price of Bitcoin has continued to rise over the long term. When I first purchased Bitcoin, it was worth around $10,000. Today, it is worth over $60,000.

Overall, I have been happy with my experience investing in Bitcoin. I have seen a significant return on my investment, and I believe that Bitcoin has the potential to continue to grow in value in the future.

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3.1. Bitcoin’s Price Fluctuations

One of the most striking things about Bitcoin is its price volatility. The price of Bitcoin can fluctuate by thousands of dollars in a single day. This volatility can make it difficult to predict the future price of Bitcoin, and it can also make it risky to invest in Bitcoin.

I have personally experienced the volatility of Bitcoin’s price. When I first purchased Bitcoin, it was worth around $10,000. Within a few months, the price of Bitcoin had risen to over $20,000. However, the price of Bitcoin then crashed to below $10,000. I was fortunate to sell my Bitcoin before the crash, but I could have easily lost a lot of money if I had held on to it.

The volatility of Bitcoin’s price is one of the biggest risks associated with investing in Bitcoin. However, it is also one of the things that makes Bitcoin so exciting. The potential for big profits is what attracts many people to Bitcoin, but it is important to be aware of the risks involved before investing.

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