Bitcoin Price Prediction from Year to Year, Check First Before Buying

Nafa Lightyani

Bitcoin Price Prediction from Year to Year, Check First Before Buying

Rancakmedia.com – For those of you who want to invest in Bitcoin, you need to know Bitcoin price predictions this year to next year to anticipate losses.

In early 2023, Bitcoin shows significant price developments, this can be used as a reference for investors.

This Bitcoin crypto asset has become one of the investment options that the public is starting to prioritize

What is Bitcoin

Bitcoin is a digital currency created in 2009 by a person or group of people using the pseudonym "Satoshi Nakamoto".

What is Bitcoin

Bitcoin is built on blockchain technology, a decentralized database that allows transactions without the need to involve third parties such as banks.

Bitcoin can be used to make purchases and sales of goods and services online.

However, the main difference between bitcoin and traditional currencies is that bitcoin is not regulated by a central bank or authority finance others, but rather are exchanged between individuals or users without involving third parties.

Therefore, bitcoin is also known as crypto currency or cryptocurrency.

Bitcoins can be obtained through a process called “mining”, which is the process of using computers to validate bitcoin transactions and update the blockchain.

Apart from that, bitcoins can also be bought and sold on the bitcoin exchange market or exchange.

Advantages and Disadvantages of Bitcoin Investment

Below are several advantages and disadvantages of investing in bitcoin, as follows:

Advantages of Bitcoin Investment

The following are the advantages of investing in bitcoin:

  • High Profit Potential: The price of Bitcoin can fluctuate significantly in a short period of time, which can result in significant profits for investors.
  • Borderless Transactions: Bitcoin investments can be made without geographic boundaries and without dependence on banks or traditional financial institutions.
  • Anonymity: Bitcoin transactions are anonymous, meaning that the investor's identity is not revealed when investing or making Bitcoin transactions.
  • Secure Technology: Blockchain technology is used to manage Bitcoin transactions, considered secure and difficult to manipulate.

Advantages and Disadvantages of Bitcoin Investment

Disadvantages of Bitcoin Investment

The following are the disadvantages of investing in bitcoin:

  • High Volatility: The price of Bitcoin can change dramatically in a short period of time, which can cause significant losses for investors.
  • Unregulated: Bitcoin is not regulated by governments or financial institutions, so there are not the same protections as traditional investments.
  • Potential for Fraud: Due to the anonymity in Bitcoin transactions, there is the potential for fraud and other illegal activities associated with Bitcoin investments.
  • Dependence on Technology: Bitcoin investment requires internet access and sophisticated technology, so technical malfunctions or system failures can cause losses for investors.

Bitcoin Price Movement from Year to Year

If we discuss the development and price fluctuations of Bitcoin (BTC) since it was first created in 2009, it will certainly take a long time.

But what is certain is that Bitcoin experiences quite high price fluctuations, just like other crypto assets.

To find out how much volatility there is in Bitcoin, you can see by tracing Bitcoin price movements during 2021 and 2022.

2021

In 2021, Bitcoin experienced a total increase of 123 percent compared to the previous year. One of the causes of this increase is the presence of the Bitcoin Taproot update.

In 2021, Bitcoin only took less than a month to break the price record of 2020. The value of BTC soared to reach 40.000 US dollars on January 7, 2021.

2021

Furthermore, in mid-April, the price of Bitcoin reached an all-time high of more than 60 thousand US dollars. This increase was caused by Coinbase, a crypto asset exchange platform, which went public.

But unfortunately, throughout the summer of 2021, the price of BTC fell by 50 percent and reached its lowest level on July 19, namely 29 thousand US dollars.

But in September, BTC experienced another rise and reached 52.693 US dollars.

However, this increase was only temporary because about two weeks later after BTC skyrocketed, many accounts made withdrawals, bringing it to a price of 40.709 US dollars.

On November 7, 2021, Bitcoin reached an all-time high in price, namely 67.549 US dollars. This price is considered the highest Bitcoin price throughout 2021.

2022

From December 2021 to the end of January 2022, Bitcoin prices continued to decline. In January 2022, the value of this crypto asset fell to 22.184 US dollars.

Even though it had risen to 45 thousand US dollars on February 10 2022, the price of Bitcoin fell again to 34 thousand US dollars after Russia's invasion of Ukraine.

On March 28, 2022, the value of Bitcoin increased to 48 thousand US dollars, but this increase did not last long.

Bitcoin prices experienced a drastic decline until May. On May 12, the price of Bitcoin plunged to 26 thousand US dollars, at a time when the US dollar reached its highest level in 20 years and the LUNA currency experienced a drastic decline.

2022

These two events triggered bearish sentiment and many investors chose to withdraw their funds from cryptocurrencies to fiat currencies.

Bitcoin prices in 2022 will continue to fluctuate along with various events in the crypto world, such as the bankruptcy of Celsius Network and the decision by Elon Musk, CEO of Tesla, to liquidate 75 percent of the BTC he owns worth 936 million US dollars.

Additionally, the bankruptcy of one of the largest crypto exchanges, FTX, global economic conditions, aggressive interest rate increases, and inflation in several countries have all affected the crypto market as a whole. This condition causes Bitcoin and other altcoins to experience a decline.

On December 12, 2022, the price of Bitcoin fell to around 16.985 US dollars with a market capitalization of around 326 billion US dollars.

Overall, Bitcoin has experienced a decline of around 60 percent since the start of 2022.

When this article was written, the BTC to IDR exchange rate today reached 252,9 million.

Bitcoin Price Predictions for 2023 According to Expert Opinions

What are the predictions for Bitcoin prices throughout 2023 considering that Bitcoin prices are currently falling?

Every crypto expert or expert has a different analysis or prediction about the price of Bitcoin. Despite the volatility and recent price drop, many experts are optimistic that Bitcoin can reach $100 thousand.

The famous American investor, Tim Draper, even believes that Bitcoin will reach $250 thousand in mid-2023, even if FTX goes bankrupt.

Bitcoin Price Predictions for 2023 According to Expert Opinions

Menurut CryptoPredictions com, Bitcoin is expected to close at $17,431 by the end of 2022 and fall slightly to $17,274 by the end of 2023.

Site price prediction also predict the price of Bitcoin in 2023. They predict this crypto asset will reach an average price of $26,405, with a minimum price of around $25,523 and a maximum price of $29,792.

However, according to predictions walletınvest is, Bitcoin will likely still experience a bearish trend in 2023 and the price could fall to $10,111 by mid-December 2023.

However, it is important to remember that the cryptocurrency market is so volatile that it is difficult to accurately predict the future price of a coin or token.

Crypto asset prices can change in minutes or even seconds. Therefore, the predictions above cannot be used as the sole reference in making investment decisions in 2023.

If you plan to invest in cryptocurrency, it is important to always do your own research.

Pay attention to the latest market trends, news, technical and fundamental analysis, and expert views before making any investment decisions. Remember that past performance and price do not guarantee future profits.

Things That Influence Bitcoin Price Increases

There are several main factors that can influence the increase in Bitcoin prices, as follows:

1. Scarcity or Limited

One of the interesting characteristics of Bitcoin is that it is limited in quantity. Bitcoin only has 21 million coins to be produced, and currently there are 18 to 19 million Bitcoin coins circulating on the market.

Crypto experts consistently point to this scarcity as Bitcoin's appeal.

Things That Influence Bitcoin Price Increases

“While supply is flat, demand continues to increase,” said Alexis Johnson, president of blockchain public relations and events media company Light Node Media.

Other experts point out that Bitcoin has an advantage because its quantity is limited and people compete to own it.

“This is why everyone buys it, because of the psychological factor,” said Nelson Mercan, co-founder of Light Node Media.

2. High Bitcoin Adoption

According to Waltman, one of the main factors driving the increase in Bitcoin prices is the level of adoption of crypto assets which is starting to increase so that new consumers try to buy and explore the world of crypto assets.

"In adopting crypto technology, humans are taking faster steps than when internet technology was first adopted," he said. With high adoption, Bitcoin's value can continue to increase.

According to data held by digital asset management company CoinShares, Bitcoin adoption has increased by 113 percent on an annual basis.

3. Mining Cycle

Another significant influence on the price of Bitcoin is a cycle known as a halving. Halving is an algorithmic process that aims to halve the number of Bitcoins in circulation.

Halvings can affect the rate at which new coins enter circulation, which in turn affects the value of Bitcoin holdings.

Things to Pay Attention to When Bitcoin Prices Drop

There are several important things you need to pay attention to if the price of Bitcoin falls, namely:

Things to Pay Attention to When Bitcoin Prices Drop

  1. Don't panic: Bitcoin prices are highly volatile, so a drop in price is not necessarily an indication that Bitcoin will fail. Don't rush to sell your assets just because prices fall. Consider the situation calmly.
  2. Do some research: Find out what caused Bitcoin's price to fall and whether this decline was long-term or temporary. Research the latest news, trends, and factors influencing the crypto market.
  3. Consider the investment strategy: If you are considering a long-term investment, the current price may not be very significant. However, if you trade short-term, you have to determine whether to buy, sell, or wait until the price recovers.
  4. Stay on top of the market: Stay up-to-date with Bitcoin prices and the overall crypto market. Use a reliable trading platform and follow social media accounts and related news sources to get the latest information.
  5. Investment diversification: It is important to consider portfolio diversification. Not only buying Bitcoin, but also considering investing in other crypto assets or other traditional assets such as stocks, bonds, or gold.

Conclusion

Bitcoin is a digital currency created in 2009 by a person or group of people using the pseudonym "Satoshi Nakamoto".

That's the information about Bitcoin price predictions from year to year, check first before buying. Hopefully the article above can be useful and helpful to all of you.

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Nafa Lightyani

I am a content writer for SEO, Technology, Finance, Travel, Cooking Recipes and others. I hope this can be useful for all my friends.