What is Bitcoin?
Bitcoin is peer-to-peer digital money (consisting of a network where all computers are connected). And fully decentralized. This means no single authority can generate more Bitcoin or determine who owns the shares. Network rules that determine everything. These rules cannot be changed without everyone's consent. The inability to change rules is known as censorship denial (or open access to decentralized applications). This is a very strong Bitcoin quality.
Bitcoin was made by someone or a development team named Satoshi Nakamoto. The decision to remain anonymous and anonymous was a good one by Satoshi. The network now exists with no leadership at all - a true experiment in decentralization.
Bitcoin has grown rapidly in the nine years since its founding. This was initially known by a handful of cryptographers who discussed the idea in a forum around 2009-2011. Bitcoin was originally discovered as a payment method by criminals using the dark web or dark web, and thanks to these uses, it received mainstream or mainstream attention in 2013.
However, as more and more people understand Bitcoin and its potentially revolutionary properties, more and more people see the value of its ownership. Because it has a fixed supply of 21 million units, the more demand increases, and the supply remains the same, the price increases.
This is attracting more and more people to learn about Bitcoin and its price continues to increase as they also see the value of currency storage.
During 2017, this steady growth turned pace into high speed. Some of the good news is getting Bitcoin back in the headlines. The first appeared right at the start of the year, when the price of BTC finally crossed the $ 1,000 mark for the first time in about two years. This bombastic movement is in play and has everyone curious about the future of Bitcoin.
Other factors driving Bitcoin's fundamental value over a period of time are the settlement of debates or development scaling, the activation of the SegWit software upgrade, and the postponement of future Bitcoin releases by the CBOE and CME Group. All of these factors show that Bitcoin is maturing and is pushing the price higher. However, as more and more news publications started reporting on the increase in the price of BTC, more and more people started buying it for financial reasons.
Most of these people who bought in the second half of 2017 barely understand what they are buying. They just want to make money. Without really believing how much potential Bitcoin is, they spill money right away. This “stupid money” (or money that was invested without many investors knowing), as many investors called it, created a bubble at the end of 2017.
It falls in December / January
There is an old saying about investing or trading "buy the rumors, sell the news". In general, this means that if something positive sounds like that is going to happen, you should buy the assets associated with it. When something happens, you have to sell the asset. The mentality that money may have turned into a market is still trying to revive it today.
So, many experienced traders anticipate the future of CME Group and CBOE who won't make the big news that inexperienced investors expect. The market was already swollen into a huge bubble by the time it was launched. With the price approaching the stock's upper limit or resistance level at $ 20,000 as well, there is likely to be a pullback in Bitcoin's future.
In my opinion, the decline at the end of the year was mainly due to experienced traders selling near the peak and causing a slight drop in prices. If those who had bought at the end of the year really knew what they had done, they would be keeping their coins for the rest of this fall and continuing to keep the price up.
However, fearing the fallout, a swarm of experienced investors who were responsible for profits between $ 6,000 (Rp. 85.7 million) and $ 20,000 (Rp. 285.71 million) suddenly started selling. Due to their fear of a fall in price and more concerned with price than the fundamental value of Bitcoin, they have made the fall they feared themselves.
Use of Bitcoin
In terms of usability, Bitcoin has never been more useful. There are many things that can be done with Bitcoin. There are many retailers or online retailers who accept it. One such online retailer is Overstock.com.
Almost everything you need for a vacation can be paid for using Bitcoin as well. You can pay for lodging, airfare, and eat out while you are there. If you decide that you like the place you are visiting, you can even use Bitcoin to buy a house there!
You can also use Bitcoin to pay for services provided by people who also use Bitcoin. This includes freelance services from developers, writers, artists and more. It's even possible to pay for dancers in Las Vegas using Bitcoin today!
For everything you need, there are gift card or gift card services like eGifter. They let their users exchange cryptocurrency for gift cards for various companies. These include: Amazon, Tesco, Pizza Express and many more. This allows using Bitcoin to buy almost anything imaginable!
The future of Bitcoin
The future of Bitcoin depends very much on the uses for which Bitcoin is used. There appear to be two main examples of using Bitcoin. One is a medium of exchange and the other is a store of value.
Bitcoin as a Store of Value
One of the greatest uses Bitcoin can do is as a store of value. This may sound strange since we were just talking about autumn, but listen up!
Bitcoin is actually a very good store of value in its current form in theory. The only reason it hasn't shown its maximum performance yet is because of human greed and innocence in terms of what Bitcoin really is and its special potential. So this value in itself plays an important role in the future of Bitcoin.
Bitcoin has also been compared as "digital gold" by Apple co-founder Steve Wozniak. In fact, Bitcoin is better than gold in many ways too. Bitcoin is easier to store, transport, cannot be taken from you by force and the amount is known. Gold is a bit problematic in this respect.
If you are trying to understand why something you cannot see (Bitcoin) can be compared to gold, then let me explain something about value that plays a big role in the future of Bitcoin.
What Does It Really Mean?
Values are made by humans. Think diamonds and gold. These stones don't do anything. You can't eat it and don't use it to cool you down when it's hot.
You can only sell it - only if someone wants to buy it. If you go to a remote tribe in the deep forest that doesn't value gold and try to sell it to them, they might laugh at you.
How about this example. The Third World War broke out and suddenly all the banks were bankrupt and the money in your wallet was worthless. Nobody wants paper with the president's picture on it anymore. So, this is no longer valuable. In this example, food, weapons and ammunition are the most desirable commodities and their value will increase.
Gold itself is an old commodity. Like I said, you can't store it properly, you can't travel well, and it's easy to get stolen from someone. Gold is only valuable because we, as a global society, decide that gold is valuable. If we as a global community decide that Bitcoin is more valuable than gold for this purpose, Bitcoin will immediately replace that position. This fact has been recognized by many since the world's population decided to save more than $ 100 billion (Rp1.43 quadrillion) in assets.
The Future of the Bitcoin Price
There have been many different Bitcoin price predictions released in the last few years. Some predictions are negative and some are very optimistic. Let's take a look at some of the more famous examples of this Bitcoin prediction. Unlike the price predictions of various altcoins on the market, Bitcoin price predictions are often made by people with a financial or technological background. This makes it more reliable. Even so, no one knows what will happen!