Bitcoin Is On a Path Towards Recovery; Trades at $45,900
Bitcoin is edging towards recovery after nearly three months of heavy drops. The world’s number one digital currency by market cap has been undergoing one of its biggest valuation changes, having surged all the way to a whopping $64,000 per unit back in April of this year. However, about a month later, the currency began experiencing mega dips that ultimately saw it trading for less than $30,000 for a brief period.
Bitcoin Has Begun Its Climb to the Top Again
Bitcoin trading is always risky in that the currency is consistently vulnerable to price volatility. For this reason, the asset – despite being designed to serve as a payment tool – has not gotten far in this journey. The currency is accepted at a few stores and retail outlets here and there, but it is nowhere near as prevalent as fiat currencies, credit cards, or even checks, which are still used to pay bills through the mail in many instances.
Bitcoin has also undergone heavy drops like this in the past, a big one having occurred in 2018. For many analysts, 2021 was looking like the new 2018 given that the circumstances surrounding the digital asset were heavily similar. During late 2017, bitcoin hit its then all-time high of approximately $19,000+ per unit. Many thought the cryptocurrency was unstoppable, but this proved to be untrue.
Not long after, the world’s number one digital asset began undergoing a series of drops that lasted well beyond a year. The currency ultimately fell into the mid-$3,000 range by Thanksgiving of 2018, which amounted to approximately 70 percent of the asset’s value disappearing within 11 months. It was an ugly sight, and many felt that bitcoin would not recover in due time.
However, recover it did, surging to about $15,000 the following summer, though by Christmas, the currency saw itself lose roughly half that value. It wasn’t until 2020 when the asset began trading at its highest numbers, and 2021 saw a new surge that was immediately followed by a nasty and prolific drop.
The Currency Is Becoming More Mature
Now, however, the currency appears to be licking its wounds and moving back up the financial ladder, and this is a testament to the currency’s maturity in many ways. The asset, in 2018, took well over a year to fix itself, whereas this time, the asset required just a few months. Perhaps the currency is getting considerably stronger, and we can all trust in the idea that bitcoin has somehow entered more legitimate and mainstream territory in recent years.
The idea now is that bitcoin would need to reach $50,000 or $51,000 if it is to expand its horizons and begin climbing the ladder that would ultimately take it back to its mid-April highs, and many analysts are waiting with bated breath to see if BTC truly has what it takes to reclaim its financial throne.
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