It is exactly one year yesterday since Bitcoin hit its magical figure of USD 20,000 and despite the bear market, it has been a year of growth for Bitcoin and other cryptocurrencies.
Momentum pushes Bitcoin to record price
Bitcoin experienced reached its record price of USD 20,000 last year following weeks of high volatility, immense growth and some declines along the way. The world’s leading cryptocurrency also outperformed the expectations of market experts and investors last year.
The cryptocurrency embarked on a steady ascension from November 2017 when it was trading above the USD 5,000 mark. It continued its growth before experiencing a Bull Run powered by Wall Street regulated futures trading, as well as the imminent implementation of the Lightning Network. Towards the end of the year, CBOE launched its Bitcoin futures product and a week later, CME also launched its trading futures for Bitcoin.
The launch of these products and the implementation of Lightning Network helped push the Bitcoin to USD 20,000 on December 17, 2017, on most cryptocurrency exchanges. The rise of Bitcoin which had started since November 2017 continued to gain momentum and more investors and traders trooped into the market as interest in both buying and trading it continued to rise. The rise in the price of Bitcoin saw Coinbase app become the most downloaded app on Apple’s store while crypto exchanges continue to record higher trading volumes.
Bitcoin experienced growth of roughly 2,000 percent in 2017 as it started the year trading around USD 974. Even though it hit the USD 20,000 on major exchanges on December 17, it had already reached that mark in some markets such as South Korea due to the premium trading practiced there and in some economically fragile markets like Zimbabwe and Venezuela.
2018 has been a year of regulation and steady market growth
The rise in the price of Bitcoin and other altcoins led to the sector receiving attention from Wall Street, Central and fiat banks, and from regulators all over the world. The attention of governments turned to how Bitcoin and the entire sector would be regulated.
Bitcoin also experienced a tumultuous time, with bankers, mainstream media and pundits all calling it a bubble. Active trading has been banned in China, with most of the crypto exchanges there moving over to Hong Kong and Singapore.
Despite the challenges, Bitcoin and the entire industry has experienced growth in 2018. Crypto exchanges like Binance, Coinbase and others are rolling out products to help draw in more institutional investors while the launch of Bakkt is something the crypto community is excited about. Even though the U.S. SEC has continued to delay the approval of Bitcoin ETF, the world’s leading stock exchange operator NASDAQ announcing its entry into the crypto space has generated excitement.
The price of Bitcoin might have dropped by more than 80 percent since the record high experienced last year but there is optimism that things would change and the entry of institutional investors would