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Bitcoin Achieves Meteoric Rise of 9,000,000 Percent Over Decade. What’s Next?

Bitcoin may have taken investors on a wild roller coaster ride in 2019, but don’t let the recent uncertainty fool you. The BTC price has put on a monster rally over the first full decade (the 2010s) of its existence, soaring a meteoric 9,000,000% since July 2010, as per Bloomberg data.

Indeed, there have been boom and bust cycles over the past 10 years, including bitcoin’s ascent to a peak of nearly $20,000 in 2017 only to shed more than 80% of its value and revisit the $3,300 level a year later. 2019 has seen recovery for the bitcoin price, and one thing is clear: the leading cryptocurrency has outperformed every other asset class over the past decade, including gold, stocks, and bonds.

Source: Bloomberg

Since 2010,

One of bitcoin’s defining moments, even if it wasn’t clear at the time, was in 2019 when Florida-based programmer Laszlo Hanyecz purchased a couple of Papa John’s pizzas for 10,000 bitcoins. The infamous purchase was worth USD 30 back then when bitcoin was still in its formative stages. By the time the bitcoin price was hovering at just over $8,000, the value of those pizzas skyrocketed to approximately USD 80 million. Hanyecz says he has no regrets.

Meanwhile, bitcoin mainstream adoption has been a more onerous process than many had hoped, as retailers begin to adopt cryptocurrencies as a payment method at a snail’s pace. Formal regulation has yet to see the light of day in the United States, which has made it challenging for blockchain startups to pursue fundraising efforts for fear of being charged with selling an unregistered security. Crypto scams are still running rampant, with the leading cryptocurrency exchange Binance  having lost $40 million to hackers earlier this year.

Bitcoin 2020

After attaining multiple peaks and troughs over the past 10 years, the BTC price reached a 2019 high of $13,800 over the summer. Now one question on everyone in the crypto community’s mind is what’s next for the wonder asset? There is no shortage of predictions out there. Billionaire trader and Galaxy Digital CEO Mike Novogratz recently delivered his 2020 outlook, forecasting that the bitcoin price would end 2020 “over 12k.” While vague, he probably had to keep it broad-brush given bitcoin’s unpredictable nature. At least it’s higher than bitcoin’s current price of USD 7,279.

2020 holds many things for bitcoin in the New Year, chief among which is the halving event planned for May. Some believe the reduction in the block reward for miners has already been priced into the BTC price, which would throw a wrench into the idea that the halving will once again prove to be a bullish event for the cryptocurrency market. CoinList Co-Founder and President Andy Bromberg told Bloomberg:

“Maybe it’s been overpriced in and everyone’s bought into this thesis and we see a dip post-halving. That would not shock me.”

According to ProChain Capital President David Tawil, also quoted in Bloomberg, what keeps investors coming back to bitcoin is price.

“Certainly the numbers are what appeals to investors. The next 10 years need to be a totally different stage of growth based on totally different factors than the first stage.”

 

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