After nearly touching $62,000 last March 15, Bitcoin loses its steam a week later due to profit-taking and a looming concern for a cryptocurrency bubble.
Today, the 'Digital Gold' is back on its way up and poised to prove once again its doubters wrong. And if you've invested in Bitcoin last Oct 2020, you'll be up by almost 500% today.
As the demand for Bitcoin continues to rise, analysts see that it's not that hard to reach $80,000 by April. Interestingly, it's not just Bitcoin that defies the gravity here, other cryptocurrencies have also skyrocketed this week.
Fueled by the giant institutions of Wall Street and other companies like Tesla are behind Bitcoin's extensive bull run—these organizations had adopted the use of Bitcoin.
The fundamentals of Bitcoin (such as limiting its supply to 21 million) have previously attracted both professional and retail investors. The buy and hold strategy of these individuals has deeply contributed to the rally as well. Apart from being an investment, Bitcoin holders today use this cryptocurrency for "peer-to-peer money transfer" or as a mode of payment, making Bitcoin tremendously useful as if it's "real money."
If you're new to Bitcoin, it's important to keep in mind that it has its weaknesses. In its history, it has shown massive dips every now and then, leaving the newcomers stun and hanging at the top. If you're planning to enter, do it with caution, or better yet, wait for major pullbacks.