Cryptocurrencies are changing the way the world looks at the concept of currency. It is not always about banknotes but this phenomenon is transcending the limited ways people used to employ their funds. The most common digital currency is the Bitcoin which was created in 2009. At first, it was believed to be just a transient hype within the online world. Yet the value continued to grow until it got to unexpected proportions. The new milestone was reached on Saturday when the Bitcoin crossed the $5,000 threshold.
Bitcoin Traded for $5,000 on Saturday which Marked a New Milestone for Cryptocurrencies
On Saturday, traders received an obvious signal that they need to sell Bitcoin as soon as possible. This is because the market valued this cryptocurrency at $5,000. However, only a day after this impressive score, the value dropped again even lower than previous levels at $4,575.04.
Nonetheless, the pool of investors continues to remain confident in their new holy grail. A lower number of investors who sell their digital coin would lead to a confidence boost in the currency. As a consequence, prices will go through surges once more.
Nonetheless, some market players are seeing cryptocurrencies as a large bubble that can burst any moment now despite the new milestone Bitcoin has just conquered. However, the history of this new asset that was created only eight years ago tells a different story.
Bitcoin Changed the Way People Manage and Transfer Their Own Funds
The currency has followed a somehow straight line upwards. On top of that, the uprise of ICOs where tech companies are organizing fundraisings based on Bitcoin presented the currency with a solid anchor. Despite unclear predictions for the future of this asset, its history presents investors with impressive climbs yet short falls.
Cryptocurrency offered people more control over their own financial independence. Bitcoin allowed people to break their chains from the control or fees of third parties which are financial institutions in this case.
On top of that, the digital coin reinvented the concept of ‘fast’ for monetary transactions. As the digital currency is not regulated and has nothing to do with banks, Bitcoin transfers are faster and less expensive than any other such financial activity.