Will the Price of Bitcoin Increase in the Second Quarter of 2023?
Thousands of cryptocurrencies in the world and yet Bitcoin is the first thing that comes to mind. Since its release in 2009, Bitcoin has faced a fair number of ups and downs but never lost its popularity.
2022 wasn’t only fatal for Bitcoin, which lost 63% of its value, but for the overall crypto market as well, which suffered a $2 trillion loss.
The FTX collapse hit the market hard. Even though it’s poised to recover until the end of 2023, the security of cryptocurrencies is being questioned. This got many wondering — will Bitcoin finally bounce back in the second quarter of 2023? Let’s dive in and find out!
Bitcoin’s price history
Bitcoin was first launched in 2009, by an unknown person or a group, who introduced themselves as Satoshi Nakamoto. Up to this day, we still have no idea who its true creator was.In order to predict the price of Bitcoin, you have to take a look at its past first. However, complete certainty is never guaranteed. This is due to its volatile nature. If we look at its history, the most famous cryptocurrency has suffered numerous unpredictable fluctuations and falls.
2009 – 2012
The early days of Bitcoin weren’t as bright. It started at $0 and by the end of 2010 traded at a price barely above zero. It’s fair to say Bitcoin came to life in February 2011, reaching $1 for the first time. Just a few months later, in June 2011, its price went up to $30. However, Bitcoin’s price ended the year at $4.25, marking a significant decrease. The true reason for this drop is unknown.
2012 wasn’t that lucky either, but it’s the year when Bitcoin experienced its first halving and the price rose from around $11 to $12.
2013 – 2017
Bitcoin started off strong in 2013. From just $13 the price managed to reach $230 in April. This is a staggering increase, percentage-wise. As the price grew, adoption increased as well.
However, it showed its volatile nature again in July, when the price dropped to $68.50.After six steady months, Bitcoin surprised us all and showed a significant increase. By December it managed to reach $1,200, only to drop to $754 in just a matter of days. Through 2014 and 2015, the price was relatively stable. 2016 was Bitcoin’s second halving and it ended the year at around $900.
The wild ride began in December 2017 when the price skyrocketed to $20,000. At this point, Bitcoin became a phenomenon.
2018 – 2022
As usual, its value decreased again and from 2018 to 2019 didn’t show many fluctuations and ended 2019 at $7,216. This inactivity made people doubt Bitcoin’s credibility.
However, we all know what 2020 brings — the COVID-19 pandemic. Around this time, the world’s economy was in a critical state, but somehow Bitcoin managed to thrive. It closed out the year with a staggering amount of $28,949.
In 2021 the cryptocurrency began competing with itself. By January it already reached more than $40,000 and in November reached its all-time high of over $65,000.
2022 brought the crypto winter, causing Bitcoin’s price to drop below $20,000 by the end of the year. Does this mean we’re about to witness Bitcoin’s downfall?
What is happening to Bitcoin in 2023?
Many are saying 2023 will be the year to decide Bitcoin’s future. After a terrible year full of struggles, forecasts didn’t seem optimistic, however, the coin kicked off to a great start. The value increased by 43% in January, meaning it was the best January it had since 2013. We’re still in the first quarter of 2023 and its price is already at 23,835. It does seem like Bitcoin is on its way to recovery. However, opinions between experts vary drastically. Let’s see what they have to say!
Will Bitcoin rise in the second quarter of 2023?
Nobody can say for sure, as cryptocurrencies are extremely volatile. This is a known fact, but investors are slowly losing trust in cryptocurrencies and Bitcoin is not an exception. Nobody can blame them, since the FTX collapse was the reason behind consumers losing a total of $8 billion. That’s why many have negative expectations and believe Bitcoin will outperform.
On the other hand, analysts are slowly coming to an agreement that besides many shortcomings, Bitcoin will probably grow in value. From my point of view, it definitely looks like it, and let me tell you why.
Authorities aren’t leaving anything to chance. Cryptocurrencies are probably the future, so last year’s incidents shouldn’t continue affecting them. We’re already expecting stronger regulations regarding cryptocurrencies this year, which means more security for consumers and finally putting an end to those doubts.
Moreover, we’re about to witness increased adoption of Bitcoin, which means its popularity isn’t going anywhere soon. The price won’t probably skyrocket in the second quarter of 2023, but it can potentially reach $30,000. Once the bull market starts and the 2024 Bitcoin halving takes place its value could show a significant increase. Mike Novogratz actually predicts that the price of Bitcoin will reach $500.000 by the end of 2027.
Is it a good idea to buy Bitcoin in 2023?
Bitcoin is considered to be extremely profitable, but at the same time, a risky investment. As we already know, its price is almost impossible to predict. However, a lot of people managed to make fortunes.
You can easily buy BTC with a credit card, but before you decide on this, do your own research and make sure you’re going step by step and not jumping in aggressively.
As for investing in Bitcoin in 2023, it seems like a good idea. We’re getting out of the bear market and are expecting the bull market anytime now. This could be a good thing since prices are still low and affordable. John Templeton once said ‘’For those properly prepared, the bear market is not only a calamity but an opportunity’’.
Cryptocurrencies are usually not recommendable for long-term investments, but if you think about it, Bitcoin can be highly profitable. People who made investments as low as $100 in 2010 and caught Bitcoin in its early stages literally became millionaires ten years later. Moreover, it can be a great investment choice for beginners as well, but only for those with a high-risk tolerance. Anyways, the bull market is approaching, which means the price can unexpectedly skyrocket, so buying a Bitcoin while its price is low can be a good idea.
Are cryptocurrencies the future of finance?
A lot of financial institutions have adopted blockchain technology, but in order for it to operate at its maximum, many more have to do the same. Some of them have even launched their own cryptocurrency.
Decentralized finance offers better transparency and more secure transactions. For now, the crypto world has shown to be extremely beneficial for financial institutions. However, many are worried about it completely replacing banking.
This is unlikely to happen, as cryptocurrency is still in its early stages, but is already changing the world as we know it. As for banks, I think it’s better to embrace this technology and use it to their advantage. After all, security is the most important thing for customers and it’s what cryptocurrencies and blockchain are offering.
