Today, we look at ‘Why is Bitcoin trending now?’
The main reason that Bitcoin is trending now is because it’s making the news.
It’s making the news because it’s smashing through historic highs from deep lows.
Most people knew Bitcoin as a ‘digital currency’, but maybe thought it was a fad or a scam, or something to use to buy drugs on the Silk Road.
They may have known that it was pretty cheap a few years ago.
Those same people now know Bitcoin as going through USD 3,000, then USD 4,000.
Now people see that tech giants like Bill Gates and Jack Dorsey talking about how the Blockchain is here to stay and talking up Bitcoin.
This new phase of acceptance and then adoption is driving the price multiples of what it has been.
People now see Bitcoin millionaires. Those early adopters that bought in at USD 30 are now rich (on paper) and people want in on that.
If you bought £1,000 worth of Bitcoin at £30, you would have 33.3 Bitcoins, which at £3,000 per Bitcoin, would be £100,000. A huge return.
So it’s trending because of natural greed and from looking at charts like this:
Who doesn’t want to see charts like that?
And when people hear that some are predicting that Bitcoin could go to USD 500,000 per Bitcoin, understandably, people don’t want to miss out. Greed and FOMO are driving interest and that drives the price up and that then drives more greed and more FOMO.
People are now thinking that maybe Bitcoin has a future. That it could be the dominant cryptocurrency and that it could one day be as accepted as the mighty dollar.
So in a nutshell, it’s trending because it’s new and exciting, it’s been rocketing up in price, it’s being talked up by big, well-respected figures and it’s potentially being viewed as a truly viable currency (crypto or not).
Any questions, let me know in the comments below!