Now that 2016 is done, all the reviews and reports have started rolling in. Among all the numbers and endless data, Bitcoin rises above the rest as the currency with the best performance of the year. While many of us are still baffled by the concept, others are embracing it. There are a number of contributing factors that are believed to have propelled the value to its highest in three years.
According to an interesting read in the Washington Post, the reasons behind the sharp increase are closely related to global events. If you think about what happened throughout the year, for example, the UK left the European Union and Donald Trump won the US presidential election, it’s believable that people are running scared in search of security.
From the perspective of one analyst, Chris Burniske of a firm known as ARK Investment Management, Bitcoin is a “disaster hedge”. He said, “People are using it similar to how they use gold. They use it as a risk-off trade when they’re concerned about what’s going on in the capital markets.”
Worrisome events are also happening on the financial front in countries like India and Venezuela. The decision to pull India’s largest cash note from circulation combined with the decrease of Venezuela’s currency has sent citizens on the hunt for a solution – a search that has led them to Bitcoin.
Even e-wallet providers like Neteller and Skrill made moves that cost them customers. Will users turn to Bitcoin? Welcome to 2017. We’ll just have to wait to see what’s in store for us.
Sources:
‘Why bitcoin just had an amazing year’, Ana Swanson, washingtonpost.com, January 3, 2017
‘Bitcoin Price Soars, Fueled by Speculation and Global Currency’, nytimes.com, January 3, 2017
Joe Wrinkle
6 years ago
it has only gone up up up up since this. I honestly expect it to continue to climb. There is no reason for it not to keep filling the niche that it is currently filling. There are some other crypto currencies on the market now as well. But they will likely be like silver and bitcoin should remain like gold
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bR0k3N0J0k3
7 years ago
I think that bitcoin is amazing. Although I don't fully understand everything there is to know about how it all works, I do find it fascinating. I really need instant gratification with a lot of things because I am a bit impatient, especially when it comes to things like money and bitcoin certainly is instant. It also gives...
I think that bitcoin is amazing. Although I don't fully understand everything there is to know about how it all works, I do find it fascinating. I really need instant gratification with a lot of things because I am a bit impatient, especially when it comes to things like money and bitcoin certainly is instant. It also gives me a little something extra to do... watching the market and searching for the best deals so I can deposit low win big :)
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varvero
7 years ago
Am curious to see where this is going with bitcoin. I always felt it is a niche filler somehow to specific markets, mostly gambling. ;) But who knows if theres not more potential for it.
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zuga
7 years ago
bitcoin used to be pretty volatile crypto-currency. it was going up and down and all around for years. But this last 2016 year it has been on a major rise . I dont think bitcoin is going anywhere and is the future of the online banking.
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Feelin froggy
7 years ago
It's funny that you say that Jade. I've always associated Bitcoin with gambling too, so to see it becoming a currency alternative for other reasons, is a real eye opener.
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jade
7 years ago
I have been content using bitcoins as a deposit in my favorite casinos, but I have taken notice of the many out there buying bitcoin. When I head out to purchase a few bitcoin to play the slots, I've been, I guess oblivious, to the intentions of other purchasers as well as buyers of crypto currency although we are very...
I have been content using bitcoins as a deposit in my favorite casinos, but I have taken notice of the many out there buying bitcoin. When I head out to purchase a few bitcoin to play the slots, I've been, I guess oblivious, to the intentions of other purchasers as well as buyers of crypto currency although we are very much intertwined. Thanks froggy, for reminding me that this world is a big place with a lot going on besides my little gambling purchase!
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