Cryptocurrency investments have been the talk of the town for quite some time now. Though the reasons vary, crypto investments have been gaining attention. Visit https://bitcoin-motion.de/ a popular platform to start bitcoin trading.
Bitcoin, in 2009 became the first cryptocurrency to gain global launch. The working model and the ability to undertake digital transactions attracted investments. Along with Bitcoin, the concept of blockchain philosophy and decentralized finance also grew.
Bitcoin makes use of the blockchain working model to complete each user transaction. Blockchain is nothing but an online ledger that allows users to store transactions. Each transaction is given a unique reference number. These transactions are then broken down into simple individual units in the network.
Along with Bitcoin the concept of decentralized finance also garnered attention. Through this working model, there is the complete elimination of regulatory agencies. Any transactions carried out on the network is an end to end monitored by the network logic. Banking agencies do not have control over the volume and currency model used for purchases. Additionally, the ability to purchase Bitcoin tokens using any currency is another advantage.
Growth of Bitcoin in the global market
Investors soon understood the market capabilities of Bitcoin. The token became a popular investment model over the internet. Many countries and their regulatory agencies have now realized the importance of cryptos.
The prices of crypto continued to grow in the global market. The token was launched for $1 in 2009. The prices soon surged and increased to more than $123 per token in less than two years. A decade down, the price of Bitcoin reached an all-time high of $65k per token. Yes, you heard it right. Early investors of crypto gained a massive advantage through this price increase.
Considering the growing prices, many regulatory agencies came forward to regulate cryptos. Today, there are taxes imposed by many countries on crypto investments. The latest to join the list is India with a whopping 30% tax on crypto gains.
Bitcoin market performance in 2022
If you have been following crypto investments, then you might be well aware of market performance. The current year has not been a favorable one for cryptos. Various economic conditions have contributed to this price surge. Various cryptocurrencies have been struggling to keep up with market pressure.
Bitcoin has also been a victim of this price crash. The price of BTC tokens has fallen below $30k in the first half of 2022. Many market experts believed that the condition is only a self-cleaning technique. The market will improve during the second half of the year.
But with the year almost approaching an end, there is still no positive sign of crypto market recovery. The price of Bitcoin today trades at $20k. Additionally, there are also speculations about Bitcoin prices reducing even further.
Many investors are on the lookout for selling their existing tokens. Market experts also believe that panic selling is another reason for price falls. Crypto prices continuing to fall without a green line continues to worry investors. Rather than taking additional losses, many investors are trying to part with their funds. This is another reason contributing to the declining market price of Bitcoin.
According to a recent survey, it is estimated that Bitcoin price will reduce by more than 15% in the current week. This means the prices of the token may continue to decline to reduce to less than $15k per token.
As the price of Bitcoin continues to fall, there are other tokens as well prey to this situation. Along with BTC, even Ethereum is under pressure. Other popular altcoins including Polka, and Shiba is struggling to retain their market.
Crypto investments have always been a risky model. The primary reason for this is the lack of regulations around it. There is also a lack of understanding among investors. Blockchain network and decentralized finance is not an easy concept to understand.
Before making any investment decision on cryptos, it is important to study the market. Also, crypto developers are working on various turnaround solutions to survive. With changing conditions it is a wait-and-watch game for crypto investments.