Those who recognized this early on in the bear market not only came out of it profitable in terms of USD value and total capital, but also grew their Bitcoin holdings significantly – holdings that could increase in value exponentially during the next bull market, providing yet even more incentive to consider cryptocurrency trading.īitcoin price predictions reach as high as $100,000 to one million dollars per BTC, so there’s enormous upside potential.

Meanwhile, traders who opened up a 100x leverage short at $20,000 and closed it at Bitcoin’s bottom would have earned over $1,680,000. Those who took the common cryptocurrency investment strategy to “hold on for dear life” watched their investments fall over 84%. The bear market is when Bitcoin and other cryptocurrencies truly became a trader’s asset class, rather than a more typical investment.įalling prices led to extreme volatility, with plenty of peaks and troughs for traders to profit from as cryptocurrencies trended downward toward their bottom.Īt its bottom, Bitcoin fell to as low as $3,200, all the way from $20,000 – showing just how wild the price swings are across the futuristic asset class. The potential behind the technology is as promising as their ability to generate profits for investors and traders.īecause the asset class is only ten years old, most of its earliest days were spent as a vehicle for investment.īut later, as Bitcoin and other cryptocurrencies matured into what they are today, they became highly traded assets standing alongside the likes of commodities, precious metals, or even equities.ĭuring Bitcoin’s meteoric rise into the public eye, the first-ever cryptocurrency rose from under $1,000 to an all-time high price of $20,000 before the asset fell into a bear market. Not all cryptocurrency work through this mechanism and others provide additional utility such as smart contracts and more. They can be sent peer-to-peer across borders without the need for a central authority or third-party to validate transactions – it’s all through a self-sustaining process called proof-of-work.

Bitcoin and many other cryptocurrencies are decentralized, digital assets that act as a transfer of value, store of wealth, or as a payment currency.

Td sequential explained