2017 has seen us enter an entirely new era of digital currency trading. On December 6th alone, people scrambling to buy Bitcoin saw the Bitcoin price rocket from $12,467 to $14,266, over the course of just a few hours. On the day we wrote this article, the price hit the record-high $14,000. The only significant question is: “Is Bitcoin in a Bubble?” And if not, where will 2018 take us now that the Bitcoin has already broken out past the $10,000 mark?
What Bitcoin Price Prediction Experts are Saying
It’s been clear to Bitcoin investors for years that the mainstream media detests digital currency.
If the Bitcoin price is rising, mainstream news anchors call out Bitcoin as being in a bubble. Later as Bitcoin pulls back, news anchors then announce catastrophic crashes. Despite the fact that by the time they get around to doing so, Bitcoin is often already heading for new all-time price highs.
Thankfully, 2017 has seen much less hysterical Bitcoin price commentators start coming forward. The likes of Novogratz, John McAfee, and Steve Wozniak, after all, are firm in their belief that Bitcoin could quickly reach $40,000 in 2018. What is more, when billionaire stock market investors like Mike Novogratz announce that they have invested 10% of their net worth in Bitcoin, people need to start taking notice.
Why we Know, Bitcoin isn’t in a Bubble
The most important thing to remember about the current Bitcoin value is that in surpassing $10,000 in 2017, Bitcoin has followed a parabolic growth trajectory which was mapped and predicted way back in 2013.
In 2013, independent economic commentators like Max Kaiser, literally screamed at people to buy Bitcoin. What is more, the ugly truth regarding why they did this is simple. If any world currency is in a bubble, it’s the US dollar. Moreover, as Mike Novogratz recently pointed out, even if Bitcoin were in a bubble, there is a long way to go yet before that bubble starts threatening to burst.
Why Comparing Bitcoin to the 1999 Dotcom Bubble is Silly
As recently pointed out by Mike Noogratz, the 1999 dotcom bubble was a $6 trillion bubble caused by out of control institutional investment in shares of tech companies which in many cases were just Internet domain names.
Thankfully, today’s $14,000+ Bitcoin price is an entirely different ball game. This is because digital currency overall only has a total market cap of approximately $300 billion. Meanwhile, Bitcoin doesn’t rely on institution driven investment and is entirely decentralised. That means that even if a currency like the Euro or US dollar collapsed, Bitcoin value would increase rather than decrease.
The One Real Thorn in the Side of Bitcoin
Given that people like John McAfee consistently state that they expect to see a $1 million Bitcoin price by 2020, it is safe to say that investing in BTC is a safe bet or 2018. There are, however, a growing number of losers in the world of digital currency investing.
By not taking measures to secure the Bitcoin they own adequately, people like UK IT worker James Howells, are losing out big as Bitcoin appreciates in value. In fact in James’ case, he lost $74 million this year, just by accidentally discarding a hard drive which he had used to store Bitcoin first acquired in 2012.
Storing Bitcoin Safely in 2018 with Hardware Wallet
Given the potential for people to realise catastrophic losses overnight should an electronic device fail or a paper wallet gets accidentally discarded, 2018 is the year when people need to start taking Bitcoin security itself much more seriously. The only question is, is your Bitcoin (or other digital currency) wallet as secure as it could be?
People who invest in Bitcoin must get the hardware wallet to store their digital assets safely.