There have been a lot of ups and downs in the value of Bitcoin in the past few months. And that has got many investors and Bitcoin enthusiasts to start wondering what might happen to the pioneer cryptocurrency in the next five years. If you have been around for a while in the crypto space, you will understand how influential Bitcoin is in the crypto market. It is the first and most popular cryptocurrency, and other cryptos often derive their value from Bitcoin.
While Bitcoin is presently suffering from a fall in value, many experts have predicted that the coin will soon bounce back to its feet and will likely even reach $100K soon. That’s good news for most people who had invested their hard-earned money into the cryptocurrency.
This post will show you some things about the Bitcoin System and what its value might look like in the next 5 years.
Bitcoin; a Quick Overview of the Giant Cryptocurrency
Let’s start with the basics: Bitcoin is a digital currency that was created in 2009. It functions as an online payment system, meaning it lets you send and receive currency anonymously over the internet.
Bitcoin is a crypto currency, which means it’s based on encryption techniques to generate its value. There are two ways to get bitcoins: mining for them or buying them from someone else who has mined them. Mining involves solving complex math problems using specialized computers designed specifically for the task (called “miners”).
When miners successfully solve these problems, they receive bitcoins in return. The more computational power you have at your disposal, the more likely you are to solve these problems quickly and earn more bitcoin as a result.
What Determines the Price of Bitcoin
Bitcoin’s price is primarily determined by supply and demand. It’s as simple as that. The more people who want to buy and sell, the higher the price goes.
The supply of Bitcoin is limited to 21 million coins (as it was designed). Only 21 million bitcoins can be mined or created over time, and once all those have been mined, there will be no more new bitcoins produced for the rest of eternity (or until the whole thing collapses).
So if you want some Bitcoins today, then you have to pay a premium for them because there aren’t many available on the market yet. And if demand increases even further from here on out, then we might see another run-up in prices similar to what happened during 2017 when BTC went from $1k per coin all the way up past $20k.
Bitcoin Price History
Before we consider some predictions from experts in the community, let’s take a quick look at how Bitcoin has performed in the past. Bitcoin started in 2009 as a coin with almost no worth. The coin was traded for as low as $0.0008 per BTC. But over the years, it tremendously increased in price, bringing more people to it.
In 2017, Bitcoin experienced an amazing year as the coin experienced an amazing all-time high that shot the coin’s price from $1000 per coin to $20,000 per coin. Since that time, Bitcoin has experienced ever more all-time highs, and in 2021, the coin traded for as high as $64K per BTC. However, the year 2022 has not been such a good year for Bitcoin as it is presently experiencing a steep fall from its high value.
However, experts are not giving up on the coin yet. Many people still believe Bitcoin will bounce back to its feet and even do much more than it has done in the past. Let’s consider some of these predictions in the next section of this post.
A Bitcoin Prediction for the Next 5 Years
Let’s start from 2022 – because the year is not yet ended, and there is still lots of optimism about it. Experts predicted that although the year started rough on Bitcoin, the coin will likely regain its balance before the end of the year. They predicted that Bitcoin might cross the $60,000 barrier before December.
Price prediction for 2023
Since Bitcoin will be regaining its balance by the end of 2022, 2023 might begin with more investors coming back to Bitcoin, hence causing the market to grow again and demand to go up. The year will likely start with Bitcoin selling at around $64,500. This will cause even more people to jump on the wagon, therefore causing demand to increase more. Experts say Bitcoin might settle out of 2023 at $70,833. However, some predicted that things might go worse towards the end of the year; if that happens, Bitcoin will likely bow out of 2023 at $44,607.
Price prediction for 2024
Many experts are bullish about the year even though the Bitcoin halving that will happen in the year will have some effects on the price of the coin. They predicted that Bitcoin would likely reach a new all-time high of $98,506 for the first few months in the year. But towards the end of the year, the price will likely drop again to $84,741. Some experts predicted that we might need to expect the worse towards the end of 2024, bringing the price of Bitcoin to $54,653.
Price prediction for 2025
The coin will spend the first few months recovering from the fall it experienced in the previous month. But towards the third quarter, the price will likely surge again, shooting up as high as $205,033 and then drop again to around $179,021 by December 2025. Therefore, Bitcoin might be settling out of 2025 at $156,117.
Price prediction for 2026
Mining will be approaching its fall in 2026, and so the coin might become very scarce. That means demand will increase while supply drops. And that is one of the primary factors that drive the price of Bitcoin up. The price might rise tremendously in 2026, hitting an all-time high of $285,621 and a low of $111,784 before the end of the year.
Should You Invest In Bitcoin?
2022 has been a struggling year for Bitcoin, and many people are afraid to invest in the coin as its price continues to drop. But experts are bullish about the coin in the next few months and years, and that means a lot to the crypto community. So if you are thinking of investing in Bitcoin, now might just be a perfect time.
You will have the opportunity to buy low now since the market is crashing and sell high when everything returns back to normal. However, you will still be taking a great risk doing that. But if you are not cut out for this huge risk, you can consider some other altcoins that are doing well presently and invest your money there. A good example is Dogecoin, the meme coin that has caused a lot of waves in the crypto market.