The market of bitcoin is highly volatile, and so is its trading history. The bitcoin was created in 2009, and due to its volatile market, there has been lots of action in the life of bitcoin. The first fluctuation occurred in bitcoin’s price in 2010, and the value of bitcoin increased from $0.0008 to $0.08 for a crypto token. Throughout the journey of bitcoin, there have been many crashes and rallies. Satoshi Nakamoto created Bitcoin in 2009, and he created the blockchain technology on which the entire bitcoin network is dependent.
Over time, bitcoin become the most extensive and successful currency. After the invention of bitcoin, the price of it remained similar in a few years. In 2017, for the first time, bitcoin’s value reached a peak and raised around $20,000 for a single bitcoin. But there have many ups and downs, and many investors have lost their hard-earned money in bitcoin’s volatile market. To know more about the history and start of bitcoin, read more here Crypto Genius
The start of Bitcoin
A mysterious entity named Satoshi Nakamoto released bitcoin’s software on a white paper in 2009, and it came into existence in 2009. People weren’t quite happy with the introduction of the bitcoin network because they didn’t understand its underlying technology. The first real bitcoin transaction took place in 2010, where an early adopted bought two pizzas for 10,000 bitcoins.
This cryptocurrency is completely based on blockchain technology. A blockchain is a distributed public ledger that contains all the records of bitcoin transactions. The blockchain does the work of verifying the bitcoin transactions. The bitcoins are mined, and the miners tend to use computing power to solve the intricate mathematical algorithms. A central authority can never trace the users that are engaged in bitcoin transactions.
No central authority or financial institutions can trace the bitcoin transactions because it is a completely decentralized network. The currency has gained a lot of exposure that is both bad and good. When we say well, it means more and more retailers and businesses have started accepting bitcoin as a payment method. Bad indicates that because no central authority controls the bitcoin, it has been widely used in black market transactions, and the sale and purchase of illegal things have been going on.
You must have heard about the most popular bitcoin exchange, Mt. Gox, that started as a website for trading game cards but, over time got evolved into a bitcoin network. The exchange became popular, and the daily trade of exchange was around 150,000 bitcoins. Bitcoin users made many accusations, and unfortunately, the exchange got closed in 2014. It is estimated that the exchange lost more than 850,000 bitcoins, but later some of them were found.
In today’s time, bitcoin is traded on a large number of independent exchanges. All exchanges tend to have different regulations and the price of bitcoin. Many investors have made huge profits by buying bitcoin from one exchange at fewer prices and selling them when the price is at its peak. All the independent exchanges are non-centralized, and therefore there is no uniformity in price.
Bitcoin Trading History
Bitcoin prices remained similar in recent years, and it started to increase in 2013 for the first time. In 2013, the currency’s price was @13.50 for a single bitcoin, but in April 2013, its price got increased to $220 but again dropped down to $70. In April, the price faced the first crash, and a lot of investors lost their money.
In October 2013, its price began to rise, and the trade was started at $100 and reached to $195 at the end of October. November was the month where the currency price reached its peak, and it raised from $200 to $1075. The increase in bitcoin price has led to the establishment of new bitcoin exchanges, and a lot of investors became miners. After reaching the peak, the price started to fall, and the market of bitcoin became highly volatile. This has led to the shut down of many bitcoin exchanges because they were unable to manage funds. In these hard times of bitcoin, Mt. Gox got shut down because of poor management.