Satoshi Nakamoto, who goes under the pseudonym Satoshi, launched Bitcoin in January 2009. In a whitepaper titled Bitcoin: A Peer-to-Peer Electronic Cash System, Satoshi outlined the concept of a decentralized digital currency.
Bitcoin’s market value debuted at $1 US Dollar = 1,309.03 BTC ten months after the whitepaper presentation. The price of the crypto world-beater was first decided by the cost of electricity required to mine a single coin.
The Price of Bitcoin Right Now
The price of bitcoin began 2021 at $29,048.39, owing to rising demand and attention from institutional investors and businesses. The market remained very volatile, with short and rapid price swings. Tesla’s CEO and creator revealed that the corporation has purchased $1.5 billion in bitcoin and would accept it as payment. As a result, the coin experienced a massive bull run, reaching an all-time high of $63,729.5 in April.
However, due to China’s harsh crackdown on mining activities, the cryptocurrency’s value began to plummet in mid-May. Other unfavorable headlines include Tesla CEO Elon Musk’s decision to accept Bitcoin payments being reversed. Bitcoin mining, he said, is harmful to the ecosystem.
Furthermore, the coin has lost about half of its market value, currently trading at $30,895.42 at the time of writing. In summary, the year 2021 has been likely the most turbulent in Bitcoin’s trading history, as indicated by fluctuating pricing and rapid market movements.
Prediction of Prices Using the Stock-to-Flow Mechanism
The stock-to-flow price prediction model, created by Bitcoin specialist Plan B, is a widely used mechanism for predicting the long-term price of commodities and financial assets. The asset’s digital scarcity, i.e., supply-demand mechanism is used by the price prediction mechanism to estimate the asset’s price at a given point in time.
Bitcoin will hit $100,000 at the start of 2025, according to the stock-to-flow price prediction algorithm. It is also expected to climb to $150,000 by the end of the year, according to the prediction.
In 2025, how much will Bitcoin be worth?
Despite having lost more than half of its value, Bitcoin still has a bright future. Following the realization of BTC’s huge potential, a growing number of institutional investors and companies are adopting it. Bitcoin is being considered by several companies as a long-term institutional investment.
Bitcoin’s supply is limited to 21 million coins, with 18.5 million coins mined in the first ten years of its existence. Given this, rising demand combined with dwindling supply will almost certainly result in a hefty price tag in 2025. Why? There will be fewer Bitcoin to mine by then. The final Bitcoin is on the way.
Final Thoughts
Most crypto experts believe that Bitcoin’s value will climb by 2025, with a price range of $100,000 to $400,000 per BTC. 2025 will almost certainly be the year of Bitcoin, with a high possibility of its price tripling. Bitcoin’s value will rise by 2025 because of growing institutional usage, declining supply due to the approaching halving event, and increased fiat currency inflation.
