Macroeconomic Factors

Bitcoin’s price is sensitive to economic and geopolitical conditions. In fact, Bitcoin’s dynamics are sometimes uncorrelated with those of conventional financial markets. For example, the BTC price began a bull run shortly after the start of the COVID crisis in 2020. A period of high inflation reinforces Bitcoin’s appeal as a store of value, and instead boosts its price. Legal and tax regulations Long-awaited, the first regulations are about to arrive. They will provide a framework for the crypto market and further protect investors. The introduction of these regulations is a positive step that can only enhance the credibility of crypto and therefore boost the Bitcoin price. Comparison with other assets The Bitcoin price is characterized by extremely high volatility compared with that of equities or gold. For example, between May 2023 and May 2024, the Bitcoin price rose by +123%, while gold rose by just 14% and Tesla shares (for example) by 3.5%. Bitcoin’s volatility is higher than that of many other cryptos too. Over the same period, the price of Ethereum (the world’s second-largest crypto) rose by just 61%. Another important difference between Bitcoin and equities is its role as a store of value. Like gold, Bitcoin does not see its value depreciate over time. It is therefore considered a safe-haven asset, all the more so when macroeconomic conditions are not good.

Bitcoin price: price projection

Bitcoin continues to attract a great deal of interest as a pioneering cryptocurrency, with many prospects for its future.
While its price may be subject to short-term fluctuations, many experts believe that its growing adoption by both individuals and financial institutions will continue to drive its value higher over the long term.
Some analysts predict that Bitcoin could reach new heights, surpassing its previous records, and even crossing thresholds such as $100,000 or more within the next few years, perhaps as early as 2024.
Technological improvements such as the Lightning Network and regulatory developments could also help strengthen its position as a digital store of value and an efficient means of transferring wealth across borders.
However, investors should always be aware of the risks inherent in this volatile market and engage in due diligence before making investment decisions.

Bitcoin, the world’s first decentralized cryptocurrency, was invented by a person or group of people under the pseudonym Satoshi Nakamoto. Satoshi’s real identity remains a mystery to this day. In 2008, Nakamoto published the Bitcoin white paper, outlining a peer-to-peer electronic money system that eliminates the need for any central authority. The Bitcoin network went online in January 2009 with the creation of the first block of the chain, known as the genesis block. Satoshi continued to work on the project with other developers until 2010, when he disappeared from the scene, leaving behind a legacy that transformed the concept of money and inspired the creation of thousands of other cryptocurrencies.

In its early days, Bitcoin primarily attracted a group of technophiles, libertarians, and researchers fascinated by the idea of a decentralized, borderless currency. The first investors were often members of online forums like Bitcointalk, where Satoshi Nakamoto himself shared ideas and updates on Bitcoin’s development. These pioneers, mainly programmers and cryptographers, were the first to mine and trade Bitcoin, and many accumulated substantial amounts when it was still worth only a few cents. A strong sense of community and a shared belief in Bitcoin’s disruptive potential motivated these early users to support the project through its critical early years.

Decentralized network, limited number of BTC coins in circulation, store of value, high volatility… Bitcoin is a high-potential investment. Although its price has surged multiple times in the past, its growth potential remains intact. Bitcoin has demonstrated exponential growth potential, showing impressive returns since its inception. Moreover, the growing adoption of Bitcoin by companies, banks, and even some governments enhances its legitimacy and could continue to drive its value upward in the long term. However, investing in Bitcoin comes with risks due to its volatility and young market, requiring careful evaluation and a well-suited investment strategy.