As a lot of you have probably noticed, the cryptos are not doing so hot right now. Because of this you’ve most likely been asking yourself, “what in the hell is going on?” And as you’ve been frantically scouring the web looking for any answers you can find, you’ve probably read articles that have headlines like, Asia Cracks the Whip on Crypto Regulation, Dow Drop Most Points Ever, SEC and CFTC Make Plans to Put a Hold on Bitcoin. These are all things that could be attributing to the crash. However, if you were smart and looked at history, you would have known this was going to happen. You would have cashed out at the peak and bought back in when it hit its all-time low. Were you one of those people? If so, well done! Now let’s take a look back in time.
What’s the World Wide Web?
Back in the 90’s, there was this new thing called the World Wide Web. Have you heard of it? Obviously you have. A report from Nielsen Company audience report states that the average adult spends about 10 hours a day online or connected to the media. But back in the 90’s the internet was a new idea. During it’s beginning stages, the internet was something that only a few people were excited about. Most people didn’t believe in it and thought it would go nowhere. You can probably see where I’m going with this. In the late 90’s the dot-com bubble began. With new startups springing up everywhere and older companies all going digital it was a new way of life. With such crazy growth built on this new technology, everyone was getting involved. But with all new technology, there is a learning curve. Because of this, the inevitable happened. There was a crash.
Does any of this sound familiar?
It should because we’re experiencing something very similar to the dot-com bubble right now. If you were one of the lucky ones, you got involved with Bitcoin and other cryptocurrencies a few years ago. You were an early adopter thinking this was a cool concept. You probably told your friends and family about it but no one really understood what you were talking about and thought it wouldn’t go anywhere. Just like what people thought about the internet. As time went on you probably didn’t see much growth and may have even forgotten about your Bitcoin and moved on with your life. But as time moved forward the talk of Bitcoin became more and more popular. More and more people were becoming educated as to what Bitcoin was and how Blockchain technology could potentially change the world. Now fast forward to a few months ago, around September or October of last year. Here is when we see some major traction and fast growth. At this time we see major companies and big money are getting involved. Now startups that are built on the Blockchain are springing up everywhere. At this point, you hear all this commotion about Bitcoin and remember you have some. You check it to find out you just became a millionaire.
The dot-com bubble. The crash in the early 2000’s and recovery in later years
The price of Bitcoin over the past year on Coinbase.
The Rise and Fall
With all this excitement people began pouring money into the market. Everyone was making great returns. All this seem too good to be true. Well the truth is, it is. Just like the dot-com bubble, the market skyrocketed and people were making great returns. The only problem was, as we’ve seen many times in the past, the market would eventually correct itself. Blockchain technology and cryptocurrency is an amazing thing but it’s new technology. There is so much about it that needs to be corrected. And with the government’s involvement and new rules of regulation coming out, we were bound to see a crash sooner or later. But just because we’re seeing a crash now doesn’t mean that Blockchain and the cryptos are dead. If anything this is the best thing that could happen. From the crash, there will be more responsibly and trust. The market will regain strength. We still might see a few dips here and there as it slowly recovers but it will recover. There are too many big companies and people involved at this point to let something like this die. If you’re patient and wait it out or buy back in at the right time, you’ll reap the benefits within the next few years. And you too could potentially become a millionaire.
Sean has years of experience in digital marketing and has had a high interest in blockchain technology and cryptocurrency for a few years now. Dedicating many hours to learning as much as he can about these subjects, he enjoys sharing his knowledge with others with the hopes of it benefiting them in any way possible. You won't want to miss out on any insight he has to give.