#BTC

SHOULD YOU HOLD BITCOIN?

$BTC $ETH $BNB #BTC

Bitcoin brought seasonal cheer to investors when its price gathered pace and broke records in December 2017. The heady run-up in its price had bitcoin enthusiasts making wild forecasts about its price down the line. Their prognoses were much gloomier in March and April 2018. The cryptocurrency's price was down by more than two-thirds from its December 2017 high and dropped to $3,237 by December 2019—a decrease of roughly 83%. On Nov. 11, 2021, Bitcoin reached an all-time high of $68,789 before ending the day at $64,995. Two years later, the cryptocurrency's end-of-day price was close to $34,700 after spending some time in the $25,000 range.

So, bitcoin is well-known for its wild price fluctuations—volatility that investors have come to expect. But that doesn't make it any less anxiety-inducing when money is involved. Bitcoin's price movements sometimes force investors to reconsider their opinions and positions. Here's a brief recap of the bull and bear cases for bitcoin.

The Bear Case for Bitcoin

A steady stream of hacks and scandals from within the cryptocurrency ecosystem has ensured that the currency's reputation as a venue for criminal activities persists. There have been many prominent examples, from Silk Road to the FTX Exchange scandal. Bitcoin investors have appeared to take it all in stride, continuing to trade during massive price spikes and drops.

Regulators and economists around the world have added to the pressure by criticizing bitcoin in public forums. Their stance has made governments wary of bringing bitcoin under legal cover. Globally, regulatory agencies have introduced or are developing laws regarding cryptocurrencies and crypto-assets, fueling the bullish stance that cryptocurrency is on its way down.