Greetings to all the community, I hope you are already clear about your goals for this year which, due to the short time it has been showing, will be a year very similar to 2020. In this article I want to try to understand why the rise of the BTC, the reasons that led to this currency being worth so much money and if this price rise is just one of the many bubbles created by the great whales of the trust world. I hope you like it and that you can leave your comments on this subject.
One of the things I faithfully believe in is that the value of things is given by the market that supports a product or a service, understanding as a product anything that can be bought and sold, at present we are spectators of a disproportionate rise in the price of one of the oldest currencies the BTC, now if we use logic we must ask ourselves why this rise in value in the price that from my point of view is a bubble.
Let's say that this increase is due to the law of supply and demand, that is, every day that passes people demand more to own BTCs and because they have a finite amount in the market their value increases in proportion to the people who are willing to pay more for the right to own a BTC. Up to that point, we can see that it is possible, but if we use logic, the question arises: Who is willing to pay more than 40k for BTCs? Who is the person who has the financial power to increase supply and take his competitors out of the market, or is something missing from that equation?
The value is suggestive and I personally believe that this is a bubble that was created to give the impression that the BTC will reach a million dollars, so that people who are prey to greed will buy more than what the market is really using, resulting in inflation caused by a few earning and thousands losing their money.
In conclusion from my point of view entering a market this inflated is a great way to lose money, just think about this before using your life savings to buy BTC, on the other hand if you bought a BTC at less than 10k is a good time to go out with your profits before the bubble bursts.
For all my readers I remind you that these are my thoughts that I can share with you in this wonderful platform, this article should not be understood as a financial recommendation the decisions you make should be based on your own criteria I just try to contribute with my opinion.
Created by: @trabajosdelsiglo.