The crypto currency that was considered to be the latest sensation of the investment market, considered to be a highly profitable equity, beating the likes of the old investment’s like share market, gold, mutual funds.
Well, all the things I have talked about have passed, and the bitcoin market has burst, for good. While it existed it became a rage with everyone talking about its validity, with governments of different nations questioning its validity, thereby confusing the investor and inducing fear in the minds of the investor.
How it works is an interesting thing in itself :
The main principle of bitcoin’s working model. A public ledger is maintained by the network. where transactions of each user the network is recorded making the transaction visible to every user present in the network. These transactions are then added to blocks of a blockchain. whose integrity is later maintained by the use of cryptography.
This is an interesting process where a miner collects the series of the transaction data to process a block of data within a series of strict cryptographic rules formed and validated by the network. There are a lot of miners in the network trying to produce the values required, in case the value found the miner rewarded with a certain amount of bitcoin.
Fall of bitcoin’s market:
The bitcoin, unfortunately, had to face stiff competition from its cryptocurrency peer such as ripple, litecoin, ethereum etc. as there is no regulation in this market the investors started investing it the other cryptocurrencies, making it tough for it to survive the competition.
The other thing making it tough to carry its momentum was the different countries trying to regulate and ban the bitcoin itself making the investors pull out of the market.
The validity of bitcoin was another factor leading to its downfall, not all operators in the market accepted bitcoin that means the validity of cryptocurrency was in question?
The volatility of the market was another problem with investors losing interest due to the high variability of the price.
Can the market make a comeback:
It seems, unlikely that the market is going to make a comeback, the number of stricter rules imposed by the governments across the world.
There making it Bubble market, a career short-lived, nevertheless making it the talking point till it lived, attracting all the research, market’s interest.