The Bitcoin Price Boom Of 2013
As the year closes, there are some who are nervously waiting for Bitcoin to break through the $1,000 mark again while others are optimistic about Bitcoin hitting $10,000 in 2014. Whether you are a bull or bear, there is no denying that 2014 is going to be an exciting year for Bitcoin and other cryptocurrencies. But for those who have bought late or are still uncertain about the return on investment, let us look back at 2013.
The First Quarter of 2013
Bitcoin started 2013 at a modest $13 depending on the exchange you used. Few people outside the tech industry knew about the cryptocurrency and if you told friends you were putting your money into Bitcoin, you would probably have heard a host of negative sentiment. But Bitcoin prices steadily rose in January, through to February where it entered the $20 mark to close in the $90 range by end March 2013.
If you bought Bitcoin in early January 2013, you would have multiplied your investment somewhere between 4 to 5 times by the end of the first quarter of 2013.
The Second Quarter of 2013
The start of the second quarter of 2013 was very optimistic. Bitcoin prices broke the $100 mark in early April 2013 and climbed right up to the $200 range. However, it did not last long. By mid-April 2013, the prices fell back to March levels but once again it was short-lived. The price returned to the low $100 region by end April 2013 and stayed around there right till the end of the second quarter of 2013.
If you bought at the end of the first quarter of 2013, you would have seen little growth on your investment. The price of Bitcoin returned to the $90 region by July 2013.
The Third Quarter of 2013
The upswing that commenced in the first weeks of the third quarter was a sign of things to come. Bitcoin bounced around between the $80 to $100 mark before rising more consistently as of August 2013. It was still rather unexciting for Bitcoin speculators although the chatter around Bitcoin increased significantly. More newspapers and news channels were mentioning it and social media talk increased accordingly.
Despite the greater awareness, Bitcoin prices still closed around the modest $120 region by the end of the third quarter. While low by today’s prices, it was still rather stable compared to recent fluctuations.
The Last Quarter of 2013
It was a slow but positive start to the last quarter of 2013. Prices gradually rose in October 2013 to the $200 mark. But the Bitcoin scene exploded in November 2013. Bitcoin prices skyrocketed from around $200 at the beginning of November to break the $1,000 mark by the end of the month. The Bitcoin buzz was all around and it sparked authorities to take a more definitive stand about their position on Bitcoin.
Then there was the mid December dip in Bitcoin prices with the cryptocurrency reaching the $500 mark. It was short lived and Bitcoin closed the year in the mid $700 range.
Looking Back At 2013
If you bought Bitcoin anywhere in the first 9 months of 2013 then you have undoubtedly scored. Your return on investment would be much higher if you caught Bitcoin in January 2013 where you would have experienced almost an 80 times rise in prices. However, if you were unfortunate enough to jump on the Bitcoin bandwagon by late November or the beginning of December then in all likelihood you closed the year with a slight loss. However, the Bitcoin community is positive about prices going beyond $1,000 in 2014.