Bitcoin Price In 2017: Why It Is Expected To Rise?

The price of Bitcoin, which is the world’s favorite cryptocurrency, has been on the rise consistently. Throughout the year, the digital currency has exhibited some promising trends, which are an indication of its bright future. There were some hacking incidents that led to a few setbacks, but Bitcoin has come out strong. As its price continues to rally upwards, the expectations associated with the performance of this digital currency in the next year are at an all-time high. According to speculation, the Bitcoin price in 2017 will reach $1000, which would mark an almost 40% increase in price.

There are several factors that can contribute to the rise of Bitcoin price in 2017 and some of the top ones are discussed below:

Increasing Usage 

The use of Bitcoin as a medium of value exchange rather than a long term financial instrument has risen considerably. While the cryptocurrency had initially been introduced with the sole purpose of value exchange, the constant appreciation in its price has meant that Bitcoin’s use has deviated off course. As people begin to use Bitcoin more frequently for making their purchases, the amount of the cryptocurrency available for trading on exchanges will be reduced. Demand of the currency amongst traders will rise due to low liquidity on exchange order books, which will give its value a boost.

Increasing Investments 

There are certain advantages of Bitcoin over other forms of currency because it is a decentralized and open source peer to peer currency. This cryptocurrency remains immune to capital controls and other types of restrictions, which are generally imposed by central banks and governments on fiat currency. Simultaneously, Bitcoins have a finite supply, which is a promise of better value in the long run. Due to these factors, according to the experts from 30btc, it has become a popular investment vehicle. Investors have become increasingly interested in Bitcoin because of the recent surges in Bitcoin price rather than fiat currency as the latter is subject to intervention by governments and banks.

Increasing Adoption 

It is no secret that the adoption of Bitcoin is rising on a regular basis. The increasing mainstream acceptance has led to its adoption and its credibility as an alternative to regular currency has been enhanced due to implementation of regulations by various governments worldwide. As the use of Bitcoin becomes widespread, the digital currency will be spread thin because it has a limited supply. Therefore, there will be excess demand for Bitcoin thereby resulting in increased Bitcoin price in 2017 and years to come.

Increasing Remittance 

The usage of this cryptocurrency increases indirectly due to the growing Bitcoin remittance or rebittance. Bitcoin is used by most remittance platforms in the backend so most customers are not even aware of the involvement of the digital currency in transactions. Lots of markets are using Bitcoin for remittance purposes such as China, Korea and Philippines and some Indian companies are also stepping into the game. Again, the use in remittance is going to give the price of Bitcoin a solid boost.