What to expect from Bitcoin in 2021

The events of the past year have had wide-reaching impact on many industries, including crypto currency. With the amount of instability recently experienced by the world economy, current and potential investors might be wondering what the coming year will have in store. Here are some expert predictions of what you can expect from Bitcoin in 2021.

1. An Increase In Price
The global pandemic caused uncertainties about most investment vehicles in recent times. With this in mind, Bitcoin showed a resilience over the past year. The year started off with a few fluctuations, followed by the Bitcoin ‘halving’ earlier on this year, despite all of this, the Bitcoin price made an astonishing recovery. Every four years, however, Bitcoin halves their ‘mining reward’. This disincentives miners from continuing their work and decreases the production of bitcoin by half. By cutting supply, the company changes the supply-demand ratio, which causes an increase in the price of Bitcoin. This is a fairly reliable procedure, which has been delivering consistent results since November 2012. For this reason, potential investors can be sure of an increase in price. Some experts even suggest that Bitcoin prices will reach higher rates than ever before in the coming year. This means that getting involved with Bitcoin now could mean high returns in the next year.

2. Increased stability

Analysts remain confident that investors are becoming more confident in Bitcoin’s performance. As the market gradually gets more accustomed to Bitcoin as a financial instrument, the stability of Bitcoin will increase. Additionally, large-scale investors are buying more Bitcoin, and they seem to trust that Bitcoin will continue to be profitable.
Another factor affecting stability, believe it or not, are the 2020 US elections. Analysts are predicting that the election will likely be followed by a broad stimulus package to boost the nation’s post-COVID economy. This predicted boost would give people the confidence they need to buy more bitcoin. Additionally, mobile games company Square has invested $50 million in Bitcoin. The extra money can provide a degree of stability to the company’s finances.

3. It will be easier to use

The idea of trading in Bitcoin can seem daunting to those of who aren’t technical or have a finance background. This has put a many people off even considering Bitcoin as an option. Crypto-currency has unfortunately been viewed as complicated and requiring technical knowledge. Specific industry terms such as “bull runs”, “whales” and “HODLing” come to mind. In order to try and remove these entry-barriers, Bitcoin plans to update their user interface to make it more accessible to all. This will hopefully mean an increased user base. Additionally, the services that they offer will become faster and more secure.

4. Increased regulation

Bitcoin is still relatively new to most markets, and as such, it is not yet subject to heavy governmental regulations in many regions. This might change, however, as the U.S. attorney general has recently released a plan for legislating the practice. The intention is to ensure that cryptocurrency is used and traded safely, and that its network does not pose any threats to public safety or economic stability. The EU has also published similar legislative plans, crafting a new legislative process specifically for crypto currency. The plan, however, also details how crypto currency might be integrated into EU structures, suggesting a ‘test run’ for interested applicants. South African financial regulators have also published ‘30 recommendations’ for dealing with crypto-currency. These kinds of legislation may lead to a limit on how Bitcoin can function, however it may also lead to higher confidence. The plan has not yet been put into place, but it is likely to have some kind of impact on Bitcoin in 2021.

Though I may not have a crystal ball to look into, experts and analysts seem confident that the outlook for Bitcoin in 2021 is generally positive. If you have been thinking of getting involved, then this is probably the best time to seriously look at available options. I happen to have been introduced to Mirror Trading International, a trading company that uses Bitcoin as their base currency. MTI has been preaching the Bitcoin gospel from the introduction to the market, their offering allows for relatively anyone to take advantage of the gains made by Bitcoin. If you are looking to get started with Bitcoin but have no idea where to start, then I would definitely suggest that you look into the MTI opportunity.