The price of bitcoin continues to soar. When middle-class investors cannot afford to buy bitcoin they will turn to alternative coins. Bitcoin is a phenomenon in financial technology. Since its launch, bitcoin has caused controversy. Bitcoin creator Satoshi Nakamoto is still a mysterious figure. Until now, many people still doubt whether Satoshi is alone or a team.

Bitcoin is an idea of ​​a financial system that is cryptographically protected and runs on a different block network. The blockchain network is a computer network that is open to the public and is an open source network that developers can create financial applications on. Not everyone thought that the price of bitcoin would soar so high.

The lowest price of bitcoin at the beginning of its launch was (The first Bitcoin course towards exchange dollar is published: 1 USD = 1,309.03 BTC) $0.0007 while the highest price reached at this time was $24,209.66 in 2020.

Nouriel Roubini, professor of economics at New York University, said bitcoin was “the mother of all bubbles”

https://www.theguardian.com/technology/2018/feb/02/bitcoin-biggest-bubble-in-history-says-economist-who-predicted-2008-crash

Many conglomerates, big business people and economists underestimate bitcoin. The assumption that bitcoin is a bubble that will burst and render bitcoin worthless is not proven. Bitcoin miners, developers, traders and users are not affected by the negative stigma surrounding bitcoin. In fact, what is more surprising is that the ban on bitcoin has not discouraged developers and investors from creating bitcoin-based applications. There are also more retailers willing to accept bitcoins.

Pic : https://pixabay.com/illustrations/bitcoin-cryptocurrency-virtual-3024279/

The Price of Bitcoin

The current price of bitcoin is $ $40 K. Bitcoin went viral with a moment where many people accepted bitcoin payments. This moment is remembered by bitcoin lovers and the cryptocurrency community as pizza day. Pizza day was when a bitcointalk member ordered pizza with bitcoin.

May 22nd First online purchase using bitcoin. Laszlo Hanyecz (indirectly) buys Papa John's pizza for 10,000 coins (25 USD – Bitcoin value was 0.0025 cents for 1 coin). https://en.bitcoinwiki.org/wiki/Bitcoin_history.

The highest price of bitcoin ever reached in 2017, then the bitcoin price went down. In 2020, bitcoin prices have surged again, even exceeding the highest prices in 2017. With the covid crisis, investment patterns have changed. Many investors are turning to bitcoin and cryptocurrency. The defi project to some extent affects the increase in bitcoin prices.

Public companies invest in bitcoin

When a technology provides answers to challenges in the future, many investors will invest in this technology, for example, Tesla. Electric motor technology was not attractive at the beginning, but the time changes. The depletion of oil and gas makes Tesla a future vehicle without gas and oil. Likewise with bitcoin, when banking technology was unable to protect privacy and there were many bail out cases, bitcoin was the answer. An open financial system, protecting privacy and anti-bailout has attracted many people.

Many big companies are finally attracted to bitcoin such as paypal which will accept bitcoin in its wallet, Dow Jones which will index bitcoin in 2021. Coinbase, the largest bitcoin wallet provider, will conduct an IPO.

With many large companies investing in bitcoin, the demand for bitcoin increases while bitcoin holders seem reluctant to give up their assets. This led to an increase in the price of bitcoin. Microstrategy has spent bitcoin up to 650 million dollars. This bitcoin market fluctuation has a domino effect on alternative coin markets such as dash, eth, and other coins.

• Bitcoin will reach its highest price.

Is the current price the peak? The answer is of course not. Analysts and business people predict the price of bitcoin will reach $ 100 thousand. Bitcoin is the most valuable digital asset.

• Investors will look for alternative coins.

As bitcoin becomes increasingly out of reach for intermediate investors, they will look for alternative coins. Dash is an option that allows its value to increase dramatically. Dash is a privacy coin that protects its users from tracking transactions by setting up privacy coins on the Dash wallet. Privacy coins will be increasingly sought after and needed in the future. Investors who like developing financial applications will certainly look to ethereum. Eth is currently the most widely used by developers.

OPPORTUNITIES INVESTING IN ALTERNATIVE COINS OR ALTCOINS

Middle class investors will no longer be able to buy bitcoins in large quantities. An option is to invest their money in alternative coins. There are several types of coins and tokens that can be selected.

a. Privacy Coins
A privacy coin is a coin that protects its users in transactions from being tracked by the public. There are several established types of privacy coins including

• Dash
  Dash is one of the pioneers of privacy coin. The advantage of dash is that there is a choice within the wallet whether to send coins in private or public mode. In privacy mode, transactions will not be tracked. To transact or send Dash in public mode, you don't need to tick the private send option, so transactions can be tracked in the dash explorer. The dash price is currently in the range of $ 90- $ 110. With moderate prices, investing in the long-term dash has a good chance.

• Zcash
  In principle, Zcash is almost the same as Dash because Zcash is a replica of Dash but from a different developer. The current Zcash price is $67.

• Monero
  Monero is a privacy coin that has a high market cap. However, the issue of monero as a money laundering tool makes this coin less attractive to big business people.

b. Coins with smart contracts

Coins with smart contracts are coins that allow developers to create various applications including Ethereum, Ethereum classic, Tron, Eos and many more. In this coin, developers can create smart contracts and issue tokens from their side network. For example, defi or decentralized finance applications. The current popular defi applications are Uniswap, Maker, Chainlik and many more that run on the Ethereum network. Investors are now interested in investing in Ethereum because this network is mostly used by developers to create various applications.

c. Social Media Coins

Social media coins are coins that are issued by social media networks. To get these coins, users carry out social activities such as posting photos, articles, videos and interacting with each other. By socializing on the existing network, users will get rewards. The rewards are in the form of coins. The most well-known and well-established social media coins are Hive and Steem. There are several other social media coins, like scorum, golos and blurt. The coin price is still quite low between $ 0.1 and $ 2. Investing in social media coins also provides the benefit of getting rewards apart from taking advantage of price increases.

d. Defi
Defi is an application where investors lock their funds in the form of Eth, btc, ltc or other cryptocurrencies in the available defi application. By providing liquidity funds or locking their funds, investors will get benefits such as saving money in the bank by getting the profit sharing. Most Defis runon the Ethereum network.

Conclusion

An increase in the price of bitcoin will affect the price of alternative coins. Bitcoin will reach its highest price but will fall again as many bitcoin holders release their bitcoins to buy alternative coins which will give bigger profits.

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