Bitcoin celebrates its 16th anniversary: ​​from worthless coin to trillion-dollar market

It has been 16 years since the Bitcoin (BTC) whitepaper was published. On October 31, 2008, the anonymous founder Satoshi Nakamoto announced the concept of the digital currency and the underlying blockchain technology.

The document, titled “Bitcoin: A Peer-to-Peer Electronic Cash System,” laid the foundation for what BTC is today: a decentralized, digital currency that is independent of central banks and secured by a unique proof-of-work ( PoW) system. Sixteen years later, Bitcoin has become one of the largest financial assets in the world.

The route to $74,000

At the time of writing, the digital currency is doing well, with a total market capitalization of $1.4 trillion. The price is currently approaching its all-time high (ATH) of $74,000.

Bitcoin has come a long way; in the first years after its launch it was virtually worthless. The recent growth is particularly fueled by institutional investors who recognize Bitcoin as a valuable asset, such as asset manager BlackRock, who recently launched their Bitcoin exchange-traded fund (ETF).

Bitcoin as digital gold

Bitcoin is often seen as the ideal form of gold. Unlike the precious metal, the cryptocurrency is digital, decentralized and accessible worldwide. The increased institutional interest confirms Bitcoin’s position as a store of value. While gold took thousands of years to establish its reputation as a safe haven, Bitcoin achieved this in just 16 years.

According to Paolo Ardoino, CEO of Tether, Bitcoin is currently the best currency for financial freedom and offers a solution for people who want to protect themselves against inflation and economic uncertainty.

To new heights

Many analysts are optimistic and predict a breakthrough that could send Bitcoin towards $88,000. However, caution is advised: current market conditions indicate a potential risk where many investors could take their profits. Currently, 99.4% of Bitcoin owners are in the plus, which increases the pressure on the price.