Bitcoin price crosses $10,000 milestone: Bitcoin is the oldest and most popular cryptocurrency network as well as the unit of currency generated by the same network. Bitcoin behaves very much like any real currency you know. It can be used to purchase products and as payment for services (subject to acceptance), can be an investment tool, traded on the market among other things. A commonly used shorthand for bitcoin is ‘BTC’ (much like USD, EUR, etc.).
Bitcoin was the first truly decentralized electronic payment network. It has been a remarkable run for a currency that was only worth about $12 five years ago. Bitcoins were first produced in 2009 and took a long time to become an accepted holder of monetary value that could be swapped for real-world cash.
It is a first decentralized digital currency. Bitcoin first reached $1,000 in late-2013 and then dipped significantly before starting a volatile climb to its current value. The value of one bitcoin shot above $10,000 at the end of 2016 to over $10,267.90 as of 9:00 p.m. Tuesday evening.
Bitcoin has risen by more than 50% since October alone, taking off after developers agreed to cancel a technology update that threatened to split the digital currency. Even as analysts disagree on whether the largest cryptocurrency by market capitalization is truly an asset, its $167 billion value already exceeds that of about 95% of the S&P 500 Index members.
“This is a bubble and there is a lot of froth. This is going to be the biggest bubble of our lifetimes,” hedge fund manager Mike Novogratz said at a cryptocurrency conference Tuesday in New York.