The Crash of the Century – Bitcoin’s history since its inception by Satoshi Nakamoto has been anything but a long quiet river. It is difficult to assess the value of this incredible new form of totally decentralized currency, without intermediaries and resistant to censorship. His crazy price rises were often followed by sharp drops, and this from his early years.
June 2011: the end of Bitcoin’s first bull run
You have to go back almost 10 years ago to better understand the gradual decrease in the insane volatility of Bitcoin (BTC), and also to see its fantastic trend of exponential growth over the long term.
In May and especially June 2011 , the price of BTC suddenly started to soar . While the price had stagnated desperately for a long time between $ 1 and $ 2 per BTC , it quickly rose above 6, then 8, then 10 dollars, until it literally skyrocketed to 32 dollars a unit .
But a few days later, on June 18, 2011 , nothing is going well. It was the biggest price drop in Bitcoin history (in percentage terms). The price of BTC which had already come down well, around 18 dollars, experienced a flash crash that day which brought it for a moment to… 0.01 dollars!
A revival of madness: how to achieve +153,000% in 1 minute?
The smart ones of the time who would have had the chance to buy for example 1000 dollars of these bitcoins at 1 cent, during this short period of time, would have seen this sum turn into 1.53 million dollars!
Indeed, this ultra-sale price lasted so short that we do not even see it on most charts of this period: barely 2 or 3 minutes later, the price of BTC had already returned to around 15 , 30 dollars … Enough to become an express millionaire .
Bitcoin’s history shows that, despite its volatility from the start, its price has not stopped skyrocketing over the years.
A nice + 153,000% to be made on the price of BTC – Source: BitcoinChannel (YouTube)
You can relive the incredible thrill ride that Bitcoin was in the full video of this 2011 flash crash below.
This event reminds us that, even if some still consider Bitcoin’s volatility to be too high, it has never stopped falling since the creation of the cryptocurrency. Its growing adoption, which took its total valuation to $ 1 trillion recently, is proof of Bitcoin’s immense success. As soon as we take a step back, we can only note its irresistible rise over the years.