Why Bitcoin Is So Expensive: 5 Reasons

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On August 14, 2025, the most capitalized cryptocurrency, Bitcoin, updated its absolute maximum at $124,457. Afterwards, the coin rate adjusted, but many still cannot buy even 1 BTC

While renowned analysts are waiting for the crypto market to continue growing, we will tell you why Bitcoin is so expensive.

1. Not like regular money

The first metal coins appeared in Lydia, which was located on the territory of modern Turkey, in the 7th century BC. The first paper bills date back to the 9th century. They began to be made in China. However, the principle of monetary relations itself appeared even earlier.

Over time, a universal scheme has developed: the government is responsible for issuing money and controls its circulation. In the 21st century, regulators' complete control over the traditional financial system has become a problem. Central banks can print money without control, to please the interests of the government, thereby devaluing the national currency. And money holders cannot influence the process in any way. They are forced to put up with the devaluation of money. The first cryptocurrency, Bitcoin, became a solution to the problem.

BTC has no single control center. The rules of the network are written in advance in the code and cannot be changed. Regulators have no power over Bitcoin, which means the first cryptocurrency has become truly people's money.

2. Limited issue

A total of 21 million bitcoins will be mined. The cryptocurrency emission is written in the code and there is no way to change the rules. Therefore, BTC investors can be sure that the value of the asset will not decrease due to the uncontrolled issue of new coins.

Bitcoins in circulation and changes in the value of cryptocurrency. Source: blockchain

3. Decentralization

The lack of a single control center protects the project from regulators. They simply have no one to bring charges against. Bitcoin's developer is an anonymous Satoshi Nakamoto. Where he is and even whether he is alive is unknown.

The cryptocurrency network is maintained by miners scattered across the planet. It is physically impossible to find and “neutralize” each one. This is how the project remains independent.

Geography of Bitcoin nodes. Source: newhedge

4. Proven effectiveness

The concept of Bitcoin was presented in 2008, and the first coin was mined in 2009. The cryptocurrency has come a long way from a payment instrument for darknet marketplaces to the US national crypto reserve. The most vivid evidence of Bitcoin's effectiveness as an investment is its profitability data:

Bitcoin's 9-Year Return. Source: CoinDance

5. Interest of authorities and large investors

In 2021, El Salvador made Bitcoin its national currency, along with the US dollar. Later, America announced the formation of a national crypto reserve with BTC at the helm. The interest in crypto from the authorities legitimized the new financial instrument.

The cryptocurrency has attracted interest from institutional investors amid the launch of Bitcoin spot ETFs in the US, bringing in another wave of buyers.

At the time of writing, about 18% of the total BTC emission is blocked under ETFs, in country reserves, in public and private companies, as well as mining organizations and DeFi projects. Stable interest in the cryptocurrency forms the basis for continued growth of its rate.

Who has how many bitcoins. Source: bitbo

Let's sum it up: why is bitcoin so expensive

Bitcoin is a rare and regulator-independent asset that has proven its effectiveness. Over time, the cryptocurrency has gained legitimacy through the recognition of its strength by governments.

BTC deficit will increase. It is written in the code. And the rarer the asset, the higher its value. That is why Bitcoin is so expensive.

Source: cryptonews.net

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