Bitcoin (BTC) price prediction 2020

A comprehensive guide to the factors that could influence Bitcoin’s value in the short, medium and long term.

Last updated:

The world’s best-known and most widely traded cryptocurrency, Bitcoin (BTC) made worldwide headlines in 2017 when it experienced phenomenal growth. Now, as awareness of cryptocurrencies continues to spread, traders and HODLers alike are hungry for accurate forecasts of where Bitcoin’s price is headed in the weeks, months and years ahead.

However, there are myriad factors that can influence the price of Bitcoin, so let’s take a closer look at what those factors are and what they could mean for Bitcoin’s value in the future.

Learn more Where to buy Bitcoin (BTC)

Disclaimer: This information should not be interpreted as an endorsement of cryptocurrency or any specific provider, service or offering. It is not a recommendation to trade.

Quick facts

Bitcoin

Coin nameBitcoin
SymbolBTC
Algorithm typeSHA-256
MineableYes
Launch date9 January 2009

Bitcoin price prediction

You’re probably be well aware that cryptocurrencies are highly volatile, and Bitcoin is no exception. The price of Bitcoin can rise of fall sharply in a short space of time, as influenced by a variety of factors. You’ll need to carefully consider all the issues that could potentially lead to growth or decline in the currency’s value.

If you’re thinking of buying Bitcoin, make sure you consider the following:

What could drive Bitcoin’s growth?

  • Limited supply. The total supply of Bitcoin is limited to 21 million, and there are around 18 million BTC already circulation. This is an important factor to consider when determining the supply/demand equation and the influence it could have on price.
  • Prestige and credibility. Mention the word “cryptocurrency” and the first word that comes to many minds will be Bitcoin. Launched in 2009, Bitcoin has been around a long time (in crypto terms) and is the most widely recognised digital currency.
  • Media hype. If Bitcoin goes on another price surge like it did in 2017, expect it to be extensively covered in the media. Positive media coverage can potentially lead to increased demand for a particular currency.
  • Ease of access. As the most popular cryptocurrency (in trading volume) in the world, Bitcoin can be traded on cryptocurrency exchanges all over the world. This makes it easy to access and also increases its credibility.
  • Increasing acceptance. If the number of businesses and service providers that accept Bitcoin as payment increases, this could increase demand for the currency. Increased interest from institutional investors, as hedge funds and other financial services providers start offering Bitcoin trading options, could also drive up demand.
  • Upcoming tech developments. There is a range of upcoming tech upgrades and proposals designed to overcome Bitcoin’s scalability issues. For example, the introduction of SegWit, designed to improve transaction times and lower fees, and the rollout of the Lightning Network, a relay network that aims to further reduce fees and speed up transaction times. If successful, this could vastly improve Bitcoin’s functionality.

What could hold Bitcoin back?

  • Scalability problems. Bitcoin has been criticised for its slow transaction times and high transaction fees, and there are concerns over whether Bitcoin will be competitive even with the Lightning Network.
  • Mining concerns. As Bitcoin mining becomes increasingly difficult and expensive, this could narrow the field of miners able to compete and centralise the process.
  • Market competition. The cryptocurrency market is becoming increasingly crowded as a wide variety of altcoins compete for market share. While many of those coins aren’t necessarily direct competitors for Bitcoin, they could still detract from Bitcoin’s overall market dominance.
  • Threat of increased regulation. Cryptocurrency is still in its infancy and there are regular media reports of governments around the world introducing tighter legislation targeting digital currencies. These announcements can have an impact on the price of Bitcoin – for example, Bitcoin’s value dropped almost 20% in January 2018 amidst rumours of a Chinese government crackdown on cryptocurrencies.
  • Negative news. While positive media stories can potentially drive values up, negative media stories, such as those reporting Bitcoin bubbles, can also have an effect on prices.
  • Lack of cryptocurrency adoption. Cryptocurrencies are yet to achieve widespread adoption. While there are plenty of projects working on bringing cryptos to the mainstream, a lack of acceptance of digital currencies across the board could potentially affect values.
  • Community disagreements. The governance of Bitcoin can also influence its price. For example, disagreements about changes or upgrades to Bitcoin’s underlying technology can cause infighting, potentially leading to hard forks like the one that created Bitcoin Cash (BCH) in August 2017.

Where to buy Bitcoin

Table: shows partner brands and other brands, sorted by popularity
Name Product Deposit methods Fiat Currencies Cryptocurrencies
Cryptocurrency
Bank transfer (SEPA)
SWIFT
Wire transfer
Faster Payments Service
GBP, EUR, USD

89
cryptocurrencies

BC Bitcoin is a UK-based cryptocurrency brokerage that buys and sells more than 100 different cryptocurrencies.
Credit card
Debit card
Neteller
PayPal
Wire transfer
Online banking
EUR, GBP, NZD, USD, AUD, CAD, HKD, SGD, CHF, NOK & 4+ more

17
cryptocurrencies

Disclaimer: Highly volatile investment product. Your capital is at risk. 66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Copy the trades of leading cryptocurrency investors on this unique social investment platform.
Electronic Funds Transfer
Bank transfer (SEPA)
Wire transfer
Ethana Custody
USD, EUR, GBP, JPY, CAD, CHF

32
cryptocurrencies

Buy, sell and trade a range of digital currencies on this high-liquidity exchange – suitable for beginners right through to advanced traders.

UK residents: In addition to normal crypto trading, Kraken offers margin lending. As this is a regulated activity which they are not authorised to offer in the UK, we advise you not to use this service. If you're interested in margin trading, see authorised providers.
Cryptocurrency

148
cryptocurrencies

Trade an extensive range of reputable coins on this world-renowned exchange, popular for its high liquidity and multi-language support.

UK residents: In addition to normal crypto trading, Binance offers margin lending. As this is a regulated activity which they are not authorised to offer in the UK, we advise you not to use this service. If you're interested in margin trading, see authorised providers.
Cash
Credit card
Debit card
Bank transfer (SEPA)
USD, EUR

8
cryptocurrencies

Buy coins like Bitcoin, Ethereum, Ripple, Litecoin and Bitcoin Cash with credit card.
Paybis Cryptocurrency Exchange
AdvCash
Credit card
Debit card
Neteller
Payeer
USD, EUR, GBP, CAD, JPY, AUD

9
cryptocurrencies

Buy Bitcoin and other popular cryptocurrencies with credit card or debit card on this digital cryptocurrency exchange.

US residents: Restricted in the following states - NY, CT, NM, WA, HI, AL, VT, FL, AK, NV.
Cash
Credit card
Cryptocurrency
PayPal
Western Union
DZD, XCD, ARS, AMD, AWG, AUD, AZN, BSD, BHD, BDT & 140+ more

1
cryptocurrency

Connect with bitcoin buyers and sellers through this peer-to-peer marketplace that accepts cash, credit and more than 300 other payment methods.
Credit card
Cryptocurrency
Neteller
Bank transfer (SEPA)
SOFORT
EUR, GBP, CHF, USD

34
cryptocurrencies

A European exchange which enables users to pay in EUR, GBP, CHF and USD through a variety of payment platforms.
Cryptocurrency
-

119
cryptocurrencies

Browse a variety of coin offerings in one of the largest multi-cryptocurrency exchanges and pay in cryptocurrency.
Bank transfer
Credit card
Debit card
GBP, EUR

4
cryptocurrencies

Buy and sell bitcoin in GBP or EUR with credit card, debit card and bank transfer payment options.
Bank transfer
NZD, GBP

2
cryptocurrencies

A cryptocurrency savings platform where users can deposit regular bank payments between 10 - 2,000 GBP to save BTC, ETH or XEM.
Binance Jersey Cryptocurrency Exchange
Bank transfer
Cryptocurrency
EUR, GBP

2
cryptocurrencies

Use your GBP or EUR to buy bitcoin and Ethereum through a platform launched by Binance.
Cryptopay Cryptocurrency Platform
Credit card
Cryptocurrency
Debit card
Bank transfer (SEPA)
GBP, EUR, USD

4
cryptocurrencies

Buy crypto with GBP, EUR or USD on Cryptopay, a platform with its own crypto prepaid debit card.
AdvCash
Cryptocurrency
Payeer
Perfect Money
Capitalist
USD, RUB

1419
cryptocurrencies

Pay in USD, RUB or trade crypto to crypto at this Russian-based cryptocurrency exchange with hundreds of coins listed.
Cryptocurrency
Express Polish Post Office 24/7
Wire transfer
GBP bank transfers
USD, EUR, PLN, GBP

35
cryptocurrencies

This Polish-based exchange offers a variety of accessible payment methods, including Express Polish Post Office 24/7 service and Express DotPay.
Credit card
Cryptocurrency
USD

387
cryptocurrencies

CoinSwitch allows you to compare and convert over 250 cryptocurrencies across all exchanges.
Credit card
Debit card
USD, EUR, GBP

115
cryptocurrencies

Access competitive crypto-to-crypto exchange rates for more than 35 cryptocurrencies on this global exchange.
Indacoin Cryptocurrency Exchange
Credit card
Debit card
USD, EUR, RUB

158
cryptocurrencies

Use your credit or debit card to buy bitcoin and other cryptocurrency without having to verify your identity.
Huobi Cryptocurrency Exchange
Cryptocurrency
GBP, USD, AUD, EUR, INR, BRL, KHR, CAD,CNY, NZD & 15+MORE

234
cryptocurrencies

Huobi is a digital currency exchange that allows its users to trade more than 190 cryptocurrency pairs.
Coinbase Pro
Bank transfer (ACH)
Bank transfer (SEPA)
Wire transfer
USD, EUR, GBP

26
cryptocurrencies

Formerly known as GDAX, Coinbase Pro is a US-based exchange which offers fiat currency payment options, including wire transfer, ACH bank transfer and SEPA.
Bitstamp Cryptocurrency Exchange
Credit card
Cryptocurrency
Debit card
Bank transfer (SEPA)
Wire transfer
USD, EUR

5
cryptocurrencies

A global cryptocurrency exchange that facilitates crypto to fiat transactions, where you can use EUR or USD to buy bitcoin and popular altcoins.
Bittrex Digital Currency Exchange
Cryptocurrency
Wire transfer
USD

236
cryptocurrencies

Buy from one of the largest cryptocurrency exchanges with a selection of over 190+ cryptocurrencies and 3 USD pairings.
Poloniex Digital Asset Exchange
Credit card
Cryptocurrency
Bank Wire
-

52
cryptocurrencies

Trade various coins through a global crypto to crypto exchange based in the US.
Gemini Cryptocurrency Exchange
Cryptocurrency
Wire transfer
Bank transfer (USA only)
USD

5
cryptocurrencies

Trade bitcoin, Ethereum and more at a US-based exchange where payments can be made in USD.
Bitit Cryptocurrency Marketplace
Cashlib
Credit card
Debit card
Neosurf
Bank transfer (SEPA)
EUR, USD, JPY, DKK, GBP, SEK, NOK, TRY & 5+ more

50
cryptocurrencies

Buy cryptocurrency with cash or credit card and get express delivery in as little as 10 minutes.
Bithumb Cryptocurrency Exchange
Cryptocurrency
Wire transfer
KRW

110
cryptocurrencies

A global platform where users can make KRW and cryptocurrency deposits to purchase up to 15 popular cryptocurrencies.
OKEx Cryptocurrency Exchange
Bank transfer
Cryptocurrency
WeChat
USD, CNY

146
cryptocurrencies

Listing over 100 cryptocurrencies, OKEx offers its users a variety of payment methods and coins to choose from.
ShapeShift Cryptocurrency Exchange
Cryptocurrency
-

51
cryptocurrencies

Quickly swap between more than 40 cryptocurrency assets or use your credit card to instantly buy bitcoin.

Compare up to 4 providers

What’s coming up in Bitcoin’s roadmap

Bitcoin is an open-source project and, as such, doesn’t have an official roadmap. However, there are a few key challenges and developments coming up for Bitcoin in the future.

One of the best-known is the Lightning Network. Currently in the testing stage, the Lightning Network is designed to solve Bitcoin’s problems of slow transaction speeds and high fees. A payment network layered on top of the Bitcoin blockchain, Lightning Network could potentially have a big influence on the usability of Bitcoin, but the exact effects it will have remain to be seen.

Bitcoin’s competition

The cryptocurrency sphere is crowded and becoming increasingly competitive all the time. If you’re thinking of buying Bitcoin, it’s important to be aware of the influences (both positive and negative) that the actions of competitors could have on the price of Bitcoin. Some of the main competitors to consider include:

  • Ethereum (ETH). Launched in 2014, Ethereum is a decentralised platform where developers can build and deploy applications. Ether is used to pay transaction fees and services, and at the time of writing (26/02/2018) was the second largest cryptocurrency by market capitalisation.
  • Ripple (XRP). Ripple offers both a payment network (RippleNet) and a cryptocurrency (XRP), and it aims to allow banks and payment providers to send fast and secure transactions around the world. It’s one of the top five cryptocurrencies in terms of market capitalisation, and you can find out more about how it stacks up in our Bitcoin vs Ripple comparison.
  • Bitcoin Cash (BCH). Created in August 2017 following a hard fork of Bitcoin, BCH is designed to offer faster and cheaper transactions than BTC. It has since cemented its place as one of the top 10 currencies by market capitalisation.
  • Dash (DASH). Built with a focus on fast and anonymous transactions, Dash is widely traded on a variety of cryptocurrency exchanges.
  • Litecoin (LTC). Commonly referred to as “the silver to Bitcoin’s gold”, Litecoin was founded in 2011 and designed to provide faster transactions than Bitcoin. It’s also one of the top 10 cryptocurrencies by market capitalisation at the time of writing.

Beyond 2020: What does the future hold for Bitcoin?

Cryptocurrencies are highly speculative, so any predictions of Bitcoin’s future value should always be taken with a very large grain of salt. That said, traders and crypto enthusiasts all around the world will be watching what happens to Bitcoin with a high level of interest.

As the best-known and most popular (in terms of trading volume) of all cryptocurrencies, Bitcoin has the enviable position of being the digital currency with the most credibility and widespread recognition. If cryptocurrencies can continue their push into the mainstream, Bitcoin is well placed to take advantage of any increased consumer demand.

However, it does face a few key threats. The biggest of those currently is the problem of scalability, which is one key area where some competing cryptocurrencies are well ahead of Bitcoin. While the Lightning Network is often held up as the key to solving this problem, there are concerns over whether the complications associated with the Lightning Network mean Bitcoin will still be functionally inferior to its faster competitors, even with it.

The threat of increased regulation of cryptocurrency markets by governments around the world should also not be underestimated, as regulatory changes could have a significant impact on Bitcoin’s value.

Happenings in the cryptocurrency industry itself can also impact prices, and has many times before. Exchange closures, new partnerships and the growing or shrinking acceptance of Bitcoin as a payment system can all affect prices.

The next 12 months promise to be a fascinating period as Bitcoin, and the cryptocurrency market as a whole, continues to mature.

Bottom line

If you’re considering buying Bitcoin (BTC), the most important points to remember are to do your research and to familiarise yourself with all the risks involved. Though this digital currency has delivered substantial returns to its early adopters, that’s no guarantee of future growth.

If cryptocurrencies can continue their push into the mainstream and achieve widespread acceptance, not only among consumers but also from governments around the world, this could mean good things for Bitcoin. And if the scalability issues facing the Bitcoin blockchain can be successfully overcome, there seems to be potential for future growth.

However, don’t forget that the cryptocurrency sphere is increasingly crowded, and Bitcoin is sure to face plenty of threats to its title as the world’s number-one cryptocurrency from a host of well-organised and professionally backed competitors. Watch this space to see how it all unfolds.


Images: Shutterstock

Disclaimer: Cryptocurrencies are speculative, complex and involve significant risks – they are highly volatile and sensitive to secondary activity. Performance is unpredictable and past performance is no guarantee of future performance. Consider your own circumstances, and obtain your own advice, before relying on this information. You should also verify the nature of any product or service (including its legal status and relevant regulatory requirements) and consult the relevant Regulators' websites before making any decision. Finder, or the author, may have holdings in the cryptocurrencies discussed.

Ask an Expert

You are about to post a question on finder.com:

  • Do not enter personal information (eg. surname, phone number, bank details) as your question will be made public
  • finder.com is a financial comparison and information service, not a bank or product provider
  • We cannot provide you with personal advice or recommendations
  • Your answer might already be waiting – check previous questions below to see if yours has already been asked

Finder.com provides guides and information on a range of products and services. Because our content is not financial advice, we suggest talking with a professional before you make any decision.

By submitting your comment or question, you agree to our Privacy and Cookies Policy and Terms of Use.

Questions and responses on finder.com are not provided, paid for or otherwise endorsed by any bank or brand. These banks and brands are not responsible for ensuring that comments are answered or accurate.
Go to site