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Why $20,000 Bitcoin Matters

Validation. Psychology. FOMO. NLW looks at why today’s price achievement marks a turning point in bitcoin’s history.

Updated Sep 14, 2021, 10:44 a.m. Published Dec 16, 2020, 4:05 p.m. 1 min read

Validation. Psychology. FOMO. NLW looks at why today’s price achievement marks a turning point in bitcoin’s history.

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This episode is sponsored by Crypto.com and Nexo.io.

After weeks of flirting with all-time highs, bitcoin has broken through the most significant psychological barrier: $20,000.

In today’s episode of The Breakdown, NLW looks at why the moment is so significant, arguing:

Bitcoin is an incentive design system where price drives more benefits than financial gain
The validation of retail traders and more recent institutional investors creates an even stronger group of evangelists
The psychological price barrier is likely to increase FOMO among those on the sidelines

Note: The views expressed in this column are those of the author and do not necessarily reflect those of CoinDesk, Inc. or its owners and affiliates.

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