Why Bitcoin’s “Network Effect” Will Continue Driving Its Price Significantly Higher

One of the most important drivers of value for any technology is its network effect.

Essentially, the more people who use the technology – the more that technology is worth.

The day Alexander Graham Bell invented the telephone in 1876 was a great day for mankind.

But, one phone by itself isn’t worth anything. What’s the point if you can’t call anybody else?

144 years later, there are more phones in the world than toothbrushes.

According to Statista, there are over 14 billion phones in the world. That’s almost two devices per person for the 7.8 billion population.

By 2024, that number of phones is expected to grow to 17.7 billion as the population is only expected to grow to 8.1 billion.

Needless to say, the value of the phone industry is worth a lot more than it was back in 1876… The telecommunications industry will generate about $2.2 trillion this year.

The Network Effect of the Computer & the Internet

The same thing happened with the technology that you’re using right now to read this story – the Internet.

The construction of the first computer started in 1943 and wasn’t finished until 1946 by J. Presper Eckert and John Mauchly at the University of Pennsylvania.

It occupied about 1,800 square feet and used about 18,000 vacuum tubes, weighing almost 50 tons (100,000 pounds).

While a great achievement at the time, the reality is – it wasn’t worth much by itself.

And with its sheer size alone, it certainly wasn’t practical for mass production and wide adoption

But thanks to technological innovation and Moore’s Law, the size of computer processors has reduced in half while the speed has doubled roughly every 18 months over the last eight decades.

And now, over 90% of the U.S. population has access to a computer.

A huge helping hand in the expansions of computers was the launch of the Internet in 1983. As its core, the Internet enables computers to speak to each other, like telephones.

In just 37 years, 4.7 billion people use computers, smartphones, tablets, or any device that connects to the Internet – which generates and estimated $2.1 trillion in GDP annually and is growing faster than telecommunications.

Essentially, it took 107 less years for the Internet to add the same value of phones… With less total devices and users.

Even though you can’t invest in the Internet itself, you can invest in Internet companies like Facebook (NASDAQ: FB), for example.

In 2006, Facebook only had 10 million users and was valued at $500 million.

Today, the company has 2.7 billion users and is valued at $818 billion.

That’s a 163,500% return for Mark Zuckerberg and early investors, meaning every $1,000 invested at the time would be worth $1,636,000.

The more people use the platform, the more that platform is worth.

And that’s what finally brings me to Bitcoin…

The Network Effect of Bitcoin

When Satoshi Nakamoto launched Bitcoin on January 3, 2009, hardly anybody else knew about it. It wasn’t worth anything.

The first time someone parted with “actual money” for Bitcoin was in October 2009, when an exchange called New Liberty Standard posted the price of one Bitcoin for $0.000994.

It was so cheap because there were only a couple hundred or thousand people actually using the Bitcoin network to exchange value at the time.

But today, an estimated 10 million people have $1,000 or more worth of Bitcoin.

And the value of each Bitcoin is approximately $18,500.

That’s a 1,861,166,902% return from the October 2009 price.

You don’t even want to know how much $1,000 of Bitcoin bought from New Liberty in October 2009 would be worth today…

Ok, it’s $18,611,669,020.

But instead of getting upset with ourselves that we don’t have $18.6 billion-plus dollars, let’s focus on what we can control now… which is understanding why Bitcoin is worth so much more today than it was in October 2009. And why it could be worth even more in the future…

The reason is simple – it’s the network effect! The more people who covert their inflationary fiat government currencies into Bitcoin to hold as an investment or a store of value, the more each unit of Bitcoin will be worth.

Earlier, we stated that the world population is 7.8 billion.

If you take the 10 million people with $1,000 or more in Bitcoin today and divide that by the 7.8 billion population, you can see that 99.87% of the world still DOES NOT own a significant amount of Bitcoin.

And that’s the most exciting part of this entire thing: WE’RE STILL SO EARLY.

Just imagine how much one Bitcoin will be worth when 1 billion people are using the network…

Think that’s unrealistic?

Remember, it only took Facebook 16 years to go from zero to 2.7 billion users and it’s still in the process of trying to introduce its own cryptocurrency to the world.

But what’s even more exciting is trying to predict which “altcoins” (or alternative coins / cryptocurrencies) could grow a billion percent or more.

You see, there are so many altcoins that are smaller than Bitcoin today.

Bitcoin’s market cap totals $345 billion today.

But there are approximately 7,906 altcoins with market caps under $1 billion that could outperform Bitcoin on a percentage basis over the course of the next bull run if their networks grow quicker than Bitcoin.

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They’re predicting these four altcoins will blow past the coveted 1,000% over the next 12 to 24 months.

And it’s all thanks to a massive technology upgrade called “The Awakening.”

Virtually every major corporation and government agency is investing billions to prepare for this Awakening.

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Matt and his partner have located four small altcoins that they predict will be the biggest winners from this technology upgrade.

And if you take a small stake right now, you may never have to worry about money again.

If you want to learn more about the Awakening and details on the four altcoins that could absolutely soar because of it…

Then watch this video.

P.S. If you watch the video all the way to the end, you’ll receive the name and ticker symbol to their favorite altcoin for free. Watch this recording while you still can.