Bitcoin Price in 2014: A Detailed Analysis in AUD

Introduction
Bitcoin, the first and most well-known cryptocurrency, has gone through a fascinating journey since its inception in 2009. The year 2014 was a pivotal year for Bitcoin, marked by significant events, price fluctuations, and growing mainstream awareness. This article delves into the price trends of Bitcoin throughout 2014, focusing on its value in Australian Dollars (AUD). We will explore key factors influencing Bitcoin’s price, major events during the year, and a detailed month-by-month analysis of its performance in AUD.

Understanding Bitcoin’s Market in 2014
2014 was a year of both optimism and challenges for Bitcoin. The cryptocurrency had just experienced a dramatic rise in value during the latter half of 2013, reaching an all-time high of over USD 1,000. However, 2014 was marked by the infamous collapse of Mt. Gox, one of the largest Bitcoin exchanges at the time, leading to significant price volatility. The market was still in its nascent stage, with a limited number of exchanges, low liquidity, and a growing, yet still relatively small, user base.

Major Events Impacting Bitcoin in 2014
Several key events in 2014 had a profound impact on Bitcoin’s price. These include the Mt. Gox collapse, regulatory developments, and increasing mainstream interest.

1. Mt. Gox Collapse: In February 2014, Mt. Gox, then the largest Bitcoin exchange, suspended trading, closed its website, and filed for bankruptcy. This event caused a significant drop in Bitcoin’s price, as many users lost their funds. The collapse highlighted the risks associated with centralized exchanges and led to a temporary loss of confidence in Bitcoin.

2. Regulatory Developments: Throughout 2014, various governments began to explore regulatory frameworks for cryptocurrencies. While some countries took a cautious approach, others, like Japan, started to recognize Bitcoin as a legitimate form of currency. These developments created uncertainty in the market, leading to price fluctuations.

3. Mainstream Adoption: Despite the challenges, Bitcoin saw growing interest from mainstream companies and the general public. Companies like Overstock.com began accepting Bitcoin as a payment method, and more individuals started exploring the potential of cryptocurrencies. This increased awareness and adoption provided some support to Bitcoin’s price.

Bitcoin Price in AUD: A Month-by-Month Analysis
To provide a comprehensive view of Bitcoin’s price in 2014, we will examine its performance on a monthly basis. The prices are converted to AUD for Australian readers.

January 2014
Bitcoin started the year with a price of approximately AUD 890. The market was still riding the wave of the late 2013 surge. However, as the month progressed, concerns over the sustainability of such high prices began to emerge.

• Opening Price: AUD 890
• Closing Price: AUD 950
• High: AUD 1,020
• Low: AUD 850

February 2014
February was a tumultuous month for Bitcoin due to the Mt. Gox incident. The exchange’s collapse led to a sharp decline in Bitcoin’s value, shaking investor confidence.

• Opening Price: AUD 950
• Closing Price: AUD 670
• High: AUD 970
• Low: AUD 650

March 2014
In the aftermath of the Mt. Gox collapse, Bitcoin’s price remained volatile. The market was trying to find stability, but the uncertainty continued to weigh on prices.

• Opening Price: AUD 670
• Closing Price: AUD 730
• High: AUD 780
• Low: AUD 620

April 2014
April saw a slight recovery in Bitcoin’s price as the market began to digest the impact of Mt. Gox’s collapse. There was a cautious optimism as new exchanges and services emerged to fill the void left by Mt. Gox.

• Opening Price: AUD 730
• Closing Price: AUD 710
• High: AUD 750
• Low: AUD 680

May 2014
May was relatively stable compared to the previous months. The market started to show signs of recovery, although it was still far from the highs of late 2013.

• Opening Price: AUD 710
• Closing Price: AUD 690
• High: AUD 720
• Low: AUD 660

June 2014
In June, Bitcoin’s price continued to hover around the AUD 700 mark. The market was in a consolidation phase, with no major events causing significant price movements.

• Opening Price: AUD 690
• Closing Price: AUD 730
• High: AUD 740
• Low: AUD 670

July 2014
July saw a renewed interest in Bitcoin, with prices gradually increasing. The market seemed to be regaining confidence, albeit slowly.

• Opening Price: AUD 730
• Closing Price: AUD 760
• High: AUD 770
• Low: AUD 710

August 2014
In August, Bitcoin’s price showed a slight decline, as the market experienced low trading volumes and minimal activity.

• Opening Price: AUD 760
• Closing Price: AUD 740
• High: AUD 780
• Low: AUD 720

September 2014
September was another month of relative stability for Bitcoin. The market was characterized by low volatility and a steady trading range.

• Opening Price: AUD 740
• Closing Price: AUD 750
• High: AUD 770
• Low: AUD 730

October 2014
October saw a slight uptick in Bitcoin’s price, as more positive news surrounding the cryptocurrency emerged. Regulatory clarity and increasing adoption continued to provide support.

• Opening Price: AUD 750
• Closing Price: AUD 780
• High: AUD 790
• Low: AUD 740

November 2014
November was marked by a sudden drop in Bitcoin’s price, likely due to profit-taking and general market fatigue.

• Opening Price: AUD 780
• Closing Price: AUD 700
• High: AUD 790
• Low: AUD 690

December 2014
December closed the year on a relatively low note, with Bitcoin struggling to regain its earlier momentum. However, the market remained optimistic about the future of cryptocurrencies.

• Opening Price: AUD 700
• Closing Price: AUD 720
• High: AUD 750
• Low: AUD 680

Conclusion
The year 2014 was a roller-coaster ride for Bitcoin, with significant highs and lows. The collapse of Mt. Gox was a major blow to the market, but it also led to important lessons and the eventual strengthening of the cryptocurrency ecosystem. Despite the challenges, Bitcoin showed resilience, and by the end of the year, it had begun to stabilize, paving the way for future growth.

Looking forward, the events of 2014 played a crucial role in shaping the future of Bitcoin and the broader cryptocurrency market. It highlighted the importance of secure and reliable exchanges, the need for regulatory clarity, and the potential for mainstream adoption. As Bitcoin continued to evolve, the lessons learned in 2014 would prove invaluable for its journey towards becoming a more established and widely accepted form of digital currency.