Bitcoin primarily topped $19,000 in December 2017 before crashing spectacularly to around $3,200 a year later on. But long-term buy and then hold bitcoin bulls, or HODLers as they are widely known around crypto circles, are experiencing the final laugh.

That is because the price of one bitcoin (XBT) topped over $40,000 Thursday — double the value from a bit more than three years back. Charges later slid back to around $38,000.
The value of all bitcoins in circulation is currently over $740 billion and the total value for all cryptocurrencies is more than one dolars trillion, according to CoinMarketCap.
Investors have flocked to bitcoin in recent months as the cryptocurrency went mainstream.

Square (SQ) and PayPal (PYPL)now let their users purchase as well as advertise bitcoin. Leading money managers like Paul Tudor Jones, Stanley Druckenmiller — and much more recently, Anthony Scaramucci — have embraced it.

Software firm MicroStrategy (MSTR) is now holding bitcoin on its balance sheet. Along with a premier exec at BlackRock (BLK), the world’s largest asset manager, recently claimed bitcoin it’s essentially a brand new, digital gold — an asset that could hold up well during times of dollar weakness and rising inflation.

“It’s not surprising to see bitcoin’s recent run up. It’s encouraging to find more serious consideration of bitcoin and the digital currency asset class broadly, since it’s real potential to reshape global finance as we know it,” said Michael Sonnenshein, CEO of Grayscale Investments, the world’s biggest crypto asset manager, in a contact to CNN Business.

Bitcoin's bubble could very well burst, warns Anthony Scaramucci. But he's still a mega-bull
Bitcoin’s bubble could very well burst, warns Anthony Scaramucci. Though he’s nonetheless a mega-bull
The bitcoin boom has gone into overdrive this week, with prices soaring nearly 25 % in just the past five days, pressing the cryptocurency past several milestone levels.

That’s increasing alarm bells even with some bitcoin bulls.
“Market players are adopting bitcoin to hedge against instability. But while additional development is inevitable, investors should not expect this to move in a straight line,” said Gavin Smith, CEO of Panxora Group, a cryptocurrency consortium, in an email to CNN Business.

Smith added that bitcoin rates can crash by twenty five % at times and that the cryptocurrency shouldn’t be considered a “magic money tree.”
Bitcoin prices could plunge even more than 25 %, warns Alex Mashinsky, CEO and founder of Celsius Network, a crypto resource supervisor.

“Sooner or even later, the bears are going to accumulate plenty of pressure to see a correction,” Mashinsky said in a contact to CNN Business, adding that bitcoin rates might fall all the way back to $16,000 before the end of the very first quarter.
“This will flush the weak hands and transport the baton with all their BTC from the short term speculators to the future institutions and HODLers,” he added.