The market can be volatile
Just as I was about to buy bitcoin, a series of revelations and news events shook its price.
The biggest came in February when the major trading exchange Mt. Gox suspended bitcoin withdrawals to address a technical issue. Mt. Gox had lost a significant number of bitcoins and questions arose about the management of Mt. Gox, which went offline on Feb. 25.
During this saga, bitcoin's value dropped from the $800 range to the $500 range. The same day Mt. Gox went offline, I bought my first bit of bitcoin.
Watching the price fluctuations of bitcoins can cause even seasoned investors to need antacids. In December 2013, the price jumped to around $1,200 before falling that same month to under $600.
So it was not much of a surprise that after briefly watching my bitcoin actually make a little money, it soon had lost a quarter of its value.