Bitcoin’s Value Rises Again Following Weeks of Phenomenal Price Decline

Updated on:
2198
Bitcoin currency rising
Bitcoin has just recovered from weeks of price woes. In a sudden twist of events, it appears that the popular cryptocurrency is again on the rise.

The year 2018 did not provide a good start for Bitcoin.

At the beginning of January, BTC exhibited a dramatic opening of a year that would prove tumultuous if the crypto price fluctuations are anything to go by.

BTC was treated to significant price lows in the second week of February, an aspect that echoed the high price volatility that typifies cryptocurrency markets.

During this time, BTC value was seen to fall from nearing $10,000 (USD) to around $6,000 in less than five days. However, the cryptocurrency appears to be on the recovery road, even though quite slowly.

Interestingly, as of February 16, BTC had managed to salvage itself from ruin by getting back towards the $10,000 mark. Values provided by the Coinbase exchange show that BTC was worth an impressive $9,850 in the afternoon, according to U.K. time.

The coin’s value has advanced forwards, by almost 2.4 percent the next day, and close to 16 percent in the same week. This is a significant improvement compared to the proportion of BTC price falls in January.

Your TOR usage is being watched

The month of January was not kind to Bitcoin, as the virtual coin experienced hard hits that would stem from investor anxiety. Individually, the markets were razed by fears that the crypto capital of the world, South Korea, was edging towards the creation of a ban to cease all manner of cryptocurrency trading.

BTC prices would then show a brief stabilization before diving after that.

Speculations drive the crypto industry, and governmental warnings go a long way in influencing the general health of crypto prices.

Apart from South Korea, India had come out in late 2017 to give warnings to investors about an impending governmental showdown that would pull the plug on the crypto trade.

This event would later be followed by the achievement of BTC’s record $19,783 price mark in December.

This occurrence led to mass investor excitement as people rushed to invest in a coin that has long been regarded as the standard of virtual currency in this era.

Nonetheless, as volatile as the markets get, Bitcoin has since swayed unpredictably, with dramatic lows and subsequent recuperations typically becoming the trend of the BTC affair.

The rapid plummets are attributable to worries surrounding the regulation of Bitcoin trading by select countries around the world.

Additionally, the implications of cryptocurrency involvement in illegal syndicates is another factor that has contributed to Bitcoin’s price woes.

Most investors fear that the crypto bubble will burst soon after various countries join the crypto-banning bandwagon that is thought to take root across the globe.

In all fairness, Bitcoin could be making a significant comeback. A substantial element of price volatility appears to be over, and a steady optimistic rise is predicted to happen for the next few weeks.

Will BTC Keep Rising or Fall Again in 2018?

Huge stack of cryptocurrenciesIt is believed that Bitcoin’s revitalization is the outcome of increased confidence by market players.

Bitcoin had suffered prolonged periods of negative publicity, with media outlets dismissing the virtual currency as another example of a bubble that is bound to disappear.

The crypto coin has since recovered from this ordeal and circumvented the long arm of international governments to ban the trading of cryptocurrencies and its subsequent integration into mainstream financial institutions.

In a new twist, some nations have exhibited a go-slow concerning their crackdown on cryptocurrencies. This can be seen as a welcome signal on a trade that had long been hit by damning allegations concerning the validity of using virtual money.

The government of the United States just recently, through congressional hearings, gave positive remarks concerning the cryptocurrency trade.

Through its financial parastatals, the testimonies exposed the fact that they were favorably disposed to the right thoughts about blockchain technology and cryptocurrencies.

The discussion amounted to a policy of minimal crypto regulation with the justification of supporting technological development.

Then on February 6, Bitcoin price rose up as expected. It reached the $7,800 mark and peaked at $8,500 the following day.

With the minimization of Bitcoin’s negative media coverage, the future is positive. The markets seem to have embarked on a period of consolidation that would advance the interests of crypto investments.

A combination of favorable media headlining and increased investor confidence will go a long way in promoting the value of Bitcoin.

Just How Much Confidence Do Crypto Investors Have?

A close analysis of sentiments borne by successful Bitcoin investors is enough to understand why the virtual coin has risen. This will also shed some light concerning their predictions of the cryptocurrency’s future.

One such example is the Winklevoss twins, fondly regarded as the Bitcoin moguls.

They have achieved a monumental scale of one of the most excellent Bitcoin portfolios, a factor that has rattled Silicon Valley and Wall Street.

The twins have been credited with being among the first essential investors to declare their stake, which runs into millions of dollars.

One of the twins, Cameron Winklevoss, has predicted Bitcoin’s bright future that would see its 40-fold growth, making the virtual coin a more valuable asset than gold.

In a CNBC interview, Cameron commented on the significance of Bitcoin as a looming giant that would conquer the financial might of other assets.

Notably, he claimed that Bitcoin bears better offerings in the context of the properties of money. The value of gold has been primarily determined by its scarcity in the market.

This stems from speculation surrounding its availability and the perceived value tagged on the asset by critical authorities.

These remarks reflect the gold narrative to the perceived success of the Bitcoin. Concerning this thought, Bitcoin’s supply is more fixed when compared to gold.

Bitcoin is obviously more portable, in the same taste, because it is transacted in cyberspace.

Furthermore, Cameron Winklevoss provides that Bitcoin’s durability is unmatched, and with the occurrence of advanced fungibility in markets.

Bitcoin is, therefore, equivalent to an enhanced form of gold that would appeal to various investors and institutions across the board.

Additionally, Gatecoin’s Thomas Glucksmann has provided his thoughts about the future of Bitcoin.

The marketing head of the Hong Kong-based cryptocurrency exchange declared in a Bloomberg interview that Bitcoin has been adversely undervalued.

In his view, the recent Bitcoin boom has shadowed the fact that the virtual coin presents tremendous potential in transforming the financial industry.

Glucksmann responded to questions surrounding possibilities of determining Bitcoin’s fair value by citing the long-term potential of digital technologies.

According to him, Bitcoin’s future is expected to possess large values that surpass the much-hyped $10,000 price mark. This aspect can be proven when analysts focus on the incremental Bitcoin values in a series of decades.

In his comments, Bitcoin’s divisibility would allow investors to transact peer-to-peer regardless of the number of Bitcoins owned by an individual vis-à-vis the US Dollar.

In a separate interview with CNBC, Glucksmann predicted that cryptocurrency prices might experience new dawn in 2018.

The subjection of cryptocurrency exchanges to regulatory recognition and the advancement of essential technologies will create a ripple effect in pushing the crypto prices skywards.

He insisted that Bitcoin, the most famous virtual currency, is bound to see monumental price highs this year.

Such values would see its rise to the $50,000 price mark, revolutionizing the cryptocurrency industry.

The Opposite “Side of the Coin”

The going has not been easy for Bitcoin. South Korea created strategies to regulate the trading of Bitcoin, and other cryptocurrencies, anonymously.

However, it has given clear indications that it has shelved the presumed plans to ban all forms of crypto trading totally.

Meanwhile, the British Prime Minister acknowledged in the first month of 2018 her government’s consideration to regulate the trading of digital currencies.

According to Theresa May’s statement, the crypto trade’s negative perception stems from the manner in which virtual coins are used.

Serious concerns raise the question of whether Bitcoin has created a malignant bubble that would burst catastrophically. Various financial pundits have advised prospective investors against falling for the “Bitcoin hype” that has always seemed to crescendo.

In this light, they warn people about getting involved in Bitcoin and ending in the hands of career scammers. Bitcoin transactions are currently irreversible, which makes cryptocurrency investors become vulnerable to cybercriminals.

Darryn Pollock, a writer with CoinTelegraph, has warned people against getting greedy with Bitcoin. He opines that Bitcoin offers no haven to individuals that are out to make easy money.

In this regard, the cryptocurrency does not promise people the magic of being converted to millionaires overnight.

According to Pollock, Bitcoin is not a good investment option when compared to the stock market.

This aspect concerns the considerations made by investors when choosing options that would guarantee long-term value appreciation. In layman’s terms, having an X amount of Bitcoin today does not give the promise that one will have more Bitcoins in future; ditto for the cash flow.

While these concerns are weighty, the consensus is that cryptocurrencies are not entirely evil after all.

The recent events have just shown how occurrences may change drastically in favor of investors.

Cherry Pepper

Research is my comfort zone. I constantly hunger for knowledge, and believe that I bear the calling to communicate the products of my thought processes to individuals like myself. While many people believe in the adage "knowledge is power", I assert that enlightenment means life.
Write for us

Disclaimer:

The articles and content found on Dark Web News are for general information purposes only and are not intended to solicit illegal activity or constitute legal advice. Using drugs is harmful to your health and can cause serious problems including death and imprisonment, and any treatment should not be undertaken without medical supervision.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

This site uses Akismet to reduce spam. Learn how your comment data is processed.