Understanding conditions which would lead to Bitcoin rise in 2018.
Assuming that you are very new to the cryptocurrencies. Let me explain the very basics of the cryptocurrencies, blockchain technology, along with Bitcoin. The cryptocurrencies are nothing but a digital form of currencies which are secured through the Cryptographic principles. The Blockchain technology fuels the cryptocurrencies, as they are based on the Blockchain technology itself. Bitcoin was the very first cryptocurrency put forth before the citizens by an anonymous group of people, who termed themselves as Satoshi Nakamoto. He is also the most controversial figures in the crypto space. Developed in 2009, Bitcoin was not that famous until 2017. When the world experienced an explosion in the Bitcoin prices, it was then that the experts predicted it’s future acceptance.
Bitcoin is nothing but a peer-to-peer electronic cash system and there is no physical currency available. It can be used to pay for a product or service just like any other currency. Realise it, like using a bank credit card where we actually don’t physically use Money but the balances are simply updated on both the sending and the receiving end. Unlike the conventional fiat currencies, Bitcoin has a fixed market supply of around 21 million coins only, which are made available through a process of complex and Brute Force computations, known as Mining. Solving the Blocks means, adding a block into the network, which results in a reward, to the node undertaking the process, in the form of Bitcoins.
Is Bitcoin a Bubble?
The whole cryptocurrency space is considered to be a bubble or a Ponzi scheme by some of the most prominent investors of the current time. therefore, one must need to know why it is considered so. The price fluctuations in Bitcoin is one of the precise reasons for it to be labelled with such terms. The cryptocurrency market is solely driven by the market forces of demand and supply. It is worth mentioning that the cryptocurrencies are not backed by any form of financial asset. In other words, the value of Bitcoin is only due to its widespread acceptance and belief among its users. Hence we observe very high amounts of fluctuations in the Crypto space. However to gain better comparison, the in the traditional stock market there is absolutely no fluctuation of more than 5% in a single day, but in the cryptocurrency market, it is very common for a 10 to 20 % price fluctuations.
Will the Bitcoin rise in 2018 again?
In December 2017 Bitcoin had gained a lot of momentum and the cryptocurrency reached pinnacles when the price of the cryptocurrency was hovering around $20,000. This Bitcoin price at the end of 2017 has led to the industry experts and professionals to predict that a similar kind of bullish trend aka bitcoin rise in 2018 again that we would experience by the end of the year.
We would witness a Bitcoin rise in 2018 says the predicted who had predicted last year’s boom
Kay Van-Petersen is one of the well-known cryptocurrency market predictors. He had most precisely predicted the Bitcoin rise and falls throughout the year 2017 on a consistent basis. He further predicts a Bitcoin rise in 2018 as well. He clarifies that Bitcoin will touch the $50,000 and the $100,000 mark by the end of 2017. The optimism for Bitcoin rise in 2018 seems to be very similar to the Bitcoin rise of 2017.
Practical conditions which might support the Bitcoin rise in 2018
The initiation of Bitcoin futures by two of the most preeminent stock exchanges of Chicago Mercantile Exchange (CME) and the Chicago Board Options Exchange (CBOE), is being pointed to, by some of the industry professionals, as a strong reason for the Bitcoin rise in 2018. They would strongly support the Bitcoin rise in 2018, as they have opened up opportunities for the masses of people who were highly scared of the cryptocurrency’s unregulated state. As the proposal was given a green signal by the Commodity Futures and Trading Commission (CFTC), it is invariably completely regulated in nature. Hence the enthusiasts who had missed the crypto wave last year could join the bandwagon now to make huge amounts of profits in Bitcoin rise in 2018.