By Bitcoin is a financial asset with a floating price that bases on supply/demand principle. Thus, its value in USD terms will both rise and fall on a constant basis during 2019 and beyond. If you ask whether Bitcoin will end the year higher or lower than the first day of January or than today, then it’s difficult to predict it, especially when its price has stabilized compared to 2017 and the first half of 2018.
If you check the chart above, you can see that the price of Bitcoin has been way more stable in the last few months as it shows less volatility. Some would say that it’s because the cryptocurrency market has matured, others would point out to the increased volume and the interest from institutional investors. At the moment, Bitcoin is hardly moving in a distinguishable trend, so it’s difficult to know where it will go next. For me, there is a 50/50 chance for both outcomes – the largest cryptocurrency can end this year either below or above the current level with the same success.
Even though the crypto market has moved away from its record highs, Bitcoin and the rest of the coin are still quite sensitive to any fundamental data, like government decisions, major news, etc. Most of these are quite unexpected for the market, and they are capable of moving the price in one or another direction, depending on the nature of the news/event. We are still waiting to see the effect of Bakkt – the Bitcoin futures trading platform backed by ICE, the parent company of the New York Stock Exchange (NYSE). The platform should have been launched last year, but the team behind it has postponed the launch on more occasions, probably waiting for the right moment.
Zhao Dong, a Bitcoin trader and a Chinese billionaire, believes that now it is the right time to buy Bitcoin because of the current market correction. Thus, he believes the cryptocurrency will end this year at a much higher price. He recently told Forbes:
“For most people, if they don’t pay attention to bitcoin now, they won’t pay much attention to most of the time, so for them, only how many tens of thousands of bitcoins will break them will be noticed again,” Zhao reportedly said. “If you and I believe in the future of bitcoin, so it is best to hold as much as possible when nobody cares.”
”https://www.forbes.com/sites/billybambrough/2019/02/13/bitcoin-price-bottom-a-chinese-billionaire-thinks-its-time-to-buy-bitcoin/#44d1d3291f8f
According to Zhao’s prediction, we might see Bitcoin trading at around $50,000 by 2021. However, the bullish trend might become more visible after 2019.
Jack Dorsey, CEO of Twitter and payment processor Square is also confident in Bitcoin. He recently reiterated his prediction that BTC would probably become the Internet’s native currency. It’s because Bitcoin has gone through a lot of tests these years and has great principles.
On the other side, there are the bears who believe that Bitcoin should go below $2,000 before it attempts another long-term uptrend.
While I see 50/50 chance for both outcomes, I feel that Bitcoin will enter the New Year above the current price at $3,640.
To see more from Min Park – Check out Krown.io
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