Bitcoin, Cryptocurrencies Bouncing Back?
Near the end of 2017, the cryptocurrency market was riding high. The price of Bitcoin had reached nearly $20,000 and new investors were flooding into the space. Unfortunately 2018 has been far less kind to crypto, with Bitcoin in particular falling from that $20k highpoint back down to the $7,000 range. However, as the Independent notes, the past 24 hours have given enthusiasts a glimmer of hope as signs of a potential bounce-back have started to show themselves.
Today the price of Bitcoin has surged $500 on its way past $8,500. That increase is actually modest compared to other coins, which saw gains between 10 and 20% in the same timeframe. More specifically, Ethureum added 10% to its market cap while Ripple gained 19% and Bitcoin Cash — a fork of Bitcoin that debuted in August of last year — climbed 15%.
So could this be the start of the next crypto boom? Smart Valor CEO Olga Feldmeier seems to think so, telling the Independent, “I believe that we will see a comeback to the height achieved at the end of 2017 this year.” She went on to say, “Over the next two years I still predict we could see it reach a value of $100,000.” Meanwhile noted investor Tim Draper, who has a fairly impressive track record when it comes to crypto, has suggested that Bitcoin could reach a whopping $250,000 by 2022.
While today’s rally might be welcome news for crypto HODLs, there are still a number of issues the space will have to contend with. For one the sudden rise and equally as quick fall of Bitcoin and other currencies has only helped to attract the attention of regulators, with new calls for action becoming a fairly regular occurrence. Additionally, as we’ve discussed before, some banks have taken to charging cash advance fees on customers using cards to purchase crypto. That said, at the same time, features like the recently-rolled out Robin Crypto as well as the Coinbase exchange and their suite of tools, are making cryptocurrency investments more accessible and demystifying them to the general public overall. As a result there are still plenty of reasons to be bullish on Bitcoin et al. — even if it’s sure to be a bumpy ride.
Also published on Medium.