At the time of writing, the world’s biggest cryptocurrency in terms of market capitalization, bitcoin, is floating around the price of $3,874 as per www.coinmarketcap.com. BTC price is on a recovery road after seeing its lows in the bottom region of $3,000s and is once again closing in on the $4K mark. But is this what we should look forward to? Here’s what you need to know.
2019 is most likely expected to be the year of crypto developments. Up until now, it has largely been a wild ride for the crypto world. As time passes by, the involvement by the governmental bodies in the crypto game is expected to increase and as a result of more official involvement, there are some crucial developments up ahead that might change the course of bitcoin moving forward ultimately affecting its price.
Moving into 2019, one of the major points of attention for people involved in the crypto world will be the establishment of an exchange-traded fund (ETF). A bitcoin ETF will likely help bring more institutional investment in this game and as a result of an increased money inflow, the price of bitcoin might get a boost. If trust is established regarding cryptos among institutions, the crypto world will likely see more wide scale incorporation in the traditional fiat framework. As of now, the regulatory body in charge of this, the United States Securities and Exchange Commission (SEC), has not yet approved a crypto-linked ETF. So, this is one thing to look out for regarding bitcoin’s price.
Second development to watch out for is the establishment of platforms like Bakkt. Bakkt is aiming to provide organizations, institutions, merchants, and consumers across the world with a trusted and secure fabric to spend, sell, buy and store cryptocurrencies. Companies like Starbucks are already showing interest in the prospects that are offered by Bakkt. These are the kind of platforms that will help cryptos gain adoption among the general public. Since people will get more opportunities to interact with cryptos, this will help the crypto world get more developed and mature. Bitcoin might also get a boost in its price owing to this.
Third and one of the most important developments to look out for is regulatory clarity. Acceptance of bitcoin on a governmental level has not yet been seen across the world. But as the countries start to see the prospects offered by this nascent world, we will probably see more acceptance and regulations. Now, these regulations might prove to be beneficial for the world of cryptos as they will help remove the illegal and manipulative activities present in it. With illegal activities mitigated, trust among the public regarding digital assets will increase.
Price seems to be dependent on the utility that an asset brings. With these developments made, the bitcoin price is expected to rise. But for now, let’s see how much longer bitcoin is able to stretch its current recovery path.