Bitcoin has again become the talk of the town as its price has surged past the mighty $7,000 mark and at the time of writing, it is standing at around $8,046 after showing a -0.73% change in price in the past 24 hours. A strong bullish trend has set in since bitcoin flipped its behavior from bear to bull at the start of the last month.
I honestly didn’t think $BTC was going to breach 7k this fast, my target for a top before a pullback was around 6.4k. Flat or longs was my play, no shorts.
Everyone holding BTC & not trading rn must be very pleased, I know my mum is.
Happy Mother’s Day with your 2x lol.
— Hurricane (@canetrades) May 12, 2019
The strong upward trend shown by bitcoin’s price is possibly linked to the overall positive sentiment that has been developed around it in the recent past. Just recently, it was announced by one of the biggest names in the “Wall Street World”, Fidelity Investments, that it will be adding bitcoin trading to its institutional investment services. An online investment service also started offering stimulated bitcoin trading through NASDAQ around the same time, developing a more favorable ecosystem for bitcoin adoption.
Right now, it seems that the general sentiment that was being built around bitcoin by statements originating from people like Jack Dorsey (Twitter CEO), John McAfee and many other hard-hitters in the tech and finance world is finally showing its true colors. Despite the notorious hack on Binance that took place a few days ago, investors and traders are not stepping back from investing in the digital asset.
There have been many price predictions floating around regarding the asset. While crypto permabulls are extremely hopeful of the world’s biggest cryptocurrency, people like Warren Buffett dismiss it outrightly. But bitcoin has maintained its hold against the centuries-old banking system despite being just over a decade old. If John McAfee, a renowned cryptocurrency bull and cybersecurity expert, is to be believed for bitcoin’s long-term price in the coming years, bitcoin is likely going to cross a million dollars in the coming time. As the price spiked yesterday abruptly, here’s what John said in a tweet:
And now for a commercial break. Bitcoin is well on its way to $7,000. If this growth rate continued (it will not), Bitcoin would be over $4 million by the end of 2020.
Previously, John also said in a podcast interview with Anthony Pompliano who is the co-founder Morgan Creek Digital:
I don’t care if it’s a penny today, it’s going to be 2 million dollars very soon…What’s happening in the market has nothing to do with the reality of its value.
So for the long-term, the price that one can assume being targeted by crypto bulls is around a million dollars, or even more. Now comes the point of medium-term price expectation. Where do the crypto experts see its price by the end of the year? Here’s what some experts had to say about bitcoin’s year-end price as BlockPublisher got in touch with them last month.
“I believe the bull market has kicked in in the crypto space and the price of bitcoin will finish the year around $10,000.” – Henry Stanley, Chief Executive Officer ICOAxiom.
After a long bear market, we will see some life come back on the heels of increasing regulatory certainty and adoption. At year’s end, I see bitcoin at $8,200.” – Kyle Asman, Co-founder and Partner at BX3 Capital
CEO and Founder of Mycro, André Bruckman, even went as far as to predict the $50,000 mark as a possibility by this year’s end. He said:
The industry is bigger than ever, it is more professional, more serious and the image has improved. The next run will come and this time it will be more intense than ever. BTC represents the whole industry and I am very bullish on it. I think there will be another correction and from there I see $50,000 as possible in 2019.
Now comes the aspect of short-term prediction and price expectations. Where are we heading immediately from here onwards? The crypto Twitter community is rife with traders offering their insights about where bitcoin might turn its direction next. Here is some analysis from the crypto community itself.
— tehMoonwalkeR (@tehMoonwalkeR) May 12, 2019
— Lunar Express 🚀 (@AskLunarExpress) May 12, 2019
Uncertainty surrounds the bitcoin world to the core. The price of bitcoin is merely based on speculation, that is, people believe it is worth something without any actual physical backing. Speculation is the prime feature that drives bitcoin’s price up and down. The FOMO (fear of missing out) associated with bitcoin is also pretty big as it hurls the general public towards it with expectations of getting quick benefits.
Bitcoin’s price almost rose to $20,000 in December of 2017 and it resulted in a lot of investors becoming “bitcoin millionaires”. Although the subsequent bear run saw a huge amount of investment money go down the drain, no investor wants to miss out if a run like that ever happens again. That is why bitcoin’s price is the center of attention in the crypto world. As soon as some bullish activity is seen, people tend to step on the bandwagon with hopes of making a quick buck. Everyone is just looking for that next tide to ride on.
All in all, the only thing that is certain about bitcoin is uncertainty and price volatility. But as a positive sentiment is being established due to the advancements that are being made in both the legislative and the technological areas, it seems that the asset is headed towards more general and institutional adoption in the future. Efforts are being made to cut out the negative activities associated with bitcoin and to build a more trustworthy fabric for institutional investors. The current spike is also possibly a result of the positive sentiment that has been built around it over time. It will be interesting to see where things end up from here on for the entity — bitcoin — that has challenged the global banking system.