The world’s leading cryptocurrency bitcoin had quite a rough last year. Back in December of 2017, the asset was almost touching the $20,000 mark and the entire financial market had its eyes fixated on it. But as things unfolded, the asset stumbled a lot. After falling down continuously in the past months with a few peaks here and there, bitcoin is currently floating around the price of $3,800 at the time of writing (as per www.coinmarketcap.com).
Extreme volatility has been shown by bitcoin. One day, the market is seen going up and the very next morning, the entire crypto world is down on its knees. Back in October this year, the asset started to show some mature behavior as it lingered around in the range of $6,000s for quite some time. Improved stability started to shift the negative connotation associated with bitcoin towards the positive side. But as the praise was going on, the asset immediately took the road downward.
Recently, BlockPublisher got in touch with a cryptoanalyst, Eric Thies. Eric pointed out that we might see one more impulse down in the crypto world. He shared his opinion that bitcoin might be hitting the low of $2,500 and ethereum (ETH) might go towards the $50 mark. This news surely does not come off as good for the investors in this game.
As the asset came down from $6,000s to the lower $3,000s, many investors lost a large amount of money. A further delay will worsen up the situation. The general trust among the public regarding bitcoin is also likely to drop even further if the asset comes further down.
The kind of volatile behavior being shown by bitcoin is the reason why the asset has not gotten the kind of attention it should have gotten from the institutions. A large amount of institutional money is sitting on the sidelines owing to the issues that are associated with bitcoin at the moment. Once these issues such as volatility, liquidity, custody, manipulation etc. are handled on an official level, it is likely that the asset will gain more adoption among the institutions and the general public. As a result, the price of the asset will be likely to rise.
But for now, let’s see if the asset is able to pull itself out of the chaos it is currently engulfed in.