Opinions

Bitcoin Sails Into December Floating Above $4200

The year 2018 began with crypto experts estimating that the prices of various cryptocurrencies would depend on the value of Bitcoin. Bitcoin seems to be following a trend in which usually its value inflates during the fall and winter period and hence the same was expected of Bitcoin this time of the year. In November crypto markets experienced an increase in values but the spike was very short lived as all of the leading twenty cryptocurrencies faced losses ranging from 4 to 10 percent, by the end of November as was reported by Coin360 on November 30.

But in recent a turn of events, which was already expected, crypto markets underwent a significant increase of value on the first day of December resulting in all top twenty cryptocurrencies pointing upwards with green arrows. The increase was estimated by CoinMarketCap on Saturday, December 1.

After going through multiple deficits in value which left Bitcoin below the $4000 mark, on November 30, it managed to rise up to the four thousand US dollars value threshold with the start of December. On December 1, the cryptocurrency rose to $4,202 in value, which is a 4.5 percent increase over a period of 24 hours. However according to reports from CoinMarketCap Bitcoin has dropped by almost 1.9 percent over the week.

Ripple, which is the second leading company in terms of market capital, is undergoing slight improvements. Its value increased by three percent in 24 hours on December 1, and is being traded at $0.37 at present. The cryptocurrency however experienced a significant drop of more than seven percent over the week.

Among the top twenty cryptocurrencies TRON (TRX) AND NEM (XEM) were the one that saw the biggest gains. Currently TRON is ranked at the eleventh spot on CoinMarketCap and it was up by 6.5 percent, showing a considerable amount of 11 percent growth over the week. NEM underwent a seven percent increase in value and showed a five percent gain over the period of last seven days.

The hard forked cryptocurrency, Bitcoin SV (BSV), showed a large increase of more than 45 percent over the seven day period. The hard forked cryptocurrency is owned by Bitcoin Cash’s (BCH) hard fork and is ranked at number nine on CoinMarketCap. Bitcoin SV was trading at almost $94 but it had a very small gain, around 0.1 percent, on the first day of December.

If the entire market capital is considered, the total capitalization has increased from almost $129 billion to a current value of $137 billion. This is a large increase for a period of twenty four hours. The daily trade volume remained stable on December 1, being equal to &16 billion, however it encountered a small drop from sixteen billion US dollars to fifteen billion US dollars at present.

Anthony Pompliano, who happens to be a crypto evangelist and is also a partner at the crypto investment

Firm Morgan Creek Digital Assets, noted that Bitcoin groundwork such as number of transactions and cost per transaction had increased even though the markets had undergone a recent decline.

In an online post from November 30, Anthony Pompliano laid focus on seven fundamentals of Bitcoin. He mentioned the growing amount of Bitcoin wallets and the increasing amount of transactions that were being confirmed daily. The crypto evangelist also emphasized the increasing strength of Bitcoin’s hash rate. He stated that it had increased by around four times during the year 2017 while the number of Bitcoin nodes had shown an increase of 98 percent over the last two years while citing data from Bitnodes.

As a conclusion the crypto campaigner claimed that further underlying groundwork of a cryptocurrency was the main focus of the future value of a currency instead of just its price.

Only time can tell whether Bitcoin is just an advanced version of gold, without any storage problems, or is it some dying trend that will soon evolve into something different. The only thing that has some certainty is Bitcoins price’s high volatility.

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Habibah Shahid

A Computer Science student but a writer at heart. Habibah writes about Cryptocurrencies and the underlying technology, Blockchain, with the perspective of a Computer Scientist. Email: habibah@blockpublisher.com or contact the editor at editor.news@blockpublisher.com

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