Bitcoin

Despite Its Boom/Bust Nature, Bitcoin’s Next Spike Will be Higher Than 2017

The bear market of bitcoin has been continuing since it crashed from the ‘almost $20,000’ mark in 2017. People who are holding bitcoin are waiting for another bull run. Some experts are claiming that there might not be a bull run like 2017 again because the bitcoin futures market has provided speculators with an instrument to bet against it. But Kevin Duffey from Next Level Finance, believes that billions of dollars have been invested and a much higher spike than 2017 is expected because of technological developments. He wrote to BlockPublisher;

Thousands of the world’s best engineers and programmers are working on the platform, and billions of investment dollars are fueling major companies and initiatives in the space. In other words, the progress of the platform will continue. As long as that happens, it’s only a matter of time before another spike occurs.

Kevin also anticipates a crash following the bull run and considers this ‘boom/bust’ nature of bitcoin to be a major factor in generating public interest towards the crypto market. He further wrote:

While it’s reasonable to expect that the next spike is even higher than the previous spike (just like the 2017 spike was much larger than the 2013 spike), a subsequent crash is likely as well. The boom/bust nature of bitcoin every few years isn’t overly negative, however, each spike brings bitcoin back to the mainstream consciousness which attracts new attention and brings more interest to the platform. This is key for long term development of the platform and protocol.

A lot of capital and intellectual investment is flowing into the blockchain and crypto space, it seems only natural that it will see more growth and maturity moving forward. Developments are also being made in the arena of cypto regulations and the path for institutional investors is being paved through bitcoin ETFs. Once institutional investors step into this game, a lot of capital will be flowing into the market which might result in a very sharp boost in bitcoin’s price, taking it even higher than the last bull run.

The market is very volatile and speculators who want to gain maximum profits at high risks are also rife in the crypto world. Everyone is waiting for that next spike but Kevin suggests that the market might have to wait for a few years. He also takes into account the similarities of 2013 and 2017 bull runs and writes;

In all likelihood, we will see another run like the 2017 super spike in Bitcoin, but it won’t be for a few years. The 2017 spike had similarities to the late 2013 spike which saw the price of Bitcoin rally from a low $100s price to over $1,200 in just a couple of months.

SEE ALSO: A Bitcoin Bull Run Will Not Aid Regulations Because Authorities Are Not Impressed With Big Numbers 

Both price spikes (2013 and 2017) measured almost the same growth rate. Between these two bull runs was crypto winter, an era when a lot of sideways trading occurs, observing a horizontal trend in trading activity. Kevin writes;

While most bitcoin enthusiasts vividly recall the 2017 spike, those of us following bitcoin for most of the decade recall that the 2013 spike had much of the same characteristics. Between the two spikes was a prolonged period of sideways trading after the rise and fall, a period many refer to as the crypto winter.

Despite the ‘boom/bust nature’ (as Kevin refers to it) and some financial experts not expecting a bitcoin ETF getting approved anytime soon, the technological developments are being made at a very rapid pace with a lot of capital flowing into this space. This inflow of huge capital echos a strong fundamental; ‘killer’ use-cases of the technology are being developed for mass adoption and the asset is not dead yet.

Tags

Ahsan Khalid

Blockchain Developer. An Electrical Engineer with majors in software development. I present forward my insight regarding the latest happenings of the blockchain world. All views on my articles are my own. Email: ahsan@blockpublisher.com or editor.news@blockpublisher.com

Leave a Reply

This site uses Akismet to reduce spam. Learn how your comment data is processed.

Close