The host of CNBC’s CRYPTOTRADER, Ran NeuNer shoots back at the critics and publication that have termed bitcoin’s spike being just a bubble instead of a legitimately trending crypto. NeuNer suggests that the analysis shows the emerging fashion for the crypto over several occasions. NeuNer claims that analysis has proved that bitcoin over several occasions has shown an upward trend.
The critics calling bitcoin, just a bubble in their publications, do not hold water at all and I don’t have any respect for this opinion. Let’s say bitcoin WAS a bubble, it couldn’t have popped twice.
The bubble logic means that bitcoin shoots for a rather short period of time, then turns dormant again as the prices fall down. Furthermore, the host of Crypto Trader says if the bitcoin was a bubble, we wouldn’t have seen the resurgence at all. While this seems to be closer to the truth, several critics have jumped in claiming that the bubble logic fits when we take several intervals out of bitcoin price chronology.
NeuNer bears the bitcoin maximalist perspective over the prior described scenario. Though the maximalism of his is not extreme, there is a tinge to it. NeuNer claims that bitcoin is a healthy market and is worth investing money in. Neuner further clarifies that we have seen bitcoin emerge from the darkest of times as a bear market and boomed up to the strongest of bullish behaviour. This is not what a bubble refers to at all, as per NeuNer. The reason behind NeuNer favouring bitcoin is that even after the greatest bear market of recent times, bitcoin is now surfacing up and is climbing up the bear market.
If bitcoin were a bubble, getting a short blast up the ranks and ‘popping’ the price charts, it would have fallen back to its original position as well. Bitcoin has been on the roll for quite a while. Since January 2018, the price charts have started rising up. A rise above the bound of $5,200 level has favored the crypto positively as the hope to surface up again has struck well with the crypto investors. Some critics, on the other hand, explain that the logic is right as bitcoin popped up on several occasions and then fell down to bear market during the past few years. The year 2018 saw bitcoin wander down $6K from where the bear market began.
Bitcoin currently has bounced back with a rise beyond $5,000 mark, but we can never be sure of what the next day will transpire. The bear market was predicted to be over in a span of of time but it didn’t. In fact, it turned even worse and became the longest bear market of all time.
On the other hand, NeuNer claims that bitcoin comes back alive every time it gets put down by such bear trends. John McAfee, way back in 2017, declared the very thing in these words:
“Those of you in the old school who believe this is a bubble simply have not understood the new mathematics of the blockchain, or you did not cared enough to try. Bubbles are mathematically impossible in this new paradigm. So are corrections and all else”.
There are publications that refer to bitcoin as a bubble including a piece from Bloomberg which describes the price chronology for bitcoin and the price plunges. The article quotes renowned crypto personalities as they negated the fact that bitcoin is somewhat a bubble. Though the publication primarily focuses over the ‘bitcoin being a bubble’ idea, it clarifies that bitcoin must not be thought of as a single time thing or a one time go.
The bubbles that appeared over bitcoin’s price chart have been 4 in total considering the biggest. The first can be tracked from from 2011 where the highest went to $31 and the lowest was $2. The next one ranged from $259 to a low of $45 while the later one ranged from a high of $1,141 to a low of $152. The latest one occurred in 2017 and is currently underway. The price range for this bubble ranged from a high of $19,891 on to a low of $4,050. If we look closely the bubble does happen but the highs and the lows do get considerably greater which is the good thing to extract out of the situation.
Bitcoin again has showed signs of the bear market while some call it the aftershock of the gigantic bear trend we saw last year. The crypto fell back to the lesser bounds of $5,000. This fall back shown from bitcoin is also a sign of threat for times to come. This is the hint that the regulatory authorities are hesitant in approving anything closely relating to a crypto reform. Dating back to the Winklevoss ETF being rejected to the Indian Supreme Court holding back the verdict to regulate the cryptos, we are amidst the clash where it is bitcoin too that needs further improvement as we speak.
Whatever the logic turns and no matter how the people perceive the logic, the bitcoin trends are not yet clear to the analysts in order to extract out a regular pattern of some sort. The unpredictability of bitcoin is what yields the investors their share of the wealth an is what yields the un-measurable price charts. Though with each case of a bear market, we can gather much data and draw conclusions, there is a fair chance that we might not need yielding this parameter out at all if cryptos achieve major adoption.