Bitcoin in the last seven days increased close to 11%. After Bitcoin dipped below $6,000 last week, only five in the top 100 cryptocurrencies had a bearish trend. Could this be a sign that Bitcoin is officially having a comeback and already testing $7,000?
If you will ask Clem Chambers who is the CEO of ADVFN, he believes that Bitcoin is likely to hit another high by December. He also warned that it will “probably” drop in price before another rally.
He said that “The blockchain will be the way of the future which will be like the internet was to the generation before. Bitcoin will probably be part of that future in the long term”. He also added that “will Bitcoin go back over from its previous high? It will probably hit $2,000 before it hits $20,000”. Chambers is even bold in his prediction that and even mentioned that there is a chance that Bitcoin could even reach $100,000.
Shortage in Money
Clem Chambers believes that one of the reasons for the rise of Bitcoin’s price is because of the shortage of actual money in the world today. He even said that cryptos are “filling that vacuum”. He even said that cryptocurrencies can create what he called is “an economic lift”.
He isn’t actually alone in his prediction. There are experts that are also bullish on Bitcoin such as Tom Lee of Fundstrat. There are those that are anticipating the entry of institutional investors considering that there are regulatory changes recently being made. One major development is the US Securities and Exchange Commission considered Bitcoin and Ethereum as commodities and not as securities, which mean that it shouldn’t be governed by the same rules applied on stocks and other investment vehicles.
Other Cryptos Are Up
Since the majority of the top 100 cryptocurrencies are up, this goes to show that money is flowing not only to one single cryptocurrency. It only means that money is flowing into the entire sector. And also, just like gold, cryptos rally during uncertainty.
If you will take a closer look at the past five days, stocks and gold weren’t up mainly because of investors’ anxiety over the direction of interest rates. Also, there is the prospect of a trade war between the US and China going toe to toe.
And this isn’t an isolated case. Last year, Bitcoin also increased in value when North Korean dictator Kim Jong-un launched missiles over Japan. And also, this was the same time when China was trying to expand its territory in the South China Sea.
Though many already criticized Bitcoin after losing 70% of its value, not to mention the number of cryptocurrencies that are already considered dead, these are signs that Bitcoin and the entire crypto market is still up and running. Evgeny Chereshnev who is the founder of Biolink Tech even mentioned in an interview that “at least 90% of all cryptocurrencies that exist right now are doomed to fail, die, or will basically be rejected, because the people who are primarily interested in them are money makers”.
Despite the bearish market in the last days, with clearer regulatory climate, the market is slowly maturing.