Could Bitcoin finally be on a bullish run? Since last mid-December of 2017, Bitcoin has continuously plunged in value after many government agencies mulled for regulations. China, South Korea, and India are just some of the Asian countries that have extended their efforts in controlling cryptocurrency activities.
Bitcoin has been struggling to hold above the $8,900 mark lately. Bitcoin had a six-day high at $9,070.64 according to CoinDesk’s Price Index on Feb 10. However, it fell back below the $9,000 which is seen by experts as a key towards continuously having a bullish run.
The $9,000 is seen as a point of stiff resistance. Bitcoin’s price at the moment is at $8,572.94. Bitcoin has dipped to below $6,000 something that has alarmed many investors. Though the bullish trend is not yet out considering that the price hasn’t stayed somewhere in the $9,000 range which plays a psychological level for investors.
The Good News
The good news this weekend is that Bitcoin and other altcoins have gained steam after series of decline over the last few weeks. And though Bitcoin still hasn’t reached the $10,000 mark, a lot of investors are still optimistic given the rise in its value recently.
Another good news is that the CEO of Kraken, Jess Powell believes that the entire crypto market will reach $1 trillion this year. He mentioned that “you’ve got a lot more kids graduating from crypto programs at universities now. I think we’re just going to see it continue exponentially from here”.
Presently, the cryptocurrency market is somewhere around the $417 billion mark according to CoinMarket Cap. It was able to hit an all-time high in early January at around $800 billion however, a huge cryptocurrency sell-off happened after regulators decided to take a closer look at cryptocurrencies.
Wait and See
A lot of investors are still waiting for the next big move of regulators. Given how Asian regulators are now acting on cryptocurrency, many investors are worried about their investment’s liquidity. Regulators have pointed out the possibility of cryptocurrencies being used in illicit activities as the main reason for its strict regulations.
In addition to this, there are also different takes to what future price could be. JP Morgan believes that it is still possible that Bitcoin could end up at around $4,605. However, they are still not sure whether or not Bitcoin will go there straight away.
They are also suggesting that if Bitcoin price break past $10,776, “the door for a broader countertrend rally to $14,334 if not to $16,304 would be wide open”.
Microsoft Supporting Decentralized Systems
Microsoft has announced that it will also support decentralized identities systems that have been built on Bitcoin and blockchain technology. And given this, there is a chance that it could raise the value of Bitcoin in the coming weeks.
Will it even be possible for Bitcoin to recover soon? Will the regulations scare potential investors? There are still a lot of questions that could only be answered in the coming weeks. But one thing is clear; it seems that Bitcoin has been slowly recovering in the past few days.