Bitcoin is Over $11,000 - Can It Hold?

Bitcoin is Over $11,000 - Can It Hold?

Bitcoin rushes at full speed to new heights for the second week in a row. Against this background is guesswork about what institutional investors can resort to this cryptocurrency in future, as the asset of "free harbor."

Over the last month, reviews about cryptocurrencies were more positive than condemnatory. People like Ronnie Moas and Max Keiser share their forecasts that Bitcoin is going to reach new heights in 2018. In conversation with RT eToro analyst Michael Mashchenko says that financial institutions can also access the BTC in the case of the economic crisis on global markets.

Our top trading bots

"The demand for Bitcoin is growing as the crypto market has become less volatile, and an increasing number of professional investors see it as insurance."

Second bull market

As Fortune says, the current trend of rising prices for the securities market is the second-longest in history ― 104 months. The longest bull market ended in 2000 after an impressive run in 133 months.

Many people believe the current rally is a little long. People from Wall Street make plans for unforeseen circumstances ― i.e., in case of the inevitable reversal in the securities market. If Mashchenko is right, Bitcoin will play a significant role in these plans.

The change of opinions

Mashchenko’s comments appeared after the moods change in the mainstream of financial sector. Recently JP Morgan Chase announced plans to offer bitcoin futures to the Chicago Mercantile Exchange (CME). It is an essential step for one of the largest providers of banking and financial services in America. What is more typical, it happened just a few months after the condemnation of Bitcoin by the JP Morgan CEO, Jamie Diamond.

Online providers of banking services and exchange operators LedgerX and Revolut also introduce support for Bitcoin. Revolut recently conducted a clearing to offer bitcoin derivative tools, as people intend to do more than just cryptocurrency trading.

"LedgerX launched its first long-term options for Bitcoin, with an expiration date of December 28, 2018. In the coming months, we will continue to see the ‘domestication’ of Bitcoin: the Chicago Board Options Exchange and the Chicago Mercantile Exchange are planning to launch tools based on the cryptocurrency shortly."

Big money

When the flow of institutional investors will begin to invest significant capital sums into the cryptocurrency, some stunning predictions made by bitcoin optimists can become a reality. However, the forecast for Mashchenko was very modest. It suggests the approach of BTC to $10.000 by the end of 2017 will be based slightly on emotions than on some real reasons:

"We could see a Bitcoin at $10,000 in a month or so. However, such a surge will be based on emotions, not on fundamental factors. So, further growth of the cryptocurrency will require something more than euphoria."

The dynamic changes during 2017 allowed bitcoin to step onto the world stage

Reaching values of $8,000 per BTC, Bitcoin went up to $1.000 in just a few days. It allowed him to pass for $9.000 last weekend. At the time of writing, the price of Bitcoin was $9.697, which is only $300 less than Mashchenko expected.

Positive Bitcoin trend in 2018

The dynamic changes during 2017 allowed bitcoin to step onto the world stage. There is a force in the form of the cryptocurrency code. The Bitcoin phenomenon and its network are brilliant inventions allowing:

  • to create complete protection from hacking and falsification of data;
  • to structure the development process;
  • to eliminate the competition.

1. Protection is created incredibly – every miner is a part of the system. His computer is a protection. It turns out that the increasing number of miners automatically make the network more secure, eliminating the last doubts about possibilities of hacking, and so on.

2. BTCs are not infinite. There is a limit of coins, which cannot be surpassed. The demand increases by the coins deficit. Also, the code contains a precise regulation of the remuneration. This code has a degree of proportionality to the coins appreciation.

3. Polls have shown that most people do not care about such issues as the possibility of free financing of terrorism (due to the impossibility to control the currency circulation by the government). The lack of a third party, significant savings, high growth, excellent prospects and a variety of other advantages make people switch to bitcoin.

The instability of the traditional markets forces investors to look in the direction of the bitcoin. The common currency is no longer the old trust, and each triumphant cryptocurrency step enhances the effect.

It turns out that the steady growth of bitcoin prices increase the number of miners, which enhances protection. There is a creation of great chain in which each development stage is directed exclusively to strengthening the network and creating the best conditions for users.

Bukele steps up El Salvador's bet on sliding bitcoin; buys another 150 coins
SAN SALVADOR (Reuters) - El Salvador President Nayib Bukele said the Central American country had acquired an additional 150 bitcoins after the digital...
Grubhub users can earn BTC rewards for food delivery as part of Lolli partnership
Food delivery platform Grubhub has partnered with Bitcoin rewards app Lolli to give hungry people the opportunity to earn crypto back on their orders.In...
Israel reportedly adopts new AML rules for crypto
Israel has reportedly enacted new regulations related to the cryptocurrency industry in order to combat illegal activities such a money laundering and terrorism...
Should Zuck lead us to the Metaverse? Crypto leaders weigh in
Crypto leaders are divided over whether Mark Zuckerberg should lead Facebook into the Metaverse, with Hodl Asset’s Jenny Ta saying he needs to resign if...
MicroStrategy added 9,000 BTC last quarter, its stash is now worth $7 billion
MicroStrategy added almost 9,000 Bitcoin to its holdings in Q3, bringing its total BTC stash to a valuation of around $7 billion. The company highlighted...
Nigeria to launch digital currency on Monday, central bank says
ABUJA (Reuters) - Nigeria will on Monday launch a digital currency, the eNaira, the central bank said, months after it barred banks and financial institutions...
The long game: Institutional interest in crypto is just getting started
The old adage “The crypto market is not for the faint-hearted” was put on full display recently when the total market capitalization of the industry dipped...
Bitcoin yet to prove inflation hedge status, but the time may come soon
For years, the narrative surrounding Bitcoin (BTC) has been one which has portrayed the digital asset as being a hedge against monetary inflation. This...
SushiSwap leads DEX token gains as SUSHI price rises by 23% in 24 hours
SushiSwap (SUSHI) prices crept higher on Sept. 16 following another day of gains for decentralized exchange (DEX) tokens.The SUSHI/USD exchange rate rose...
Nigeria's securities regulator establishes fintech unit to study crypto
In 2021, financial institutions operating in Nigeria have been the lever of a government crackdown on cryptocurrencies, beginning with February’s notorious...
Chicago Bulls team up with Shopify to launch NFT series
The NBA’s Chicago Bulls have launched NFTs depicting six championship wins from the 1990s via leading e-commerce platform Shopify. Shopify is a multinational...
Immunefi partners with Binance Smart Chain on bug bounties to secure BSC projects
Immunefi, a security service outfit that specialized in decentralized finance (DeFi) projects, has inked a collaboration with crypto exchange giant Binance.According...
Binance in the crosshairs: Are regulators paying attention to crypto?
Is Binance crypto’s new whipping boy? Regulators in the United States, the United Kingdom, Canada, Japan, Thailand and the Cayman Islands have all recently...
Coinbase insiders dump nearly $5 billion in COIN stock shortly after listing
Insider activity reports for Coinbase’s COIN stock indicate that multiple early investors and executives dumped billions in equity shortly after COIN’s...
Goldman Sachs CEO believes Bitcoin regulations are set for a 'big evolution'
David Solomon, CEO of Goldman Sachs has forecast a “big evolution” in how the U.S. government regulates Bitcoin and other cryptocurrencies, in relation...