On the 26th of November price of BTC fell from the high of $19,389 to nearly $16,400, losing almost 15% of its Value just in 1 day, however, right now the price has gone up to almost $17,500 giving new hope to investors who were worried that the price could crash the same way as in 2017.
Antoni Trenchev, founder and CO of Nexo UK, when talking to Bloomberg on live TV said that: “It has been bitcoin quarter, it has been Bitcoin year, It has been bitcoin Decade, and it will definitely have all-time high before the end of this 2020 year.” He continues to say that it`s very different from the 2017 Bitcoin crash right now. This up-trend for BTC has been mostly driven by smart money and institutional investors getting on train of BTC: “up to 80% of this rally is smart money and institutional investors. Sure the retail is also participating, but it`s nowhere near what we saw in 2017 when you had everyone and their grandmother maxing out their credit card on Coinbase just to get their bitcoin.” Antoni mentions that more and more investors are considering BTC as a better alternative to gold, and if Bitcoin manages to grab even 10% of the gold market it will be easily going over the $50,000 price mark.
Bitcoin technical are strong, and here are few reasons, why we think BTC will be going up in price and reaching its new records soon:
- There are more Bitcoin users every day. According to bytetree.com, there are more than 30 million active crypto wallets.
- There are more Bitcoin futures contracts than ever before, meaning that cryptos are rapidly entering mainstream finance.
- Blockchain and technology behind Bitcoin and cryptos, in general, are getting better. Transactions are becoming much faster and compared to 2017 blockchain systems are not getting crushed by huge volumes of people interested in this new market. The computing power that has been devoted to Bitcoin and cryptocurrencies lately is jaw-dropping
- Bitcoin is being considered as an alternative investing asset. In this time of pandemic banks and bonds can`t offer high returns and national currencies are getting crushed by the unimaginable number of money that governments are printing to help economies.
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