Bitcoin Is Experiencing a Solid, Fun Time
The world’s number one cryptocurrency by market cap is currently trading for around $15,200. That’s about $300 less than where it stood just yesterday. For the most part, however, the currency has come relatively close – closer than it has in approximately two years – to where it was at the end of 2017. During that time, the currency was trading for around $20,000 per unit, and the asset had reached its all-time high position.
While the coin didn’t get quite as far this time around, there’s still a chance that it could do so given that present Google Trends do not show the same level of popularity and internet searches stretching throughout the bitcoin space as it did three years ago. While this may not sound like a good thing at first, many analysts and industry experts seem to think that this is a positive aspect for bitcoin in the long term.
Crypto author Glen Goodman explained in a recent interview:
It may sound counterintuitive, but the lack of mainstream interest is actually great news for bitcoin’s price prospects. These latecomers are ‘weak hands’ who tend to panic and sell at the first sign of danger. It is the same phenomenon we see in all asset markets, not just crypto. A slow, steady build in bitcoin and crypto interest will make for a more sustainable rise in prices… Breaking the all-time high at $20,000 would catapult bitcoin back into the headlines, so that’s when we’re likely to see mainstream interest in bitcoin start to take off again.
In addition, others think there will be bursts for bitcoin in the retail space. Alex Kruger – an economist and crypto analyst – recently mentioned:
I think retail mania, which does get reflected in Google Trends data, will eventually come. What you are observing in trading is what we call a divergence. One would usually expect the price to converge with the underlying data but that is too simplistic and ignores that there are other factors driving this bitcoin move.
A Much Stronger Asset
Nicholas Pelecanos – head of trading at blockchain company NEM – stated that bitcoin is considerably stronger than where it was in 2017 and is less vulnerable to the manipulation it was being subjected to during that time. He says:
Fundamentally, bitcoin is a much stronger asset now than it was [three years ago] due to a number of factors, including the halving, a rise in institutional adoption, real-world use cases emerging, publicly listed U.S. companies moving ten percent of their balance sheets into the asset and payments giants like PayPal accepting crypto.