At press time, bitcoin is trading for just over $9,100.
Bitcoin Has Had a Strange Week
To say it’s been a wacky week for the world’s leading cryptocurrency would be something of an understatement. The currency has pulled in both bearish and bullish behavior from all angles, jumping beyond the $10,000-mark last weekend after a nasty period of trading in the mid-$7,000 range, to suddenly settling nearly $1,000 below its weekend high.
The currency has incurred other little surges here and there since falling back down to a “normal” or lesser level. For example, following its jump to $10,000 the currency initially fell back down to $9,000 about 24 hours later. It then jumped back up to $9,700 but later fell by another $300 and began trading in the $9,400 position.
The surge in bitcoin ultimately came by way of Chinese president Xi Jinping, who is widely “blamed” for praising blockchain enough these past several days to give bitcoin the shove it needed to rise back into more respectable trading levels. Jinping recently commented that blockchain technology has the power to revamp China’s infrastructure. He said that he is also looking to pave the way for blockchain innovation in the country, and a new law has moved forward allowing the development of the digital yuan.
This is all fine and dandy, but could a few simple (albeit positive) words about blockchain potentially improve bitcoin to such an extent? It seems unlikely. However, there’s another “culprit” behind bitcoin’s meteoric rise over the past few days.
That culprit is Bakkt, which is now breaking trading records for institutional players. In addition, the platform is paying the way for retailers such as Starbucks to accept crypto as a means of payment from customers seeking to use digital currency to get their fingers on goods and services.
What Could Happen Next?
There are also several cryptocurrency predictions running around as of late. Many have to do with whether bitcoin can surge further by the end of the year. One prediction has already failed to come true. One source was reporting that bitcoin could have potentially reached a whopping $16,000 by the end of October. Here we are in the first week of November and unfortunately, bitcoin is still stuck in the $9,000 range, so it seems like such a rise was not in the currency’s future (at least for now).
At the same time, we can be grateful that we’re out of the $7,000 range, a dismal position for any cryptocurrency trader considering just how much BTC and its altcoin cousins lost between late September and now. Bitcoin may not have broken any further price records just yet, but it is maintaining its resilience and showing itself to be what we always knew it was – a very powerful financial tool.