Cryptocurrencies is a Bubble

Discussion in 'Crypto-currency analysis' started by andengireng, Feb 11, 2018.

  1. andengireng

    andengireng Member

    Bitcoin's significant price spike throughout 2017 is predicted to be unstoppable by 2018.

    The year 2017 seems to be the period of proof for Bitcoin as the most calculated cryptocurrency. One of the climax occurs when the digital currency recorded a record high with a value of USD 19,796 on December 17 last.

    Experts also predict that with these achievements, Bitcoin has the potential to record a much higher value next year.

    "Bitcoin can reach USD 60 thousand in December 2018," said Mike Dumont, Senior Editor of Bitcoin.com,

    The same thing was also expressed by Mohammad Tayeb as COO Medicalchain, a platform provider of medical services based on blockchain.

    "Bitcoin can touch USD 50,000 next year, even more, I think fewer people will be surprised by the news about Bitcoin's surge," he said.

    Longer-term predictions are made by Jeremy Epstein, CEO of Never Stop Marketing, start-up Blockchain-based marketing firm.

    "With this year's record, I would not be surprised if Bitcoin could hit USD 250,000 or more in five years, but there is still a 50:50 chance of a big success or a total failure," Epstein explained.

    Can not be denied, the growth of Bitcoin value in 2017 is arguably fantastic. However, the criticism of this cryptocurrency is analogous to 'bubbles' (because it continues to fly high but can 'erupt' anytime) is still quite attached to the digital currency.

    As revealed by Armindo Araújo, Head of Financial Division of NATIXIS, the French bank. "Yes, Bitcoin is a" bubble. "The demand for it will keep it going up and up, and I'm pretty curious as to when it will continue," he said.

    "In my opinion, Bitcoin's position in the next year will be determined by the regulation and its application in the global market," Araújo added. Interestingly, the statement was denied by Dumont.

    He said that there are three factors that make Bitcoin not a 'bubble', namely the limited supply of Bitcoin up to 21 million, media coverage and investor interest keeps people going to buy it, and its capitalization is still very small compared to conventional investment.

    Epstein also expressed similar things. "The word 'bubble' is only used by people who do not understand Bitcoin itself," he said.

    Dumont and Tayeb also have the view that Bitcoin and other digital currencies will continue to grow in the future.

    "Cryptocurrency becomes a further evolution of the form of money in the digital world, an enhancement of the paper form," Dumont said.

    "We are looking at the decentralization process towards cryptocurrency, digital currency will continue to grow in 2018, as well as in 2017," Tayyeb said.
     

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