Is Bitcoin (BTC) Ready for Another Surge? - Global Coin Report
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Is Bitcoin (BTC) Ready for Another Surge?

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It is no secret that Bitcoin (BTC) has had a rough 2018. The coin has dropped by over 80% from its all-time high in a matter of months, it experienced two market crashes, a constantly bearish market, and even troubles within its own ecosystem. Crypto investors spent the entire year hoping for a surge that never arrived, and since BTC is the most influential coin within the crypto space, its behavior usually dictates the pace for other coins as well.

Then, the year finally ended, and investors believed they could finally start anew, hoping to see BTC perform better in 2019. While Bitcoin is certainly performing better than in 2018, the current state of things is still far away from a rally. However, there is a possibility that this might change in the future.

Projects that could have sparked the next rally

As mentioned, crypto investors around the world were hoping to see a new price surge with the arrival of the new year. So far, this has not happened, and while there were several events believed to be able to boost BTC value, several complications prevent them from occurring.

One of them is the launch of the Bakkt Bitcoin Futures Exchange, which was scheduled to happen on January 24th. However, due to the long-lasting US government shutdown, the exchange failed to receive the green light from US regulators. As a result, they were forced to postpone the launch yet again, until the government issues can be resolved.

Another event that the crypto community was looking forward to was the potential approval of Bitcoin ETFs by the SEC. However, the same problem with the US government prevents the SEC from operating, which eventually led to the withdrawal of the Bitcoin ETF application. Without the SEC to accept or reject the application, under the current laws, the application will have been approved by default. As it was unlikely that the regulators would allow this to occur, Van Eck, SolidX, and CBOE decided that it would be better to withdraw the application and re-submit it under different circumstances.

While this is not the end in the of the struggle to receive permission to launch Bitcoin ETFs — as there are other applications, and there will likely be even more in the future — it is a missed opportunity for Bitcoin to get a boost in value.

Furthermore, many expected that this might damage the price of BTC, which did not happen. BTC drop that followed was barely noticeable.

New developments that might impact Bitcoin price

Despite the two large opportunities that end up receiving another delay, there are still other developments that are expected to occur in the future and help BTC grow in value. One of them happened today, January 30th. This was the launch of Wrapped Bitcoin (WBTC), an ERC-20 token pegged to Bitcoin itself. The token is expected to bring liquidity to the ETH network and at the same time, allow new use cases to BTC, such as access to dApps, DEXes, smart contracts, and alike.

The supply of WBTC will depend on how much BTC is being held by a custody service, and the result is a stablecoin-type token which will make ethereum network become a two-coin network.

Next, there is also a possibility that Bitcoin Lightning Network might go live at some point in 2019, which would have a massive impact on the speed and cost of transactions in the BTC ecosystem. The LN would provide an additional layer to Bitcoin’s blockchain, where traders would be able to establish a network of tunnels. The tunnels would allow traders to send BTC payments which do not have to be recorded on the blockchain, as long as the tunnel is active.

With these projects, BTC will be on the road of receiving additional use cases, achieving better performance, and likely seeing more activity, which is expected to help its price grow.

Will BTC surge on its own?

Finally, there is a possibility that BTC will reach a rally without outside influence, as analysts believe that BTC follows a circular pattern which leads the coin from bearish to bullish period on an endless repeat. While 2017 was in the bullish part of the circle, 2018 was certainly in the bearish one. The next step is expected to be a return to the bullish trend, during which BTC may surge even higher than in 2017.

This theory has seen a lot of support, although it might not occur in this exact way. It should be noted that 2017 was also a year when cryptocurrencies received more exposure than ever before, so a large part of the following surge was pure hype. 2018 was merely a correction that followed after the hype died down. If the new bullish period does arrive, it is possible that the rally will be better-controlled, as the market appears to be more mature now than it was two years ago.

Whatever the case may be, investors around the world are still hoping to see the crypto market shake off the bearish grip and become more profitable for the traders and investors. While this will almost certainly happen at some point, it is unclear when to expect such development.

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Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of melfoody via Flickr

Charts courtesy of TradingView

Bitcoin

As Global Tensions Grow, Bitcoin Price May Go Higher

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BTC Surged Again as A Safe Haven Asset During Global Tensions

  • India – China Border Conflict

After weeks of squabbling and brawling along their long-disputed border, hundreds of Indian and Chinese soldiers engaged in a deadly clash Monday in a river valley that’s part of the region of Ladakh last week. Troops had massed on both sides of the border in recent months in the northern India region of Ladakh and the southwestern Chinese region of Aksai Chin, causing global concerns of a potential escalation between the two.

  • North and South Korea Clash

Last Tuesday, North Korea destroyed the liaison office it jointly operates with South Korea in the city of Kaesong, just north of the demilitarized zone that separates the two countries. 

North Korea also said it would send troops to now-shuttered joint cooperation sites on its territory, reinstall guard posts and resume military drills at front-line areas in a violation of separate 2018 deals with South Korea. Jeong said South Korea will take “immediate, swift and corresponding” steps to any North Korean provocation.

The tensions grown in Asia and the potential “second wave” of coronavirus in the United States may add more difficulties to the global economic recovery. Thus, Bitcoin, as a safe haven asset, attracts more investors to…

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CoinFlip Continues to Dominate the U.S. Cryptocurrency ATM Market

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Although cryptocurrency has brought in a lot of traders seeking the dream of overnight wealth, cryptocurrency is a lot more than just striking it rich.  Cryptocurrency is about creating a new market with companies that are building cutting edge technology in an effort to continue elevating our way of life.  As the crypto market continues to expand, several companies are involved in creating ways for more people to participate.  One such company that appears to be making all the right moves is CoinFlip.

CoinFlip is the world’s leading cryptocurrency ATM operator that currently allows users to buy and sell 10 different cryptocurrencies including BTC, ETH, LTC, DASH, TRX, KMD, LINK, BNB, XLM, and USDC.  Due to the company’s quick growth, CoinFlip has quickly gained a reputation of being the place to go for all crypto ATM transactions.  In addition to its massive geographic coverage, there are four advantages that CoinFlip currently offers over its competitors:

  • Lowest fees of any cryptocurrency ATM in the world
  • Lightning-fast transactions that are typically completed between 10 and 30 minutes
  • Extremely easy customer verification
  • 24/7 customer support through phone, text, and chat

Given the global pandemic currently facing us, many companies have been struggling just to survive.  CoinFlip, on the other hand, is not only surviving but thriving.  The company has had an exciting few months and has even bigger plans…

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Cryptocurrency Fraud is Evolving; Bitcoin ATMs Mitigate Risk 

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Cryptocurrency Fraud is Evolving
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In one of the more overlooked aspects of the crypto ecosystem, it appears that the bulk of illicit activities are shifting from hacks and thefts to cryptocurrency fraud and scams.

CipherTrace, the crypto-surveillance, and analysis firm released a report at the end of Q4 2019 that revealed hacks and thefts had decreased by 66 percent in 2019 while fraud and misappropriation of funds surged by 533 percent. And beneath the COVID-19 hysteria of 2020, hacks in the crypto sector have been eerily isolated. 

Outside of a few exploited flaws in P2P exchanges and DeFi flash loan vulnerabilities, the headline-grabbing hacks of exchanges for hundreds of millions of dollars have been absent so far this year. Is the industry due for another massive hack, or are stringent KYC/AML processes, regulatory crackdowns, better security practices, and blockchain surveillance working? 

KYC/AML Improvements Are Reducing the Appeal of Crypto Exchange Laundering 

2020 is far removed from the no-KYC wild west days of the early-mid 2010s where anonymous altcoin casinos preponderated and the Dark Underbelly of Cryptocurrency Markets thrived. 

Today, bitcoin and the crypto ecosystem is becoming institutionalized with a surfeit of derivatives (e.g., options, futures, perp swaps, etc.) available on…

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