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Crypto Market Surges Then Drops, Can The Rally Continue?

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About a year ago, Bitcoin was well on its way towards reaching its current all-time high of over $20,000 per coin. In fact, its value was somewhere at $19,000 on December 16 and 17. These days, however, the crypto market could not be more different, and the coin is struggling to remain above $3,700.

Bitcoin has had quite a journey in the last 45 days. On November 13th, its value was over $6,300. Only one day later, and a day before BCH hard fork, the entire market crashed, and Bitcoin started dropping. Before long, the coin was at its new bottom, with its value being only $3,200. The coin basically lost half of its value, and it struggled to grow ever since.

Meanwhile, investors started speculating whether BTC will recover at all, or will simply drop to zero. Some even decided to pronounce it dead once again, which marks more than 300 times in a single decade. Then, on December 17th, things slowly started to change, and the market started experiencing a new surge. Within days, Bitcoin climbed up, and it has been above $4,000 ever since.

At the time of writing, BTC value stands at $3739. However, investors are still not convinced, and many are questioning whether this is a real rally or a false hope.

Is the crypto market rally real?

As it is usually the case with cryptocurrencies, the question is easy, but the answer is infinitely more complex. In a way, the rally is actually real. Ever since the surge started, the total crypto market cap gained over $40 billion, which is around 40% of its value. In a single week, the market cap climbed from $103 billion to $144 billion. While this is impressive progress, it is still tiny considering the losses experienced in 2018.

Within a single year, the crypto market lost more than $700 billion, dropping from $831 billion (January 1st, 2018) to $103 billion (December 2018). From this perspective, the so-called “rally” is just a small attempt at recovery.

However, the current situation is still a significant change for the better when compared to the one from a few weeks ago. Crypto analysts have been trying to find the reason behind the rally, with some of them reporting that people are trying to reduce exposure and close out high-risk sell positions before holidays. This movement might be what is actually causing the rally, however, others have also reported an increase in BTC hash rates, which might indicate the return of the miners as well.

Even if the original rally happened by accident, if it brings miners back, it is possible that the growth will continue. Otherwise, it is expected that cryptos will continue their slide in the near future.

What to expect next?

While there is every possibility that the rally might be the real one, it is still too early to tell with any certainty. The changes are very impactful right now, and anything can trigger another drop at any time. Many experts believe that the current surge is nothing to be excited about and that the real change will not come before the launch of Bakkt exchange and the approval of Bitcoin ETFs.

There are some who believe that these two events, both currently scheduled for early 2019, will be the cause of a real price surge, one that might bring BTC back to its former value of $20,000 per coin. However, there are also those, such as IMF’s former head, Kenneth Rogoff, who believe that Bitcoin’s future price will be only a fraction of its current value.

Whether these experts remain bullish or bearish on crypto is irrelevant, the fact is that space requires regulations that will bring some form of stability. Apart from that, the Bakkt project and Bitcoin ETF approval would likely help a lot by bringing institutional money to space, and allow it to evolve further. A lot depends on the events scheduled for the near future, and it will likely be impossible to predict the future of crypto until these events take place.

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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.

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Altcoins

KaratGold Proves Its Business Model By Providing Official Documents

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There has been a lot of renewed enthusiasm in the cryptocurrency market thanks mainly to Bitcoin’s strong move about 10,000.  Although Bitcoin continues to show its dominance, the altcoin market has yet to benefit from that rally.  A few of the largest altcoins remain popular but the rest of the market continues to lag behind.  In 2018, there was a lot of talk regarding a possible altcoin apocalypse where only the strong would survive.  That prediction appears to be playing out as expected.  Going forward, only the best projects that have a real world need will survive.  Crypto traders will have to spend a lot of their time doing proper research in order to find the best opportunities, just like in all financial markets.  One promising project that appears to have the makings of a future winner is KaratGold Coin.

KaratGold Background

KaratGold Coin is a cryptocurrency developed by the reputable German company Karatbars International, which maintains a leading position in the market of small gold items and investments. The project is part of a larger ecosystem, which involves several blockchain solutions that can be used for transactions, communication, investing and other tasks. During the past few weeks, however, the KaratGold ecosystem has been a target of unsavory scam allegations.  

Karatbars International and GSB Gold Standard Banking Corporation…

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SonicX and Dash Could Challenge Facebook’s Libra for Global Payments Market Share

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When Satoshi Nakamoto unveiled Bitcoin to the world, the dream was always for Bitcoin to serve as a new universal currency.  It would be free from the bureaucracy of governments.  And free from the tyranny of the old-world financial cartels.  Although the dream hasn’t yet materialized, it comes closer and closer with each passing day.

One of the biggest roadblocks for Bitcoin has been scalability.  At a speed of approximately 7 transactions per second, Bitcoin lags behind other cryptocurrencies like Ripple and global payment processors like Visa.  Many expect the lightning network to have a positive impact on Bitcoin’s TPS but until that comes to fruition, mass adoption will likely need another significant development.

Libra Currency Announcement

One development that could help pave the way toward mass adoption is the launch of the Libra currency.  Libra is expected to go live during the first half of 2020 according to Facebook’s June announcement.  According to Facebook, Libra will make sending money online cheaper and faster.  It will also have a hand in improving access to financial services, especially for the unbanked.  Given Facebook’s global reach, including many third world countries, providing financial access to the unbanked could provide a huge spark to global economies.  Additionally, it could provide the growth spark that cryptocurrency needs.

Facebook’s most popular messenger, WhatsApp, has approximately 1.5 billion monthly users.  This application is…

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Bitcoin

The rise of the crypto casinos

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In the hyper-competitive world of online casinos, operators are always looking for ways to stand out from the crowd. The most usual methods include using distinctive branding, offering generous bonuses and making sure that they are on all of the major so-called affiliate sites where players can compare and contrast casinos’ different offerings.

But now a whole new generation of casinos are starting to emerge – ones whose key difference isn’t what and how you play, but more in how you pay.

The rise and rise of the cryptocurrency casino is seen by many as the next logical step in a world that is slowly but surely starting to accept that Bitcoin, Ethereum, Ripple, et al. are certainly here to stay.

Of course, it’s the first of these cryptocurrencies that has really grabbed the headlines and led the way with its meteoric performance in 2017 when it seemed like its $20,000 value was just the start of the story. Admittedly, this was short-lived and the value quickly fell back to a more sustainable level but, if it achieved one thing, it was to cement this exciting new kind of currency in the consciousness of the general public.

Why Bitcoin and online casinos are the perfect partners

In many ways, it’s the perfect partnership between Bitcoin and online casinos with multiple benefits for both.

The first of…

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