How low will the bitcoin be? "Crunch time" for cryptocurrency as the experts predict the price of 2019

In December 2017, the price of bitcoin was approaching $ 20,000 after months of miraculous growth had pushed the price upwards of over 2000 percent from the start of the year. There seemed to be no end to the view of the cryptocurrency that was hailed as the future of money, while the newly minted adopters encouraged newcomers to invest in the digital gold rush.

But twelve months later the Christmas miracle turned into a bleak intermittent winter for bitcoins. A series of rapid price declines in late December and early January, followed by months of steady decline, left the bitcoin trade at just $ 3,450 – the lowest value since August 2017. The question that investors they ask now is how much further bitcoin can fall?

The recent forecasts of market analysts predict more losses, at least in the near future, with some indicating the previous bitcoin price models. Since its creation in 2019, the bitcoin has undergone five major corrections with an average decline in value of 85%. To achieve this same percentage drop, the bitcoin should fall below $ 3000.

While this seems entirely possible given the currently ongoing bitcoin direction, what is less certain is where the bitcoins pass from there. An acclaimed financial analyst then defines this "crisis time" for cryptocurrencies.

Arup Sen, a lawyer supporting Taylor Wessing who worked for the Financial Conduct Authority for five years, says L & # 39; Independent that 2019 will be the production or breaking of bitcoins, other cryptocurrencies and its underlying blockchain technology.

"After winning the titles in 2011 with the advent of bitcoin, blockchain and criptoassets have progressed significantly, with over 1,500 cryptocurrencies now competing for attention along with various other types of cryptoassets," says Sen. .

"But as the market and technology have grown, even the volume of criticism and the strength of the opposition.Payment specialists report the slow processing times and the high transaction costs associated with cryptocurrencies, the forces of order look at the initial coin offerings [fundraising through cryptocurrencies] as another way of cheating the public. And now the regulators are turning around. "

All this indicates an uncertain future for bitcoins, with some suggesting that its technical shortcomings could see one of its rivals as ethereum or bitcoin infect it as the most precious cryptocurrency in the world.

Many bitcoin advocates believe that the amount of high-profile investors, a market capitalization still higher than $ 60 billion, and an entire industry that is dragging behind them mean that the bitcoin is simply too big to fail.

"Many billionaire investors in traditional financial markets remain optimistic about the long-term uptrend of the crypto despite the nearly 85% decline in the overall valuation," says David Thomas, director of the cryptocurrency broker for Mayfair GlobalBlock.

"The simple fact is that these high-profile investors can handle losses from these movements in high-risk emerging assets as they are only a proportionately small part of their overall portfolios and believe in the value that will be created over the long term."

Looking back at the collapse of previous prices, Thomas notes that the bitcoin took on average 67 weeks to recover and then move on to a new historical high. With this measure, the bitcoin will again reach $ 20,000 in the second quarter of 2019.

That the bitcoin is restored and continues to dominate other cryptocurrencies will depend on whether another competitor can challenge his kingdom by offering greater functionality or more widespread adoption by consumers.

But regardless of the future prospects of bitcoin as a traditional currency, industry experts have perhaps indicated its greatest success as a technology.

"There was a lot of hype about bitcoin and blockchain technologies, but a new economic infrastructure is forming in the background," says Kristjan Kangro, founder and CEO of the Estonian blockchain company Change, L & # 39; Independent. "The tokenisation of resources, for example, is already changing the way people invest, spend and raise capital all over the world.

"As such, no matter what the price of bitcoin is, what matters is how the blockchain restructures our societies and economies. Let's see this restructuring happen today and productivity will follow. In short, even if the bitcoin becomes obsolete, the underlying the blockchain technology that generated an entire industry will continue to live. "