The price stability of bitcoin is 'calm before the storm', cryptocurrency analysts predict


The period of stability of Bitcoin's most durable prices in its history is coming to an abrupt end, warned the experts of cryptocurrency.

From the beginning of September, the bitcoin did not record large market movements, trading between $ 6,000 (£ 4,670) and $ 7,000.

This unusually tight range comes after months of constant losses, which fall from a high close to $ 20,000 at the end of 2017 – market analysts predict it could be the "calm before the storm".

Indicating previous periods of stability, Albright Investment Group founder Victor Dergunov wrote in a blog post that plans to see a substantial price increase in the coming months.

"This is not the first time bitcoin has seen the calm waters, we have seen similar periods of modest volatility and humble price fluctuations," he wrote.

"Mainly, a similar phenomenon of low volatility occurred in the very advanced stages of bear bitcoin markets [whereby prices fall as investors sell]. Everyone seems to lose interest, the volume dries, the flow of news falls and then, when you least expect it, the next bitcoin bull market begins. [whereby prices rise as investors buy]".

The price of bitcoin has a flat line in recent months (CoinMarketCap)

His comments follow similar predictions from the blockchain technology expert Ian McLeod, who said L & # 39; Independent last week the cryptocurrency market will "explode" in 2019.

According to McLeod, however, large price gains will come from one of the bitcoin rivals, such as ethereum or stellar.

"We can expect bitcoin to lose 50% of its cryptocurrency market share to ethereum, its closest rival, within five years", He said.

"Ethereum is already light years ahead of bitcoin in all, but prices and this gap will become increasingly apparent as more and more investors enter the crypt."

It supports free journalism and subscribers to independent minds

Before 2017, the last big bitcoin price spike arrived in 2013, when its value went from less than $ 100 to over $ 1,000 within a few months. This was followed by a short fall in prices before a sustained period of constant losses and stagnation in the market, which saw bitcoin trading between $ 200 and $ 600 for more than two years.

If the bitcoin reflects this trend, investors may have to wait until 2020 for the next significant drop or price gain.

This lack of market movement would be welcome to some within the cryptocurrency industry, however, with price volatility often cited as one of the main obstacles that prevent the use of bitcoins and other cryptocurrencies such as traditional form of payment.

[ad_2]Source link