The $3000 Price Mark…
On Sunday, June 12, 2017, the Bitcoin price reached $3,012.05, as reported by CoinDesk. It is a new record that showcases the rapid growth that Bitcoin has seen lately. Asian markets, however, saw the price of the coin trade $40 to $60 above the price reported by CoinDesk. This represents an incredible milestone for Bitcoin and its investors; by June 2017, Bitcoin has seen an increase in value by 200% Year-To-Date and up to 30% in value on since June alone, according to CNBC.
Business Insider was less optimistic in the coin reaching this peak by reporting that Bitcoin traded at “just” $2,999.97 before seeing the currency drop $286. That drop represents a 9.7% decrease. The difference between both highs is not significant but showcases how hard sometimes it can be hard to follow the price of the coin accurately. Moreover, Business Insider reports seems to contradict most of the other price indices.
The level reached may be up for discussion but the drop of the cryptocurrency is the same across the board. This raise and drop caused Mark Cuban, owner of NBA team Dallas Mavericks, to declare that the currency in the midst of a bubble. Cuban tweeted: “I think it’s in a bubble. I just don’t know when or how much it corrects. When everyone is bragging about how easy they are making $=bubble,”.
$4000 will be the new standard
Analyst disagrees with the tweet made by Cuban. As reported by Investors Place, analysts are more bullish on Bitcoin that they were before. They claim that the coin will hit the astounding $4,400 price by the end of 2017. They do acknowledge that Bitcoin’s volatility will make the coin see some price drops on the way to that level. However, the growth in value will not stop.
Adam Davies, a consultant at Altus Consulting, told CNBC: “In terms of price this year, I think it will go up to $4,000. As it becomes more pervasive and more generally accepted, I think you’ll see rapid growth in adoption.”
Vinny Lingham, Co-founder & CEO of Civic.com, said in a post reported by Investors Place: “I do expect a 2-3x price growth overall in 2017 for the USD/BTC pair. This may result in Bitcoin prices in other currencies being up 4-7x, but I think it’s fair to say that USD/BTC pairing is what we should use as the benchmark.” Furthermore, Daniel Masters, one of the co-founders of Global Advisors’ Bitcoin hedge fund, also shared the idea that Bitcoin will surpass the $4,000 mark before the year end. He expressed to Nasdaq.com that China and Asia will be driving force behind the growth.
Mark Cuban negativity does not reflect reality. The truth is that Bitcoin hitting $3,000 was not the product of a bubble, but rather the result of an increase in demand by Asia. Moreover, as businesses accept Bitcoin payments, the global interest in the currency will increase as well. Ergo, it is not far-fetched to agree with the thoughts shared by several analysts after the coin reached its latest maximum. Bitcoin and Altcoins are the future, and the prices will only go up from here.