Anyone following the cryptocurrency industry for a while now has noticed that many online tokens and digital assets have been weathering quite the storm recently. Many sceptics have been quick to say that this downturn in the value of some currencies like Bitcoin proves that the volatility of the market makes investing too risky.
However, many who know a lot about cryptocurrency investments know to weather these types of storms, buy in the dips, and reap the rewards afterwards. The latest downturn in Bitcoin seems to follow this exact pattern. Experts are predicting that following the difficulties Bitcoin faced over the last year, a major breakout is expected soon.
Many people interested in cryptocurrency often stop themselves from investing due to the volatility of the market. Prices seem to fluctuate heavily when it comes to cryptocurrency investments. And Bitcoin seems no different. Well, not quite, actually. Bitcoin is one of the most stable coins in the digital marketplace. Its recent volatility was due to a variety of factors. It’s not simply because “cryptocurrencies are volatile”. This may all be about to change.
The dynamics that are on show in the current market have hinted to experts that there might be a potential shift in the current Bitcoin trajectory. There are two major indicators of this potential shift. Mainly the fact that price gaps are currently filling up and Bitcoin is showing potential to leave its current trading range. Read our Bitcoin review to see why we consider it a worth while investment.
Price gaps are a major hurdle for any cryptocurrency that wants to truly grow and become a major decentralized trading option. Bitcoin, even as the biggest cryptocurrency on the market has to overcome major price gaps at some point. Recently, there was a major $20 000 - $28 000 price gap that closed.
The next target for Bitcoin? $35 000. Once it achieves this milestone and closes this major price gap, investors from all around the world are likely to take note. This may well send Bitcoin to a completely new stratosphere.
The other major issue stunting the growth of Bitcoin was the fact that the currency was stuck inside a price corridor for quite some time. For several months the bulls and bears in the market sat at a stalemate.
Experts, however, predict that as the price gaps continue to close, Bitcoin is nearing closer to exiting the price range it’s been stuck in for so long. This means that the market cap for Bitcoin could grow to levels even the creators thought impossible when they first engineered the blockchain technology that Bitcoin exists on.
All of these factors make for an interesting watch when examining the future of Bitcoin. To newcomers, it may sound like an exciting time to invest. The price changes and the price range variation make Bitcoin a truly ripe investment opportunity for the future.