Thursday Afternoon Coin Clarity Check-Up: You Can’t Stop BTC
Happy Friday to you, cryptologists. This edition is coming a little bit late this week (it’s Friday), but it so happens yesterday was quite a momentous occasion in the history of bitcoin, so let’s get started with what’s been going on, shall we?
- The price of bitcoin soared to a record high of almost $5,900 on some markets, breaking the $5,800 level for a short period of time before falling back into the $5,600 range, which is still about a 16% leap over the last three days.
- Why the price surge despite heavy criticisms from top Wall Street execs to the barring of ICO activity in several countries across Asia? There is still a number of reasons why bitcoin remains attractive to buyers – even at these prices – and they include some of the following:
- Amazon is considering accepting bitcoin for payment. This will allow large holders of bitcoin to spend it without having to transfer it through some sort of intermediary currency exchange.
- Digital currency dividends, more commonly referred to as hard forks on this blog, are another reason why big money investors keep pouring money into the cryptocurrency space — betting on the hopes of another profitable hard fork coin success like Bitcoin Cash (BCH). And this is a reasonable bet as there are upcoming hardforks in bitcoin, Ethereum and litecoin all in the not too distant future.
- Wall Street cannot be stopped. The amount of dollars an average sized bank or hedge fund has at their disposal could easily buy out and crush the price of any cryptocurrency of their choosing. They can also make any cryptocurrency go far beyond the moon and well into the solar system. Why would they do this? Profit, of course. The similarities between cryptocurrency markets and traditional stock, commodity and Forex markets are markedly similar, and as such, the psychology that underpins the tricks of the trade remains the same. Expect the Wall Street influence to overshadow any negatives for bitcoin for some time to come.
- Jamie Dimon says he isn’t going to talk about bitcoin anymore, which is fortunate because now we don’t have to talk about Jamie Dimon anymore.
- Bitcoin “boiler rooms” do exist, and they’re hiring. A Boiler Room is basically a somewhat unregulated, off-the-radar stock hustling operations where call centers make calls to leads, hoping to find people desperate, gullible or greedy enough to agree to buy commodities that usually tend to sink in price, even though they are charmingly sold by the cold caller as the next “big thing.”
- Barron’s released a compelling online analysis on how China could also heavily shape the future of bitcoin, depending on the regulatory actions they finally settle upon and how much freedom their giant-volumed, government-sanctioned exchanges are rewarded.