Having peaked at around $20,000 towards the end of 2017, Bitcoin, the world’s largest cryptocurrency in terms of market capitalization, has lost around 75 percent of its value.
At the time of this writing, Bitcoin is trading at $3,871 according to data from CoinMarketCap. It’s also important to note that the cryptocurrency has entered its longest downturn period since its inception.
It does seem, however, that the tides might be turning.
Is Bitcoin Sentiment Turning Bullish?
Over-the-counter trading on popular Bitcoin peer-to-peer trading platform LocalBitcoin is seeing massive increases. Just a week ago, the platform saw its largest USD trading volume, with over $31.5 million worth of Bitcoin switching hands through it.
What is more, a nationwide survey which was conducted among 1,000 online traders from the US and was held by eToro, showed that 43 percent of millennial online traders actually have more trust in cryptocurrency exchanges compared to the traditional US stock market. Moreover, 59 percent of all respondents who don’t trade cryptocurrencies claimed that they would invest in it if it was offered by a trusted financial institution.
Commenting on the matter was the managing director at eToro for the US market, Guy Hirsch, who said:
We’re seeing the beginning of a generational shift in trust from traditional stock exchanges to crypto exchanges. […] Younger investors’ experience with the stock market has seen a great deal of loss of trust, with the fall of Lehman Brothers because of irresponsible practices followed by the worst recession since the Great Depression.
It also seems that technical data is revealing the potential formation of a new bull run which could take place this year, as Bitcoin’s 50-week moving average is dropping below the 100-week moving average for the very first time since April in 2015.
Bullish Calls on Bitcoin’s Price
While there have always been quite a lot of prominent figures speaking positively of Bitcoin, it looks like high-ranked executives and well-known individuals from traditional sectors are also turning bullish.
Recently, the Vice President of Blockchain and Digital Currencies at IBM, Jesse Lund, said that he thinks bitcoin will hit $5,000 by the end of this year. He also outlined that he can see Bitcoin eventually worth over $1 million. He also explained that this is a number he likes because it would suggest that one satoshi will hit parity with the U.S. penny.
Additionally, Twitter’s CEO Jack Dorsey, also CEO at Square, recently praised Bitcoin’s scaling solution – the Lightning Network and said that it is only a matter of time before it gets integrated into Square’s CashApp.
What’s more, even Elon Musk spoke about bitcoin, saying that its structure is “brilliant.”
What do you think about Bitcoin in 2019? Do you think the price will eventually start increasing or do you think it will be a year of close-range movement? Don’t hesitate to let us know in the comments below!
