Bitcoin (available on Coinbase) Price (BTC) extended an upward trend with small sideways movements over the last month; the price has been steadily moving higher despite sTron (available on Binance)g concerns from regulators. Harsh remarks from market makers and warnings for the immediate price crash didn’t impact cryptocurrency mania.
The price of Bitcoin (available on Coinbase) and other digital currencies almost doubled from one month ago. BTC now trades above the resistance level of $11,000, while bulls expect prices to extend the bull-run – they predict the price to double this month.
Instead of fundamental and technical factors, the bull-run in Bitcoin (available on Coinbase) and other digital currencies get support from speculations, market manipulation activities and higher transaction volume through illegal activities.
Though bears aren’t successful in keeping the cryptocurrency prices lower after a significant crash at the beginning of the last month, the downside volatility in Bitcoin (available on Coinbase) price is still higher than the upside trend.
Why is Downside Volatility higher?
Cryptocurrencies have faced a lot of criticism over the last six months from major fund managers and regulators. Some key players call cryptocurrency fraudulent, while regulators such as the Bank of England governor Mark Carney, believes crypto traders to be ‘fools’.
Bill Gates and several other players have raised their concerns against cryptocurrencies – they believe they are only useful for drug smugglers, terrorists, and tax evaders. Various research reports have backed this up by showing almost half of Bitcoin (available on Coinbase) transactions are conducted for illegal purposes.
Bearish arguments look sTron (available on Binance)ger than bull’s speculation. Though bulls are now calling regulators interference ‘a catalyst for prices’, the removal of illegal transaction volumes could significantly reduce the popularity of cryptocurrency – thus regulating digital currencies might create a massive crash in prices.
“I think Bitcoin (available on Coinbase) will be worth a tiny fraction of what it is now if we’re headed out ten years from now … I would see $100 as being a lot more likely than $100,000 ten years from now,” Rogoff said.
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