The world of Cryptocurrency didn’t start the year 2018 on a positive note. Having to deal with what seems like a bearish period, the cryptocurrency atmosphere is beginning to spark up again now citing two primary reasons; Cryptocurrencies being classified as sharia-compliant and the end of the US tax year being completed.
The cryptocurrency ecosystem has been open to all sorts of rotation which has helped spread engagements from Bitcoin to other cryptocurrencies like Ethereum, Litecoin amongst many others. With this rotation, there has been massive investment in cryptocurrencies across the globe. A considerable awareness of cryptocurrency is another bullish experience.
There is a broad media awareness of cryptocurrency at this time, more than ever before. Everyone seems to be talking about cryptocurrencies. More and more financial institutions are making cryptocurrency a mode of their payment, such as significant institutional tie-ups between Ripple and Santander as one example.
Cryptocurrency Markets Set to Expand
“Institutional capital being invested into the cryptocurrency atmosphere is a good makeup for the bad start to the year, and a clear sign of a bullish time to come in cryptocurrency markets,” says Nigel Green, CEO of the deVere Group, the worlds largest independent financial advisory firm. Mr. Green goes on to say, “that with larger institutional players entering the market, such as George Soros and Goldman Sachs only underlines the ideology that markets are set to expand further in 2018.”
These comments were echoed by Jon Matonis, one of the co-founders of Bitcoin Foundation and an executive at VISA, has said that the entrance of major banks and investment companies like Goldman Sachs will lead to an increase in the liquidity across major cryptocurrencies worldwide.
“I think it’s fabulous that they’re getting into it because it brings in new liquidity. They’re going to develop futures markets, options markets, I even think you’re going to start to see interest rate markets around bitcoin. We’re used to hearing things about Libor, the index for bitcoin interest rates is Bibor,” said Matonis.
Bitcoin Is On the Verge of Breaking Out. While a lot of the less popular cryptocurrencies are experiencing a more challenging time, Bitcoin and other larger cryptocurrencies are moving forward. This means Bitcoin as an example is at an acceleration point to achieving a higher high. Individuals are much more attracted to Bitcoin, Ether and other major currencies than they are to any other lesser-known cryptocurrency. What this tends to mean is that the more individuals invest in these larger currencies, the more institutional markets are attracted.
When discussing Bitcoin’s scalability issues Mr. Green comments, “Bitcoin is in a bid to improve its scalability and is working on implementing the Lightning Network. With this implementation, Bitcoin will be able to process billions of transaction per second, and far surpass its counterparts in the cryptocurrency ecosystem” adding “The Lightning Network is so going to spark up Bitcoin’s bullish experience in such a way and manner that will shock the ecosystem as a whole.”
When the Lightning Network is fully implemented, this will mean traders alike can transact with Bitcoin on a daily basis. Bitcoin is no doubt on track for a significantly bullish time, leading some commentators to state a time we have not yet witnessed as investors.
Cryptocurrency though with a slow start, is beginning to experience a positive movement at this time. More and more cryptocurrency is being recognized as a medium of payments across different platforms. There is such a media outburst on cryptocurrency, and more and more people are getting to know and appreciate cryptocurrencies and their role within the world. With more and more innovations and strategies being put in place by the likes of Bitcoin, Ethereum, Litecoin, Dash, and Ripple, it is clear we are on the verge of breaking out.