Bitcoin expert and UK Managing Director at Etoro, Iqbal Gandham, said the cryptocurrency is likely to see a surge due to a better understanding of the underlying technology involved in the digital asset. Bitcoin price stood at $ 4,012.08 at 17:30 (GMT) on Monday, according to coinbase. It saw its highest value before Christmas 2017 when it reached the monumental price of just under $ 20,000. Speaking on Sky News, Mr Gandham said: “Bitcoin is the so-called ‘daddy’ of the crypto-asset market.
“It is just as other companies are dragged down by stocks performing in the FTSE 100, whether they are positive or negative, people look at bitcoin as a bit of an index.”
He explained why he thought bitcoin price dropped at the start of 2018. Mr Gandham said: “I don’t think it is interest rates but I think in November 2017 the price was $ 8,000.
“So from $ 8,000 to $ 4,000 that’s only an eight percent decline. But from $ 20,000 I think there was momentum-driven pricing in December. And I think that momentum was a bit too quick.”
The cryptocurrency expert then insisted “underlying technology” will be the reason bitcoin’s price rallies this year.
He said: “If you have a look at the amount of developers and the development happening in the underlying blockchain technology and also bitcoin, it is increasing. It hasn’t declined.
“And I think if people understand the technology rather than just view the price point – they will understand that this is not something that is just going to go away.”
But some cryptocurrency experts have had more modest forecasts for bitcoin in 2019.
Calvin Ayre, who is founder of Bitcoin Cash and now the face of Bitcoin SV, believes Bitcoin will plummet to zero in 2019.
Speaking to Express.co.uk, the crypto entrepreneur said his outlook does not “reflect an overall bearish attitude towards crypto but more a belief that Bitcoin has now been superseded by more scalable technology and solutions”.
Misha Libman, co-founder of blockchain art laboratory Snark.art, instead urged a word of caution to those attempting to predict the price of wildly unpredictable assets such as bitcoin.
He said: “Every morning I wake up reading about the rise and decline of crypto and I am fascinated by the incredibly technical and visually sophisticated graphs predicting its future that borderline an art project.
“Ultimately we are dealing with a new technology and new asset that is highly speculative, illiquid, and elusive, and drivers for its rise and fall is anyone’s guess and can be attributed by the media to anything from Federal Reserve’s interest rate hikes to SEC regulations to market fever.
“But without a doubt I believe that blockchain and cryptocurrencies have a place in our future and the rollercoaster volatility that we are seeing today is something we are going to have to live with for a while until we will start using crypto to buy chewing gum.”
Daily Express :: City and Business Feed