Since the beginning of this month, the value of Bitcoin has seen a 27% increase, and an expert of cryptocurrency said the value of bitcoin will keep increasing as historical data illustrates a continuous rise in the last couple of years.
Mr. Morehead’s Take on Bitcoin Rally
Back in January, Bitcoin took a significant hit after officials and banks faced a lot of pressure to regulate cryptocurrencies, but the CEO of Pantera Capital – Dan Morehead thought the worst was over for Bitcoin. In an interview with CNBC, Mr. Dan Morehead said: “the growth of bitcoin has been 165% every year for the past six years that his company has been in business.” He said something that grows at such speed hardly goes beneath its 200-day moving average.
He further said that these averages are used by technical traders to determine when to get into the market. It is quite fascinating that value of bitcoin increases so quickly, and when bitcoin gets back to its average, it means it’s the perfect time to invest in it again because it has maintained a vertical line for the last eight years. Mr. Dan said he thinks the decline the price of bitcoin in January had a “rare opportunity” in it.
The Value of Bitcoin
The price of Bitcoin was at $8,928 as of Monday night (April 23) according to CoinDesk. The value of bitcoin got to an all-time high of $20,000 in December 2017, just before Christmas. Bitcoin has faced a lot of criticism from finance experts and banks.
The governor of Australia central bank – Philip Lowe also said that the issues faced by cryptocurrencies like Bitcoin are more like a “speculative mania.” Philip said: “The volatility of bitcoin’s value is very high, the number of transactions that can be processed currently is very low, the cost of making a bitcoin transaction is very high, and there are governance issues.”