The price of Bitcoin has continued its upwards movement first established on April 2. Now the price of Bitcoin has moved above $6,000, a position many analysts tagged as a crucial level for BTC. In the past month, the price of Bitcoin has incurred huge momentum which has seen it rise higher despite fairly huge developments that would otherwise cause a bearish price trend. What’s behind this recent price action for the leading asset class?
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin Price Prediction: The Price of Bitcoin at $6, 314.9 as of Press Time
At the time this content was published, the price of Bitcoin was trading at $6,314.9. The digital asset is up by 3.15%. BTC’s current price of $6,314.9 is significantly higher than the weekly low of $5,500 it stood at some point this year. Despite the fact that this upward momentum is positive, an industry expert is of the view that it may take 18 months before the price of Bitcoin climbs back to its all-time-highs from 2017 when the value of the leading coin reached $20,000. Why has the price of Bitcoin surged in recent days?
Bitcoin Price Prediction: How Fidelity’s Recent Activity Has Aided the Rise in the Price of Bitcoin
Fidelity, is arguably one of the worlds biggest funding corporations with $7 billion customers, will launch a cryptocurrency trading platform “in coming weeks.” Analysts believe this is one of the best news for the crypto prices this year. They pointed out two major reasons for these claims:
Firstly, Fidelity’s reputation on Wall Street gives Bitcoin a huge vote of confidence. Institutional traders have been wary of Bitcoin due to a decade of numerous negative preconceptions about the asset class. Fidelity’s decision to back Bitcoin says a lot in this regard. It will definitely make things interesting.
Bringing in Big Money Institutions
Secondly, BTC trading has been mainly dominated by retail investors. E-Trade one of such investors. Fidelity will actually shift the model to “big money” institutions.
Bitcoin Price Prediction: The Movement of the Price of Bitcoin Looks Strong Going Forward
For yet to be identified reasons, Bitcoin has recently started seeing a monumental surge in usage. The network’s hash rate has been surging quickly since dropping in mid-December. While recording a continuous rise, the hash rate is close to reaching previous all-time highs. In 2019, BTC’s hash rate has grown by 38% while the price of Bitcoin has surged by 50% in the same period.
Going by recent price activity, the average number of transactions involving Bitcoin has increased to 400,000, which was actually last seen in 2017. As of May 1, Bitcoin’s Blockchain saw record daily transactions of 439,378. Before this, however, April 11, saw Bitcoin’s network hitting an impressive 402,645. It should be recalled from the December 2017 records that Bitcoin saw its highest number of 490,459 for daily transactions.
It is essential to point out that despite the influx of users, the transaction fees for the leading digital asset has remained low. According to stats provided by Armin, the last time the price of Bitcoin saw this much use cases, transaction fees were near 500 – 700 satoshis. Now, going by the same analysis, transaction fees are at 15 – 30 satoshis. This is at least 95% lower than the figures from 15 months back. Obviously, the future is once again looking bright for BTC.
How High Can Bitcoin Go?
According to analyst Crypto Dog, there’s no stopping for bitcoin in the short term. Does this mean bitcoin is the best cryptocurrency to invest in 2019?