Tag: Bitcoin growth

Bitcoin At $64,000 Next Year? Don’t Rule It Out.

By Nick Hamilton | United States

As we start to finally hit the middle of 2018, some are already making bold predictions for Bitcoin’s price in 2019. One of those, an investment firm called Fundstrat, predicts that it could reach as high as $64,000 by the end of 2019; over six times it’s current value. The New York based firm made these assertions in a report written up by Sam Doctor. Doctor is one of the firm’s Managing Director and Quanta-mental Strategists.

The report asserts that the expected price will be around $36,000 for one bitcoin. However, the expected range of the price will be from as low as $20,000 to as high as $64,000. Their reasoning, however, is different from many other predictions that we’ve seen this year.

The rationale has to do with mining, which is a computer solving mathematical equations and getting rewarded for it with cryptocurrency. In order for this to occur, the computer relies on something called “hash power,” or power to guess the solution. Fundstrat projects a 350% increase in this hash power. Thus, the price of Bitcoin will rise.

“We believe the current path of hash power growth supports a BTC price of about $36,000 by 2019 year end, with a $20,000-$64,000 range,” Doctor said in his report. “The primary net sellers, in our view, are bitcoin miners, and the rest are transactions between investors.”

Now, the real question is whether the currency will be able to sustain that number when it hits that mark. Bitcoin has proven to have some difficulties sustaining itself, dropping over $10,000 in just a few months. However, with this new innovation in hash power, Bitcoin could absolutely explode in the next couple of years.

As of Thursday, May 10th, the cryptocurrency has fallen 1.55% to $8,290.


Featured Image Source

Advertisements

Ron Paul Endorses Bitcoin and Cryptocurrency

By Jason Patterson | USA

Bitcoin has recently expanded in several ways. No longer than a year ago it was just a libertarian fantasy of an alternative to government-controlled currency. Now it has a ton of media attention and some Congressmen even are now saying Cryptocurrency should now be Illegal.

Ron Paul, a liberty-minded Republican has recently made claims on it, supporting the organization as a great alternative. He even said that he introduced legislation to allow competing currencies when he was in Congress because he hates the current system.

As Cyprtocurrency puts the banking business at risk, big time bankers have been extremely critical about this alternative. From economist Robert Shiller to JP Morgan Chase chief Jamie Dimon, people have warned people of buying Bitcoin. Ron Paul has recognized the flaws in the existing monetary system and has spoken honestly about it:

I abhor the system that we have. The official counterfeiters are at the Federal Reserve. That is a big misstep and a big problem. So people should have the right to choose. They did originally when money started. Then they picked gold and silver. And the government has taken over and abused that standard and monopolized it. And destroyed it in this country.

He has also stated that he is all for alternative currencies as long as they aren’t fraudulent or cheating people for their money.

I think the jury’s out on how far they’re going to go with cryptocurrencies acting as money. Right now, I don’t see it because, in my studies of monetary history, it’s always been something tangible. People want something tangible. Somebody has to sort it out if  [cryptocurrency] ever becomes money. But I have questions because historically, money should be something that’s tangible, but it should be legal, as long as there’s no fraud.

Bitcoin and cryptocurrencies are becoming more popular and more used. Major exchanges in the US are even expected to offer contracts on them later this year.


Image from CNBC.