After reaching an all-time high value of nearly $20,000, the Bitcoin value fell more than 20% in just two days, before falling to a low of $6,100 in June 2018. Many stock investors and traders are comparing this fall to the dot-com burst of the 1990s when stocks of technology companies were much in demand. Ethereum Wallets also suffered shocks along with Ripple coin. Almost USD 45 billion went down within 24 hours from the total crypto market value. With the constant daily (and even hourly) fluctuations in the price of the Bitcoin cryptocurrency, traders are speculating on whether to invest (or not) in this digital coin or opt for other cryptocurrencies such as the Ripple coin.
All about Bitcoin price prediction
Just like any other stock or cryptocurrency, the rapid changes in the price of Bitcoin offers a trading opportunity for cryptocurrency traders to buy the coin at a lower price and sell their investment at a higher price. Additionally, long-term investors can also benefit, as was the case for those who purchased the coin for around $100 in the year 2013.
Among the major positives of the dot-com boom and burst of the 1990s, technology companies like Amazon.com and Microsoft thrived in the Internet age and paid rich returns to those who invested in these companies. Similarly, Bitcoin investors can expect a decent recovery and a cryptocurrency bull run in the near future.
The entire cryptocurrency exchange market is witnessing a growing pain, which is including even the investors. With lack of government regulation and huge price swings, a large crash in the Bitcoin price will be good for investments and holds good investment promises for those who want to see this digital coin succeed in the longer run.
While there are industry speculations on a possible Bitcoin fall in 2018 itself, cryptocurrency traders should avoid buying this cryptocurrency at high price levels. This is because most of the dot-com investors lost money only when they invested in high-priced technology stocks, which eventually crashed to their lowest stock prices.
While a realistic price prediction for Bitcoin is not possible in the current market, fans of Bitcoin such as John McAfee (the man behind McAfee Security) predicts that Bitcoin is grow by 1000% in the year 2018, and reach a value of $1 million by the year 2020! On the other hand, investment experts like David Garrity of GVA Research are predicting that Bitcoin will crash to $5000 levels this year, but can also recover to the $20,000 levels that were seen in 2017. Similarly, Saxo Bank predicts huge fluctuations in Bitcoin price prediction, which they say should rise to $100,000 in 2018 before losing 98% of its value in 2019.
Conclusion
Just like any other cryptocurrency, investing in Bitcoin can offer great investment returns for traders, despite its limited coin supply and price fluctuations. As an investor, you must remember that all the heavy speculations and frenzy will come to rest even in the cryptocurrency market. Cryptocurrencies such as the Bitcoin may experience a couple of hard resets or corrections before it starts consolidating and go on a upward price trajectory.