After the price correction that occurred in the first half of 2018, a lot of people have been starting to hesitate about the future of cryptocurrencies and blockchain.
Why? There are several technical reasons to support this theory, and many influential voices on the blockchain-world agree. The first point is that right now it is a great moment to enter into crypto market. Whether it is Bitcoin, Ethereum, EOS, etc., tokens are at a low price which pretty much equates to a discount. Buying now will make you profit in the future. Not buying will make you regret.
You might think that it is meaning-less to do so if there is no guarantee that the price will go back up. Well guess what, there are a few indicators that give us assurance of a price increase. Arthur Hayes, the CEO of the biggest crypto derivative exchange and the market with the highest volume for crypto, believes that a $50K Bitcoin is possible this year. The missing ingredient, according to him, was volatility. Hays says that the increased levels of volatility seen recently due to the greater involvement of investors will give us a huge price-spike for later this year.
There are more bullish ideas around. Perma-bull Tom Lee has an interesting method to predict Bitcoin price rises. He says that mining costs have a historical average in which price is 2.5 times the cost. Currently, the price to mind is around $7,000 USD, and it is poised to rise to around $9,000 USD by the end of the year. This implies that a $22,000 or $25,000 USD Bitcoin is quite possible by the end of this year.
Finally, the rest of the positive new come from Ethereum. ETH tends to trade even better than bitcoin. Its price increases are always higher in percentage terms. Besides this, there are hundreds of projects that are ERC-20 tokens operating in the Ethereum blockchain. This, and the future implementations of Casper and Plasma, are poised to drive and sustain prices higher. If those reasons were not enough, I have one more. There were 27,000 blockchain startups in all of 2017. By June 2018, there are already 28,000 new blockchain startups. The interest is still there, growing, and strong!
