Bitcoin Still Down 60% From ATH And Below $8,000 But Here’s Why You Should Be Bullish
We are ten years in and when it comes to the price, Bitcoin has enjoyed a couple of bull and bear cycles in the last decade. Currently, the leading cryptocurrency is still down 60 percent from its last all-time high (ATH) at about $20,000.
However, after the brutal winter of 2018, in 2019 Bitcoin jumped more than 100 percent with the last month marking good gains of about 60 percent. However, in the current month June, we have taken a drop from the last month’s high and trading at $7,806. Despite this drop in price, analysts and traders emphasize that we are still in an uptrend.
During these last 9 years, USD has actually lost more than 99.9 percent of its value against BTC.
What’s interesting is the higher lows Bitcoin is making for the past 7 years. In 2012, Bitcoin’s yearly low was $4 and the next year it went up to $65. In 2014, we moved in three digits at $200 which made an exception by hitting its yearly low in 2015 at $180.
In 2016, the yearly low registered by the leading cryptocurrency was at $365 and then in 2017 it was at $780. Last year, we went in four digits for the first time by going to $3,150.
Bitcoin Network & Volume
Moreover, it’s not just the price that should make everyone bullish. Taking a look at the Bitcoin network, recently the hash rate of the network climbed to its all-time high level. This peak was last hit in 2018 making the bitcoin network more secure than ever. Recently, we reported that the mining difficulty of the Bitcoin network also hit a new peak.
The second layer solution on Bitcoin, Lightning Network is making new records as well as the number of nodes climbs to 8,646 while the network capacity is currently at over 950 BTC (amounting to $7.4 million).
As in 2019, we recorded new highs in price, the trading volume also started showing good figures. At the end of last month, Bitcoin trading volume in South Korea reached new levels at 219 million South-Korean won ($185,000) on peer-to-peer exchange LocalBitcoins.
Apart from South Korea, the over the counter Bitcoin trading in Argentina, Mexico, Venezuela, Chile, Peru, and Colombia posted more offline trading activity than what has been reported on the global average scale.
Retail And Institutional Adoption
In recent months, we saw Bitcoin going to kiosk stores and coming to major retailers like Whole Foods and Starbucks among many others. Though, for now, it has been made possible through third parties, it is a potential step towards adoption.
The latest report of Binance, the largest cryptocurrency exchange revealed that non-crypto public is also getting involved in the space as it reads,
“We have also definitely seen more interest from the non-crypto public this month, and hope that the market ‘behaves’ such that the interest continues to build.”
Despite the fact that we are still 60 percent down from the peak, it is astonishing that Binance saw a system traffic hitting an all-time high.
Meanwhile, institutional investors are getting more involved in Bitcoin as evident from the fact that last month CME made a record in Bitcoin futures trading volume that surpassed $1 billion in notional value for the first time. This interest from institutions could further surge after Bakkt, Fidelity, and Ameritrade releases their platforms.
All of these reasons and more is why everyone should be bullish on Bitcoin.