Cryptocurrency is Going Mainstream, Here’s 4 Factors Signaling Bitcoin’s Price Rise Soon
Four Signs That Show Bitcoin Has Gone Mainstream And Will Continue To Climb
It’s amazing to see that mainstream adoption of bitcoin continues to rise, even with the regulatory uncertainty in the cryptocurrency space. Recently, for the first time since May 2018, the price of bitcoin climbed above the $8,000 market for the first time, according to CoinMarketCap. Although the coin fell again in the past few days, many agree that the tide is officially turned and the bull rusk is coming. In an Interview with CNBC, Marc Lasry, a billionaire investor, said that the price of bitcoin could go as high as $40,000 as more adoption is seen across different sectors. Mo
Here are reasons that show bitcoin price will continue to climb, according to Chris Kline, the Chief Operation Officer and the co-founder of BitcoinIRA.com:
Bitcoin ETF Will Foster Expansion Of Cryptocurrency Investors’ Pool
The Chicago Board Options filed an application with the U.S. Securities and Exchange Commission (SEC) in June 2018 to open the first bitcoin ETF in the world. If the CBOE application for a bitcoin ETF (Exchange Traded Fund) is approved, which is likely to happen soon, the price could surpass the $40,000 mark by the end of 2019, continuing to climb as we go to 2020. Kline also believes that this will make bitcoin become far more accessible to many investors who want to invest in a crypto fund instead of the digital asset itself. He further noted that:
“I am optimistic that the application will be accepted. SEC Director of Corporate Finance William Hinman already stated earlier this year that bitcoin and ether did not necessarily qualify as securities and, therefore, I believe it's likely they won't be subjected to the same stringent regulations as other securities. Furthermore, the SEC also recently proposed easing its rules for low-risk ETFs, ultimately enabling an ETF to enter the market through a quicker and easier process.”
New Patent By MasterCard Represent will Improve Speed of Crypt-Related Transactions
In July 2018, MasterCard got a new patent for a strategy to enhance the speed of transactions related to cryptocurrencies. Currently, the processing speed time for most blockchains is around 10 minutes, by the company’s strategy could speed up the transaction process with accounts able to make direct cryptocurrency transactions.
MasterCard plans to achieve this by offering a unique user account that’s able to transact in cryptocurrencies. If this is seen to completion, it could mean that customers would be able to pay for items with cryptocurrencies using their credit card, without going through a middle man.
On this issue, Kline noted that:
“This is crucial, because I suspect that many people, while fascinated by the concept of Bitcoin, remain unconvinced of the currency's practicality. Should these efforts go to market, I predict cryptocurrency will become a much more ingrained part of our daily lives, as it will be a viable option at many of the places where we conduct our day-to-day transactions.”
Momentum Is Building By Day
Since July, the price of bitcoin has rallied, and its momentum seems to be building on the blockchain. According to market data, the number of on-chain transactions conducted per day has surpassed at least 230,000, the highest figure since January. Kline believes that this trend is an indication of increased market demand as a whole. In his words, he said that:
“I believe that this trend of more on-chain transactions is indicative of increased demand in the crypto space as a whole, which will only continue to increase as decentralized technology evolves and digital currencies grow increasingly accessible — and useful — to a group of people that once deemed them radical.”
Massive Increase In Institutional Adoption
2018 has not just been an year of more regulatory scrutiny of the cryptocurrencies; it has also been one of increased institutional adoption. According to Kline, it’s a year in which the worlds of crypt and Wall Street have started to intertwine. Just recently, reports that Goldman Sachs was gearing up to launch a bitcoin trading desk, giving a chance to institutional investors to have a share of the bitcoin market, made headlines.
The Co-founder of BitcoinIRA.com Believes That:
“The environment does seem to me to be heading in a pro-crypto direction. With time, I predict we will only continue to see increased institutional adoption in the crypto space, and prices will continue to climb. Additionally, I believe that as more financial institutions build out crypto products and with the likely passage of bitcoin ETFs, more investors at both the individual and institutional level will get involved with bitcoin, which will reflect positively in the price.”