Bitcoin has experienced an incredible rise over the weekend. By Tuesday, the price of Bitcoin on Coinbase before the close of the day was $8200. Currently, Consensus 2019 is ongoing and many have placed the rise of Bitcoin on the event. Tom Lee, Fundstrat’s Head of Research has given analysis on why Bitcoin's Parabolic rise is caused by Consensus 2019.
The annual Coindesk event was created to bring bitcoin experts, companies and enthusiasts together to deliberate on issues started on Monday, 13 and will end on Wednesday 15, 2019. Tom Lee who attended the event tweeted on the effect of Consensus on the parabolic rise of bitcoin. Bitcoin was trading at $7,100 on Monday (the day Consensus began) and by the end of the day, the price had done up by 13.77% at $8,045. To confirm Lee’s statement, at the end of Consensus day one, the price dropped to $7,700.
Although it may seem that Lee's statement is true, assumptions cannot be made from a single case. During Consensus 2018, the crypto market just started experiencing the bearish tendencies that lasted all through the year. However, consensus still played a role in the rise of Bitcoin that year. On May 14, the beginning of Consensus 2018, the price of Bitcoin rose from $8,413 to $8,855 in less than 8 hours. Although the price remained at $8,500 till the end of the conference on the 16th of May 2018, the price fell below $8,000 at the end of the week.
A correlation between the price of bitcoin and Consensus can be inferred even though each year the market conditions differ. For instance between Consensus 2017 and 2018, BTC’s price rose before and during the conference but by the end of the conference, the price reduces. While we cannot totally blame the rise of bitcoin on Consensus 2019, the price of bitcoin as at the time of writing is $7784.78 experiencing a decrease of -1.94% against the USD. The consensus is still ongoing at the end of the event we can tell if Tom Lee's statement is true.
Do you think Bitcoin's Parabolic rise is to be blamed on Consensus 2019? Share your thoughts with us in the comment section below.