Toney Vays, Adam Back Discuss Bitcoin’s Progress During The Bear Market For The Crypto Industry
Toney Vays And Adam Back Talk About The Bear Market In The Crypto Industry
Bitcoin (BTC) was able to behave in a positive way during the last few days. Indeed, Bitcoin surpassed $5,000 for the first time since November 2018 and since that moment it still didn’t fall. However, Tone Vays, a recognized Bitcoin trader, said that he believes that the bear market in the space is not over.
Tone Vays Remains Bearish About Bitcoin In The Short Term
Toney Vays believes that the market remains in a bear trend, even after Bitcoin reached $5,100. He said that $5,100 was his target and he conducted some long trades. However, he already exited them and he has now some short positions open.
“The bear market, on the other hand, has not ended and that’s why I am dealing with shorted Bitcoin right now,” he said.
According to him, the current sentiment in the market could lead to a bull trap in which users could get caught if they blindly believe that the market will not drop further. As he explained, the bottom for Bitcoin has not yet arrived. Back in December 2018, the digital asset reached its lowest point in more than a year when it was traded close to $3,200.
At the same time, Adam Back, the founder of Blocksream, has also joined the conversation and discussed the crypto market.
“Generally,” Back said, “people have a long term outlook about Bitcoin, it is a perspective that I am looking at too.”
Back explained, the good thing about the bear market is that individuals and developers were able to be focused on building the fundamentals. There have been experts and academics that were working so as to improve Bitcoin as a whole. Some of the things include the Blocksream satellite service and also the Lightning Network (LN).
The Lightning Network is the proposed scaling solution for Bitcoin that aims at improving Bitcoin’s scalability. With it, it might be possible for the digital asset to process hundreds of transactions per second without congesting the main network. Moreover, users would be able to process micropayments with very low fees, something that it is not possible now on Bitcoin’s network.
Back and Vays have also talked about regulations in the crypto market. Clearly, this is a topic that has been present throughout the last year and that still does not have a consensus among the community. Vays, for example, said that the Bitcoin protocol was not able to be regulated.
Nonetheless, he accepted that the industry needs to be regulated in some way. He explained that there will always be 21 million BTC and that the digital asset cannot be regulated. Vays said that the things that can be regulated in the end will be controlled.
If there are issues that the crypto space cannot handle and is not able to deal with, governments should step in for Vays and take action.
Mr. Back said that there are some issues with the market in which regulations would help and it would not be bad at all. He mentioned that the Malta blockchain framework is a good model for several countries to follow and work with. He believes that smaller countries will be more agile creating regulations compared to the large countries.
Malta and Switzerland are two of the countries with the best regulations for virtual currencies and blockchain technology all over the world. Because of the framework that they have created, they now have attracted a large number of companies that are settling their operations in these jurisdictions.
China or South Korea have taken very hard measures to control the crypto market. They went as far as banning Initial Coin Offerings (ICOs) for example.