Amidst A Bear Market Bitcoin Still Looks Bullish For The Future
Clearly, 2018 was not a good year for virtual currencies. Bitcoin lost more than 80% of its price and other virtual currencies lost even more than 95% of their value compared to their all-time high. This does not look promising for the very short term. The bears remain in control of the market and several analysts believe that the bottom could be even lower.
However, thinking for the long term, it could be a good moment to enter the space. The technology behind virtual currencies is being embraced in many different industries and companies from all over the world are also interested in entering the crypto market.
Back in the 90’s the dot-com bubble that several analysts compare to cryptocurrencies, allowed several companies to be funded and become giant firms nowadays. Yahoo! Or Amazon are just some of these companies that are worth now billions of dollars. Several virtual currencies that are currently in the market might grow in the future and become leaders in a similar way as Yahoo! and Amazon did.
It is also important not to be the victim of a scam or fraudulent Initial Coin Offering (ICO). This would allow investors to be safe in a volatile and unpredictable market. During the last bull run, scammers and fraudsters entered the market trying to steal users’ funds, and in many cases, they were able to do it without being caught by regulatory and law enforcement agencies.
It is also possible to see that in some countries such as Venezuela, Bitcoin continues to grow as a means of payment and as a way to store funds. Moreover, other virtual currencies are also spreading in the country as a way to fight against the crisis that citizens are living there.
Venezuela is just an example, but virtual currencies can be embraced and can be very positive tools in the future to fight against populist governments or as a hedge against currency or inflationary crisis.
This is not the first time that virtual currencies are in a bear trend such as this one. In the past, it was even worse. All these times, experts were calling Bitcoin an experiment and that it was not going to last long. Nevertheless, Bitcoin has 10 years in the market and several institutions and governmental agencies are paying close attention to it.