Hi guys ! Check this new article from DeHedge Editor in Chief, "Crash And Burn" #RomanBruskovBlog
The end of 2017 has seen Bitcoin take a plunge head-first into an empty pool with concrete floor lining. From $20K to $12K in a span of 24 hours is worse than many could have foreseen. There have always been optimists who prophesied over $60 by the end of 2017, but, as experience shows, optimism is often the counterfeit of despair.
The big question on every quivering investor’s lips is – how far will BTC plunge in 2018. Or will it? Of course, there is no simple answer as the crypto market is too volatile and unpredictable to make any sense of it using mere human brain processing power. There are too many factors at work which have brought the “miracle” coin from rags to riches and down to cripple in less than a year. Of course, the possibility of tracking immense amounts of data online in search of predictable patterns and intelligence is still on the table, but the fact of the matter is that most investors are still wary and keep an open mind as to whether the coin bears any potential for the future.
In fact, there is a very good chance than BTC will fall even further as there are many factors at work against it, not the least of which being the fact that the coin has no asset backing at all and the only factor keeping it afloat is speculation. Some factors that could diminish Bitcoin’s perception and crash its price even further include some rather realistic looks at the situation.
Regulations that are being introduced on the market by governments from South Koran to Russia and the US cannot realistically stop Bitcoin as a force on the market. But, they can do something far worse as they are capable of stopping liquidity from entering Bitcoin in the face of detracted investors. If institutional funds are forbidden from entering cryptocurrencies, then Bitcoin will eventually reach a peak at which point investors will lose interest in it and that will bring about a massive dump.
Scams, pump and dump schemes, speculation in other crypto assets and other factors on the market will torpedo the industry as a whole if regulating and insurance instruments are not introduced. If that happens and the market suffers a loss of faith, Bitcoin will suffer the same unenviable fate as other crypto assets and will be dumped, flogged and gibbeted.
If one analyzes the crypto market, it will be easy to notice that many ICOs are being used by projects that can do well without the backing of blockchain technology and are achievable by conventional means. If alternative, cheaper methodologies and approaches are available, investors are not foolish enough to pour their hard-earned funds into unproven technologies. In fact, blockchains is still under testing and evaluation and is not ready for mass adoption by the market. If the technology fails to approve of the hopes and dreams being laid upon its frail, young shoulders, a crash is inevitable.
You can find this article on our Facebook page:
https://www.facebook.com/pg/dehedgeofficial/posts/?ref=page_internal