There is much hype surrounding bitcoin right now, and many people who claim to be psychic think the price will soon reach $5000 per coin. But is this all crazy hype bubble-mania or is this coin the real deal and about to skyrocket into the atmosphere and create more millionaires along the way.
It is obvious that the genie is out of the bottle, and cryptocurrencies will continue to rise and take market share away from stocks, other precious metals, bonds and currencies investors should take a shot on this. If you lose a few bucks, at least you took a shot in life, you miss every shot that you do not take. It will probably be more upsetting to watch it (from the sidelines) go up another 500%.”
Another rival digital currency ethereum could double in value from just under $200 to reach $400 in the next year, and another digital currency, litecoin, to double from about $40 to $80.
Stock analyst say the top 20 digital currencies by market are creating huge buzz and it might be time to look at the crypto world if people have money to burn.
In 10-15 years from now, the charts on a few of the top 20 names could look like the Amazon, Apple, Tesla, Facebook, Netflix and Google charts look today.
Bitcoin has already as developers go ahead with a scheduled upgrade known as Bitcoin Cash. Direct owners of bitcoin will then hold two versions of the digital currency.
The market is telling you right now that there are many positives going forward and bitcoin due to limited supply in 2020 could make bitcoin even more rarer than gold.
The digital currency hit a record $4,025 in this week with Wall St analysts now circulated and wondering what all the hype is about.
If major trends develop, bitcoin could reach $5,000 “in a few years, we are not far away right now.
Since March 2017, institutional attention on bitcoin has only increased.
Fundstrat co-founder Tom Lee became the first major Wall Street strategist to publish a report about bitcoin on July 7. Less than a week later, Switzerland’s financial market regulator authorized the first Swiss bank to manage bitcoin for clients, while the U.S. Commodity Futures Trading Commission last Monday approved the first bitcoin options platform. This is big news, and caused some of the biggest names on Wall St to look at this asset.
Last Tuesday, the U.S. Securities and Exchange Commission also issued a report and investors bulletin on initial coin offerings, or sales of new digital coins.
There is now little doubt that 1% of the money in cash, bonds, stocks and gold will end up in cryptocurrencies, and that would only put the icing on the cake for bitcoin.
Since the $80 billion cryptocurrency market right now is a 25th of 1 percent of the $200 trillion in gold, cash, stocks and bonds, we must point out digital currencies will need to increase by 25 times in order to reach 1 percent of the overall capital market.
If cryptocurrencies become part of asset allocation models and take 2 to 4 percent of capital markets, then the digital currencies will likely increase 100 times in value. That is very possible in the coming years.
Of course there are a host of risks for investing in digital currencies, including inherent high volatility, large-scale hacks on cryptocurrency firms and potential regulation, especially in China, that could cause prices to “collapse.” That could be fast, but it’s a risk some market players are willing to take.
In addition, there does seem to be a lack of customer support for online digital currency products.
“There is no telephone support,” he said in the report. “You must go to the FAQs section and spend a long time looking for the answer to whatever question you may have — and then you may not be happy with the answer. Your only other option is to send an email to customer support which could take anywhere from one-to-seven days to get a reply.”
All that said, it might be, the right time to buy digital currencies, is now. He described in his report how investors can buy bitcoin, and why financial institutions are interested in the blockchain technology behind bitcoin and other digital currencies. The potential of this might be even bigger than bitcoin itself.
Some people keep watching from the sidelines for a few years and it felt recently as if the train is leaving the station, if we are talking NFL football, we are still in the first quarter of a four quarter game and that even though I missed out on significant gains (2014 – 2016), it might not be too late to get in.
Copyright 2017 Economic News Articles