Bitcoin has been around for about a decade. In that time, the digital currency has been described as the greatest scam in the history of humankind, a gambling game, a pump and dump scheme, and a criminal activity funding scheme. Though some of these allegations are not so far fetched and have played part in the making of this digital currency, Bitcoin has over the years proven to be much more. Back in 2014, very few could understand it and this led to many dismissing it but over the years and especially when it rallied to $20,000 in 2017, many took an interest.
An Important Phase To Understand Bitcoin’s Fundamentals
In the year 2018, this number dropped significantly, hitting a year low of around $3,200. This was a skeptic’s dream come true. The skeptics were able to lift their heads and say ‘we told you so’, ‘bubble that will soon burst.’
However, analysts who believe they fully understand Bitcoin believe that 2018 was a phase of understanding and adoption. Though 2018 saw prices hit bottom, analysts believe that during this period there was a great advancement. Investors got to understand Bitcoin and its underlying blockchain technology. This saw investors who took positions for the flare walk out while the more loyalist stuck through with it. People finally understood the three fundamental features of Bitcoin:
1. Means of Payment.
2. Store of Value.
3. Intrinsic value.
Though these features are always being disputed by many economists, Bitcoin continues to show its real value and disapprove the skeptics.
State Organisations To Begin Mining Bitcoin
It’s 2019 now and many analysts say that this year Bitcoin will bounce back, one of them is Max Keiser (host of the Keiser Report, on RT.com and Bitcoin advocate). But first, he has a message for those who challenge Bitcoin;
“Bitcoin is on its own journey and it has a way of making people who challenge it look really stupid. In the bitcoin space, of course, you have Craig Wright, you had Roger Ver, you had Mike Hearn, these type of people who suffer from bitcoin derangement syndrome. Now in the past couple years, you’ve got Nouriel Roubini, Paul Krugman, and a few others that are in mainstream economics who are looking really stupid because they never took the time to investigate what bitcoin is all about.”
Max Keiser has further gone to explain that he believes the next rally will be triggered by states. According to Keiser, states will begin mining Bitcoin for “strategic reserves” seeing supply go down, triggering the next rally and a whole new all-time high.