Bitcoin Price Update: Dropping After Reaching a High of $9,736
In 2009 when Satoshi Nakamoto had released the source code of Bitcoin, he/she/they would not have imagined that it would one day reach an all-time high of $19,000. While there are people like John Pfeffer whose Bitcoin price prediction estimated that Bitcoin will reach the $700,000 mark, the price as of now is dropping after a week’s increase.
On April 12th, 2018, Bitcoin’s price rose sharply from $6,874 to $7,737 and continued increasing to a peak of $9,736 on April 25th 8:20 UTC+5:30 and is currently hovering around $8,800. A famous venture capitalist, Tim Draper, predicts that Bitcoin’s price will reach $250,000 by 2022.
In the past 24 hours, most of the cryptocurrencies have been in the red except for EOS, Bitcoin Cash, and OmiseGo, where OmiseGo gained 25% and is currently at $20.79. The total crypto market cap has dropped below the $400 Billion mark and Bitcoin is still dominating with a 38% share.
On the mining side of Bitcoin, the 17 millionth Bitcoin will be mined very soon. There are only 21 million Bitcoins in existence and 80% of them have been mined, and it is predicted that the last Bitcoin will be mined in the year 2140. The past two days have been very promising for cryptocurrencies where many coins have risen at least 20% but right now the market seems to be correcting itself and many people believe it is just a short phase and Bitcoin is yet to see the $10,000 mark again.
Many people do not believe that this drop is a correction. Instead, they believe this is because Bill Harris, former CEO of PayPal and Intuit, posted the reasons of why Bitcoin is a scam. In his post, he explains three reasons why Bitcoin is a scam and why people should not use it or invest in it:
- It still is not a proper means of payment as they are not accepted anywhere
- Extreme price volatility of Bitcoin makes it ill-suited as a store of value
- Bitcoin’s increasing price is a cause of the Greater Fool theory.
He also mentions that Bitcoin is best suited for one thing and that is criminal activities. Although his statements are quite true, many still believe in Bitcoin and hope that the price shoots up. It is still early to say how the situation with cryptocurrencies will unfold.