Are There Any Real Threats to Bitcoin?
Congressional hearing held in San Francisco discussed regulatory issues in cryptocurrency and how they may affect the industry. They include Circle, Coinbase, Stellar, FTX and various others .
In regards to the latter, there was no big news in terms of stringency, and the price of Bitcoin is expected continued its movement ,if no special annoucement is made in regards to crypto regulation ,most analysts judge from the response from the members at the meeting,it seems more of a fact finding meeting and many expect no concrete solution has been decided
Beside this meeting, Bitcoin may swing further if there are further bad news coming out from China and since market is at its peak of volatility ,more correction may be possible especially when there is increased uncertainty over the health effects of the COVID Omicron variant and some investors hope to pick up the coin at cheaper rate if they can . The rate of Uncertainity is still there, the impact from the Omicron virus is still unknown and the market is pricing in the possibility of it getting worse.
The volatility of the crypto market is causing a lot of new investors to lose money. Experts say crypto is on its way to reaching the next target at $80,000 mark and possibly even higher , but no one knows exactly when that will happen.
Bitcoin has increased in value steadily over the years and will likely continue to rise in the future. People who invest in Bitcoin should be wondering how much higher it can go.
For those of you who keep track of the value of Bitcoin, you no doubt see all the fluctuations that are connected to this digital currency. Some people wonder if this means that there is a threat to the entire Bitcoin currency or not?
Experts agree that these fluctuations are based on user’s confidence levels, or lack of. As more people and retailers start to use Bitcoin it is thought that the value will become more stable.
In the recent past the popularity of Bitcoin has gained new attention. The number of online and offline retailers accepting Bitcoin has grown substantially.
One huge attraction of Bitcoin is that it has very low transactions fees associated with it. This is because no bank or government has control over this digital currency.
Because Bitcoin is basically a code, could a group of users get together and try to gain control? This is thought to be highly unlikely due to the verification process of each transaction.
Any issues that have been raised actually apply for anything or anyone who is online today. This includes being vulnerable to malware attacks, hackers, losing keys and passwords and requiring that you back up your information to another device.
As the history of Bitcoin only dates back to 2009 it is still very early in the evolution of this currency. It is difficult to predict the future and what will happen.
As Bitcoin stands today it has no country boundaries and this is one aspect that people love. All transactions are done via keys with no names or identities attached to them.
Young people are becoming passionate about Bitcoin due to the lack of government involvement. They love that the banks can’t dictate the value of this currency or assign transaction or exchange fees to it.
For a threat to be real to Bitcoin, it would need to involve massive amounts of computer power and technology. If any one person or group would be willing to go this far, only time will tell.
If you are considering entering the Bitcoin bubble, most experts suggest the ‘now rather than later’ approach ,but at one’s own risk , research and judgement .
Any type of digital currency or stock market trading can be volatile. You just need to be aware of the risks and you must be willing to accept them.
As far as fluctuations go these should begin to ease off and stabilize as more people use this currency.
Note : This article has originally been published on Medium on 9th Dec ,with its related link from Medium by the same author
Disclaimer :The above information and publications are not intended to be and do not constitute financial advice, investment advice, trading advice or any other advice as the writer is not a Financial analyst ,any interpreataion will be at reader's own judgement and risk