Fear of missing out (FOMO) has claimed many Bitcoin victims before.
I know that get-rich-quick stories of previous Bitcoin billionaires, portrayed all smiles with perfect teeth, brandishing their fancy Porsche and Corvette wheels, are hard memories to erase from any investor’s mind.
But so are recollections of the devastating financial repercussions of trying to emulate those efforts, where would-be Bitcoin investors mortgage their homes and sell all their possessions, only to be left shirtless, bankrupt and suicidal.
So what are the experts saying this time, just so that you know what is going on?
After two weeks of meandering below $12,000, Bitcoin (BTC) cleared that technical resistance starting Monday, with the major crypto trading around $12,200 on Tuesday at the time of filing this article.
Analysts are bullish about Bitcoin at the moment.
Coincident Capital, a cryptocurrency hedge fund led by Bryce Gilleland, tweeted that “there is really not much overhead resistance above $12,000. Next up is $13,800, peak of previous high, then all-time high.”
Scott Melker, a cryptocurrency trader better known as ‘The Wolf Of All Streets’ simply explained that Bitcoin is likely in ‘bull season’, saying: “Nothing is stopping us.”
Mike Novogratz, chief executive of Galaxy Digital and former Goldman Sachs partner, told CNBC in August that global Central Banks’ liquidity injections are spurring interest and investment in Bitcoin, anticipating BTC to trade above $14,000 in a few months, then $20,000 by the end of the year.
In early June, Novogratz told his followers to “Get on the train” because he thought Bitcoin was going to surge past the $10,000 mark, which it did. The top crypto last crossed $10,000 on June 3 and then again late in July.
BTC’s May halvening event was a bust but investors still have high expectations that BTC prices will surge in the next 12 months as it had done in the past two seminal halvening events.
Helping Bitcoin is its safe-haven status amid the havoc caused by the Coronavirus and impending global recession already felt in many part of the world, helping weaken paper currencies.
Hedge fund veteran Paul Tudor Jones recently bought the flagship cryptocurrency as a hedge against inflation.
After doubling client accounts in one year’s time sine launch, JP Morgan recently extended banking services to Coinbase and Gemini, two of the largest Bitcoin exchanges.
A recent survey by Fidelity Investments revealed that 36% of institutional investors own crypto assets topped by BTC holdings.
Earlier this year, Visa granted Coinbase power to issue Bitcoin debit cards.
Jack Dorsey, CEO of Twitter, after incorporating Bitcoin and other cryptocurrencies into his payments business ‘Square’, allowed its users in May to make automatic purchases of the digital coin.
More BTC signs
After cheering Bitcoin’s epic 2017 rally to around $20,000 in 2017, Goldman Sachs disappointed Bitcoin believers in May this year when the bank’s top analysts revealed ‘5-reasons-why’ they didn’t think cryptocurrencies should be considered assets.
Now, Goldman Sachs has appointed a new global head of digital assets and reportedly exploring the possibility of creating its own blockchain-based answer to Bitcoin, like that devised by JP Morgan (JPM).
Unveiled last year, JPM Coin was the first digital coin from a major bank and is intended to speed up and lower the cost of international payments by using blockchain technology.
Research from Bitcoin, cryptocurrency and blockchain data company Chainalysis revealed that Wall Street giants are increasingly moving even larger transfers of BTC and cryptocurrency.
UAE and Bitcoin
In the UAE, not many engage in the cryptocurrency trade but one can use local exchanges or select one of the many international exchanges that accept accounts from the Emirates. In addition, sites such as localbitcoins.com publish local buyers and sellers in the UAE, along with payment methods and bid and offer prices.