Compared to 2017, you may argue that cryptocurrencies have mellowed down after regulations were put in place in different countries. From Bitcoin skyrocketing to almost $20,000 last year, to Bitcoin trading just around half of its all-time high today is all due to the regulatory changes that created a bearish trend for the entire industry. In fact, Bitcoin lost half of its highest value only trading below $10,000 in the past days.
However, it seems that the crypto industry is not just attracting investors looking to earn a quick buck. This time around, crypto investors come in the form of whales. There was news that Goldman Sachs is now interested in cryptocurrencies. And this could mean a large investment on the crypto market.
More recently, it seems that New York Stock Exchange wants to be the first to be on the crypto bandwagon among the other stock exchanges. According to a report, the owner of the NYSE is building an online trading platform that will allow institutional investors to buy and hold their Bitcoin.
Intercontinental Exchange (ICE) is the parent company of New York Stock Exchange. It has been reported recently that it plans to offer traders a swap contract ultimately to allow customers to get Bitcoin the next day. It will come with a stamp of approval from the exchange. This can bring legitimacy to crypto trading. It is also going to be under the oversight and authority of the Commodity Futures Trading Commission.
This also means that there is already a growing sentiment accepting Bitcoin even in Wall Street. It also means that there are brokers that are now demanding access to Bitcoin.
Multitrillion-Dollar Asset
According to Bitcoin billionaire Cameron Winklevoss, he mentioned to CNBC that “Bitcoin is a multitrillion-dollar asset”. On the other hand, UBS’s Paul Donovan has a completely opposite opinion saying that Bitcoin is simply a bubble that should be ignored.
Both Bill Gates and Warren Buffet have already mentioned negative things about Bitcoin recently. Warren Buffet has compared Bitcoin to rat poison while Bill Gates mentioned that he would short it if he could.
Now that there are a good number of institutional investors becoming interested in Bitcoin, it is really hard to ignore Bitcoin at this point. It is also true that there is a growing number of large investors looking to invest in the market. Nasdaq even mentioned that it is considering to become a crypto exchange.
Issues With Bitcoin
But of course, there are a lot of issues that have to be addressed. Until now, there is no general consensus when it comes to cryptocurrencies worldwide. In addition to this, there are also incidents of stolen digital currencies. In fact, there is a chance that hackers could steal the digital currency. In fact, hackers can steal from major cryptocurrency exchanges. And recently, Japan is already doing its best in order to avoid another incident that is as bad as Coincheck.
What exactly is in store for Bitcoin now that more and more institutions are interested? Can we expect Bitcoin to shoot back up to its all-time high really soon? Or is it going to fizzle soon?
