During this month, the sudden Bitcoin bounce of more than $5,000 point has resulted in people worrying about the pricing in and outside the cryptocurrency community.
Cryptocurrency based investors who have remained for a long time, gladly mentioned that the Crypto Winter, which began in late 2017 when bitcoin’s bubble burst, is over as of now. The maximum positive forecasts are the reiteration of 2015 bitcoin fall from its earlier post-bubble downfall, which not only made bitcoin to reach a high level of $1,150 but also reached at the top level of $19,500 in December 2017.
Meantime, bitcoin doubters pointed out towards the apparent limited fundamental news, for the price rise and even mentioned it as worthless. At Gizmodo Matt Novak wrote a distressed title ‘Bitcoin Surges 15 percent overnight because nobody learned their lesson after the last crash.’
One of the Matt Novak’s perceptions notes, “To be clear, bitcoin is absolutely worthless by real measure. Its fake money that’s about as practical to use in the real world as Monopoly bills.”
It will not be a surprise for the readers to note that I disagree with Novak’s dialogue. But I too am turned off by the crypto traders support team whenever there is a bitcoin price bounce.
What is important is that 10 years after the unknown software engineers developed the decentralized system mainly to record series of transactions, continues to carry its job, block after block, without any expert control, no person to close and no user to modify earlier transactions.
The more this takes place, the more it strengthens the effective visions behind bitcoin which is a peer-to-peer, non-partitioned system used for transferring value across the world. We can even think of bitcoin the cryptocurrency distinct from that of bitcoin the system as a unique digital asset, which mentions the entire value within that huge potential.
Bitcoin as a digital currency is worth because of its presence
Bitcoin is effectively determining that it is unstoppable, a worldwide digital system which operates beyond the traditional national currency and banking system. This is the reason why bitcoin holds to its value.
The total effect of the bitcoin exchange system and its worth to mankind will be dramatically enhanced if bitcoin adoption continues to grow on a large scale and if widely used in global transactions. In order to get bitcoin at that level, a lot of development needs to be carried out.
The Power of Confidence
The bigger part to consider is that the value of bitcoin, as with all types of money, which comes from the large agreement within its potential use as a store of value and through exchange means.
In this bitcoin situation, if the recent Cambridge University’s survey of authenticated users is to be trusted, then the agreement is questionable if one includes 35 million people. The high level of involvement is the reason why bitcoin holds a higher value in comparison to its alternative coins.
