“The current values show a recovery of bitcoin, which comes from hitting a record high in April and then fell. It is the natural behavior of bitcoin since it began in 2009 until today, it is a very volatile asset, which has important ups and downs, but with the characteristic that the trend is upward: although it goes up and down a lot, the floor is every higher time. The resistance is growing. And when it recovers, each time it hits higher highs. That is the historical trend that it has, which is generally upward, and which is consistent with greater adoption, “he told Ambit Emiliano Limia, Head of PR at Buenbit.
“It was, in a way, to be expected that bitcoin would not take long to return to $ 50,000. Despite the market movements by the whales (NdeR .: who make large investments), the many that came from the hand of institutions and investment funds, the on-chain metrics show that the market remains faithful in its belief to hold (hold) hopeful for a higher bitcoin price. Looking closely at the historical movements of bitcoin we understand that the cycles repeat themselves. Hikes, corrections and new historical highs driven by speculation continue to be the best strategy for holders, ”said Lucas Mazalan, CMO of Xcapit, a Cordoba startup that developed a platform to invest in cryptocurrencies.
Meanwhile, Andrés Fleischer, COO (Chief Operating Officer) of Ripio, said: “Crypto assets are growing in adoption and continue to attract market interest, especially from companies and corporate investors. This is reflected in the volume growth. Another not minor point is that since they are assets whose scarcity in most cases is assured, for example bitcoin, which has a defined issue of 21 million units, the price increase usually shows a greater interest on the part of the market. and users in these types of assets. Particularly in our country, in times of economic uncertainty, crypto assets have proven to be an important alternative to traditional currencies ”.
There is, beyond its limited supply, some conjunctural factors that explain its recent rebound. “If we analyze current factors, they have to do with the fact that in two weeks bitcoin will be activated as legal tender in El Salvador. And another important issue is that a quite relevant drop had been seen when the restrictions on miners were announced in China. A very large percentage of bitcoin mining is in China (about 70%) and they had to start removing those computers from China and that caused the price to drop quite a bit. But the miners began to relocate and one now sees that computational power is beginning to be recovered because miners began to be installed in other countries. With which, the robustness of the network continues to grow, and although it is difficult to say what will happen to the value of bitcoin in the short term, but if we have to think in the long term, the trend is clearly upward ”, remarked Limia.
“All price changes always correspond to multiple factors and cannot be attributed to just one. Analyzing what happened in the last few weeks, there are some interesting macro news to keep in mind: PayPal is announcing that it is expanding its crypto services outside the United States and is making steady progress towards the acceptance of bitcoin as legal currency in El Salvador.
In turn, Visa bought a CryptoPunk for $ 150,000 and continues to bet on the crypto market. To this news is added the speculation of the Chinese market and a strong increase in active wallets and accumulation patterns ”, analyzed Franco Bianchi, CMO of Lemon Cash, the virtual wallet that combines pesos with cryptocurrencies.