Cryptocurrency
News
Bitcoin Price Surge a Bonus for All Cryptos but Nakamoto Debate Could Cause Problems
The Bitcoin (BTC) price rally might have plateaued following a pump in early April, but the bullish sentiment remains. With the price of BTC topping the $5,000 mark in recent weeks, investors have started to see some potential in the original cryptocurrency. However, with a prominent name in the community threatening to upset the applecart, the party may not last forever.
Bitcoin’s Bottom-Line Looking Strong
Looking at the technical analysis, bearish trend lines with resistance at $5,080 were broken on April 15, pushing the digital token into the bullish zone. Although few are ready to get swept away by the same hype we saw in 2017, anyone looking to buy BTC right now could be entering at a great time.
The immediate impact of a Bitcoin price boom is obvious for those with active holdings. Although fluctuations are a natural part of the market, the recent surge has raised the coin’s bottom-line. Indeed, looking at the BTC price chart between March 15 and April 15, the average daily price has increased from $4,000 to $5,000. In the long term, it’s these types of movement that can have a lasting effect.
Because dips can and will occur, the lowest average value matters. To put it another way, a new bottom-line means the lows will always be higher than they were before. That, in turn, means early investors have a much greater chance of achieving a strong long-term profit. What’s more, the rise of Bitcoin could have a knock-on effect across the crypto community.
BTC Price Spike Could Help All Cryptos
As we saw in 2017, the hype around the leading token can help the price of altcoins such as Ripple (XRP) and Ethereum (ETH). Although no one is currently suggesting the current upswing is going to snowball into another record run, it could certainly have a positive effect. In January, Ripple price predictions suggested the cryptocurrency could top $600 this year. Although it’s still a far cry from that level, a surge for Bitcoin could drag XRP price charts beyond the $1 mark and towards $10.
The same could be true for Ethereum and many of the other leading altcoins. Irrespective of Bitcoin’s status among crypto insiders, the reputation it has is unmatched. In many ways, Bitcoin is the Apple of the crypto world. While that’s not to criticize Apple products, the reality is that its brand cache is so great that anything it does will almost always have a positive result. That, in turn, can lead to positive innovations for the mobile industry as a whole.
Bitcoin serves a similar function in the crypto industry. Even with political issues such as Brexit threatening to slow progress, a wave of interest for Bitcoin can turn things around. However, despite the positive price movements, there could be trouble ahead. With Australian Craig Wright continuing to push his own agenda, the price of BTC could be about to take a hit.
Wright’s Wrong Could Hurt Bitcoin Price
Continuing a feud that started in 2018, Wright is now at loggerheads with Binance. The genesis of the argument comes after Wright claimed to be the fabled Satoshi Nakamoto. Using this as a base, he pushed for the Bitcoin community to adopt more of his ideas. Divisions soon formed, leading to the creation of Bitcoin SV (BSV). Commenting on the issue in April, Binance CEO Zhao Changpeng called for Wright to stop calling himself Nakamoto. Essentially accusing the Aussie of lying in order to get his own way, Changpeng said Binance will delist Bitcoin SV if things continue.
A civil war within the Bitcoin community could disrupt the price of BTC and any of its forks. While Binance is yet to take any action, the threat is there. For now, however, investors are bullish over the price of Bitcoin, and that seems to be good news for anyone currently trading cryptocurrencies.
Featured image source: phankurak rubpol/Shutterstock.com
More Resources