Ever since making its debut on the financial market, bitcoin has been the object of much controversy. Despite using exchange comparison websites it is difficult to keep track of the famous cryptocurrency as it continues to stir the world’s financial pot.
Much celebrated for its ability to create a new financial order in which monetary elites such as banks and professional stockbrokers no longer monopolized the trading business, instead opening the door for ordinary citizens to bank on the profits.
The societal effects of this proverbial clash of civilizations came to a halt though with its initial decline occurring already in the first significant bear market of 2011. With its 163 day span it remains the worst performer to date but the race is not over yet. As the world is seeing the longest stretch of declining prices in terms of Bitcoin in its history to date, is there then a new bull market in sight? Or is it still too soon for hope?
Aside from the initial bear market of 2011, there was yet another significant market decline between 2013 and 2015. This period lasted approximately 410 days and presented at its absolute worst a drop in prices of 86% from the previous high.
The current bear market has it beat though as it has recently presented an even longer stretch of declining prices with its 411th consecutive day just being noted. A total depreciation is still being avoided though but the question is for how long. Despite having achieved an all-time high in terms of prices in December of 2017, the market is showing serious signs of unrest and traders are growing apprehensive.
With this bleak prediction of the future, it is perhaps wise to look to the past in order to find some explanation for the bitcoin markets current state. Perhaps it is time to talk about halving?
Bitcoin has a deflationary monetary policy in place, known as halving, and it is simply put a way for the market to stabilize itself seeing as when demand is greater than supply, it creates a higher valuation of the underlying asset, paying no attention to the state of the market itself. It is suggested that this is one of the catalysts for a bull market to emerge alongside the fact that there is reason to believe prices tend to drop and then rise again whenever a halving period is eminent.
With such a date approaching fast there is every reason to keep track of the market. As such it is wise to explore the tools at hand, BestBitcoinExchange or Bitcoin.org for instance, both provide traders with useful information about trends and updates on the current state of the market and Etherum is a well-known platform for trade. Because with the next halving date looming in 2020, there is indeed reason to be optimistic after all.
If you are interested in even more business-related articles and information from us here at Bit Rebels, then we have a lot to choose from.
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