Analytics / Forex and Crypto News
Just four months ago, Bitcoin seemed to be on the verge of extinction, as investors left this asset.
However, after a two-day rally, when Bitcoin raised to $5000, for the first time since 2017, more and more market analysis’s are wondering: has Bitcoin reached the bottom?
Race to the bottom is not just a Bitcoin’s story. Bitcoin is one of the followers of crashes in financial markets.
After Bitcoin rebounded 70% from the 2018 low, many cryptocurrency fans noted the bottom and the beginning of a bullish trend.
But nothing has changed in the adoption of the cryptocurrency. Given the extreme volatility of the market, the lack of reliable cryptocurrency assessment tools and their legal uncertainty, predicting the future of Bitcoin is still an inaccurate science, at best.
The diagram shows how the duration and seriousness of Bitcoin collapse are compared with the duration of previous speculative bubbles.
Bitcoin’s 84 percent decline is higher than the Nasdaq collapse in 2000, the oil boom of 2008 and a number of other noticeable market drops, although not disastrous as the Dow Jones Industrial Average’s fall during the Great Crash of 1929.
During five years Bitcoin was on the way to reach its 2017 peak, showing a growth of over 140,000 percent, and exceeding the growth of all bubbles represented in the sample above.
Bitcoin decline was continuing for 12 months. In the stock market and the housing market, the burst of bubbles took much longer.
If Bitcoin has actually reached the bottom, then, as history shows, it has the possibility of further growth. For example, the Nasdaq has doubled from the minimum for 5 years.
During November, ICO-projects sold 416K ETH. This is the largest figure since the summer, reports Trustnodes.
According to Santiment, in August, ICO startups sold only 100,000 ETH. In September, sales of digital currency increased significantly, reaching 300 thousand ETH. In Nov