Knowing how volatile the crypto market can be, cryptocurrency enthusiasts are always looking to buy the dip and Bitcoin has given them plenty of opportunities during these past couple of weeks. The interesting thing is that Bitcoin keeps on going over the $9,000 milestone and then dropping beneath it just as quick.
Bitcoin is priced at $8.759 per token right while Ethereum sits at $623.30 and Ripple (XRP) at $0.7902054 according to Coinmarketcap. Nonetheless, things are looking good for the crypto market and today we are going to check out what are the main reasons why Bitcoin and all the other altcoins are gaining value.
Regulations and Stability
As every cryptocurrency enthusiast already knows, this year started off on the wrong foot for the crypto market. South Korea and China started imposing regulations which made the market crash not once, but twice. However, things are finally starting to cool off and the highly volatile market is slowly but surely starting to be stable.
The most important thing that happened to the crypto market regarding regulations is receiving clarity. Worldwide regulatory clarity is a good thing for the crypto market because this is attracting big-time investors. Cryptocurrencies such as Ripple (XRP) are announcing new partnerships every other week with VeChain (VEN) even partnering with Pornhub.
In fact, Fran Strajnar who is the CEO of Brave New Coin decided to shed some light on this matter by making this following statement to Forbes:
“Bitcoin is trading upwards for a number of reasons. The U.S. is stepping in to regulate security tokens instead of commodity assets (utility) and we are seeing major value investors stepping into buy as a result […] As the Soros’ and the Rockefellers’ of the world move into this ecosystem, this asset class is legitimized and trending in an extremely positive direction.”
The Soros Fund Management
The Soros Fund is known for helping markets thrive and this is why no one should be surprised to that Bitcoin went into full recovery mode after Adam Fisher who is the Macro Manager at the Soros Fund Management received approval to trade digital currencies.
Obviously, Bitcoin was Adam Fisher’s first choice, but we can be sure the Soros Fund Management is going to help other cryptocurrencies grow in value in the upcoming future.
Understanding the Market
One of the most difficult things about the crypto market is getting investors to understand what its all about. Since Bitcoin, Ethereum, Ripple (XRP) and all other cryptocurrencies are looking to basically reinvent how global financial payments are being made among other things, investors are not that keen to invest in them.
However, the market is maturing and investors are slowly but surely getting a better understanding of it. Not just that, but financial themed newspapers and TV shows are starting to include cryptocurrencies in their publications which is making them easier to understand by the general public.
Co-Founder of ZenCash Speaks Out
“This 50-day high is a solid indicator that people are slowly re-entering the market. Increased regulatory scrutiny globally has weighed down on crypto prices over the last quarter, but the space has remained relatively stable over the last several weeks. People are starting to gain a more nuanced understanding of the long-term potential of blockchain technology. It also helps that major investors are becoming more bullish…that bolsters the confidence of the retail investor.” Said Rob Viglione who is the co-founder of ZenCash.
Also, worth noting is that Ripple (XRP) is one of the companies that’s helping people get a better understanding of cryptocurrencies because Ripple (XRP) keeps partnering with financial institutions that are spread all over the world.