On September,2, Bitcoin reached historic high at $4,965, and that time it looked like the cryptocurrency was ready to break psychological level of $5,000 and speed up the move higher.
However, it didn't happen. During the next two weeks it lost almost 40% of its value bumping into strong support around $2,999 and rebounding to current $4,300 area.
So what is next?
Is there any chance to see the pair moving higher?
First of all, there are no fundamental reasons for Bitcoin depreciation, except for its overbought nature and tougher regulation from China.
Second, there are some factors that may push the price of cryptocurrency higher in the nearest future:
1. The first ever Bitcoin-based ETF launch. There were several attempts to do that, but each time the SEC banned the process. Evolve Fund Group Inc managed to do that in Canada. Its launch is scheduled for late 2017.
2. Bitcoin payments at Amazon. This step from such a giant will trigger the transactions growth in Bitcoin network.
3. Official ICO exchange launch. Overstock in cooperation with RenGen announced the project. The exchange operation will be regulated by the SEC that may drive the crypto currency payments to new highs.
All in all, this gives me the understanding, Bitcoin has bright future in store, and by the end of the year it may touch new historic highs around $7,000.
However, it didn't happen. During the next two weeks it lost almost 40% of its value bumping into strong support around $2,999 and rebounding to current $4,300 area.
So what is next?
Is there any chance to see the pair moving higher?
First of all, there are no fundamental reasons for Bitcoin depreciation, except for its overbought nature and tougher regulation from China.
Second, there are some factors that may push the price of cryptocurrency higher in the nearest future:
1. The first ever Bitcoin-based ETF launch. There were several attempts to do that, but each time the SEC banned the process. Evolve Fund Group Inc managed to do that in Canada. Its launch is scheduled for late 2017.
2. Bitcoin payments at Amazon. This step from such a giant will trigger the transactions growth in Bitcoin network.
3. Official ICO exchange launch. Overstock in cooperation with RenGen announced the project. The exchange operation will be regulated by the SEC that may drive the crypto currency payments to new highs.
All in all, this gives me the understanding, Bitcoin has bright future in store, and by the end of the year it may touch new historic highs around $7,000.