Good morning and welcome to our rolling coverage of all things cryptocurrency, including price, innovation, regulation and financial crime.
The market floats back into the green this morning, posting positive results as a bull trend moves Bitcoin back into the green.
Bitcoin grew 1.27 percent to trade for $6.728.31 at the time of writing, at 9am.
Ethereum jumped 1.54 percent to go for $277.92.
Ripple rose 1.86 percent to trade for $0.329328.
Litecoin also increased 1.59 percent to trade for $57.58.
Experts warn that the positive charts could be a calm before BTC plummets again as the market waits for the Securities and Exchange Commission’s decision to ratify a Bitcoin, Exchange-Traded Fund.
All timings are in British Standard Time.
9.50am UPDATE: Could BTC drop another $3,000?
Anthony Pompliano, founder and partner, Morgan Creek Digital Assets has predicted that Bitcoin could fall as low as $3,000 in a complete turnaround from one of the market’s most bullish positions.
In a post, Pompliano stated that his January prediction of a $50,000 year-end Bitcoin price was wide of the mark by as much as four years.
He stated: “Parabolic increases in price continue to take longer — each parabolic run is measured from the last all-time high to the new all-time high. The first rapid price appreciation took just over 300 days (2010-2011) and the second took over 900 days (2011-2013). The last parabolic price increase peaked at ~$20,000 (2013-2017) and took almost 1,500 days to complete.”
9am UPDATE: Trend reversal on the way as BTC prices correlate with emerging markets, says CEO
Tom Lee, Fundstrat’s Bitcoin analyst has claimed cryptocurrency prices could have an explosive climax to 2018, claiming a correlation between the cryptocurrency market and emerging markets.
The Head of Research at Fundstrat Global Advisors has said that he “still think[s] it’s possible” that Bitcoin’s price could surge to as high as $25,000 this year.
Lee has based this assumption on the relationship between the price of BTC and BlackRock’s iShares MSCI Emerging Markets exchange-traded fund (ETF), which tracks large and mid-sized companies in emerging markets.
The “important correlation,” according to Lee, lies in the fact that both markets are running somewhat parallel to each other, with both having “really essentially peaked” in early 2018, as well as “both [having been] in a downward trend” from then on.