For years now we have seen cryptocurrency exist right on the fringe of acceptability. Treated much like other digital trends, it has seemed like most serious financial players are simply waiting for the larger cryptocurrencies to fail. If these financial experts are still waiting, they might have to wait a bit longer. 2017 has been a boom year for cryptocurrency and coins like Bitcoin and Ethereum have proven to be not just immune from failing, but flourishing instead. This past Monday analysts saw as Bitcoin surged to its highest trading price of all time: $3,451. The biggest takeaway from this story? The coin may not be done rising yet?
Right now the biggest concern for something like Bitcoin is that there is a major, broadscale shake up that causes confidence to be lost in the coin. When confidence is lost in a volatile trading market like cryptocurrency it can send shockwaves throughout the industry, causing prices to plummet as well. Analyst Ronnie Moas, founder of Standpoint Research, doesn’t believe that this is likely to happen any time soon. Moas said, “The further we get into this game the less likely you will get something like that.” Moas went on to conclude that too many people are too heavily invested for mere scares to cause the currency to fail.
The recent surge in value for Bitcoin comes on the heels of a momentous occasion: Bitcoin forked into two different currencies. Bitcoin still exists, of course, but Bitcoin Cash is now on the rise. Many people expected the split to be turbulent and to disrupt the market value of Bitcoin but the opposite turned out to be true. Instead, developers saw a huge boost in both traffic and value. From Monday to Friday the cryptocurrency would gain nearly 18% in value — or $600 total from price open to price close throughout the week. Bitcoin is now worth a stunning $56 billion.
The forking of currency was a point of legitimate concern for many within the cryptocurrency market and it highlights just how finite the industry can be. There will be plenty more of these little moments in the future, some expected and some unexpected, and it will be up to the industry to regulate itself. The future of Bitcoin as well as other digital currencies, like Ethereum, depends entirely on how stable this market becomes and how confident the currency holders manage to stay. Right now all we can say is this: confidence in cryptocurrency is at an all time high.