Bitcoin suffers from severe volatility in light of positive expectations during the coming period

During the current period, the Bitcoin currency is in a state of high volatility, as it is difficult for analysts and market experts to predict the prices and trends of the digital currency even if the market is saturated with positive news.

In June, the bitcoin currency tumbled, recording its lowest level since November 12, 2017, and the total market value fell to its lowest level since November 12, 2017, at $233 billion. The rally is holding on to the $6000 psychological support level in light of its continued attempts to surpass the 6500 level, and many investors fear that the bitcoin will fall below the $ 6000 level because this will confirm the scenario of the bitcoin falling to the 4000 dollar level.

Over the course of last week’s trading, the digital currency was subjected to selling operations that made it record its first weekly loss after limited gains over the last three weeks, but it remains trading between the ranges of $6000-6500.

Bitcoin

Bitcoin

 

These losses are due to the renewed selling in the market after the penetration of one of the platforms and the negative statements from three economists in the United States.

Joseph Stiglitz, the Nobel Prize winner in economics and professor of economics at Columbia University, said that he does not support the idea of creating a transparent decentralized banking system, and refused to mention the name of Bitcoin because it is not recognized.

While Kenneth Rogoff, a former chief economist at the International Monetary Fund and a professor at Harvard University, said that Bitcoin will reach $100 within ten years, Rogoff warned against people in governments who are pro-Bitcoin and other digital currencies.

Nouriel Roubini, Professor of Economics at New York University, strongly criticized Bitcoin, saying how a currency can fall by 20% and the next day rise by the same percentage, which is absolutely contrary to the principle of the constant value stock of currencies.

Despite those harsh criticism and declines in other digital currencies over the past few months, we must bear in mind that the digital currency market has succeeded in withstanding many of the obstacles and crises it has been exposed to recently, whether from the increase in the number of piracy of cryptocurrency trading platforms and the intervention of Regulatory authorities and imposing strict measures on the trading of digital currencies, as well as blocking advertisements related to digital currencies or the crypto industry on social networking sites Facebook, Twitter and Google.

These previous reasons really led to a corrective movement in the market, as the total market value of digital currencies declined sharply, after reaching an all-time high of $850 billion, it fell below the $240 billion level in a short period.

In the long term, it is expected that the most popular digital currency will return to the upward trend again, because it is the most stable currency compared to other digital currencies despite its current volatility, in addition to the continuous reform of the problems that the currency suffers from such as its scalability, as well as the correlation of prices of most currencies. Digital Bitcoin price in the market.

Mohamed Abdel Khaleq

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