The oscillating price of cryptocurrency is often a topic of concern. A new journal denotes Cryptocurrency a massive vote of confidence and points it as stable as Oil and Dollar. The scientific Journal expressed digital asset has matured and therefore a reliable form of money.
However, the high volatility in the price of Bitcoin and other virtual coins are not strong to present possible prediction on where exactly the market moves. After the hasty bubble and burst of Bitcoin price in Mid December 2017 has already mislaid the trust of investors towards the crypto market and this topic has been debated since long.
Since the market sees positive headlines, Bitcoin price has been slowly tracking upwards. In a research titled “Bitcoin market route to maturity? Evidence from return fluctuations, temporal correlations, and multiscaling effects” researchers studied various factors on Bitcoin price and market movement. The study by researchers including Stanisław Drożdż, Robert Gębarowski, Ludovico Minati, Paweł Oświęcimka, and Marcin Wątorek marks “says, crypto profit varies with the inverse cubic law, a method to analyze the market’s maturity”.[irp posts=”4311″ name=”CFTC Chair On Cryptocurrency Expansion: We Are Seeing More Institutional Movement Into This Area””]
Though reports show market irregularities but the Bitcoin and other cryptocurrencies are maturing in the market as similar as stocks, commodities and fiat currency.
Moreover, the report evident Bitcoin’s maturity by comparing its price of six months – between November 2017 and July 2018. In addition, the journal relates the similar principle can be followed to find the potentials of other cryptocurrencies.
It concludes with;
“Since high-frequency price data are available since the beginning of trading, the Bitcoin offers a unique window into the statistical characteristics of a market maturation trajectory.”
Nonetheless, we see the trend line of Bitcoin is not promise to predict anything in particular but the report finds that the market is beginning to shape itself. Furthermore, an interesting point comes seeing the debate where all crypto enthusiasts are not agreed to the point or where few are not at all agree with the bet on Bitcoin’s maturity.