Currently, everyone is positive that a bitcoin bull run is imminent. However, some analysts think that this upward trend that is gradually forming may not last long enough. It is nowadays common to hear that ‘ the bubble will burst’ in the crypto world. As much as most crypto bulls do not want to hear that, it may soon happen.
The question remains; when and how is the burst going to happen? The recent surge by the most popular crypto explains why it has not yet happened. Bitcoin is currently hovering around the $8,000 handle which is fuelling the bulls to take over. In spite of all that, Bitcoin is still some kind of bubble. Although a lot is happening in the virtual currencies world, it has not yet erupted.
Currently, it is almost impossible to buy simple daily things like burgers and coffee using bitcoin without being suffocated with tax. Bakkt announced a new release date of this July. However, it is yet to get any regulatory approval from the United States authorities. The NYSE has no idea of when or if their new cryptocurrency exchange will receive approval.
Most of the altcoins also have their pertinent issues too. Ethereum postponed a network upgrade until 2020 while Ripple’s clients said that they are just sampling the cryptocurrency. Steemit is still in beta after 3 years while Brave’s browser is not in the 10 most popular browsers despite its 6 million users.
Not All is Lost
Bitcoin is looking up again and despite the bad news, there is always some good news to neutralize it. Some notable good news is that Bitcoin’s Lightning Network is soaring. Moreover, the number of bitcoin wallet users is also increasing.
Furthermore, some large institutions and prestigious universities admitted to purchasing some crypto. Virginia’s Fairfax County, MIT, Rockefeller family offices, University of Michigan, and Yale are some of the institutions that announced their involvement.
In the past year alone, reports show that bitcoin transactions increased by 200%. Companies like Telegram, Facebook, and Samsung plan to introduce their crypto coins. Moreover, Rakuten is creating a crypto exchange. Thus, the number of transactions is expected to increase considerably in the coming years.
With all these developments coming up, it sure feels like a promising future for the cryptocurrencies led by bitcoin. However, most of all that is yet to become a reality. If the bubble is still swelling, when and how exactly will it burst? What effects will it have? The answer to all these questions lies in time; only time will tell.