Bitcoin rally

The strong rally that has been wagging bitcoin since the beginning of the year has gained the attention of newspapers several times: since the beginning of the year its progression was about 170%, with a value now above $ 2,600. Yet there is another cryptocurrency whose value has exploded far more: it is Ether and its price has gone from $ 8.24 in early January to $ 384, an impressive progression close to 4.600%.

Credits

The reason for this real boom is not immediately understandable. Certain data on the features of this coin, however, are these. Ether is based on a different blockchain than Bitcoin, whose name is Ethereum. The applications of this platform would be particularly interesting for the development of smart contracts, the technology capable of expediting the contractual procedures by automatically performing the functions once only "human". According to Cnbc, Barclays has already used this kind of technology to exchange derivative instruments.

Ether, therefore, would have as the first goal to become the means of this new kind of contracts, rather than a simple form of payment such as Bitcoin. According to Cryptocompare data, one year ago Ether's major buyers invested using Bitcoin, for a share of 83% of purchases. Now this slice would only be 32% to testify that interest in ether goes beyond just digital coin fans.

That the rise of Ether is going to last? According to Cnbc by expert Jason Hamilton, the risk that traders pointing to Ether are taking is that the blockchain they are investing could be cloned "making the tokens that everyone are buying would not be used for much more than the trading. "

Bitcoin at the crossroads: down by -46.5% or flying at $ 6,000

An analyst is convinced that reaching the technical level of 2,800 would trigger profit margins, resulting in a correction step up to $ 1,470 (down from -46.5%). These are forecasts by Nicola Duke, analyst at Forex Analytix, who quoted the Fibonacci series.

Credits

Among the reasons for the incredible leaps of recent months mentioned by market observers and traders are the bitcoin legalization of payments in Japan, demand growth in Korea and potentially in China, as well as the positive conclusions of a major debate on Future of cryptocurrency.

The Digital Currency Group has encouraged investors on the future prosperity of Bitcoin, which many still consider a bubble to burst, if not even a Ponzi scheme. But the fact that 56 companies in the world and 83% of people authorized to issue Bitcoin have signed the Bitcoin Scaling Agreement, is a nice promotion for virtual currency and should increase the volume of transactions and payments in Bitcoin. To print the coin, it is necessary to solve such complex problems as ever, often with the help of software and algorithms.

Because of the factors mentioned above, there are also those who, like the CEO of Gatecoin, a regulated exchange swap platform, have an extremely discordant opinion with respect to Duke. Aurelien Menant believes that Bitcoin has the potential to reach up to $ 6,000 in value, twice as much as the same manager predicted earlier this year.