Coindesk Helping Prevent Bitcoin Bubble From Popping
With Bitcoin recently falling under the $200 mark, many are asking if this is the end of the ride for the virtual currency that has provided so many ups and downs in the last few years. While many do not believe that Bitcoin can reach the highs of over $1000 in 2013, there is the opinion that the current downturn in the virtual currency is just part of birthing pains. To speculate on the future of Bitcoin is a risky proposition as its volatility has shown. However an import indicator to watch for is the reaction of investors.
Here there is good news for the Bitcoin industry as a whole as Bitcoin wallet provider Coinbase has once again raised more funding. They announced an additional round of $75 million which puts their total fundraising as the highest of any Bitcoin company with over $106 million raised to date.
Coindesk are one if not the most active Bitcoin companies around with almost monthly new developments coming out of their publicity machine. The future of Bitcoin according to Coindesk lies in the numbers which don’t lie. They point out that VC’s invested over $335 million in 2014 with Bitcoin companies which is a big increase from the $96 million in 2013.
Currently Bitcoin is once again trading over the $200 mark which according to social investment platform Hedgeable shows that investors are still keeping the faith when it comes to Bitcoin as a long term investment. Bitcoin traders are of course optimistic as always and predict a rough period in 2015 that will be followed by growth ranging up to 171 percent in 2016.
We have reported on the many positive developments surrounding Bitcoin over the last 12 months including merchants and even governments welcoming the discussion on incorporating the virtual currency into our financial systems. The media however sees always to point out the explosive volatility which equates trading with Bitcoin in the same breath as spinning the reels on a slot machine. We look forward to covering the growth of this fascinating commodity that has an almost elusive quality.