Bitcoin, which has exploded back into the public consciousness over the last few weeks following a huge surge in the bitcoin price, has again captured the attention of some of the world’s biggest investors and traders.
The bitcoin price, which began the year at under $4,000 per bitcoin, has soared to highs of almost $9,000 at the beginning of this week—up a staggering 120% and causing many to predict a potential return to the all-time highs seen at the tail end of 2017.
Now, trading veteran Glen Goodman, who successfully profited from shorting stocks and shares during the 2008 global financial crisis, has branded the rise of bitcoin and cryptocurrencies a “once-in-a-generation” investor opportunity and called on people to “grab it with both hands.”
“I’ve taken my years of trading experience and applied it to a brand-new market,” Goodman wrote in his new book, The Crypto Trader. “Crypto is the Wild West of trading, and that means the risks, as well as the rewards, are greater.”
Goodman’s book comes as the bitcoin and cryptocurrency market is keenly awaiting institutional investment in the fledgling industry, with the world’s biggest technology companies, including social media giants Facebook and Twitter, eyeing bitcoin and crypto as a potential new revenue driver.
The bitcoin and cryptocurrency sector is, however, still reeling from a bitter bear market that gripped the market throughout 2018, with many major cryptocurrencies losing around 90% of their value. Bitcoin and most other major cryptocurrencies soared throughout 2017, with bitcoin rising from under $1,000 per bitcoin to almost $20,000 in under 12 months.
“Even during the 2018 slump, I found there were still good profits to be made, though it’s much easier making money during a raging bull market,” Goodman wrote.
Last year’s sudden downturn in the bitcoin and cryptocurrency market was branded crypto winter for its debilitating effect on the industry, with many newly founded crypto businesses forced to cut costs and fire staff to survive the turbulence.
“A multi-billion-dollar market has arisen from nothing in less than a decade. Huge fortunes have been made. Some, of course, have been made and then lost almost as quickly—as with any new market, there are dramatic up and downs—but many more will be made in the future,” Goodman wrote.
The wider bitcoin and cryptocurrency market is now worth some $270 billion, with bitcoin, by far the largest cryptocurrency by both usage and value, making up around $150 billion of that.
The bitcoin and cryptocurrency market, which has attracted scorn from some quarters of the traditional financial and investment industry has won over some supporters recently.
Mark Mobius, the cofounder of Mobius Capital Partners and a legendary investor who once branded bitcoin a “real fraud”, said earlier this month that bitcoin and cryptocurrencies will be “alive and well” in the future.
Bitcoin bulls are meanwhile getting excited due to the closely watched so-called bitcoin halvening event, where the number of bitcoins awarded to miners for mining new bitcoin blocks will drop from 12.5 bitcoin to 6.25 bitcoin, now just under one year away.
The start of the year-long count down has caused some analysts to predict a return to bitcoin’s all-time highs could be just around the corner.
Date: June 05, 2019