Swanepoel Talks of the Lackluster Trading of Bitcoin and the Quick Recovery
The price of the Bitcoin has surged over the past 24 hours. This is happening during a situation of global, geopolitical, and economic uncertainty. The price of the Bitcoin went above $10,000 overnight. Thus it has recovered to a little above the point from where it fell. The mini-crash during August led to the market thinking that the Bitcoin might not improve and a lot of other questions.
Swanepoel “After lackluster trading over the weekend, Bitcoin went against the market trend yesterday, quickly breaking through the $10,000 level and reaching $10,500.” He further added, “Today the focus is on Europe and the subsequent Brexit developments in the UK, and the deepening crisis in Argentina. After the Labor Day holiday in the US, all markets are open, and we expect to see volumes rising during what normally is the busiest trading month of the year.”
Unless there are votes for a “no-deal exit” from the parliament, the UK is set to leave Europe during October 31, 2019.
Boris Johnson, Prime Minister, is planning to take the UK out of Europe with or without a deal in time during the Brexit deadline. If no-deal is blocked and the detailed plans are passed, Johnson might likely call for a general election before the arrival of the Brexit Deadline.
The current uncertainty has led to the pound falling to its lowest versus the USD. Neil Wilson, Chief Market Analyst, stated, “The outlook for sterling may well worsen if there is an election and will certainly deteriorate if it’s a no-deal.”
Though the price of the Bitcoin is volatile in a notorious way, there has been a steady increase in its price since 2019. While the price has tripled ever since the beginning of this year, it is a long way away from its record price of $20,000.
Brexit is economically damaging the prospects are about increased trade tariffs between the two giant economies of the world. This has, in turn, lead to the resurgence of the Bitcoin price.
Some investors consider Bitcoin to be a safe-haven asset like Gold. This is due to its finite supply. The Bitcoin relies on a boundary-less decentralized infrastructure. Therefore, the price is less prone to the effects of a single country or a market.
Nicholas Gregory stated, “A no-deal Brexit could see a massive and unprecedented breakout.” Major global fiat currencies are vulnerable, and a breakout of identity crisis is on the cards.
By Maheen Hernandez