Bitcoin is dead. Bitcoin is rallying. I checked and it’s over $6,500-per-coin. And now it’s not. Now it is again. It’s alive! The king is dead long live the king; or, rather, the Coin is dead long live the Coin! A rising Bitcoin lifts all Coins, including Ethereum and XRP posting gains of 18.44% and 5.27% respectively.
“Crypto is not dead, and certainly the underlying technology is not dead. We’re going to see more widespread adoption, by both the private and public sector, of the blockchain technology and related technologies. In terms of crypto, what we’re getting is the realization that adoption is not going to be as big and as quick as the proponents of crypto would like. I think it’s going to be there, it’s going to last for a long time, it’s going to play a role in the ecosystem, but it’s not going to be the currency that a lot of proponents would like it to be.”
What’s happening is what everyone does and doesn’t want: institutional investors do want Bitcoin and the altcoins to be more stable, as is proven by recent announcements from the Winklevoss brothers and the rise of the stablecoins; however, hodlers do not want a stable Bitcoin that slowly builds value over time and hovers above $6,000 for the foreseeable future.
There is an unspoken expectation that Bitcoin will be valued at a million dollars by 2020—at least that’s what the Colonel Kurtz of Crypto, John McAfee, foretold almost a year ago. Apostles of gurus like McAfee still believe that $19,783.06 is a chump’s price for a Bitcoin compared to the $50,000-per-coin that all the faithful believe will come to pass before the end of 2018.
“The test of a first-rate intelligence is the ability to hold two opposed ideas in mind at the same time and still retain the ability to function.” – F. Scott Fitzgerald
If Ethereum’s recent rally of almost 20% since yesterday is any indicator of the potential left in the cryptocoin market, I would probably be a little more bullish than El-Erian and a lot more bearish than McAfee.