Bitcoin has managed to move one step further up the financial stairway, reaching $581 USD as of press time. While the jump isn’t as large as its predecessor, the price of bitcoin hasn’t been this strong in well over a year, and many are breathing a long sigh of relief and hoping things continue to stay this way. Their hopes may come true, with a little push from Counterparty.
Also read: Bitcoin Price Closer Than Ever to $600 as Bull Run Continues
Naturally, analysts seem to be right where they’ve always been, acknowledging the bitcoin jump while simultaneously advising against investments until further notice. As one source states:
“Price has completed a… pattern that could spell the end of a corrective advance… We will most probably see another attempt on $600… Slumping buy volume throughout 2016 remains a concern. It may pick up.”
To put things simply, analysts suggest one of two possible outcomes. The first involves bitcoin falling back down towards the $550 range. This would equal a drop of about $30 in a very short time. The other outcome involves bitcoin’s solid (and likely inevitable) rise to $600, in which $680 would undoubtedly follow soon after. Those seeking to purchase or invest in Bitcoin should keep their eyes on Bitstamp and other exchange charts to gain assurance.
Counterparty Fueling the Rally?
One interesting fact that could be contributing to bitcoin’s present level of sustainability is its recent (and indirect) partnership with altcoin competitor Ethereum. Following a massive crowdsale that saw Ether’s rise to the top, many wondered if Bitcoin was destined for a twisting vacation down south. However, bitcoin quickly recovered, and while Ethereum earned its 15 minutes of fame, trading did not reach levels of epic proportions.
Now, as one source puts it, all of Ethereum’s functionality will soon be available via the bitcoin blockchain through the use of bitcoin’s new Ethereum-style smart contracts with Counterparty. The company has instilled a new port of the Ethereum Virtual Machine to “extend Bitcoin’s capabilities to include smart contracts – allowing decentralized autonomous organizations, social networks and identity systems, programmatic escrow systems, gambling and prediction markets.”
As the old saying goes, if you can’t beat them, join them, and through Counterparty’s efforts, it seems Ethereum and bitcoin no longer have to be warring enemies. Rather, they can serve side-by-side as powerful allies, standing strong together throughout the duration of digital currency’s existence. While Ether trading has reached something of a standstill, no doubt Ethereum has shown it can compete with bitcoin and other financial entities, and bringing its power to bitcoin’s table has likely provided a further push towards stability.
So keep your eyes and ears open; there’s simply no telling where bitcoin can (or will) go next.
Will bitcoin continue to head towards $600? Post your thoughts and comments below!
Images coutesy of BitcoinTalk.