Bitcoin’s price movement has always been a talking point in cryptocurrency space since its inception. Several analysts and researchers have explored the idea that the world’s largest cryptocurrency could be the trigger for a massive market overhaul.
Just recently, Ross Ulbricht, the infamous founder of the Silk Board trading platform, commented on Bitcoin’s future price shift and what it could mean for the market’s potential. His main point of discussion was the idea of BItcoin’s price peaking and falling over intermittent periods of time.
In his latest Medium post, Ulbricht said he wanted to help people navigate the volatile Bitcoin market while at the same time admitting that his words were not investment advice. He stated that his time in prison had given him a “detached long-term perspective” on the bitcoin and cryptocurrency markets in general. According to Ulbricht, speculative markets like Bitcoin were psychological traps.
Psychological traps worked by putting an idea in someone’s head, and then making them act on that impulse. For example, an investor who doesn’t know the nitti-gritties behind a bitcoin deal may be foolish to assume that buying bitcoin meant getting rich. The most recent release from the jailed founder of Silk Road said:
“The $20,000 peak was not that long ago. Do you remember what the consensus was like? Extreme optimism reigned. Six- or seven-figure prices were just over the horizon. Every alt-coin was the next big thing. Everything pointed to one conclusion: buy now! Anyone issuing warnings to get out were ignored, laughed off stage or buried with a thousand “good” reasons why prices could only go up.”
Ulbricht revealed that, despite the current price stagnation, he was still bullish in the long term. He believed that the next wave of bitcoin’s bullish rise would be greater than the earlier rises that BTC had crossed the $20,000 threshold. Ulbricht termed Bitcoin’s price as waves, with the first and second waves occurring in 2011 and 2012, respectively, when Bitcoin’s price rose significantly. If the third wave follows the same pattern as Wave II, the price of Bitcoin is expected to rise to $333 million.
At the time of writing, Bitcoin traded $7728 with a total market cap of $141 billion. The weekly 8 percent increase also raised the 24-hour market volume to $38.1 billion. This was a decent climb from last week’s hold when the price flitted in the $6800-$7100 range. Although the figures were not as positive as Ulbricht predicted, they were still a silver line between markets devastated by coronavirus spread.