🕵️‍ ICO Watch Eric Eissler

SONM From Russia with Love Red Flags: Past ICO Review

👁 ICO Watch
Fog-computing platform is opaque when it comes to answering questions; cries of “scam” abound
SONM From Russia with Love Red Flags: Past ICO Review

The race for supercomputers has been a paradigm that has run from the 1950s through the present day. The Soviets sent the first satellite and the first man into space, but the Americans sent the first man to the moon.

It has always been one trying to outdo the other. This time, in the race to create a cloud-based (or “fog” according to the website) supercomputer, the Russians have come up a bit short and with a few red flags.

💼 Related Article
Will ICO of “Most Successful Project of Russian Intelligence” be Affected by Russia’s Ban?
🔥 Hot
8 months 1 week
256
Will ICO of “Most Successful Project of Russian Intelligence” be Affected by Russia’s Ban?

Got some spare change?

SONM’s one-day ICO on June 15, 2017, raised a surprising $26 mln and entered the token trading market one month later at $0.03 per token. At the time of writing, it has risen to $0.21 per token.

In the interim, if it had experienced a surge to a max of $0.70 in January 2018 as many other tokens did during the tumultuous times around the holidays.

A fistful of change will get you a few tokens, but it is uncertain how this token will fare because there are a few red flags that make the tepid investor stop and wonder.

💼 Related Article
ICOs Performance in 2017 and Outlook For 2018: Review
🔥 Hot
7 months
256
ICOs Performance in 2017 and Outlook For 2018: Review

Waving red flags

When you speak the truth, there is no need to make up a story with holes in it. When you like you change details or terms, such as percentages. According to a story on Reddit, The dividend percentage, which is something that should be decided very carefully and shouldn't change at least after pre-ICO. That's what a reliable company would do. SONM did not.

Furthermore, they did not use escrow, but rather the team had multi-sign contracts that the team held themselves, this raises some suspicion, because a third, neutral party should be involved with kind of financial instrument due to the ease of committing fraud.

Moreover, the communications with the public, investors and potential investors  are filled with unanswered or vaguely answered questions which adds more to the bad public image the company already gave itself.

On a final red note, there were many accusations of scam floundering about, while, it seems some people might have gotten burned, SONM did not close up shop and run away with the money, it is still up and running and on the boards to trade.

But with a shaky start and foggy background, many would be leery about investing money in something that might just shut down overnight.

💼 Related Article
Past ICO Review: Tezos, Crypto King for a Day
🔥 Hot
8 months
256
Past ICO Review: Tezos, Crypto King for a Day

What is it supposed to do anyway?

Glad you asked, SONM is akin to Golem, and a direct competitor too. According to the Somn website:

SONM Customers (consumers, clients, buyers) are people and companies, that have a demand of computing powers- hardware PCs, servers or virtual machines of different kind. Customers define what resources and capabilities are required and what price is acceptable for them on the global decentralized marketplace of SONM.

Tight-lipped and shadowy

After scouring the Reddit boards, there appear to be some angry people that seem to have gotten burned, or who feel ripped off in some way after investing.

Despite all this, the company continues on and so does the trade, albeit the price has not risen much since January 2018.

Flat activity could be some indication that there is a lack of interest and general wariness towards this company.

💼 Related Article
Past ICO Review: How Anti-Stupidity Crypto Project Has Reached its Goals by Completely Failing
🔥 Hot
8 months 2 weeks
256
Past ICO Review: How Anti-Stupidity Crypto Project Has Reached its Goals by Completely Failing

🕵️‍ ICO Watch
views
👓 Recommended articles
Alex Morris

Top 10 Blockchain and Cryptocurrency Events of the End of 2018

These are the 10 biggest events of the end of 2018 that will create a think tank of the most prominent industry
Top 10 Blockchain and Cryptocurrency Events of the End of 2018

World Crypto Con

Date: Oct. 31 – Nov. 2, 2018
Location: Las Vegas, US
image
World Crypto Con (WCC) gathers the biggest industry influencers, including investors and developers, to present their projects and state-of-the-art technologies in front of thousands of people. This Las Vegas event will vividly show how Blockchain can change the way we live today. It is quite possible that in 10 or 15 years we will not imagine our lives without Blockchain, so WCC offers a sneak peek into our future. The “sin city” will be turned into a platform for thought-provoking opinions, but there is also a place for controversy. Lyn Ulbricht (mother of Silk Road founder Ross Ulbricht) is one of the key speakers at one of the biggest crypto events of this year.  

World Blockchain Congress Malta 2018

Date: Nov. 1–2, 2018
Location: InterContinental Arena Conference Centre, St Julian's
image
Malta, which is known for its crypto-friendly regulations that are meant to propel the development of local cryptocurrency businesses, wants to solidify its “safe haven” status by hosting World Blockchain Congress this November. The buzzing expo is supposed to show the disruptive potential of Blockchain technology that can be applied in numerous spheres of our lives. It is expected that more than 5,000 delegates will take part in this summit with the Maltese prime minister Joseph Muscat being the key speaker at this event.

Blockchain Life Conference St Petersburg, Russia

Date: Nov. 7–8, 2018
Location: Expoforum, St Petersburg, Russia

image

After last year’s success, it is not surprising that Blockchain Life 2018 is coming to Expoforum again. The innovative exposition center that is based in St Petersburg is expected to host 5,000 participants (ICO issuers, investors, developers) this November from around 70 countries around the globe. One thing that makes this event special is the absence of advertising reports. Instead, the community will be fully engulfed in discussions related to Blockchain technology and cryptocurrencies. Some of the most prominent speakers at this cryptocurrency conference include such names as Wu Xing (Huobi Exchange), Sergei Khitrov (Icotop.io), Phillip Nunn (Wealth Chain Capital).    

Blockchain Leadership Summit (Switzerland)

Date: Nov. 23–24, 2018
Location: Congress Center Basel, Switzerland

image

Without a doubt, Switzerland is one of the leading countries in terms of Blockchain adoption. With its growing “Crypto Valley” and a hands-off approach to dealing with Blockchain-oriented businesses, Switzerland seems like an obvious choice for hosting a major Blockchain Leadership Summit that is expected to gather as many as 2,500 attendees and more than 70 top-of-the-mind speakers (entrepreneurs, politicians and other powerful individuals).    

Decentralized 2018 Blockchain Event


Date: Nov. 23–24, 2018
Location: Divani Caravel, Athens, Greece
image
This November, Greece will host one of the largest Blockchain events in Europe, which will primarily focus on the political aspects of implementing the disruptive technology. The number of attendees is expected to reach up to 1,200 participants that will gather to hear the in-depth opinions of about 70 industry leaders from almost 50 countries. The event will form a think tank of industry experts, professors and even members of the European Parliament.

Blockchain Expo North America Exhibition

Date: Nov. 28–29
Location: Santa Clara Convention Center
image
Arguably the biggest Blockchain conference 2018 in the world will take place in Santa Clara (California) at the end of November. The main focus of Blockchain Expo will be directed to the industries that are currently being redefined with the help of Blockchain:  

  • retail;

  • insurance;

  • energy;

  • government.

The much-anticipated expo will be co-located with other events that are devoted to IoT, AI, Big Data and other nascent technologies.

The whopping number of attendees is expected to reach over 8,000 industry experts. The keynote speakers include Nick Szabo (the inventor of smart contracts), Ripple’s Craig DeWitt, and Christi’s realtor Piper Moretti.

Asia Blockchain Week & BlockShow Asia 2018

Date: Nov. 27 – Dec. 1, 2018
Location: Marina Bay Sands, Singapore
image
Since 2016, BlockShow has been a major force for binding together thousands of industry professionals from different countries. This is already the third time when this Blockchain conference is being held, and it is poised to attract as many as 2,000 entrepreneurs who are going to present their groundbreaking solutions. Biggest voices on the Asian Blockchain scene, including a well-known crypto analyst Joseph Young, are going to take the stage at this event.  

Blockchain World Conference

Date: Dec. 2–5, 2018
Location: Hollywood, Florida
image
This is yet another large-scale Blockchain event that is going to happen at the end of December. The centralized Blockchain World Conference (BWC) will unite the decentralized industry in order to boost its growth and worldwide adoption. BWC will bring together industry titans, scientists, and educators with the sole purpose of exchanging groundbreaking ideas that could potentially reshape the industry. The lengthy list of speakers includes Bitcoin co-founder Jörg Molt, Smart Valor CEO Olga Felmeir and major influencers, such as Brock Pierce and Dr. Patrick Byrne.   

World Blockchain Summit Riyadh

Date: Dec. 5–6, 2018
Location: Riyadh Marriott Hotel, KSA
image
World Blockchain Summit unites Blockchain leaders around the globe in order to discuss the most vital issues in the industry, and Riyadh (Saudi Arabia) becomes one of its latest destinations.   

While retaining its hawkish stance on cryptocurrencies, Saudi Arabia is embracing Blockchain technology in an attempt to become the tech leader among the Middle Eastern countries. Now, the country is hosting a Blockchain summit the purpose of which is to establish the “Kingdom of Blockchain.” The list of speakers includes the head of Blockchain lab Franz von Weizsäcker and a Blockchain specialist Badreddine Tazrouti. The upcoming cryptocurrency event is expected to gather up to 1,000 attendees.

Hard Fork Decentralized

Data: Dec. 12–14, 2018
Location: London, UK
image
A recent survey reveals that as many as 30 percents of Londoners are willing to put money into crypto. Hard Fork Decentralized will make sure that London will continue its transformation into a burgeoning crypto hub.

The first speakers at Hard Fork Decentralized include eToro CEO Yoni Assia and Kavita Gupta of ConsenSys.

Package

Price

Festival

£199

Priority

£399

Business

£1999

NB! In its latest move to attract more female speakers, Hard Fork Decentralized has recently discounted women tickets by 85 percent in order to engage more women in a male-dominated industry.

views
👓 Recommended articles
David Dinkins

Cryptocurrency Community Reacts to News of Google Ad Ban: No Big Deal

Mainstream media is under the impression that Google’s ban on crypto advertisements is tanking the market, but the community seems to be shrugging off the news.
Cryptocurrency Community Reacts to News of Google Ad Ban: No Big Deal

The cryptocurrency community has generally reacted with optimism to Google’s ban of digital currency and ICO ads. But how can this be? A quick perusal of mainstream media outlets makes the situation look dire for Bitcoin, with headlines such as:

CNBC: Bitcoin briefly falls below $8000 after Google says it will ban

Investopedia: Bitcoin price spirals toward $8000 after Google bans

Bloomberg: Bitcoin drops to monthly low after Google bans crypto advertisements

Reuters: Google bans cryptocurrency advertisement, Bitcoin price slumps

These headlines are as amusing as they are inaccurate. For one, mainstream news outlets have no understanding of the ebb and flow of Bitcoin’s market. They assume that every rise and every fall must have a clearly explainable reason, namely, whatever the day’s biggest headline was.

Expert opinion

Several experts in the cryptocurrency community have given CryptoComes their opinion on the Google ban, and most of them are cautiously optimistic:

Christopher Slaughter, Co-Founder and CEO of Samsa, writes:

“In the short term, this may benefit the crypto community, which is overflowing with fraud and scams. Longer term, it would be good to have all channels available. Hopefully regulation and self regulation can make it safe and in Google/Facebook’s interest to offer crypto ads in the future.”

Craig Sproule, Crowd Machine Founder and CEO, agrees:

"This decision can benefit the crypto community in the long-run amidst the hype, current regulatory climate and the mainstream perception of the community given the pervasive amount of scams we're seeing. [There are] bad actors out there taking advantage of the excitement.”

Daniel Duarte, CTO of Auctus, is concerned about the ease with which scammers can target novices in the community:

"It's easy to set up a cryptocurrency wallet, create a fake website, publish the wallet's public address and collect money from people. Since Google can't analyze on a case-by-case basis and filter the scams, we believe it's better to ban them all. This will not hurt the crypto community, and ultimately is a good thing for less experienced investors.

Massive overreaction

CryptoComes published an editorial yesterday, skewering Google for their extreme overreaction. Rather than making even the slightest effort to filter out scam ads, the company just banned everything. If they did that with all advertisements, they’d be out of business.

Trey Ditto, CEO of Ditto, agrees:

“Today’s decision to ban ads on Google feels like they’re throwing the baby out with the bath water. We use Facebook and Google to educate potential investors and users about a range of topics and opportunities. I worry this punishes the good actors in this fast-growing space and will thus hurt the consumers and investors who are looking for information to make smart crypto investment decisions.”

Too many scams

Users on reddit have pointed out that since Bitcoin doesn’t have a marketing department, Google’s ban of crypto advertisements has no bearing on the currency at all. Rather, it hurts many ICO-funded projects and some altcoins that engage in advertising. However, with thousands of ICOs in the past year, and hundreds of new altcoins having emerged in that period of time, scams likely abound. Anything that can starve scammers of victims is generally welcomed, since the ban does little harm to Bitcoin in the long run.

views
👓 Recommended articles
Darryn Pollock

Time to Make Bitcoin Code More Exclusive

Bitcoin is no longer a hobby, it is a business, and it's probably time to make it harder to capitalize on
Time to Make Bitcoin Code More Exclusive

Looking back at the history of Bitcoin and its CypherPunk roots, it is understandable why this peer-to-peer electronic cash system was put on the web for all to see and use as its code falls under an open source MIT License. However, the world and the cryptocurrency world for that matter is also changing, and it is probably time to make the code a little more exclusive.

Blockchain code has been replicated and copied helping spread the ecosystem to a place where it is now widely known and adopted, even in the mainstream. However, it has also led to a boom in the Blockchain economy where hundreds of people are trying to do the same thing, with slight changes.

This has helped with the ICO boom, mostly on the Ethereum Blockchain because of its smart contracts, but there are growing concerns about a forking revolution of Bitcoin coming. Therefore, this indiscriminate forking of Bitcoin needs to be put in line before it does some real damage.

The proposal

The proposal put forward by Bitcoin developer Jose Femenias, suggests the addition of wording on the MIT License that would make it difficult to profit off Bitcoin’s brand after forking from the cryptocurrencies Blockchain.

The license would essentially need an additional rule that states:

“No part of this software can be included in any other project that uses the name Bitcoin as part  of its name and/or its marketing material unless the software produced by that project is fully compatible with the Bitcoin (core) Blockchain.”

It is clear what Femenias is trying to stop and perhaps that is not a bad thing.

Fork mania

Bitcoin has seen a few forks already, with the biggest obviously being Bitcoin Cash whose mandate was to improve Bitcoin’s ability to scale and to push the digital currency back to what Roger Ver calls ‘Satoshi’s vision.’

Regardless of one’s view on Bitcoin Cash, there is an argument that can be made that it was forked for a legitimate reason, not just as a marketing ploy. Or, for those who are a little more pessimistic, they will find it hard to compare Bitcoin Cash to things like Bitcoin Diamond and Bitcoin Interest, which are clear attempts to profit on the original chain and the Bitcoin name.

Need for improvement, not for scams

There is no doubt that Bitcoin, as the oldest and original cryptocurrency, needs to move with the times and is in need of improvements, and forking is one way of doing this. However, the growing trend to pretend to be a Bitcoin improvement just to profit off a name is damaging all around.

The Bitcoin community is wide-eyed and very trigger happy, and thus prone to falling into traps. Bitcoin does not need other scam Bitcoins bringing its name down and tainting all that it has done.

Bitcoin is no longer a hobby, it is a business, and it is a brand that has built its reputation for being something quite special. There is no longer a need for open source code to spread it, rather a need for exclusivity to preserve it.

views
👓 Recommended articles
Wikicoin Alex Morris

ETH Crash? Ethereum Price Prediction: What Is Happening to Second Biggest Cryptocurrency?

📚 Wikicoin
As Ethereum hits its lowest point of the year, U.Today digs deeper into why the second biggest cryptocurrency in the world is plummeting
ETH Crash? Ethereum Price Prediction: What Is Happening to Second Biggest Cryptocurrency?

At the epicenter of the bloodbath

After reaching its peak of $1,400, Ethereum has been steadily falling since May. As the lynchpin for many ICOs, it also took down many other altcoins.
image

Ethereum turned out to be one of the worst performing cryptocurrencies of the previous month (ETH price tanked by almost 33 percent). However, September is already shaping to be even a bigger disaster for Ether as the currency has recently reached its 16-month low. ETH current price is sitting at $172, losing a whopping 30 percent of its value in merely two weeks.
image

According to a recent U.Today report, Ethereum has also reached a record number of shorting positions, which is inextricably connected to this ongoing downtrend. However, some predict that this massive sell-off could trigger a “squeeze” (when the price of an asset rapidly increases because of the high level of shorting).        

💼 Related Article
Ethereum Briefly Surpasses Bitcoin Because of Artificially Inflated Trading Volume
🔥 Hot
4 months 3 weeks
256
Ethereum Briefly Surpasses Bitcoin Because of Artificially Inflated Trading Volume

What's behind the decline?

Ethereum has been widely considered a major Bitcoin rival since its very launch since it represents an innovative platform that allows developers to build their own decentralized projects. However, the hype started to fizzle out, and the current coin’s price vividly shows that. Subsequently, it is important to understand the main reasons behind this Ethereum flash crash:

  1. Decentralized apps are great, but not everyone knows that. CryptoKitties, the only “killer app” contender in this niche, has an embarrassingly low number of users compared to an ordinary mainstream app (there is a good chance that the majority of its audience consists only of developers and testers). While they do make baby steps towards the mainstream adoption by planning their Asian expansion, it's too little too late for Ethereum. As a prominent economist Nouriel Robini states, casino games, scams and CryptoKitties pretty much represent the majority of dApps.

  2. Dwindling interest in ICOs. In order to seamlessly launch an ICO, one had to spend only about 20 minutes. The fact that basically anyone can create an initial coin offering resulted in an endless number of outright scams and projects that only have a white paper and the recent inflated ICO failure rate.

    “ Ether's price was inflated earlier due to the ICO mania," - BitBull Capital CEO Joe DiPasquale.

    Cryptocurrency analyst Kevin Rooke has also recently published an in-depth analysis of how ICO sell-off correlates with the current ETH price. Rooke concludes that ICOs are selling Ether in droves (more than $30 mln last week alone). However, the biggest revelation is that ICO also hold a staggering amount of $600 mln worth of Ether, and it’s safe to say without an ounce of exaggeration that Ether’s future solely depends on whether these companies further decide to hold Ethereum in their treasuries.   

  3. A tough competition. Ethereum might have the first mover advantage, but its bigger competitors in the likes of Stellar, NEO and EOS might already dethrone it in the nearest future.

  4. Bearish market sentiment. Ethereum may be one of the biggest losers of the past few months, but one shouldn’t forget the whole cryptocurrency industry is going downhill partly because of regulatory uncertainty in the US. The SEC rejection triggered a knee-jerk reaction, immediately causing Bitcoin to plummet. On Sept. 10, another meltdown started after the US SEC ceased trading on two crypto-based securities.  

Predictions from Ethereum founders

Who knows better about the future of Ether than its founders? Now we would like to cover some of their predictions.

First of all, of course, we are going to focus on what Vitalik Buterin has to say. During a recent Bloomberg interview Vitalik made headlines, stating that the cryptocurrency space will never see the industry mammoth-size growth again. He claims that this is due to the fact that the industry is witnessing mainstream recognition around the globe.

Vitalik is not overly optimistic about the future of crypto and Ethereum in particular. Back in February, when Ethereum went from $1,400 to $580, he warned investors about the immense volatility of the industry. Recently, he yet again adopted a note of caution after an explosive op-ed written by Stella’s Jeremy Rubin. Rubin claims that an Ethereum price crash is imminent because of its fees that are dubbed “gas.” Remarkably enough, Vitalik agreed that Ethereum could indeed hit zero, but he claims that there are proposals which would forbid applications to pay for “gas” in non-Ethereum assets.

“Reminder: cryptocurrencies are still a new and hyper-volatile asset class, and could drop to near-zero at any time,” - Vitalik Buterin, Ethereum cofounder.

image
Another Ethereum co-founder Joseph Lubin said that a dramatic Ethereum crash in price is not an indication of the currency’s future growth. He considers that volatility is normal, and the cryptocurrency industry is moving in the right direction. As U.Today reported recently, he doubled down on his stance during a CNN interview.

Industry bigwigs weigh in

Ethereum has been on the lisps of the biggest names in crypto. Let’s have to say what they have to say about the future of Vitalik Buterin’s creation.    

Olaf Carlson-Wee, CEO of the biggest crypto-oriented hedge fund Polychain Capital, voiced one most vanguard Ethereum price prediction for 2018, claiming that the so-called flippening scenario will happen as earlier as in 2018. This prediction was made during the peak of the crypto craze in December. As Ethereum keeps dropping like a rock in September, we can say with confidence that it's not the case.

When will Ethereum crash? Speaking of more long-term predictions, Changpeng Zhao, the CEO of the largest cryptocurrency exchange Binance, feels extremely bearish about the future of Ether, claiming that the currency will be eventually overshadowed by more efficient technologies like EOS. Even considering that mainstream decentralization is inching closer, Ethereum won't take advantage of it, according to CZ.

Arthur Hayes, Co-Founder & CEO of BitMEX, has also recently lashed out at Ether, claiming that it should “go down to double digits.” Remarkably, earlier BitMEX launched a swap product that would let users bet against Ethereum, which many experts believe also a had a visible impact on the value of Ethereum.  

An extremely bullish forecast for 2018 was offered by Reddit co-founder Alexis Ohanian. Back in May, when there was no indication of a dramatic price decline, Ohanian said that Ethereum would reach $1,500 by the end of 2018. While the second cryptocurrency is indeed poised to appear in the double-digits territory if market bears persist, this prediction, while not being completely outlandish, doesn’t seem realistic (although it could be relevant when it comes to Ethereum price prediction for 2020).   

The recent announcement about upcoming CBOE Ethereum futures gave ground for many speculations about the potential ramification for Ethereum. Tom Lee, a well-known Bitcoin pemabull, doesn't that Ethereum futures will not have a short-lasting effect on the coin’s price. However, it’s rather challenging to predict the reaction of a highly volatile cryptocurrency market when a mainstream financial institution makes a move towards crypto adoption.

More Ethereum price predictions

Expert

Prediction  

deVere Group

$2,500 by the end of 2018 with even bigger growth in 2019 and 2020

Investing Haven

$1,000 by 2020, but 2018 is a possibility

Finder panel of Blockchain experts

Ethereum will rise by 82 percent


The bottom line

So, will Ethereum crash? While many are inclined to think so given its epic fall over the last two months, it's actually too early for a definite answer. This technology is still in the early stage of its development on its, so the prolonging bearish trend is more its first litmus test rather than a death sentence.

💼 Related Article
Ethereum Joins Google Cloud Platform, ETH Community Excited
🔥 Hot
4 months 3 weeks
256
Ethereum Joins Google Cloud Platform, ETH Community Excited

Wikicoin
views
👓 Recommended articles
Stavros Georgiadis

Bitcoin Price Prediction for December: Is a Bottom Near?

November was a very negative month as the market capitalization of all major cryptocurrencies took a $70 billion hit.
Bitcoin Price Prediction for December: Is a Bottom Near?

Bitcoin had a very volatile trading year in 2018. In this article, we will conduct an analysis regarding Bitcoin’s price prediction. We will look at what are the key drivers for Bitcoin’s price as the year wraps up, and we will make a price prediction for the month of December 2018 based on technical analysis and the main news that moved the coin during the past month.

Bitcoin price prediction December

In November 2018, Bitcoin fell 37 percent, wiping $70 billion off of the cryptocurrencies' market value. It was a very intense selloff as the world’s largest cryptocurrency struggled to break above $4,000 on the last day of November, having started the month well above $6,000.

In general, it was a very negative month as the market capitalization of all major cryptocurrencies took $70 billion hit, according to CoinMarketCap. During the month of November 2018, Bitcoin had a high price at $6615, a low price at $3657, an open price at $6368, and finally a close price at $4039.50. The big red candlestick shown in Bitcoin’s monthly chart shows the strong selling pressure during the whole month.

imageWhile it is too hard to make general Bitcoin predictions, our technical analysis section at the end of this article will attempt to provide a Bitcoin price prediction for today. Throughout the past month, the main news that drove the price of Bitcoin down was a rather "messy" fork on the Bitcoin Cash network.

That digital currency split into two versions: "Bitcoin ABC" and "Bitcoin SV". While the split occurred on a different blockchain, there were still spill-over effects onto other cryptos, including Bitcoin. But is this a real bottom for Bitcoin in December 2018? What are some realistic Bitcoin projections for 2019?

“It’s unclear if this is a ‘bottom’ or a brief period of consolidation before next move down, but buyers are still maintaining some cash on the sidelines in case it does go lower,” said Michael Moro said, CEO of Genesis Global Trading.

Bitcoin price prediction end year

The following list of Bitcoin companies, wallet providers, Bitcoin exchanges, payment service providers and various services — such as mining pools and cloud mining — shows that Bitcoin has large business potential, yet regulation issues and valuation worries make it a very volatile financial asset.

  •  Binance, Bitcoin exchange
  •  Bitfinex, Bitcoin exchange
  •  Kraken, Bitcoin exchange
  •  Tidbit, mining
  •  Coindesk, news
  •  Circle, wallet provider
  •  SearchTrade, search engine

One of the most important factors regarding Bitcoin's price prediction for 2018 will be business prospects. Not all things are negative, though, so a bounce from the recent level of about $4170 is possible, targeting the levels of $4700 and $5000 by the end of this month.

Let’s not forget that Bitcoin projections for 2018 by experts range widely, from $25,000 by Tom Lee, to lower prices than $7,000 if the support levels of $7350-$7,000 do not hold by Robert Sluymer, both from the same market analysis firm, Fundstrat. One of the most important business and fundamental factors to consider when trying to make a Bitcoin prediction for 2019 is the cost of mining. A BTC price prediction based on mining costs is the following, according to Tom Lee:

“The fully loaded cost of (to mine) Bitcoin next year, is going to be like $14,000, reflecting the difficulty”.

He has continually noted that Bitcoin has held at the cost to mine, which means that the crypto will rise to meet the cost of mining when necessary.

Bitcoin price prediction 2019

image

Although there are many statistical tools for a Bitcoin price forecast, all of them have a large degree of uncertainty. The infographic above shows the journey over time to a $10,000 Bitcoin price, which happened throughout 2018.

Can it happen again in 2019? Some of the detailed trend components of price predictions are about determining a trend line using a series of statistical data. As there is only one left month for trading in 2018, a Bitcoin forecast today is much more difficult than in early 2018, when someone could have arguments and form an opinion about Bitcoin’s outlook, either a bullish or a bearish one. Time limits are now very narrow and a catalyst for Bitcoin price predictions will be the unknown factors of regulation. Tougher regulatory rules will most probably have a negative effect on the value of Bitcoin.

Bitcoin price forecast

Famous venture capitalist Tim Draper, who predicted in 2014 that Bitcoin would hit $10,000 in three years, believes that Bitcoin predictions can justify a price of over $100,000. In our technical analysis section that follows, we will make a forecast for the end of December 2018. It is based on the current trend and its strength.

By no means it is an investment recommendation, as a Bitcoin projection is a very uncertain financial analysis, based on news, reports, the supply and demand of the cryptocurrency, and the perception of traders and investors about its business prospects. Llew Claasen, who is the executive director of Bitcoin Foundation, recently stated that he expects Bitcoin to hit $40,000 by the end of this very year. He further added that 90% of the cryptocurrencies will actually fall. This is a very optimistic BTC forecast.

Bitcoin price prediction chart

image

In this daily chart, we will analyze our Bitcoin trend prediction for December 2018. Technical analysis is used as means to predict what price action will happen in the future, considering what happened in the past. Based on our technical analysis, there are chances for a bounce, but we do not believe that there will be a significant trend change, as the recent trend is a downtrend.

We estimate a Bitcoin forecast for the rest of the year to be as follows:

  • Price should be between $3184 and $6302, as these are the lower and upper daily Bollinger bands which contain about 95% of the price range based on the statistical feature of two standard deviations related to a moving average set at 20 periods. These Bollinger bands on the daily chart widened a lot during mid-November 2018 up to now, reflecting increased volatility and price action. A selloff followed, making BTC predictions for 30 days a very tough task.  
  • If there is bounce and a retracement from the current level of about $4170, a conservative target would be around $4750, which coincides with the 20-period exponential moving average.
  • The current trend is a downtrend, as it was for the whole year of 2018. One of the key concepts in technical analysis is that a trend remains intact waiting for key drivers to change it. The key support levels of $6200, $6000, and $5800 were broken and now for as resistance levels.
  • The key level of $3740 should hold as a temporary bottom. It is the level that traders will focus on to move the price lower, making a new low price for 2018 in the event the downtrend resumes.
  • Now the price at $4170 is in a consolidation phase. This phase may last until the end of 2018, and the scenario of a tight range between $3740 and $4500 is highly likely.
  • The price is now trading below its 20-period and 50-period exponential moving averages at $4694 and $5459 respectively. Both moving averages are pointing down reflecting a strong downtrend.
  • MACD indicator with values (12,26,9) is negative but is very close at making a bullish cross and its histogram is diminishing, which may be an early sign that the downtrend will at least pause.
  • The ADX/DMI indicator, which measures the strength of the trend, shows a very strong trend, a dominant downtrend with values for the ADX, +DI and -DI as 49.96, 11.17 and 30.12 respectively.
  • If the support level of $3720 does not hold, then the price can move to significant lower levels.
  • Using Fibonacci retracements and taking a high price $6500 and low price $3690, the 0.236, 0.382, 0.50 and 0.618 retracement levels are $4355, $4766, $5098 and $5903 respectively. The 0.382 retracement level from the low price at $3690 is almost our predicted price bounce at $4750.

Bitcoin prediction conclusions

2018 has been a very volatile and negative year for Bitcoin so far. There are many arguments in favor of the cryptocurrency, its business prospects, and potential uses in the financial world, but there are also many arguments in favor of what really drove down its price to collapse from the high price of $17252 in January 2018 to the recent low price of $3657 in November 2018, a decline of about 78.80%.  

As mentioned, predicting Bitcoin price movements for the rest of the year is very difficult and has a large degree of uncertainty. It is most wise and prudent to trade with the trend, which is a downtrend. However, a retracement to higher levels is a probable scenario. In this scenario, we do not think that the retracement will be one of a large degree.

The cryptocurrency needs catalysts to move further and form a bottom at these levels. If the support above $4,000 will hold for several days, our basic scenario is for a Bitcoin price of about $4700 for the remaining days of December 2018. This is based on the trading concept of reversion to the mean, as volatility has expanded significantly as of mid-November 2018. If high volatility is to be followed by low volatility, then a price correction to higher levels has enough probability to occur.

views
👓 Recommended articles