Bitcoin News: Three Factors that May Influence the Growth of Bitcoin

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Bitcoin is regarded as the most popular cryptocurrency powered by blockchain technology today. Its value fluctuations raise a lot of attention on the world’s financial market. During the last seven days, the bitcoin price has stabilized at a mark of around $9,000, gaining almost %1.54.

Having experienced some price corrections, bitcoin finally stabilized around the $9,000 mark. That is almost a half from its recent lows, a good sign for traders. The main question is whether the virtual coin can gain and overcome the old highest marks. Some experts believe in it, giving the following argumentations.

First of all, the price of bitcoin is influenced by two main indexes which are higher adoption rates of bitcoin as a store of value and as a medium of exchange. That ensures the safety of the fintech infrastructure.

“Assuming Bitcoin will be used as store of value going forward (e.g. digital gold), a better security infrastructure overarching the entire crypto ecosystem will be needed for people to place trust in this new financial medium and start using it,” says Christian Ferri, President and CEO of BlockStar.
“Once this happens, more people will jump in, so a scalable infrastructure will be crucial.“
Secondly, the inflow of institutional money into crypto index funds will also have a positive impact on the value of the digital currency. Darren Marble of CrowdfundX notes that, at this stage, institutional investors are the main power that can cause the growth of bitcoin. He also explains that institutional investors don’t buy bitcoin on decentralized crypto exchanges because they are afraid of troubles with liquidity, security, counterparty risk, and custody of the crypto coin.

Marble claims that “only when regulated exchanges - such as tZERO, Coinlist, or even NASDAQ - go live with their secondary crypto trading platforms, will the smart money begin investing directly into Bitcoin.”

Read the details in the article of Coinidol dot com, the world blockchain news outlet: https://coinidol.com/bitcoin-news/