Bitcoin may be just at the beginning of a “massive transformation” in the mainstream and about to become “the selection currency for foreign trade,” according to leading investment bank Citi, which has noticed the metheoric increase in cryptocurrencies in recent years and in development. institutional investors, which can pave the way for widespread success.
In a report released Monday, Citi analysts said the world’s top popular cryptocurrency is at a “turning point” between widespread adoption and “speculative implosion. “
The increasing use of Bitcoin as a payment tool, the increasing availability of virtual wallets and the institutional interest of Tesla and Mastercard have helped build trust in the cryptocurrency and can see it as the main medium of foreign industry in the future, Citi said. .
Analysts have described Bitcoin as the “northern star” of the blockchain ecosystem, and its underlying generation has launched a new box of the virtual economy around it.
However, there are a number of dangers and pitfalls that can cause the Bitcoin bubble to burst, analysts warned, and widespread adjustments would be needed in the market for Bitcoin to be followed more widely.
A cushioned institutional investment in the post-Covid-19 world would eliminate a key pillar of aid for Bitcoin, Citi said, and early regulation and surveillance, which go against the anti-establishment ideological cryptocurrency, can also eliminate the top cutting edge. developers and marketing specialists to get out of the ecosystem, analysts wrote.
Bitcoin is one of the most volatile asset categories on the market It has a rich and bumpy history since it was described in an article in 2009, going from virtually zero to a record of more than $58,000 consistent with the piece in February 2021 (the value has since fallen to around $47,000) with several significant lows and peaks. Enter. At its highest level, Bitcoin’s market capitalization exceeded one trillion dollars. As with the most of its history, Bitcoin is still handled through retail investors, whom billionaire philanthropist Bill Gates warned not to get carried away by Elon Musk’s “mania” and enthusiasm, which has plenty of money in the event of a problem.
“I think Bitcoin is about to be widely accepted by traditional finance people,” Tesla CEO Elon Musk told the Clubhouse this year.
In October, PayPal, however, welcomed cryptocurrencies on its platform, and many noticed it as a precursor to its access to the mainstream. 2021.
Bitcoin. On tip (Citi)
Bitcoin rises by 6% with asset uptick; Citi says in a “turning point” (Reuters)
The long term Bitcoin questioned due to stricter ESG regulations (Bloomberg)
I’m a reporter for Forbes in London and I’m covering the latest news. Previously, I worked as a reporter for a specialized legal publication that covered great knowledge and as a
I’m a reporter for Forbes in London and I’m covering the latest news. Previously, I worked as a journalist for a legal publication specializing in great knowledge and as a freelance journalist and political analyst covering science, generation and health. in herbal life sciences and a master’s degree in history and philosophy of science from the University of Cambridge Follow me on Twitter @theroberthart or email me at rhart@forbes. com