Jeremey Allaire has been trying to explain the recent Bitcoin boom. The price of the Bitcoin hiked cross $11,000 over the weekend. The overall consensus of the cryptocurrency world is to blame Facebook Libra for it. However, that is not the case.
Jeremey Allaire, CEO of Circle, recently shared a few thoughts about the recent price hike in Bitcoin.
Allaire stated, “Back in December, when the market bottomed, we started to see long-term conviction investors build significant positions in the core digital assets, and that gradually unfolded into Q2 where people declared the “Crypto Spring’ arriving.”
However, before the price boom took place, there were reports from Delphi Digital and Adamant Capital about the bottoming of the Bitcoin Price.
Allaire had to state that the technology behind Bitcoin and several other cryptocurrencies advance at a very rapid rate. The understanding of Bitcoin is not at an advanced state. Allaire also believes that giants like Facebook will be leading the adoption of these technologies. Several billions of people are expected to adopt this technology very soon.
Allaire wanted to provide clear discrimination between stable coin and Bitcoin. Bitcoin is considered to be a store of value. However, a stable coin is backed by a single fiat currency or a basket of fiat currencies. However, the Bitcoin will not have any attachment whatsoever with the legacy financial systems of the world.
Allaire expects that ultimately end users and almost all individuals will be having crypto-finance accounts in which they will have different types of these currencies, and they will be able to send and receive all of them across the globe. He opines that it is going to be a bunch of cryptocurrencies that will win and not a single cryptocurrency becoming the winner.
Allaire opines that in the future the non-sovereign money will be more, and many people are going to resist the value of censorship-resistant money eventually. While the case was that nobody would be willing to use cryptocurrency around 5 or 10 years back, the trend has changed altogether now.
The key technical indicators for Bitcoin are pointing to buying pressure in over two months. The current rally is all set to continue until it touches $12,000. Pullbacks in prices will be transient, and a lot of long-term technical studies are in favor of a further bullish run.
The Facebook coin is hailed by many as a net positive for Bitcoin. The bulls in the current trend are not showing any signs of slowing down.