Bitpay Executive: $20,000 Bitcoin Price in 2017 was an 'Anomaly'




  • In Business
  • 2019-01-11 15:36:34Z
  • By CCN
 

Bitpay CCO Sonny Singh has stated that the $20,000 bitcoin price at the back-end of 2017 and the price fluctuations throughout 2018 were a bit of "an anomaly". He also agrees that bitcoin demand and usage were at a low last year and although crypto volatility has been a continuing trend into the new year, prices could still steadily rise over the course of 2019.

Singh made the statements when talking to Bloomberg in regards to the future of bitcoin after its sudden stumble in the final quarter of 2018.

Bitcoin was Not a Hedge Against Falling Stock Prices

The lively conversation on the Bloomberg Technology show with Bloomberg Opinion's Stephen Gandel and the Bitpay chief commercial officer Sonny Singh brought up some interesting points on both sides of the bitcoin argument.

The discussion started with Gandel talking about the defining factors that have contributed to not only the massive drop in bitcoin prices from the end of 2017 but also the recent drop to below $4,000 in November 2018. Gandel went in hard on bitcoin by saying:

He went on to suggest that when stock prices fell, bitcoin fell because the two are intrinsically connected. He mentioned that this was the reason why people were buying bitcoin to hedge against falling stock prices, but it didn't hold its value as expected.

Bitpay CCO Defends Bitcoin on Bloomberg

In response to Gandel's thoughts on the matter, Sonny Singh suggested that the overall state of the crypto industry is still healthy despite the problems in 2018. He talked about how a lot of new businesses in 2018 were built around bitcoin remaining around the $10,000 mark. However, he is still "long-term bullish" on bitcoin prices moving into 2019.

Singh went on to point out that major companies such as Fidelity and Goldman Sachs are still launching their crypto products. He also talked about how an increase in regulations shows that the crypto industry is readying itself for wider adoption so the long term philosophy of bitcoin is still sound.

When pressed on the issue of lower usage of bitcoin in purchasing and other consumer-based areas in 2018, Sonny Singh conceded by saying that:

Singh talked about how hype was a main component of the massive price increases at the $20,00 mark and was not based on fundamentals. The idea was that banks would soon be integrating blockchain into their systems and how everyone thought it was about to take off. But in reality, nothing much happened and we came to realize that greater adoption is still "further down the road."

Featured image from Shutterstock.


The post Bitpay Executive: $20,000 Bitcoin Price in 2017 was an 'Anomaly' appeared first on CCN.
COMMENTS

More Related News

China Meat Imports Hit Record as Pork Prices Jump on Swine Fever
China Meat Imports Hit Record as Pork Prices Jump on Swine Fever

(Bloomberg) -- China, the world's top pork consumer, imported a record volume of meat in May in a bid to mitigate the impact of African swine fever as domestic pork prices rebound.China bought 556,276 tones of meat and offal in May, up about 45% from a year earlier, according to official customs data

China No Match For Japan in Southeast Asia Infrastructure Race
China No Match For Japan in Southeast Asia Infrastructure Race

(Bloomberg) -- Japan is still winning the Southeast Asia infrastructure race against China, with pending projects worth almost one and a half times its rival, according to the latest data from Fitch Solutions.Japanese-backed projects in the region's six biggest economies -- Indonesia, Malaysia, Philippines

Trump Says ICE Raids Will Remove Migrants Who Broke U.S. Laws
Trump Says ICE Raids Will Remove Migrants Who Broke U.S. Laws

(Bloomberg) -- President Donald Trump said people who will be apprehended by immigration agents starting next week are being deported for defying orders to return to their home nations after breaking the law to enter the U.S."They have to be removed from the country. They will be removed from the country

Chicago Mayor Vows to Shield Migrants From Raids by U.S. Agents
Chicago Mayor Vows to Shield Migrants From Raids by U.S. Agents

(Bloomberg) -- Chicago Mayor Lori Lightfoot condemned the Trump administration over planned raids of migrant communities and said she had ordered police to cut federal agents' access to databases related to immigration enforcement activities."We are all aware of the threat from President Trump regarding

Supreme Court Overturns Precedent, Backs Property-Rights Suits
Supreme Court Overturns Precedent, Backs Property-Rights Suits

A divided U.S. Supreme Court made it easier for landowners to sue for compensation when a government regulation reduces the value of their property, overturning a decades-old precedent that had limited lawsuits in federal court. Voting 5-4 along ideological lines, the court said Friday that property owners could go straight to a federal judge without first seeking compensation through state proceedings. The decision reversed a 1985 Supreme Court ruling, prompting a sharp dissent from the court's liberal wing.

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

Top News: Business

facebook
Hit "Like"
Don't miss any important news
Thanks, you don't need to show me this anymore.