Bitcoin is truly building its reputation as the world’s global currency. Without major media coverage or market instability, the price of Bitcoin has continuously increased, surpassing the market cap of many reserve currencies. It has also shown a substantial decrease in its volatility rate over the past year, performing as a stable global currency.
The price of Bitcoin remains within the range of $765 to $777, staying in the same trading range for over nine days straight. It has demonstrated a lower volatility rate compared to a lot of major reserve currencies such as the sterling pound, and high liquidity for people struggling to deal with excessive capital controls and restriction of asset trading.
Bitcoin is the safest cryptocurrency in the market today
Some investors and analysts including BitFury Group Vice Chairman George Kikvadze, believe that Bitcoin is beginning to maintain stability in terms of market cap and price, possibly because investors are starting to realize Bitcoin is the safest cryptocurrency on the market today.
Investors are starting to realize #bitcoin is by far the most robust; safest crypto out there.
— George Kikvadze (@BitfuryGeorge) December 2, 2016
Other CEOs and cryptocurrency experts like Barry Silbert have also noticed the strong performance of Bitcoin, praising the currency for increasing in value without sensationalist headlines or media coverage.
Bitcoin has gotten boring –> Price just plowing higher w/ no sensationalist headlines, no CNBC stories, no fusshttps://t.co/ED33KiTzKh
— Barry Silbert (@barrysilbert) December 2, 2016
In most cases, the reason behind the stability of the price of Bitcoin can be attributed to its safe haven, asset-like characteristics. Its decentralized nature, transparent ledger, unprecedented security and efficiency in transaction settlement enables it to operate as a great alternative to current financial systems and as a wealth protection system for high-profile investors and traders.
The surge in demand for Bitcoin
For instance, Cointelegraph and other mainstream media outlets have published various reports on the surge in demand for Bitcoin amid global market instability. The demonetization of cash in India has caused Bitcoin’s trading volumes to increase drastically and the devaluation of the Chinese yuan and the local government’s crackdown on wealth management products have also led to the increase in the price of Bitcoin.
As major economies continue to struggle to deal with vulnerabilities, inefficiencies and limited capacities of existing financial systems, the price of Bitcoin will increase without the necessity of exaggerated media coverage and sensationalist hype.
Bitcoin’s stability and low volatility rate are also allowing the mainstream user base and the general population to depend on the cryptocurrency as a digital alternative to cash, appealing to investors, households, businesses and traders.