[2018-01-01] Investors Still Wary of Bitcoin

[cybersofts]

Investors Still Wary of Bitcoin



Setting aside a massive December price correction, Bitcoin has pushed its way into the minds of ordinary people all over the world.

Google stats for 2017 have Bitcoin as the second most searched news term of the year, as everyone from plucky investors, cryptocurrency newbies and diehard technologists look for the latest news and price updates on the lucrative cryptocurrency.

With a market capitalization of over $11 bln, Bitcoin has made many a millionaire with its rapid appreciation in value this year. Investors flocked to buy Bitcoin during its most recent bull run which started in November which saw the price skyrocket to an eventual high of $20,000.

The almost inevitable correction in the lead up to Christmas sent jitters through the market and many investors will have lamented the dramatic drop in price.

It's not surprising to hear financial analysts and industry experts describe an apathy towards the market due to the volatility seen in recent weeks. Both big businesses and individual investors still seem wary of putting their money into cryptocurrencies.


Small players

Speaking to CNBC this week, American billionaire Tilman Fertitta, who made his fortune as a restauranteur, believes the average man won’t go near Bitcoin until they have some sort of insurance.

    "They don't have the money. It's just paper. That's all Bitcoin is, is paper, but it's not insured by the FDIC today. And until it's insured, a lot of people are never going to buy it.”

Nevertheless, the 60-year-old isn’t opposed to the idea of Bitcoin becoming a widely accepted payment method in the future, even by some of his businesses, ranging from casinos, hotels to restaurants.

    "I mean, I remember somebody walking into my office and saying, 'The world's going to change. There's this thing called the Internet.' And that wasn't that long ago. So we have to remember this. It's just something new and everything moves at a quicker pace today."


Big players

Larger financial institutions have already entered the cryptocurrency fray after the launch of Bitcoin futures contracts on CBOE and CME trading exchanges. The NASDAQ and Goldman Sachs are also set to jump onboard in 2018 - paving the way for wider mainstream adoption.

Nevertheless there still seems to be a reluctance for bigger corporate players to invest some serious capital into the market.

In an interview with CNBC this week, head of currency and forex technology company FiREapps Wolfgang Koester said big companies want a less speculative environment,

FiREapps provide insights into the likes of Google and Ericsson, but Koester says big companies will not invest in current cryptocurrencies and are waiting for state-issued digital currencies, backed by regulation.

    "They are saying we can't get involved with Bitcoin, but we like the idea of Bitcoin and others. We like speedy transactions at a lower cost. They are waiting for governments to issue those digital currencies so that they can take advantage.”

Source: https://cointelegraph.com/news/investors-still-wary-of-bitcoin

[jjacob]

If investors are still wary of Bitcoin, then Bitcoin certainly is in the initial stages of adoption and we qualify as 'early adopters'. So there is a long way to go in terms of increased usage and increase in price! If just speculation can drive Bitcoin's price to $20k, imagine what can happen when every Tom, Dick and Harry starts using Bitcoin.

[veleten]

it is not only about Tom,Dick and Harry adopting bitcoins
general public won't be buying at current prices,only if there is a steady,continuous rise
which as we all can see is not happening
at the moment it is all about big fat investors sitting out and waiting
once there is some sort of a stability ,plus one or more major league companies
declare support for bitcoins,the price will continue to rise,as there is so much potential to grow

[eyesopen]

it is not only about Tom,Dick and Harry adopting bitcoins
general public won't be buying at current prices,only if there is a steady,continuous rise
which as we all can see is not happening
at the moment it is all about big fat investors sitting out and waiting
once there is some sort of a stability ,plus one or more major league companies
declare support for bitcoins,the price will continue to rise,as there is so much potential to grow

good points general public cannot get bitcoin at current prices.
with the fat cats waiting on the sidelines to get in but seemingly hesitant to get in

[onrise]

it is not only about Tom,Dick and Harry adopting bitcoins
general public won't be buying at current prices,only if there is a steady,continuous rise
which as we all can see is not happening
at the moment it is all about big fat investors sitting out and waiting
once there is some sort of a stability ,plus one or more major league companies
declare support for bitcoins,the price will continue to rise,as there is so much potential to grow

good points general public cannot get bitcoin at current prices.
with the fat cats waiting on the sidelines to get in but seemingly hesitant to get in

Prices are tend to rise in coming year and ideally due to the fall of the price from 18k it is now more stable price at 13k. So mostly from the vacation people would be back during this week so we can expect the demand and price to pull up from this week itself. So better to start investing now itself to get the good returns .

[BitHodler]

The future markets generate poor volumes, which indicates that there either isn't much interest, or that it will pick up slowly but surely over a longer period of time, which I believe is the case.

People for once need to understand that Bitcoin isn't a rocket that shoots towards moon in one straight line. In the short term there will be pull backs and stagnant market conditions, which is all part of the game.

If you look back at the previous years, it should function as an indicator of how the market will continue to behave, which is a bumpy short term ride, but a pretty much guaranteed long term increase.

[J. Cooper]

With a market capitalization of over $11 bln

$11 billion is a little bit low isn't it?

it is not only about Tom,Dick and Harry adopting bitcoins
general public won't be buying at current prices,only if there is a steady,continuous rise

That's certainly a point worth keeping in mind. However the 'regular' people I know are waiting for it to dip even lower before finally getting themselves a position. But that doesn't mean I don't think the general public is a little more hesitant due to all the red of the last couple of weeks.

[iamTom123]

If investors are still wary of Bitcoin, then Bitcoin certainly is in the initial stages of adoption and we qualify as 'early adopters'. So there is a long way to go in terms of increased usage and increase in price! If just speculation can drive Bitcoin's price to $20k, imagine what can happen when every Tom, Dick and Harry starts using Bitcoin.

Some ordinary investors are wary of Bitcoin all because they are listening too much on the mainstream media and the warnings from people who are NOT really familiar with Bitcoin at all and who just feel as experts on the subject just because they feel they want to. Bitcoin today will not have achieved what it got so far if people who believed on it as pioneers listened to their doubts or the fact that there is no insurance here. Had it been also insured then I really don't think it would have grown as it is today. Having an insurance is never an assurance that a certain investment vehicle can caught the massive interest from the investing public. Bitcoin is a disruptor that is why it never have to follow the traditional path trudged by the many...and this is something we have to always remember.