Chaotic Volatility, Unpredictable Trends of 2019: To the Moon or Not?
TechnologyBit News Today2 min read
The cryptocurrency market in 2018 has been a turbulent one. Since then, the market has been trying to find its footing, with wild fluctuations and several sharp drops. ## Market Trends
Instead, it has oscillated wildly, at one point dropping below six thousand dollars. Ethereum, the second-largest, has faced similar volatility. These trends have echoed throughout the broader crypto market, with many coins rising and falling sharply in short periods.
Against this backdrop, there have been a few attempts to introduce more regulation to the market. Several exchanges in South Korea were forced to close after lacking an operating license. A third of the trading volume on centralized exchanges was found to be manipulated, according to a research paper in 2018. ## Institutional Money and Custody
The last months of the year have seen increased interest from the traditional financial sector in cryptocurrency. In November, the Intercontinental Exchange, a global network of exchanges and clearinghouses, announced it was launching Bakkt, a new platform that will allow the trading and storage of cryptocurrencies. The CEO of JPMorgan Chase stated that he believes cryptocurrency will be around for a long time. And Fidelity, one of the world's largest trust companies, launched a cryptocurrency custody service in October. ## What Lies Ahead
Looking ahead to the opening of 2019, it's difficult to predict what the bitcoin price will do. Many have tried to make specific claims in the past, but it's a fool's errand - the cryptocurrency market as a whole is notoriously difficult to predict. What is certain is that there will continue to be volatility. Blockchain technology as a whole, though, will likely see increased adoption from the financial mainstream in the year ahead, thanks largely to companies like Bakkt and Fidelity. And with increased regulation, as well as more formal securities laws, the space will look very different than it has in years past.
For those wanting to invest or trade cryptocurrency, it is worth keeping these dramatic swings in mind. With the volatility, sudden drops in price, and up-and-down nature of it all, the potential for quick gains also means more risk. Do your own research, be careful, and don't speculate with more than you can afford to lose.
