After Bitcoin hit its all-time high price level at above $6,000, the slight retrace in price was expected by most. The correction is a normal course of events, since bitcoin is expected to go through a hard fork in the following week. Investors seem to be reacting normally to the bitcoin price volatility, especially when the overall growth of the currency is +700% for the year.
“In fact, the Bitcoin price dipped all the way to $5,827 overnight, which is in very stark contrast to the $6,194 all-time high a few hours prior. Especially during the weekend, such price swings have become all the more normal as of late. This doesn’t mean we will see a full-fledged retrace anytime either, as reaching $6,000 again seems to be only a matter of time right now. Dips are designed to be bought, as it allows for some quick profits along the way.”
The total market capitalization of Bitcoin right now is around $100 billion. Such a market cap represents more than 50% of the total valuation of all digital currencies in the market, which are now above 1,000. The total market cap is $180 billion. Judging the previous hard fork, and the split of Bitcoin and Bitcoin Cash, the little price volatility around the fork is a good sign. Every time bitcoin soars, it retraces a little to keep the positive price increase and sustain the trend.
The current expectation is that Bitcoin will split into one more currency: Bitcoin Gold. The community is positive on the change, after seeing the positive returns from Bitcoin and Bitcoin Cash. As of right now, the price level of the digital currency seems to be climbing, with only gaining momentum with a slight retrace.