Bitcoin Prediction – We discovered a 20 page study on the bitcoin predictions by few researchers from Switzerland. They determined bitcoin’s market capitalization might fall $44 billion by the end of 2018.
Where as Mr. Wheatley explains in conference as “We develop a strong diagnostic, for bubbles and crashes in bitcoin, by analyzing the coincidence (and its absence) of fundamental and technical indicators. Using a generalized Metcalfe’s law based on network properties, a fundamental value is quantified and shown to be heavily exceeded, on at least four occasions, by bubbles that grow and burst.”
Metcalfe’s law has been tied to crypto currency bitcoin almost since the decentralized currency’s inception. Mr. Wheatley also believes the number of bitcoin users is declining day by day which may result in lower value of bitcoin in upcoming days. People thought BTC will over when its huge fall happened in last month.
In another way, Bitcoin Prediction
They argue “We emphasize that one should not focus on the instantaneous and rather unpredictable trigger itself, but monitor the increasingly unstable state of the bubbly market, and prepare for a correction,”
Such kinds of academic papers are often filled with just assumptions and not always leads to true market prediction, and this paper is no different. As users decrease, then, so goes market cap… or at least its rate of growth.
Mr. Wheatley just examines four in particular, Mt Gox and South Korea’s perceived threat to ban exchanges being the most prominent examples. Crashes or crazy corrections usually followed.