As 2017 clicked over into 2018, the crypto mania roared above the New Year celebrations.
While most people were busy toasting the start of 2018, bitcoin was rapidly tumbling downhill. In a sharp and sudden decline, it fell 8.1%, from US$19,511 to US$13,150 per coin.
For Aussie crypto investors, this was yet another blow, as recent debate has made it increasingly difficult for Australians to buy bitcoin. With major banks unwilling to work with cryptocurrency exchanges due to the lack of regulation, brokers like CoinSpot have halted deposits of Australian dollars.
Although they expect to start reaccepting Aussie investments, this temporary ban speaks to the unpredictability and fickleness of crypto investing. Issues that have plagued cryptos in various forms over the past year.
Of course, these drawbacks weren’t the end for bitcoin. Already it has climbed 13% — to its previous high — on the back of bitcoin futures, quelling any panic about a collapse.
But not everyone has the stomach for such a turbulent investment rollercoaster. Yes, the highs are spectacular. But the lows are stomach-churning. And the uncertainty about the future of cryptos remains palpable.
It will likely take time for the ride to slow down. Financial and technological revolutions of this scale take time and patience. So, for now, this is the reality of crypto investing.
In the meantime, blockchain technology continues to prove itself as well-grounded tech with revolutionary potential. And the companies that have utilised it effectively have been rewarded with immense success.
Best of all, blockchain doesn’t require the approval of banks or governments to operate. It’s being readily adopted around the world due to its transparency and reliability.
Take the city of Moscow as an example.
After considering that the yearly cost of corruption makes up 4–5% of global GDP and that one-third of voters worldwide don’t trust election results, they knew something had to be done.
And what could be better than an immutable blockchain ledger to improve voter confidence? Moscow is taking steps to revolutionise the voting process with blockchain, allowing citizens to track voting results on city projects in real-time.
As this decentralised system is tamper-resistant and visible to everyone, the success of this tech could also radically transform the way we cast votes on a global scale. Blockchain makes it possible to vote from the comfort of your own home, with no queues or the possibility of forged results.
As the world splits at the seams with an overload of data, blockchain will become an integral part of our lives.
The stock market is also set for a huge shake-up. 2018 could very well become known as the year data was completely revolutionised by blockchain technology. It had already started to take hold in 2017, but the scale of the disruption is yet to be realised.
Exponential Stock Investor editor Ryan Dinse has been scouting for the stocks that could be leaders in this space. Companies that could skyrocket on the back of blockchain tech. He now believes he’s found a small number of lesser-known companies that could be poised to do just that. To find out what they are, click here.
This week in Markets & Money
On Tuesday, Terence discussed the importance of infrastructure — especially in China and India. To keep up with their growing populations, a big construction boom is on the horizon in both nations. One that rivals momentous building projects like the Great Wall of China. President Xi Jinping has been planning a trade route project that would cross 65 countries, linking China with central Asia, the Middle East and Europe. This high-speed railway road would not only change the game for trade, but reshape the global economy. And, according to Terence, this project looks set to be one of the largest investment plans ever launched.
To read the full story, click here.
On Wednesday, Greg reflected on 2017’s bull market. Although many sectors and individual stocks did well, there is definitely room for improvement. For Greg, the market in 2017 taught him better stop-loss management strategies. A lesson that will be useful in 2018, as he expects greater market fluctuation in the year ahead. That said, the Aussie market currently appears strong. And once Donald Trump’s tax cuts come into effect, we will have a better idea of how strong the market really is.
For all the details on this story, click here.
On Thursday, Ryan argued that there was no need to panic about bitcoin’s price drop over Christmas. After all, we have seen this 225 times before, and will definitely see it again. These fluctuations are just the reality of cryptocurrencies — a reality that is not for the fainthearted. But Ryan believes that, if you can hold on for the ride, there could be incredible rewards on offer at the end. As hot money has begun to move into bitcoin futures, the price could hit an insane figure. How insane?
To find out, click here for the full story.
On Friday, Ryan reminded us that cryptos are still an evolving technology. Many people are forgetting this fact in the frenzied rat race to find the coins that will yield the biggest and quickest gains. What investors should really be focusing on is the answer to one question: Do I think this cryptocurrency will have use in the future? Some people argue that when it comes to bitcoin, the answer is ‘no’. But after recent developments to improve the efficiency of transactions, bitcoin’s future is looking up. And according to Ryan, this makes it a crypto to watch.
For more on this story, click here.