Crypto World Order Pre and Post Segwit (Aug 1, 2017): Success101 Analysis
Most investors in the cryptoworld anxiously await Bitcoin's SegWit Activation on August 1, 2017. Analysts have different opinions regarding how this could influence the market but there is one thing they all agree on: uncertainty. It is no secret that Bitcoin's scheduled Segwit Activation has created a lot of uncertainty in the market and yet more will follow as the August 1 deadline nears. Investors are not completely sure whether Bitcoin's price will rise or fall sharply following Segwit. This has resulted in a new crypto world order which can be rightly referred to as the Pre and Post Segwit Order.
The Pre Segwit Order:
With the uncertainty surrounding Bitcoin's Segwit activation, investors are starting to invest in altcoins. The top two favorites are Ethereum and Litecoin. Investors who like Bitcoin more than Ethereum are starting to flock behind Litecoin more than ever. We have seen Litecoin's price surge despite the market being weak these past few days. As the August 1 deadline draws closer, interest in altcoins is likely to increase. As of today, Litecoin has surpassed Ethereum in volume on Poloniex and it doesn't show any signs of slowing down. This trend is likely to continue and interest in stable altcoins will grow, probably more than ever in the Pre Segwit Order. Success 101 advises short term and medium term investors to avail this opportunity.
The Post Segwit Order:
It is probably a bit early to talk about this phase but the various outcomes of Segwit Activation can be outlined. Apparently there are two possibilities:- Agreement is reached between miners and developers and they all get along fine.
- Serious differences arise resulting in Bitcoin taking a massive haircut and losing its position to Ethereum, a scenario referred to as "the Flippening".
Scenario 1:
Let's say agreement is reached and they all get alone fine. We will start to see faith being restored in Bitcoin, the price will likely cross the $3000 mark in a matter of weeks. This could be ideal for those looking for a quick return on their investment. Prospects could also be bright in the long term as some analysts on CNBC have predicted a price of $100,000 in 10 years considering the limited quantity of Bitcoins and slowing rate of production.
Scenario 2:
Let's say serious differences arise between developers and miners. Bitcoin will see a massive decrease in price. This will give a good entry point to investors who are looking to buy at a lower price but it will also result in a large number of people betting their money on Ethereum and other altcoins which could possibly result in "the Flippening" as Ethereum takes Bitcoin's place. It seems very likely considering the technology and application of Ethereum outweighs that of Bitcoin by far, the latter being just a dominant cryptocurrency whereas the former is a whole new world of decentralized web.