It was in June 2016 when the UK voted to exit the EU. It was a shocking result and many inventors were left with the uncertainty of how the market will turn out in the next two years. This indeed caused the pound currency to drop from 1.42 to 1.36.
What cryptocurrency, particularly Bitcoin, investors were pleased to see was that its price rose. It was that time when the price of Bitcoin rose to $750 from its usual price range of $500 to around $600. This may be one of the reasons why Bitcoin and other forms of cryptos rose the following year.
Speaking of the following year, the first quarter of 2017 got even better for Bitcoin investors. Its price rose from the range $800 to $1,150. It didn’t stop there as by the end of 2017, its there was a time when this coin was valued at around $6,000. The price of Bitcoin remained around that range almost the whole of 2018.
The Many Effects of Brexit
There are many things that people are waiting to see after Brexit. It would also affect the European healthcare and that’s another major issue that they are faced with. What’s certain is that the talk of Brexit seems to have a positive impact on the Bitcoin industry.
Now, how is Bitcoin doing after the news that the UK is set to leave the EU on October 31st of 2019? How will this affect Bitcoin once Brexit is completely rolled out?
The start of 2019 wasn’t exactly great to Bitcoin and other cryptocurrencies. However, its current value is still bigger than last year’s and so it’s not entirely bad. After learning that the UK will be leaving the EU on October 31st, Bitcoin took a slight dip in value of 5%.
Currencies Euro and Pound seem to have stabled after the Brexit news, but things may still be different after October 31st. After all, UK financial markets are casting their doubts about the nation’s future as a banking hub. London is specifically under the eyes of many.
The Future of Cryptos like Bitcoin
Even if Bitcoin may appear to be struggling at the start of this year, analysts have the reason to believe that it will still be in a good place during the remainder of 2019. In fact, some see that this currency may be the key to Britain’s post-Brexit future.
Nigel Green, the CEO of deVere Group, an independent wealth advisory firm, said that the confidence in financial activity in the UK drained a bit ever since the Brexit news. This may also only intensify if the UK chooses to leave with no deal.
Green said that investors may now be more focused to create innovative and well-regulated businesses that focus on cryptocurrencies like Bitcoin. He believes that cryptocurrencies may be the major solution to reinvigorate UK’s financial services.
He believes that cryptos are simply the future of the money and the UK should take advantage of Brexit to set up its own crypto-friendly rules or laws. He sees that this will put the UK in a unique position for larger progress.
Current Brexit and Crypto News
The appointment of Boris Johnson as the Prime Minister of the UK seems to also be a good thing for cryptos. In fact, Trust Nodes reported that Google searches for the term Bitcoin in the UK dramatically rose when Boris Johnson took his seat.
It’s the fact that Johnson doesn’t seem to want to cooperate with the EU if they do not meet the demands that are already ruled out. People and analysts are already worried that the UK may indeed leave without a deal because of this.
Bitcoin has simply become a safe asset in times of crisis like this. It becomes more attractive to investors out there. It’s no wonder why people tend to give it a chance after hearing news like the UK may, after all, go out with no deal. Brits are simply becoming more bothered by their financial future.
In June of this year, the value of Bitcoin reached $8,000 and by June 26, it already peaked at $13,800. Green was just right to see that it may be the start of the next bull run of Bitcoin. However, the start of July wasn’t exactly all great as its value went down again to around $12,000.
Currently, Bitcoin’s value is playing at around $10,000. However, Bitcoin price predictions for the month of August are looking up. By the end of this month, analysts are expecting to see its value to rise to around $11,500 again.