Commodity Blog

Commodity news, technical and fundamental analysis, market data on precious metals, energies, industrial metals, and soft commodities


Strategist Predicts the Fall of The Bitcoin

May 16, 2013 at 4:04 by Nicholas Gager

Ian Bremmer is an American political scientist specializing in US foreign policy and global political risk at Colombia University. Ian Bremmer is also the president and founder of Eurasia Group a leading global political risk  research and consulting firm.

In a recent article with Maureen Farrell on CNN Money Bremmer gave his opinion, and his company’s opinion, on the Bitcoin market and the future of the market.

One of the first things that Bremmer discusses is the likely longevity of the Bitcoin market stating “I would be very surprised if Bitcoin is still around in 10 years.” Bremmer also argues that because of the volatility of the Bitcoin and the ability of hackers to halt its usage that in the future other companies will use that Bitcoin as the framework for future digital currencies which will inevitably phase out the Bitcoin.

Perhaps however one the most important things that Bremmer predicts is the development of virtual currency’s by companys. It could be the cornering of the market by businesses like this that push the Bitcoin out of use.

For the average trader this means that in the long-term while the Bitcoin may not be, truly, challenged now future developments of virtual currencies could devalue the currency or even push it out of use all together. In the short-term it means that the volatility of the Bitcoin makes now the time to capitalize.

According to Mt.Gox as of 11:02 CST the weighted value of the Bitcoin is at $133.10 having hit a daily low of $105.

If you have any questions and comments on the commodities today, use the form below to reply.

Leave a Reply