Finance expert Carter Worth said a bitcoin trend line shows a “well defined moment of big movement” for the cryptocurrency, which he expected will continue to surge following a tough few months for the BTC as banks and officials faced increased pressure to regulate the digital currencies.
Speaking on CNBC, Mr Worth explained that bitcoin price has fluctuated but shows a long-term pattern of growth. He said: “When you have lower highs and higher lows you, it represents equilibrium and there’s a debate.
“Some love this thing and some think it is, of course, the greatest fraud of all time. But this is going to get resolved violently.”
He added: “I think there’s more to go, so if you had to be long or short, I want to go long here.”
Mr Worth also said that his analysis on bitcoin is “identical for the most part” to other cryptocurrencies such as ethereum or ripple. But he added: “This is the one that is going to matter.”
The finance expert dismissed claims that bitcoin is an indicator for the market, saying “it seems like a stretch”.
A recent statement by Adena Friedman, CEO of Nasdaq, floated the idea of Nasdaq becoming a cryptocurrency exchange.
The move has been warmly received with one industry analyst saying, “if the blockchain and crypto industry want to attract institutional investors, the only way forward is by established exchanges looking to build their offering, whilst maintaining their best practices from the traditional market.”
Bitcoin price was at $9,208.21 at 15:50 (GMT) on Saturday, according to CoinDesk. It saw its highest value before Christmas when it reached the monumental price of just under $20,000.
But digital currency has faced widespread criticism, with former PayPal CEO Bill Harris insisting bitcoin is the “greatest scam in history”.
The founding PayPal CEO believes there is “no store value” in bitcoin and it should “not be accepted as a means of payment” and has no intrinsic value.
Writing in Recode, Mr Harris said: “Okay, I’ll say it: Bitcoin is a scam.
“In my opinion, it’s a colossal pump-and-dump scheme, the likes of which the world has never seen.
“In a pump-and-dump game, promoters “pump” up the price of a security creating a speculative frenzy, then “dump” some of their holdings at artificially high prices.
“And some cryptocurrencies are pure frauds.”
Head of the Federal Reserve Bank of San Francisco John Williams also said there are “a lot of problems” with bitcoin.
He told CNBC: “The setup or institutional arrangement around bitcoin and other cryptocurrencies, first of all, they have problems with fraud, problems with money laundering, terror financing. There’s a lot of problems there.”
Mr Williams said bitcoin and other cryptocurrencies cannot replace the US dollar because they fail the basic test of what a currency should be.