There seems to be a very accessible way to track the next big move for Bitcoin, says the first analyst to follow the cryptocurrency.
The key is to look into Google search and wallet growth, said DataTrek Research's co-Founder, Nick Colas, recently.
"By looking at the number of people who search for the word 'bitcoin' on Google, which has roughly a 60 percent market share of search globally, we get a pretty good sense of where the interest is," he told during a television interview.
"The data does show exactly the same price trends that we saw for the past 90 days," he added.
But the price of the cryptocurrency appears to be stagnant just like the latest search trends. After bitcoin hit its record high of nearly $20,000 in December, there has been a steep fall in its prices and at present is trading in the range of $10,000 to $12,000.
"Bitcoin searches have really trailed off. So, the interest levels definitely show you where bitcoin has these big breakouts and then pullbacks," said Colas.
He cites and stresses on a number of other evidences that tend to support his theory off the sudden increase in bitcoin prices sometime between Thanksgiving last year and December 17. It was during this period that there was a very significant increase in search traffic as the price of bitcoin and started to inch towards record high of $19,843.
"Search trends skyrocketed after Thanksgiving here in the U.S. in November of last year — more than doubling in the course of just a couple of weeks," added Colas. "That incremental search for the term 'bitcoin' actually led to an incremental number of wallets being formed, a method by which people hold bitcoin."
But it was only a few days that there was a crash in the prices of bitcoin and simultaneously in the search traffic for it.
But no life raft is needed by Colas, owner of just a quarter of a bitcoin, despite the cryptocurrency’s troubles. The technology that is used for bitcoin has a long term bearing, he says and restates that the virtual currency is still trading well above the value it traded in before Thanksgiving.
"From this point on, we just have to look for the beginnings of good news that will re-accelerate wallet growth to make the thing go higher," Colas said
(Source:www.cnbc.com)
The key is to look into Google search and wallet growth, said DataTrek Research's co-Founder, Nick Colas, recently.
"By looking at the number of people who search for the word 'bitcoin' on Google, which has roughly a 60 percent market share of search globally, we get a pretty good sense of where the interest is," he told during a television interview.
"The data does show exactly the same price trends that we saw for the past 90 days," he added.
But the price of the cryptocurrency appears to be stagnant just like the latest search trends. After bitcoin hit its record high of nearly $20,000 in December, there has been a steep fall in its prices and at present is trading in the range of $10,000 to $12,000.
"Bitcoin searches have really trailed off. So, the interest levels definitely show you where bitcoin has these big breakouts and then pullbacks," said Colas.
He cites and stresses on a number of other evidences that tend to support his theory off the sudden increase in bitcoin prices sometime between Thanksgiving last year and December 17. It was during this period that there was a very significant increase in search traffic as the price of bitcoin and started to inch towards record high of $19,843.
"Search trends skyrocketed after Thanksgiving here in the U.S. in November of last year — more than doubling in the course of just a couple of weeks," added Colas. "That incremental search for the term 'bitcoin' actually led to an incremental number of wallets being formed, a method by which people hold bitcoin."
But it was only a few days that there was a crash in the prices of bitcoin and simultaneously in the search traffic for it.
But no life raft is needed by Colas, owner of just a quarter of a bitcoin, despite the cryptocurrency’s troubles. The technology that is used for bitcoin has a long term bearing, he says and restates that the virtual currency is still trading well above the value it traded in before Thanksgiving.
"From this point on, we just have to look for the beginnings of good news that will re-accelerate wallet growth to make the thing go higher," Colas said
(Source:www.cnbc.com)
