The speculation around Bitcoin is only getting louder. Morgan Stanley analyst James Faucette is the latest to warn users against the usage of Bitcoins.
The digital currency has seen dramatic changes in the value in last few weeks. First, it went from $7,000 to nearly $20,000 and in a few days tumbled down to $13,000.
Many other professional analysts have given perspectives like this on the digital currency, while many others have changed their views on Bitcoin as it has surged or plummeted.
Faucette said that it is very difficult to tell what Bitcoin actually is and so is predicting what will happen to it in the future. However, he said the value is 0 in case nobody accepts the technology for payment.
However, Faucette did not specifically say that the digital currency is worth zero but implying that Bitcoin’s value is intrinsically reliant on the “network effect.” He meant that if nobody wants it, it has no worth.
The statement from the Morgan Stanley analyst is not precisely an anti-Bitcoin indictment. It is just a reminder of what happens in case of Bitcoin falling, and there’s nothing that can stop the crypto currency from hitting rock bottom.
The value of one Bitcoin surged as high as $19,535 on December 16. According to coinmarketcap.com website, the current value of one Bitcoin is $15,509.10. In the last 24 hours of trading, the price of Bitcoin has appreciated by more than 10 percent.
All the crypto currencies have seen parallel recoveries. Except for NEM, all the crypto currencies have registered positive gains in the previous 24 hours. EOS, Cardano, Qtum and Monero gained big on the crypto market in the past day of trading.
Experts are continuing to warn that Bitcoin is a bubble about to burst, but nobody knows for sure.