Bitcoin’s $30k resistance in the midst of global inflation, crypto meltdown, and the stable coin crash reflects the brilliance in its underlying PoW design, says PayBito chief Raj Chowdhury.
Trading markets are going through a tumultuous time with decision-making becoming a tedious task for investors. Cryptocurrencies, with all their preconceived designs, have also been susceptible to the global meltdown. Bitcoin, in spite of its decreasing valuation over the past few months, has been holding off, garnering support and resistance around the $30k mark. A significant reason behind this, according to PayBito chief Raj Chowdhury, can be attributed to Bitcoin’s unique decentralized PoW mechanism.
Latest Fintech News: Moonbeam Unlocks Full Access to DeFi on Polkadot with Top Liquid Staking Platform Lido
Bitcoin retains its predominant position as the leader among cryptocurrencies with a 44.58% market share and a current capitalization of US$ 582.22 billion. While the first crypto has fallen over 50% of its all-time high of US$ 69k, analysts have been forecasting the $30k resistance mark for some time and predicting its ensuing recovery.
The PayBito chief, also a noted blockchain pioneer, states, “Despite its apparent flaws, Bitcoin’s architecture makes it a modern-day marvel immune to global financial policies. The benefits far outweigh the cons, evident from its increasing acceptance across multiple nations and global organizations.”
Bitcoin was designed to be an inflationary hedge. Its transactions are recorded in a distributed ledger system using a Proof of Work consensus algorithm. The mechanism validates the transactions only on receiving a majority consensus from the decentralized network’s node members. Bitcoin, along with Ether, is spearheading the global blockchain-crypto revolution. It has surpassed PayPal in global transaction volume in 2021 and is expected to overtake MasterCard and Visa in the near future.
Latest Fintech News: Kiya.ai launches India’s first-ever Banking Metaverse
“The age of digital assets has already arrived. There are some challenges that need resolution, such as Bitcoin’s volatility and energy-intensive mechanism. But, the scope of process optimization through the elimination of intermediaries, promoting financial inclusion across regions with poor banking infrastructure, enhanced security and transparency will eventually lead to its success as an effective alternative of the USD hegemony,” concluded Chowdhury, who had previously mentioned how inflation would be a test ground for cryptos, with balance and active association being the key factors to their evolution.
The Chowdhury-led PayBito is a global crypto exchange prioritizing protection of investor assets. In addition to multiple trading options for beginners and seasoned investors, the exchange also features crypto custodial services and crypto collateralized lending. PayBito contributes regularly to crypto community development, offering white label solutions of its native exchange architecture to institutional investors and enterprises venturing into crypto trading services. The exchange recently offered its architecture to a UAE-based global bank, and collaborated with a Canadian gaming company for building an Avalanche-based gaming exchange.
Inflation and the subsequent financial recession have made an impact across global trading markets including cryptocurrencies. However, the losses in Bitcoin valuations are short-term with its development cycle deliberately kept slow to successfully bring about a revolution in the current global monetary system.
Latest Fintech News: Cashfree Payments partners with NPCI for tokenization of RuPay cards
[To share your insights with us, please write to sghosh@martechseries.com]
