The 2018 Consensus pump that was talked up in the run-up to the May event famously failed to materialise last year – Bitcoin fell over 3% to $8,255.
This was a marked change to Consensus 2017, which created a spike that many considered the start of the bull run that took Bitcoin to nearly $20,000. In fact every Consensus event except 2018 has enjoyed a big boost to crypto.
One bad year and y’all ditch the Consensus Pump narrative 🙃 pic.twitter.com/OfVVcMygER
— Crypto Bobby (@crypto_bobby) May 2, 2019
Today, as Consensus 2019 kicks off, are we likely to see another 2018 flop or a continued pump?
The indicators are more positive this year
Last year, market sentiment had soured and despite the partying during Consensus and New York Blockchain week, overall it was in a downward spiral, and the momentum couldn’t be reversed.
The 2018 downward pressure on crypto was largely a hangover of the highs – the ICOs that raised billions were needing to liquidate large amounts of crypto to build their businesses. Retail investors, who had ploughed into crypto as it hit the front pages, were cutting their losses and selling their holdings. And institutional investment, that many considered would start a new wave of investment, was seemingly a long way off.
In 2019, everything is different
In 2019, ICOs have either given up, or are working on a much more conservative roadmap that eeks out their funds for as long as possible. Any retail investors who didn’t sell in 2018 are HODLing. And institutional investment appears to be coming as Bitcoin is increasingly seen as a potential alternative investment and even potentially a safe haven as the US-China trade wars continue, and the traditional stock markets are rattled.
Even the Ethereum “thirdening” fork has meant that the selling pressure from the Ethereum miners is much reduced.
An exciting week that could change everything
Consensus is the crypto industry event of the year, new and exciting announcements are coming during the week. Game changing products and services may be launched.
Many say that the pump of the past few days – as high as $7,500 over the weekend, was all driven by internal community sentiment without much in the way of external investment. As soon as outside funds come in we could see it continue to rise over the next few days.
In the past, Bitcoin and altcoins rose an average of 77% and 161% respectively during Consensus, posting significant gains three out of the four years the annual conference has been around.
Even taking a starting price of $5,700 from one week ago, a 77% increase from here would take the price of Bitcoin to over $10,000.