Will Bitcoin Have a Happy Thanksgiving?

November 12, 2019         By: Steven Anderson

It may be hard to believe, but Thanksgiving—at least in the United States—is just over two weeks away. While we’re all making plans for heading home, having dinner, and resting up for the massive shopping bacchanal to follow, 2 new reports suggest the cryptocurrency market is poised to make its own moves.

First, we had a bit of commentary sent to us from BOLT, a video content ecosystem built in Singapore. The word in question featured BOLT’s chief commercial officer and co-founder Christel Quek, who noted that bitcoin’s Thanksgiving track record has been, at best, mixed. For example, in 2017, Thanksgiving saw some significant losses, before it began its meteoric upward rise followed by its equally meteoric downfall.

Quek doesn’t look for a similar pattern for bitcoin—a major Thanksgiving bummer to those who bought in at the highs—and in fact looks for bitcoin to continue downward to “around $6,000” in the weeks ahead of Thanksgiving. However, Quek does expect a Santa Claus rally, with prices recovering to around $7,500.

Not great news, and it gets worse. FBI Director Christopher Wray, while at the Senate Homeland Security Committee, referred to cryptocurrency as “…a significant issue” and one that Wray expects will “…become a bigger and bigger one.”

Bad enough, but the picture was as bad elsewhere as Australia’s Minister of Home Affairs Peter Dutton expressed the belief that terrorists were likely to use cryptocurrency as a means to finance terrorism, though Dutton also expressed a similar belief about gift cards, crowdfunding systems and online payments tools in general.

Essentially, the pre-Thanksgiving situation for bitcoin looks about as meager as a Thanksgiving meal featuring a Cornish game hen where a turkey should sit. Price drops, anemic recovery, and government officials convinced that the whole thing is a “problem” that needs to be addressed quickly. That’s not exactly a good sign for cryptocurrency in general. Of course, it’s exactly this kind of thing that prompted the ultimate response to all cryptocurrency issues—Hang On for Dear Life (HODL)—and is as valid now as it was when it was created.

Still, we’ve seen stranger things than a cryptocurrency recovery, and we could well see those exact things happen again. Only time, ultimately, will tell just how this all boils down.