The famous "cookie now or two later" experiment best describes the current situation on the Bitcoin market. However, we should wonder if those future cookies would still be Bitcoins? Seemingly, some alternative coin (Altcoin) with more value has a chance to replace it.
As the Bitcoin price continues to fall in August, it proves its elasticity to the news. Although many react to Trump's tweets, a single comment shouldn't cause havoc to the cryptocurrencies as it did. The same goes for the false ones triggering the bullish trend as it happened on April fools' day.
Nevertheless, the big news for September 2019 is Bakkt finally launching Bitcoin Futures. The long-delayed launch is on 23rd September, promising another exciting end of the month for traders.
However, is there a chance for the crypto market to enter the era of stability? At that time, will those suppressing the need for instant gratification be able to buy more valuable assets? Furthermore, is there an Altcoin with the potential of being more valuable than Bitcoin?
Bitcoin Losing the Support
The last days of the previous month were the ones to remember. Regardless of the bull run during the end, the Bitcoin price didn't go up as far as it should. Falling two months in a row means the end of September will be "the break it or make it." If the price goes below $9,623, the Japanese Candlestick pattern will suggest selling. Seemingly, the volatility of Bitcoin will last while the blockchain technology improves. It is because the blockchain technology is innovation, but cryptocurrencies are still in the infancy stage. The harsh truth, but many choose to twist the reality and believe that the bubble, as Ray Dalio refers to Bitcoin, will last. At this point, only the financial crisis could be the catalyst for its survival. Even in that case, it is hard to believe that Bitcoin can hold value as gold does. It is also interesting to notice that Ray Dalio's suggestion on buying gold, Bitcoin enthusiasts consider as support.Far from the truth, since there is a big difference between Bitcoin and gold. Similar to the silver and stones like Jade, the value of gold lies in the possibility to make remarkable objects. Therefore, it is more likely for gems and stones to increase their prices during the financial crisis. For example, an ounce of Jade is even now more valuable than the ounce of gold.As Bitcoin is a very straightforward usage of blockchain, it lacks some aspects that hold more value.
Altcoins Offer Innovations
On the other hand, many Bitcoin alternatives grouped under the name Altcoins have much more to offer. Of course, their focus is on the speed of transactions, security, and user experience.
It is because Altcoins tend to replace fiat currencies. But the problem is that security and lesser fees are not a breakthrough. If the blockchain offers a radical change, why should we accept only a small portion of it?
As mentioned, the logical explanation is the early stage of the tech. To support this claim, every cryptocurrency, including Bitcoin, face its issues:
Ethereum
The Ethereum network is infamous for its forks. The first was resulting in a loss of 3.6 million of Ether worth a $70 million at the time. Although its byproduct is Ethereum Classic, no significant improvement came from it nor from the forks that followed.
Nevertheless, the Ethereum platform is valuable as the basis for concepts such as Cryptokitties. Even though the hype for these digital cats caused a severe delay in overall transaction time.
Ripple
On the contrary, Ripple achieved transaction speed higher than PayPal. Furthermore, news as partnerships with the Bill Gates Foundation and donation to schools boost rating a lot.
Regardless of these altruistic moves, Ripple still has to survive its lawsuits. In one of the past trials, Ripple settled for $1 million with its former executive and founder.
Stellar
Since it was the man behind the Ripple code, the very same man founded Stellar as an improved model. Stellar partnered with International Business Machines (NYSE:IBM), and it is claiming faster transaction speeds. Thus, starting the rivalry with Ripple.
Unlike the initial Ripple's focus on banks, Stellar tackles both institutions and individuals. Moreover, the real innovation comes from solutions that use the Stellar platform.
For example, Traxalt supports internal data collection, analytics, and reports. Furthermore, the system of credits as an off-chain solution makes transactions even faster. Another solution, Tempo Crypto deals with the purchase of goods alongside other upcoming Stellar ICOs.
Conclusion
If Bitcoin Futures fail or impact the derivatives market as mortgages did, we can expect the Bitcoin bubble burst in the upcoming months.
It is because the price drop in September leads to the three black crows pattern. Since many traders react to this signal for the bearish market, we can expect massive selling.
Therefore, buying a Bitcoin at this bullish moment is similar to "taking a cookie now" because of FOMO. Although no one can guarantee "two cookies later," the chances are high of some of Altcoins making a breakthrough.
Innovative solutions are giving hope that the focus will shift to blockchain solving the real-life problems. It is because the logical choice should be to use cryptocurrencies in everyday life due to making it more comfortable.
Nowadays, the supply and demand for Bitcoin is a trigger for the price of most Altcoins. Thereby, only the unique solution that holds the real value could break this vicious circle. If some Altcoin can achieve this, it would become bulletproof to Bitcoin fluctuations. In this case, it might overthrow it.
So, why take one or even two cookies, when you can take a piece of the cake?