Bitcoin Value Takes another Dive

Despite all the market developments, it seems that Bitcoin will not become stable that soon. The first month of the new year was quite bad for the cryptocurrency, as it hit its low when the price fell all the way down to $165.

With news of the first US-licensed Bitcoin exchange, Coinbase, the virtual currency started gaining some traction and its value climbed all the way up to $300. However, it seems that good news can never really last when it comes to Bitcoin and the sudden surge was short-lived.

Only a couple of days after Coinbase opened for business, it came to light that two US states, California and New York, have not issued a license for the company to operate within state borders. All of a sudden, what seemed like great news at first is now just good news at best.

California being left out was particularly disappointing for many residents of that state. The only comment Coinbase officials had when asked why they originally listed California as one of the licensed states was that 'it was a grey area.’

This turn of events prompted another dive for Bitcoin as its price has started to, once again, rapidly fall. Bitcoin's value has finally stopped at around $220 - $240, igaming.org reports, and for now it seems stable.

It appears that the cryptocurrency just can’t catch a much-needed break to really take off. That said, as the author of the igaming article points out, it is a good sign that some big companies are willing to invest time and money into prompting Bitcoin into the mainstream.

This means that there is a strong interest for wider acceptance of the cryptocurrency, considering these companies are even willing to lose money short-term while counting on gains in the long-term. With Coinbase and similar initiatives there is certainly more than a good hope that Bitcoin could soon become a perfectly acceptable method of payment for different products and services.

One good thing about regulation is the fact that it removes the obscurity factor, the one thing that mostly deters people from using Bitcoin or other cryptocurrencies. If more countries follow the example and start passing regulations similar to those in the USA, it is quite conceivable for Bitcoin to enter the mainstream market and claim its fare share of customers.