Bitcoin price remains at 2019 high as analysts predict positive impact from Facebook Libra
Bitcoin continues to trade at a 12-month high following Facebook’s announcement that it plans to launch its own global currency to rival the US dollar.
The Libra cryptocurrency is the first move from a major technology giant to take on bitcoin, which launched just over a decade ago. But far from unsettling the established cryptocurrency industry, Facebook’s move into the space appears to have had a positive impact.
Bitcoin and other major cryptocurrencies like ethereum and ripple remained relatively stable following the announcement, with none shifting in value by more than 1 per cent.
It is unclear what the long-term impact of Libra will have on the wider cryptocurrency space, with Facebook’s currency not set to launch until some point in 2020.
Some crypto experts point to the fundamental differences between bitcoin and Libra, which suggest the new cryptocurrency poses no threat to the space bitcoin currently occupies.
As a corporation operating within local laws and jurisdictions, Facebook’s Libra does not offer the decentralised, semi-anonymous functionality that bitcoin and other cryptocurrencies like it provide.