BigONE View: Bitcoin is rising! Rumors triggered by an advertisement for a job posting?
Recently, the price of Bitcoin has risen. Many people analyzed the reasons for the surge and concluded that it could be linked to a recent job posting by Amazon. While boosting the Bitcoin surge, it also sparked speculation that the e-commerce giant is ready to accept Bitcoin payments. After several weeks of Bitcoin price drop, the news pushed the price of Bitcoin to its highest level since the fall. Coincidentally, just a few days ago, Tesla’s Elon Musk stated that “it is very likely” Tesla starts accepting Bitcoin payments again.
Can I pay with Bitcoin on Amazon now?
On July 23, Amazon released a job advertisement for the person in charge of cryptocurrency and blockchain products. Said that Amazon is looking for an “experienced product leader to develop Amazon’s cryptocurrency, blockchain strategy, and product roadmap.” It also stated that Amazon hopes to have expertise in blockchain, cryptocurrency, and central bank cryptocurrency. They need knowledgeable people to promote the development of their overall cryptocurrency strategy.
According to information gathered by BigONE, the London publication City AM was the first to report that Amazon is planning to accept Bitcoin payments. It sparked the suspicions by quoting an unnamed Amazon insider. According to the unnamed source, “this post is part of Amazon’s goal to embrace cryptocurrency, which has progressed beyond the discovery stage of cryptocurrency.” This is a thorough, well-debated, and necessary component of Amazon’s future operation mechanism.”
Amazon can’t use Bitcoin for payment at present. Nonetheless, it is clear from Amazon’s job postings that the company is interested in the cryptocurrency business. Following City AM’s press release, it was revealed that Amazon hopes to take Bitcoin payments before the end of the year and eventually incorporate other major cryptocurrencies such as Ethereum (ETH) and Cardano (ADA). If all goes as planned, Amazon may introduce its own cryptocurrency in 2022.
What does this mean for Bitcoin?
According to CoinMarketCap data, the price of cryptocurrencies has increased by about 25% in three days, rising from US$32,306 on the morning of July 23 to US$40,275. Since mid-June, the price of Bitcoin has surpassed $40,000 for the first time.
According to BigONE analysis, this might be the start of the bitcoin market’s resurgence. Indeed, based on Amazon’s employment postings, this may not be a rumor. BigONE feels it should be defined as a reasonable guess because the extraordinary spike in Bitcoin price earlier this year was based on an increase in Bitcoin acceptance. The “butterfly effect” was responsible. However, BigONE would like to caution investors that before they get too excited about the forthcoming bull market, they should consider the various developments in the cryptocurrency market since February of this year.
Bitcoin reached a historical height of almost $60,000 in April of this year but then fell by half over the next six weeks. Indeed, Bitcoin dipped below $30,000 for the first time since January of this year just a week ago, on July 20. The price drop scared investors, particularly new cryptocurrency investors witnessing such significant volatility for the first time.
Industry regulation plays a huge role
As the mainstream public further accepts Bitcoin, it will positively impact the future development of cryptocurrency. At the same time, regulatory policies and investor confidence are also significant for the impact of the cryptocurrency market. Countries are moving towards more stringent cryptocurrency supervision goals. Some countries have completely banned cryptocurrency transactions and services, and some countries have adopted cryptocurrencies as their own country’s legal tender. For example, El Salvador announced that it would use Bitcoin as the country’s legal tender.
What needs to be clear is that BigONE believes that regulatory policies are not necessarily detrimental to cryptocurrencies. From a long-term perspective, without stifling this emerging industry, prudent regulatory policies that increase consumer confidence can help the entire cryptocurrency market be healthier, more prosperous, and stable.
Accepting Bitcoin payments on Amazon is a big deal in itself, and it may push other large retailers to accept cryptocurrencies. But there are many other factors at play, so it is too early to judge how all this will develop.
BigONE is a global cryptocurrency exchange that provides a platform for trading various cryptocurrencies. It was founded in 2017 and registered in the Netherlands. The group operates in Russia, Brazil, Vietnam, Seychelles, Singapore, Japan, and Indonesia, providing marketing, investment, and blockchain technology research & development.