Bitcoin (BTC) opened on the markets today at £6,596.39 ($9,205.12) before dropping by 1.34 percent to £6,507.86 ($9,081.58) by 12.33pm GMT, according to CoinMarketCap.
Since the start of March, bitcoin has deprecated by more than £716.60 ($1,000) and is now around 35 percent down on the start of the year.
But despite the bearish market performance, cryptocurrency ratings company Weiss, has raised bitcoin’s investment score from a low C+ to a modest B-.
Weiss cryptocurrency expert Juan Villaverde said: “Bitcoin has benefited from some relative price stability compared to other cryptocurrencies along with a moderate improvement of the Lightning Network.
“It still has major technology challenges, but it’s not dying.”
Earlier in January, Weiss awarded bitcoin a C+ rating based on its strong adoption and several technical downfalls.
At the time, the ratings company argued bitcoin suffered a lack of “immediate mechanisms for promptly upgrading its software code”.
But the company seems to have changed its tune in light of recent events, with Mr Villaverde taking issue with suggestions the cryptocurrency was on the verge of extinction.
Bitcoin price news: Weiss Ratings upgraded its BTC score to B-
The analyst said: “After getting burned and burned again, you’d think the naysayers would eventually learn that cryptocurrencies aren’t going away.
Bitcoin still has major technology challenges, but it’s not dying
“How many times have you heard so-called ‘experts’ come out and declare that ‘bitcoin is dead’, only to later eat crow or go silent?
“Bitcoin Obituaries says it’s 263 times and counting.”
In its new bitcoin rating, Weiss argued the company’s scores tend to shift frequently in both directions.
Bitcoin price: BTC performance is turbulent since the start of the new year
But Mr Villaverde noted in recent weeks bitcoin’s market performance proved “more stable” than that of the competition.
The ratings agency also said bitcoin has finally addressed some of the major software gripes that affected the January score – notably by increasing adoption of the Lightning Network.
Mr Villaverde said: “Lightning now adds elements of privacy.
“This improvement is not a dramatic one, and the technology is still far from cryptospace mainstream. Nor does this mean we now consider Bitcoin a ‘privacy coin’.
“But this week, it was time to add points to Bitcoin’s score to reflect some progress that has been made on the Lightning Network mainnet.”
However the analyst underlined in his evaluation the technical improvements do not wash away his concerns about the token.
He added: “We still find it rather troubling to see such a high correlation between on-chain transactions and price action.
“It continues to suggest the main use case for Bitcoin today is a vehicle for speculation. And we’d like to see more real adoption of this currency.”
Bitcoin rating: Technical improvements slightly upgraded bitcoin’s market evaluation
Weiss Ratings, which was found in 1971, rates over 55,000 institutions and investments, and claims not to take compensation for its public evaluations.
In January, the ratings agency began evaluating cryptocurrencies, assessing them based on their volatility and market potential.
Weiss ratings are handed out on a scale of E to A, where A is an “Excellent” score and E is “Vey Weak”.