Ethereum Futures Inbound as Demand For Bitcoin Dervatives Explodes

For a while now, investors have been waiting on futures for Ethereum (ETH), the second largest cryptocurrency by market capitalization. These expectations have been stifled though, with regulatory uncertainty and interest concerns about the crypto asset.
But, according to a recent report from The Block, the CME Group, one of the world’s largest financial exchanges, is prepping to launch a product for Ethereum. For those unaware, the CME is a Chicago-based institution that famously launched Bitcoin futures near the peak of 2017’s boom.
Related Reading: Ethereum Transactions Surge as Analysts Predict an Imminent “52-Day Bull Run”
The Block’s Frank “Fintech Frank” Chaparro suggests that the CME altering its reference rate and index for Ethereum could mean that futures are coming. An industry source told the outlet that this change is being done to “prep for an Ether” vehicle.
You see, according to the individual in question, cash-settled futures like the CME’s cryptocurrency contracts can be manipulated, requiring a robust index to mitigate such risk. This recent alteration may be taking place to convince regulators to approve of Ethereum-related products.
Ethereum Futures Gain Support
This tidbit of news comes as Ethereum futures have garnered support from key individuals in the cryptocurrency community.
One such individual is Thomas Chippas, the chief executive of upstart crypto exchange ErisX. In an extensive. 10-page letter given to the Commodity Futures Trading Commission (CFTC), the American regulator that presides over digital asset futures, Chippas accentuated the need for an Ethereum vehicle.
Related Reading: Bitcoin Consumes As Much Power As Switzerland, But Impact Remains Negligible
He claimed that Ethereum, unlike some cryptocurrency projects, has a real and vibrant community, actual use cases, proper institutional involvement (JP Morgan, government organization, Ernst & Young, etc.), among other tenets of a healthy network. He went on to write that the CFTC supporting ETH would align with the agency’s commitment to “foster open, transparent, competitive, and financially sound derivative trading markets.”
There may be some bias in Chippas’ statement, as his company is looking to launch Ethereum futures in the near future.
Regardless, an unnamed CFTC official that spoke to CoinDesk earlier this year claimed that those at the governmental organization are amicable towards Ethereum. They quipped shortly after claiming that the CFTC is comfortable with the cryptocurrency:
“A derivatives exchange comes to us and says ‘we want to launch this particular product.’ … If they came to us with a particular derivative that met our requirements, I think that there’s a good chance that it would be [allowed to be] self-certified by us.”
Bitcoin Vehicles Also Well on Their Way
The seeming inevitability of regulated, U.S.-centric Ethereum futures comes hot on the heels of news that a number of cryptocurrency exchange startups have bagged licenses to list physically-delivered Bitcoin vehicles.
As reported by NewsBTC previously, ErisX revealed Monday that it has secured a DCO license from the CFTC. With this regulatory stamp of approval, the Bitcoin exchange now has the authority to list “digital asset futures contracts” on a platform slated to “launch later this year”.
The firm has notably been backed by Bitmain, CME, CBOE, ConsenSys, Digital Currency Group, DRW, Nasdaq, Fidelity, and, most notably, TD Ameritrade. The retail brokerage is expected to soon open Bitcoin and digital asset trading for its millions of customers across the U.S., many of which will soon get their first taste of cryptocurrency via an ErisX product.
This was revealed shortly after a similar announcement from competitor LedgerX. As reported by this outlet previously, the New York-headquartered platform received clearance from the CFTC  last week. The approval also allows LedgerX to trade physically-settled BTC futures.
According to CoinDesk, chief operating officer Juthica Chou has claimed that her company has no exact timeline, but she noted that LedgerX is looking to be the incumbent in this market.
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Analyst: Bitcoin (BTC) Needs to Break $11,600 to Skirt Consolidation

Even since Bitcoin (BTC) hit $13,800 to then retrace by $4,000, the cryptocurrency market has slowed. Don’t get me wrong, volatility is still rife in this market, but BTC’s range is starting to tighten.
As of the time of writing this, Bitcoin sits at $11,200, down around 2% in the past 24 hours — a far cry from the 10% to 20% days seen last week.
Related Reading: Bitcoin Fun Fact: Tony Hawk Has Been HODLing Since Sub-$1,000 BTC
With this extended bout of slower price action, analysts have been wondering what comes next for the cryptocurrency. A prominent trader recently provided an answer, issuing a simple analysis to explain what comes next for Bitcoin and its ilk.
What’s Next for Bitcoin? 
In a recent tweet, Dave the Wave, a popular analyst, claimed that Bitcoin is about to see somewhat of an ultimatum.
He remarked that per his logarithmic chart and parabolic and simple trend lines, BTC needs to soon break past around $11,600 on the daily to “resume its parabolic rise.” Such a move would mark the cryptocurrency breaking past a declining trend line that has acted as resistance since last week’s blow-off top.
Should the parabolic rise continue, Bitcoin could hit $14,000 by the middle of July, which is just over a mere week away.

BTC needs to break out here if its to resume its parabolic rise… otherwise some healthy consolidation…. pic.twitter.com/5LUDPMHy7E
— dave the wave (@davthewave) July 7, 2019

If this doesn’t soon occur, Dave suggests that Bitcoin will enter a period of consolidation, a period that will be defined by a parabolic trend. According to a chart published by him, such consolidation may see the cryptocurrency range between $8,000 and $11,000, which some would define as healthy price action.
And according to another analyst, Teddy Cleps, the latter, more bearish scenario has a high likelihood of playing out.
Related Reading: Bitcoin Still in Bull Market Territory as Gold Plummets; Will Growing Economic Stability Slow BTC?
Taking the price from an objective standpoint, only considering technicals, Teddy recently remarked that the $14,000 range has acted as “strong AF resistance” in 2017 and 2018.
He adds that every time Bitcoin tried to break past it in early-2018, what followed was a heavy break down, during which BTC often lost dozens of percent and thousands of dollars in the days that followed.

#bitcoin – $BTC
*looking at this purely based on TA – fundamentals aside
(2017)Level A rejected price for 8 weeks = strong af resistance
(2018)Level B rejected price for +200 days, every test was followed by strong fall
(2019)Level A has been rejecting price for 3 weeks pic.twitter.com/xd5oZTCmRo
— TEDDY (@teddycleps) July 7, 2019

Teddy concludes that unless Bitcoin manages to break through $11,700 convincingly, a return to $6,000 is entirely possible. This pseudo-call is somewhat similar to Dave’s analysis.
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Bitcoin Fun Fact: Tony Hawk Has Been HODLing Since Sub-$1,000 BTC

More people own Bitcoin (BTC) than you may think. In a resurfaced tweet, Tony Hawk, a legendary skater whose name graces countless video game names, claimed to have been HODLing the crypto asset for years now.
Related Reading: Double Jeopardy: Bitcoin and Blockchain Featured on TV Game Show Yet Again
Responding to a chart that accentuated the parabolic nature of Bitcoin’s chart, which then resembled a skate ramp, Hawk quipped that he’s been “riding” BTC for “six years”, adding that he has yet to cash out of his position.

Been riding it for 6 years. Haven’t bailed yet
— Tony Hawk (@tonyhawk) May 29, 2019

While it isn’t clear how much BTC the professional athlete has his hands on, the cryptocurrency traded well under $1,000 for most of 2013, making it likely that Hawk owns at least a few dozen coins.
Hawk’s innocuous response may seem mundane — a polite, high-octane response to a fun Twitter mention. But, it may have a fair bit of meaning.
Firstly, it shows that there are likely countless celebrities in the public spotlight that quietly own Bitcoin. Secondly and more importantly, the revelation that Hawk owns Bitcoin marks yet another case that proves mainstream media figures, prominent investors, and celebrities want and understand BTC.
And lastly, it proves that HODLing through the fire and the flames can pay off, despite what some cynics of the strategy suggest.
Mainstream Media Loves Bitcoin… Again
This comes as the mainstream media has begun to laud Bitcoin for once, instead of bashing it.
In a recent article, The Financial Times, which is a prominent business news outlet read by some of the world’s most prominent investors and funds, recently lauded Bitcoin as a “potential” safe haven asset. As cryptocurrency analyst Ari Paul wrote, Bitcoin has begun to “gradually enter the mainstream financial discourse”, which is rather bullish, to put it lightly.
A few days after this article was posted, Jim Iuorio of CNBC, a CME trader, lauded BTC on public television, revealing that he has begun to acknowledge the cryptocurrency as a viable alternative to fiat.
And who could forget Tyler Cowen, an economist that frequents Bloomberg’s op-ed column. In a recent article, Cowen gave four reasons why he believes Bitcoin will succeed, which caught many aback, as he was previously cynical that BTC was needed. A number of those reasons mentioned Bitcoin’s viability as a hedge against populism and geopolitical unrest.
Celebrities Love Crypto, Right?
As aforementioned, Hawk’s tacit statement of support for Bitcoin and its ilk marks the latest case of celebrities getting their hands dirty with cryptocurrency.
In the sports world, Hawk joins NFL player Russell Okung and UFC fighter Ben Askren as professional athletes-turned-crypto ‘rookies’
As reported by NewsBTC previously, however, the aforementioned sportsmen are just the tip of the iceberg when it comes to celebrities in the crypto space.
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With Altcoins on the Rise, do Analysts Expect For Bitcoin (BTC) to Outperform?

Ever since Bitcoin (BTC) began to rally in April, altcoins fell out of favor with most in the crypto community. No longer were people looking for the next winner, they were instead trying to determine where the leading crypto asset would top out.
And top Bitcoin did earlier this week. After rallying by 20% in a single day — a daily gain not seen since early-April — BTC collapsed by over $3,000 in the following 36 hours, showing an uncharacteristic bout of weakness amid a wider uptrend.
Related Reading: Analyst: Bitcoin Could Target $8,200 Next Despite Recent Stability; Is the Bull Run Over?
With this move, altcoins, for some reason, have become the talk of the town once again. In fact, as popular cryptocurrency trader Nik Patel has pointed out, worldwide “search interest” (as defined by Google) for the term “altcoins” is expected to reach 12-month highs this week.
It isn’t clear why exactly this is the case, but it could mark a migration of Bitcoin profits into smaller digital assets, many of which have suffered greatly as BTC has found itself up week-over-week. But, do analysts expect for altcoins to outperform the market leader?

… pic.twitter.com/7GhfdqLrab
— Nik Patel (@cointradernik) June 29, 2019

Will Bitcoin be Outperformed by Altcoins? 
Well, to answer the aforementioned question, yes and no. Yes in that some altcoins will likely outperform Bitcoin; no in that many are likely to underperform BTC, and may even be wiped off the face of the cryptocurrency market.
What this writer is referring to is the bifurcation between “good” altcoins and “bad” altcoins. Over 2016 and 2017’s crazy bull run, which saw Bitcoin appreciate by 2,000%, but altcoins simultaneously gain tens of thousands of percent, there were countless digital assets created.
Related Reading: Space Holds The Key to The Bitcoin (BTC) Moon Mission: Flipping Gold
Each startup tried to fit a cryptocurrency into their business model, even if the viability of the asset or blockchain wasn’t there. Despite the array of uninspired coins, most rallied anyway, catalyzed off good marketing, social media manipulation tactics, and what is best known as “The Fear of Missing Out”, FOMO.
But, with the crypto asset market now maturing, especially in terms of institutional involvement, most analysts expect for a large rift to grow between those projects deemed promising and those deemed horrid.
For instance, in a recent interview with BlockTV, a Binance executive explained that in the coming market cycle, investors will start to determine the good assets from the bad, hence why many cryptocurrencies are performing differently.
Bitcoin, for instance, is up over 200% from the bottom; Litecoin, some 600%; Binance Coin, at least 400%. And at the same time, many assets have dwindled, losing traction for some reason or another. This bifurcation may continue according to notable commodities analyst Peter Brandt.
He says that the uptrend in Bitcoin dominance could continue, quipping that “crypto maniacs” who believe altcoins will “benefit from bull runs in Bitcoin… may be very disappointed.”
Backing his point, Brandt likens the previous bull run to the Nasdaq’s Dotcom boom and bust, but this surge to the subsequent rally, during which “altcoms” died out and “dotcoms with real value exploded.”
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Why Bitcoin (BTC) Hitting $100,000 is Possible According to a Binance Exec

By many measures, the recent Bitcoin (BTC) bull run has just started. Despite being early on in this market cycle though, crypto investors have already begun to look ahead, speculating as to where certain digital assets will top out.
Related Reading: Economist Flips From Bitcoin Skeptic to Savant, Acknowledges Crypto’s Staying Power
Due to Bitcoin’s hegemony, most have focused their sights on the leading cryptocurrency, because as some see it, where BTC tops is where altcoins will. And according to a Binance executive, Bitcoin still has lots of room to run, upwards of 750%.
Bitcoin Could See Six Digits
In a recent fireside chat with trade news outlet BlockTV, Gin Chao, the Strategy Officer of crypto giant Binance, was asked about his thoughts on the potential of Bitcoin.
While noting that the value of BTC or Binance Coin (BNB) even doesn’t affect Binance’s strategy, Chao did note that historical trends hint that the cryptocurrency market has a large amount of upside potential.
In fact, he states that if you take previous cycles into account, of which there were at least three, Bitcoin could find itself in the $50,000 to $100,000 range — around four to eight times higher than the current price of $12,000, respectively.

#WEEKINREVIEW: "If you look at historical patterns you are probably looking at new highs at least for bitcoin in the $50,000-100,000 range." – Gin Chao, @Binance Strategy Officer. Check out the full interview at: https://t.co/9EOuzS6ktu pic.twitter.com/lvnU0GntaE
— BLOCKTV (@BLOCKTVnews) June 30, 2019

As to why this will occur, he looks to the fact that there’s likely to be a “turning point” in the adoption of digital assets. And with investors starting to bifurcate the good digital assets from the bad, with Bitcoin obviously falling into the former category, a move to such a level could be had.
Gao isn’t the only industry analyst or executive to have looked to the high five-digit region as where Bitcoin may top in the coming years. For instance,
Think Markets U.K.’s Naeem Aslam recently remarked that as long as BTC stays above the 242-day moving average, which is somewhat unorthodox compared to the traditional 50 or 200-day, a correction is unlikely.
In fact, he quips that in the short term, $20,000 is likely; and in the long run, Bitcoin could foray into the $60,000 to $100,000 range — just around five to eight times higher than current levels. Crazy, eh?
This number isn’t baseless. As reported by NewsBTC previously, Level’s Josh Rager notes that over Bitcoin’s three completed cycles, the trough to peak gains decreased by around 80% each time, which is a concept defined by the law of diminishing returns.
As Rager notes, 2011’s rally saw a return of 320,000%; 2014, 58,500%; and 2017, 12,000%. Thus, if history is followed to a tee, BTC will rally by 2,400% off its bottom, giving it a potential high of just shy of $80,000, $78,500.

Bitcoin Rate of Return Each Market Cycle(Each cycle had a 20% return of the previous cycle)
2011: Return of 318,864% = $31.90 High
2014: Return of 58,474% = $1,177.19 High
2017: Return of 11,960% = $19,764.51 High
2022: Potential Return of 2,392% = $78,500.00 Potential High pic.twitter.com/7KP439cpZE
— Josh Rager (@Josh_Rager) May 14, 2019

Some have been even more optimistic. But anyhow, the consensus seems to be that in the long run, barring that the Bitcoin network fails, BTC will see growth far beyond what was seen in previous cycles.
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Bitcoin Drops $2,000 in Minutes: Crypto Exchanges Struggle to Run Amid Volatility

What. The. Hell. In the past few minutes, Bitcoin (BTC) has slipped, showing an uncharacteristic bout of weakness in a massive uptrend. In fact, within the span of a few minutes, seconds maybe, Bitcoin fell from $13,800 — a year-to-date high — to just under $12,000.
Related Reading: Bitcoin Price Chart: Monthly Candle Pattern Shows Strongest Trend Reversal Ever
Now, as of the time of writing this, Bitcoin sits at $12,600, rallying by almost 8% in another few minutes off its short-term bottom. The market sure is volatile, and it seems that there’s a reason for that.

Bitcoin Markets Seeing Overwhelming Demand
During this move, exchanges the board began to stutter, falling under the pressure of an influx in demand. As NewsBTC’s Cole Petersen spotted, Coinbase’s entire platform, both on mobile and desktop, temporarily stopped working.
This writer has corroborated those claims, as he was temporarily greeted with an error message on Coinbase.com before service resumed minutes later.

.@coinbase appears to be having problems right now, at least on their mobile app.
Problems started right when $BTC dumped to below $12k
— Cole Petersen (@ColePetersen14) June 26, 2019

According to other reports made by users, other platforms have also seen some difficulty operating during this massive flash crash. One investor even drew attention to Binance, which to him/her stopped working for a short period of time. This writer has anecdotally confirmed that the crypto exchange is operating slower than normal.
Some have managed to take the brunt of this collapse, however. BitMEX, for instance, is now registering record volumes, seeing over $13 billion worth of volume on its Bitcoin contract in the past 24 hours.
Related Reading: 24/7 Bitcoin Derivative Trading Now Available for U.S. Residents; Will This Add Fuel to BTC’s Momentum?
Considering that BTC is still quite the trek away from all-time highs, the volume only accentuates the significance of this swing higher. The volume, in the eyes of some, also shows that the fear of missing out (FOMO) has begun to materialize in these markets yet again.

For the first time in 2019, the "Real 10" volume of bitcoin, which refers to the daily volume from 10 exchanges acknowledged to have real volume by Bitwise, is nearing $5 billion. BitMEX volume also surpassed $11 billion.
— Joseph Young (@iamjosephyoung) June 26, 2019

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Bitcoin Steady at $10,800, Why do Analysts Think BTC is Still on Thin Ice?

Unlike previous weekends in this uptrend, Bitcoin (BTC) was rather mild on Saturday night and Sunday. As of the time of writing this, BTC has found itself trading for $10,800 — down 5% from year-to-date highs, but up 1% in the past 24 hours. Simultaneously, altcoins have begun to slip, selling off against the market leader as investors flood to large caps.
Related Reading: Bitcoin Price Stabilizes Around $10,700, But Analysts Believe a Surge Towards $11,500 is Imminent
With this lack of immediate bullish continuation, some analysts have begun to fear that Bitcoin may, at least for the time being, be susceptible to a rapid drawdown. This is reminiscent of when BTC hit $9,100 in late-May, which was a move that sparked concerns of a retracement.
Bitcoin is on Thin Ice
Bitcoin has had a stellar week. After wallowing under $9,000 for weeks on end, the cryptocurrency began rallying, pushing past key resistances in a steady grind upward. By Friday night, BTC was poised to test $10,000 — a level which commentators, like Fundstrat’s Tom Lee, believe is of utmost importance.
After steady itself under $9,900 for a couple of hours, Bitcoin shot up, releasing a pent up burst of energy that catapulted it to and past $10,000. And from there, BTC continued higher, to $10,800 where it stands on Monday morning.

Despite this bullish price action, which analysts claim is a confirmation of a significant uptrend, a retracement is purportedly not off the table. On Sunday, NewsBTC reported that Saturday was BitMEX’s largest trading session ever.
Spotted first by analyst Joe McCann, Saturday’s session saw the derivatives exchange register over $8 billion worth of trades — accounting for 10% of all volumes registered on Coin Market Cap. While this tacitly confirmed that cryptocurrency is back, BitMEX saw an unintended consequence from this historical flood of trading activity.
The Bitcoin-to-USD synthetic pair saw its funding rate (meaning how much holders of the contract need to pay) hit 0.2965% for every eight hours of trading. High funding rates for longs incentivize those holding their positions to sell, thus moving the price of BTC on BitMEX, which should affect the broader cryptocurrency market.

Funding for longs is incredibly high right now
Without continuing positive price action, a 100x long's margin is gone within a single day at current funding rates
I think alts provide a long opportunity if Bitcoin corrects pic.twitter.com/wo9vyn94SM
— Bitcoin 𝕵ack (@BTC_JackSparrow) June 23, 2019

Although the Bitcoin funding rate has already begun to decline for longs, falling by a smidgen above 50% to 0.14%/eight hours, historical precedent suggests a downturn for BTC may be in its cards.
McCann explained that the last time the funding rate was above around 0.3%/eight hours was on May 27th, almost exactly where the bullish trend temporarily reversed for the cryptocurrency market.
In fact, the astute analyst points out that after May 27th, a Doji candle (marked by long wicks, skinny body, and a similar open/close price) formed on the daily chart. Dojis, of course, often precede trend reversals, and the case seen in late-May was no different.
As you presumably remember, Bitcoin peaked around the 27th, just when the funding rate hit the 0.3%/eight hours range, and then corrected from eight days straight. During that move lower, which some cynics suggested was going to bring BTC back down to $6,000 and lower, Bitcoin fell by 17%, all the way to $7,434.

4/ A Doji candle formed on the daily timeframe and reversed hard after that before rallying again.
The high on May 27th was $8964 at the peak of the funding rate daily session and then subsequently corrected for 8 days dropping as low as $7434, or a 17% drop. pic.twitter.com/iEHwZA2q3o
— Joe McCann (@joemccann) June 23, 2019

There is no guarantee that the same will come to fruition today, but a 17% drop from current levels would bring the cryptocurrency down to $9,000, which acted as key resistance during late-May and early-June.
This isn’t the only harrowing sign that has materialized in the Bitcoin market. When the CME opened its futures on Sunday afternoon (in North America), a large gap was opened, as BTC rallied on Friday and Saturday when traditional markets were closed.
Over the past few months, a number of these gaps have been opened, seemingly as a result of Bitcoin’s unexplainable propensity to rally on weekends rather than weekdays. The first two large gaps we saw, which formed in May, have been filled by large sell-offs.
Although some traders suggest that CME gaps don’t always need to fill, there remain two gaps — $9,900 to $10,800 and $8,400 to $9,000. There remains a chance that BTC could spike down to that level, even briefly, to fill those gaps that remain unspoken for.
It is important to note, however, that there have often been multiple days between the opening of the gap and the closing of said gap.

Back to back gaps.
Will they get filled? pic.twitter.com/BbzKzHCfy9
— Nunya Bizniz (@Pladizow) June 23, 2019

Decidedly in an Uptrend
Regardless of what exactly comes to fruition on the short-term charts, more and more indicators suggest that Bitcoin is decidedly in a long-term uptrend. Just recently, Financial Survivalism noted that the Ichimoku Cloud on Bitcoin’s weekly chart has turned “fully bullish”, as made extremely evident by a close above the red region of the indicator.
You’ve also seen the Moving Average Convergence Divergence (MACD) on Bitcoin’s one-month chart move ever closer to the green, a signal that was last seen prior to BTC’s rally from $300 to $20,000.

The weekly $BTC cloud is now fully bullish pic.twitter.com/ZQvmiKW6CI
— Financial Survivalism (@Sawcruhteez) June 24, 2019

But seemingly most convincingly, analyst Josh Rager notes that the Super Guppy, an all-encompassing technical indicator that predicts trends, has flipped from red to green on Bitcoin’s three-day and one-week charts. Once this occurred during the last market cycle, BTC rallied for over 15 months straight, shooting past new highs seemingly month in, month out.
Featured Image from Shutterstock. Charts Courtesy of TradingView.com
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Bitcoin: Analysts Call $11,500 Top For Latest BTC Surge, Will it Happen?

After months of anticipation, Bitcoin (BTC) finally broke past $10,000 on Friday, registering an astounding 11% gain. As of the time of writing this, buying momentum has slowed, as made apparent by BTC’s rejection of $11,200 and the subsequent sell-off to $10,300.
As a result, some have already begun to postulate about where this current upswing will end, meaning where Bitcoin will peak prior to a retracement. Interestingly, a number of analysts are settling on one, paramount price point — $11,500. Here’s why.
Related Reading: After Surging Past $10k Bitcoin Price May Go Parabolic With $93k Target
Where Will Bitcoin Peak
In a recent tweet, Josh Olszewicz, Brave New Coin analyst, pointed out that a logarithmic pitchfork pattern, which stretches back to 2016, suggests that BTC will likely find trouble breaking past $11,464.
A pitchfork, for those unaware, is a technical analysis method that uses parallel lines to determine trading ranges, resistances, and supports. The upper band of Olszewicz’s pitchfork, depicted below, has acted as resistance during 2016’s rallies and as a negative catalyst during November 2018, which pushed BTC to $3,000.
If history is of any indication, Bitcoin will have trouble breaking past this key trend line yet again.

$BTC
gets interesting if we do break 11.4
otherwise it’s back to ML ~9K pic.twitter.com/ERugg6Erzs
— Josh Olszewicz (@CarpeNoctom) June 22, 2019
This isn’t the only sign that $11,500 is where Bitcoin tops in the coming days and weeks. Bagsy, a popular analyst recently explained that he believes that Bitcoin will rally to hit $11,500, a key resistance; fall to $8,300 to retest support and establish a strong base; and then surge past $11,500 to hit $13,800, the next level of importance.
In a similar tweet, RedXBT, also known as “green”, explained that he truly believes the aforementioned price action could play out.

I truly believe this could happen. Took that long consolidation and flipped it upside down to depict my thoughts on the next few months.
I think the low above the red arrow is spared, and that we’ll get to buy mid 8,000s again. Obviously, all while enjoying alt season. $BTC pic.twitter.com/KSOjAxjYuw
— green (@redxbt) June 22, 2019

Backing his semi-prediction, he explained that if you took price action from June 2018 to December 2018, flipped it, and then applied it onto the current BTC price action (this is what’s known as a fractal), you would have a test of $11,500, rejection to $8,250, and then surge to $14,000 and beyond — almost exactly like Bagsy explained.
Related Reading: Crypto Tidbits: Bitcoin Above $10,000, Facebook Launches Libra, Ripple & Moneygram Team Up
Surge Inbound? 
Some, however, are skeptical that $11,500 will be the top for this current move. You see, many saw a move past $10,000 as a validation of Bitcoin’s staying power and a confirmation that an influx of so-called “FOMO” is well on its way.
As reported by NewsBTC previously, Thomas Lee of Fundstrat fame believes that a move past $10,000 will kick off “Level 10” FOMO. As Lee wrote on Twitter earlier this month, “[$10,000] will see FOMO from those who gloated about the 90% crash in BTC… and those who saw Bitcoin dead as forever.”
He suggests that with this newfound hype, BTC could easily move past $20,000 and $40,000 in the coming months, meaning that topping at $11,500 may not come to fruition.
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Crypto Tidbits: Bitcoin Above $10,000, Facebook Launches Libra, Ripple & Moneygram Team Up

Another week, another round of Crypto Tidbits. To say that Bitcoin (BTC) is back may seemingly be a bit of an understatement. In the past week, the leading cryptocurrency has rallied by more than 20%, moving from sub-$9,000 levels to $10,800 as of the time of writing this. Momentum is clearly in the bulls’ court.
Altcoins, interestingly, have underperformed the market leader. Instead of rallying alongside Bitcoin, most crypto assets, save for Ethereum, have fallen against BTC, losing steam as all eyes center on “digital gold”.
Price action aside, this week has also been monumental from a fundamental standpoint. Most notably, Facebook and its massive corporate partners unveiled its own digital asset while Ripple Labs teamed up with money transfer giant MoneyGram.

Related Reading: Crypto Tidbits: Bakkt’s Bitcoin Futures Near, Facebook’s Libra Backed by Uber, Binance to Block US Clients
Crypto & Bitcoin Tidbits

Ethereum Devs Schedule 2.0 Launch to January 3rd, 2020, Bitcoin’s 11th Anniversary: In a recent Ethereum core developers call, researcher Justin Drake, a prominent figure in the cryptocurrency’s community, revealed that phase zero of Serenity (Ethereum 2.0) is finally being confirmed spec-wise. Phase zero is the activation of the so-called Beacon Chain, which will bring basic Proof of Stake features to the blockchain. With this, developers confirmed that they intend to launch this iteration of the project by early-2020, potentially on January 3rd, which will be the 11th anniversary of Bitcoin.
Crypto Startup Algorand Raises $60 Million, Implying a $24 Billion Market Cap: This week, a crypto startup going by Algorand raised over $60 million selling its token, Algos, via CoinList at $2.40 apiece. Per a press release penned by the firm, this latest fundraiser adds to the $66 million the company secured in 2018 from Union Square Ventures, a prominent pro-Bitcoin investor, and other groups. When this sale completed, analysts quickly took to their calculators, revealing that if Algorand really deploys 10 billion Algo tokens, this sale would give the newfangled cryptocurrency a market capitalization of $24 billion. This would places Algos above Ripple’s XRP but below Ethereum.
Grayscale Releases Ethereum Trust to Public Markets: Per a press release shared with NewsBTC, Grayscale, the investment fund subsidiary of Digital Currency Group, has just released its second publicly-tradable product — the Ethereum Trust (ETHE). Like its Bitcoin Trust, which owns over 1% of all BTC in circulation (and that will ever be mined), this new financial product is an “open-ended trust” that is backed by its namesake: Ethereum. The product, per a previous release, allows investors to gain “exposure to the price movement of ETH through a traditional investment vehicle without the challenges of buying, storing, and safekeeping”.
Bakkt Developing Crypto App as Bitcoin Futures Launch Nears: According to a recent report from trade publication The Block, the New York Stock Exchange’s Bakkt has just signed a former Google contractor, Chris Peterson, onto its team. The former UX consultant, according to a “person familiar with the situation”, is likely working on a digital asset wallet, dubbed “Bakkt Pay”. Earlier this year, the company made a series of hires, indicated by the “careers” section on its website. One job listing called for a mobile app developer, sparking discussion about Bakkt’s plans post-Bitcoin futures. The Block’s sources say that following the release of the long-awaited financial vehicle, the crypto platform may launch the mobile application. Not many details were given about this product, but the outlet points out that Bakkt’s recently-updated website mentions digital payments. Indeed, Starbucks and other retail outlets are purportedly partnered with the cryptocurrency exchange to natively accept Bitcoin payments.
Ripple Spends $50 Million on Deal With Moneygram, XRP Surges: In a move that validated XRP bulls across the crypto community, Ripple announced Monday that it would be making one of its most notable partnerships today, joining hands with MoneyGram. The San Francisco-headquartered fintech firm has entered a “strategic partnership” with MoneyGram, one of the world’s largest money transfer companies. This collaboration, currently slated to last for a minimum of two years (contracted), will see MoneyGram utilize Ripple Labs’ technologies and platforms for cross-border payments and foreign exchange settlement. For the time being, Ripple expects for its newest finance partner to make use of xRapid, a “solution for on-demand liquidity”. In MoneyGram’s case, this solution will be used to “reduce reliance on pre-funding by enabling money to be sent from one currency and instantly settled in the destination currency.” Ripple has invested $30 million in MoneyGram, while the latter firm retains the right to request for $20 million in additional funding for the next two years.
Facebook Launches Libra, a Stablecoin Cryptocurrency: This week, Facebook made history when it launched Libra, a stablecoin backed by a basket of assets deemed “stable”. The project, which will also support smart contracts, has yet to launch officially, as development is still ongoing. Reports suggest, however, that Libra will most likely go live in early-2020. To back up this latest venture, Facebook has called on massive corporations to partner with, including Uber, PayPal, Visa, Booking Holdings, Coinbase, eBay, Spotify, and more. In a number of reports, David Marcus, the head of blockchain at the social media giant, has explained that while this venture will start off centralized, he hopes that it will become a decentralized network with time.
QuadrigaCX Founder Cotten Misappropriated Millions in Bitcoin, Ethereum, & Litecoin: In Ernst & Young’s latest report on QuadrigaCX, the disgraced Canadian crypto exchange, it was revealed that founder Gerald Cotten was running a fraudulent operation. Per this new document — an exposé if you will — Cotten had, over the years, created fake accounts on QuadrigaCX with equally as fake “dollars” to purchase legitimate Bitcoin, Ethereum, and Litecoin from users. From there, he then sent this cryptocurrency to accounts at other exchanges under his name. What’s worse, he didn’t just sell what he embezzled, but he gambled with it. Almost like some crazy speculators during 2017, Cotten purportedly used margin, meaning leverage, to trade (and often lose) the cryptocurrencies that weren’t exactly his. The auditor’s analysis suggests that a minimum of 9,450 BTC, 387,738 ETH, and 239,020 LTC were siphoned out of QuadrigaCX into accounts under Cotten’s name.

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Bitcoin (BTC) Breaks Past $10,000, Analysts Await Mass FOMO

That’s right, at long last, Bitcoin (BTC) has reached five digits in the ongoing bull run, according to TradingView.com. The last time the cryptocurrency was in this price range was a year ago. With this strong swing to the upside, which comes just weeks after analysts en-masse were calling for a “strong correction”, many are sure that so-called “FOMO” from a retail audience will soon grace this market.

Bingo
— Barry Silbert (@barrysilbert) June 21, 2019

Bitcoin Surges Past $10,000
The past week or two have been absolutely stellar for the cryptocurrency market. Ever since retracing to $7,450, Bitcoin has been on an absolute tear, ripping past key resistances like they were nothing more than soggy pieces of parchment paper.
Just now, we saw Bitcoin surmount $10,000, seen as many as one of the most important psychological, sentimental, and technical levels in cryptocurrency. Right now, the proverbial seems to be in the court of bulls, as BTC looks poised to break past $10,200 on some exchanges.

This may just be the start of a strong move higher, however.
More specifically, many see a move past $10,000 as a validation of Bitcoin’s revival, especially after the 80%+ seen during yesterday. Or as Fundstrat Global Advisors’ Thomas Lee explained in a tweet, “[$10,000] will see FOMO from those who gloated about the 90% crash in BTC […] and those who saw Bitcoin dead as forever.”
Indeed, during 2017’s rally, all prominent traders and mainstream news outlet alike asserted that $10,000 was the level to keep an eye on. More importantly, $10,000 also acted as a key level of resistance and support during 2018’s tumult.
The importance of a five-figure Bitcoin has led many to claim that once BTC breaches $10,000, all proverbial hell may break loose. In a recent tweet, Tyler Winklevoss, the (purported) Facebook pioneer turned Gemini chief, claimed that once the digital asset surmounts the key level, “you can bet it’s going to break $15,000.”
Related Reading: Crypto Exchange Gemini On the Rise After CBS Airs Bitcoin Feature
$15,000 — just under 50% higher than current levels — may just be the tip of the iceberg though. According to Lee, once Bitcoin reaches $10,000, “Level 10” FOMO will grace this market, which last occurred when BTC blipped above $4,500 in late-2017. If history is any guide, the cryptocurrency market will shoot even higher once $10,000 is breached.
In a recent podcast with Binance’s chief financial officer, Wei Zhou, Lee surprisingly opined that there will be a “fast and furious” move to $20,000 following a break and close above $10,000. And from there, Bitcoin will double in the next five months, reaching $40,000 in a jaw-dropping move.
It remains to be seen whether this will occur though, as BTC presumably needs to close a weekly candle above five figures as bullish confirmation.
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Crypto CEO: Launch of Facebook Libra Could Boost Bitcoin (BTC) Past $10,000

June 18th is nearing, and that means that Facebook’s crypto asset, expected to be nothing like Bitcoin (BTC), is on the verge of becoming full public knowledge.
For those who missed the memo, reports released by TechCrunch and other mainstream outlets revealed that the social media giant was planning on releasing a white paper for “Libra” or “Globalcoin”, as the project is known as, on the 18th.
Related Reading: Family Offices Pour Billions Into eSports, Can Crypto be Next?
With this, industry commentators have come out of the woodwork to express their thoughts on the subject matter. And interestingly, some are divided on whether the release of this cryptocurrency will be bullish or bearish for the industry. Most, however, are sure that Libra’s foray into the mainstream will be unequivocally positive for Bitcoin and its altcoin brethren.
Facebook’s Crypto to Boost Bitcoin Sky-High
According to a recent tweet from Jeremy Allaire, the chief executive of Circle, the launch of Libra (whitepaper) will be a “massive inflection point in [the] global adoption of cryptocurrency.” Infusing the space with a nice dose of FOMO, the prominent entrepreneur adds that by June 21st, he fully expects for Bitcoin to be valued at $10,000, “marking [the] start of Crypto Summer.”

Crypto market rallying (again) ahead of Libra launch, marking a massive inflection point in global adoption of cryptocurrency. BTC > $10k by June 21st, marking start of Crypto Summer.
— Jeremy Allaire (@jerallaire) June 15, 2019

While $10,000 may seem like just a nice round number, many see it as a key level to watch. According to Fundstrat Global Advisors, once Bitcoin reaches $10,000, “Level 10” FOMO will grace this market, which last occurred when BTC blipped above $4,500 in late-2017. If history is any guide, the cryptocurrency market will shoot even higher once $10,000 is breached. As Lee wrote on Twitter earlier this month, “[$10,000] will see FOMO from those who gloated about the 90% crash in BTC… and those who saw Bitcoin dead as forever.”
While Fundstrat has long had its eye on the $10,000 price point, its analysts never indicated a price target — until now anyway.
In a recent podcast with Binance’s chief financial officer, Wei Zhou, Lee explained that once $10,000 is breached, all hell will break loose for the cryptocurrency market. This corroborates the aforementioned analysis of this nascent market’s “FOMO levels”.
Per CCN, which reported on this first, the Wall Street analyst stated that once $10,000 is breached, there will be a “fast and furious” move to $20,000. And from there, Bitcoin will double in the next five months, reaching $40,000 in a jaw-dropping move.
Some Beg To Differ
There are some that rebut this cheery sentiment about Libra, however.
Peter Schiff, a prominent gold investor and libertarian-leaning economist, ventured that Facebook’s latest project will be “bad news” for Bitcoin.
Schiff, who has debated crypto pundits like Erik Voorhees and Barry Silbert previously, adds that Facebook will be targeting the unbanked in “nations with high inflation (Venezuela, for instance)”, thus threatening the biggest medium of potential BTC adoption.
The prominent cryptocurrency critic, who sides with the belief that BTC has no intrinsic value as is not better than hard gold, adds that Libra will likely be much stabler, cheaper, and more easy-to-use than Bitcoin.
Indeed, there are reports and individuals stating that the Facebook play will involve very low fees, fast transfer times, and a level of stability not seen with Bitcoin, in that this new cryptocurrency will be pegged to a basket of traditional currencies and maybe other ‘stable’ assets.
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Multi-Billion Dollar Crypto Firm: Bitcoin Finding Use as Hedge for Global Crisis

Throughout its short history, Bitcoin (BTC) has been seen as anything but centralized, sovereign, and censorable. The crypto asset was created by a pseudonymous individual, is secured by a global group of miners, and is backed by no government, traditional finance system, or common entity.
And as a result, many have looked to Bitcoin and its brethren — other digital assets — as a much-needed escape hatch from fiat and government overreach. Indeed, BTC was released in the wake (and seemingly as a result) of the 2008 Great Depression, and many that have since flocked to the cryptocurrency are staunch anti-establishment proponents.
Related Reading: Bitcoin (BTC) Soars Past $9,300 in Massive Weekend Pump: Bulls on Parade
Some, however, have denied this key narrative. Cynics of the theory remark that BTC is too nascent to be used as a proper store of value, citing the periods of volatility, especially the downturns, as a perfect case in point. Regardless, a massive cryptocurrency firm recently laid out why these naysayers may be wrong in their postulation.
Bitcoin as a Macroeconomic Hedge
Grayscale’s industry-famous research department recently released a report titled “Hedging Global Liquidity Risk with Bitcoin”. In it, the firm explained how the leading cryptocurrency is becoming used as a hedge in financial crises and periods of geopolitical turmoil.

More specifically, the crypto investment firm looked into how the asset can be used during bouts in which there is high “liquidity risk”, the “risk of a real decline in wealth resulting from an imbalance in the amount of money and credit relative to debt in a given economy.”
To back this point, Grayscale looks to three primary facets of Bitcoin’s existence: store of value, spending viability, and growth possibility.
Firstly, as the company has characteristics, BTC can act (and has acted) better as a store of value than gold. Unlike the metal, the crypto is mathematically scarce, capped at 21 million units; BTC is decentralized and verifiable through the Internet; BTC is portable and divisible through digital technologies, and is unconfiscatable.
Gold, on the other hand, has an unlimited supply, centralization risks, an inability to be easily divided and moved around, and concerns around its purity. The chart below from Grayscale sums this argument up fairly well.

Secondly, Grayscale purports that due to having similar properties to physical cash, Bitcoin will retain a solid value proposition amid a liquidity crisis. They look to recent adoption by Whole Foods, AT&T, Overstock.com, Microsoft, Expedia, PayPal, and Dell to corroborate their claim.
Thirdly, they remark that the potential that blockchain technologies have to grow and create value will only stimulate demand further, which should mitigate most, if not all negative effects of any downturn in global markets.
So, are these characteristics helping Bitcoin hold true in the current geopolitical stage? Well, yes, and it already has been for a while.
Grayscale looks to the fact that during Grexit (Greece’s debt-fueled financial crisis in 2015), China’s market collapse in 2015 and 2016, Brexit, a short period of growth worries for the U.S., and the recent trade war debacle, Bitcoin has done rather well for itself.
In fact, some have argued that the recent political tussle between China and the U.S. is what has contributed greatly to the recent rally in the Bitcoin price, with some arguing that Chinese traders and others in Asia have fled to Bitcoin from traditional stocks to deter most downside risk. They write:
“While it is still very early in Bitcoin’s life cycle as an investable asset, we have identified evidence supporting the notion that it can serve as a hedge in a global liquidity crisis, particularly those that result in subsequent currency devaluations.”
Indeed, this strength is why many love Bitcoin. In fact, Delphi Digital, a New York-based crypto research group, recently pointed out that BTC is absolutely lapping every other asset class, even the more risky, high-return blue chips and the venture-backed Silicon Valley darlings that have begun to trade on public markets.
At the time of their analysis (end of May), Bitcoin was up over 120% year to date, while crude oil and the Nasdaq 100 index were up a mere 18% and 13%, respectively. It’s an even scarier sight for tried and true assets, like gold, foreign currencies, and government bonds, which are up less than 5% so far. This led the firm to the conclusion that BTC could be the  “King of the Asset Class Hill”.
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Bitcoin (BTC) Soars Past $9,300 in Massive Weekend Pump: Bulls on Parade

And just like that, Bitcoin (BTC) is right back above $9,000. The past 72 hours have been absolutely stellar for the crypto market, as it saw all digital assets gain notably across the board. BTC, most notably, moved from the low-$8,000s, where analysts expected heavy resistance, to $9,300 where it stands right now.
Related Reading: If History Rhymes, Bitcoin May Be Trading Around $12,000 By the End of July
With this, the bullish cries of traders all across the industry have returned, despite the fact that they were calling for a massive pullback just weeks earlier. But, what exactly are they commentators saying? And more importantly, where does Bitcoin and the asset’s ilk head next?

Bitcoin Rips Past $9,000 
Earlier this week, Fundstrat Global Advisors’ Rob Sluymer remarked that Bitcoin could find resistance in the $8,800 to $9,000 range. Indeed, during the rally in late-May, BTC stumbled to surmount that range, perpetually scaling back after temporarily tapping prices above $9,000.
But, on Sunday morning, this trend was denied. Hard.
Almost as if $9,000 was nothing but a sheet of soggy parchment paper, Bitcoin broke past it, leaving no shorts unliquidated. Let’s take a closer look at what exactly traders are saying on the Twitterverse.
Related Reading: Crypto Tidbits: Bakkt’s Bitcoin Futures Near, Facebook’s Libra Backed by Uber, Binance to Block US Clients
Analyst Credible Crypto remarked that while last week’s candle was very bearish, the rapid bullish retracement is a sign that buyers are ones in control of the market rather than sellers. Credible adds that while the candle has yet to close, it seems as though BTC’s next stop would be in the high-$9,000s and low-$10,000s, which is where the next line of heavy resistance lies.
$10,000 is where BTC topped in last years’ bear market rallies, and where the asset found heavy resistance on its way up during the legendary 2017 boom.

Although last week's candle was very bearish, this weeks candle retraced the entire thing which is incredibly bullish. Official close is tomorrow, but thus far just looks like a retest of the monthly breakout level. Now targeting the resistance in the red region above us. $BTC pic.twitter.com/kHcX1ZRwPM
— Credible Crypto (@CredibleCrypto) June 16, 2019

Others are sure that BTC may continue higher. They look to the speed of the recent retracement, coupled with the fact that the impending closure of Binance.com for United States traders will likely cause a further capital flight from altcoins to Bitcoin.
Anyhow, regardless of what happens in the coming days, most are coming to the conclusion that a retracement is now not on the table, in spite of what was said just days and weeks prior. For those who missed the memo, many were expecting for a massive 30% retracement to the $6,000 range after a number of technical signals flashed bearish last week.
Now, however, the bulls are on parade. Trader Nunya Bizniz, known for his accurate noticings about historical market patterns, recently noted that if the weekly Bitcoin candle closes above $8,800 or so, BTC’s weekly chart would have printed a pattern that preceded massive multi-week upswings.
But few know exactly how that will play out at the moment.

BTC Weekly. This chart is premature but shows the 3 prior instances where price structure was similar to present. A large bearish (engulfing) candle, followed by a reversal and large bullish (engulfing) candle. Rally and new yearly highs ahead? pic.twitter.com/nsgzmhEn53
— Nunya Bizniz (@Pladizow) June 15, 2019

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Bitcoin is Needed Now: Macroeconomic Backdrop Adds Value to Crypto

Throughout its short history, Bitcoin (BTC) has been seen as anything but centralized, sovereign, and censorable. The crypto asset was created by a pseudonymous individual, is secured by a global group of miners, and is backed by no government, traditional finance system, or common entity.
And as a result, many have looked to Bitcoin and its brethren — other digital assets — as a much-needed escape hatch from fiat and government overreach. Indeed, BTC was released in the wake (and seemingly as a result) of the 2008 Great Depression, and many that have since flocked to the cryptocurrency are staunch anti-establishment proponents.
Related Reading: Will Post-Brexit London See Crypto Replace the Pound? These Game Designers Think It Might
While the Great Recession in and of itself was enough to drive many to Bitcoin, the geopolitical and macroeconomic stage has presented an array of new reasons why BTC has a viable value proposition over recent weeks. Let’s take a closer look.

So much happening in the world right now.
– Hong Kong's autonomy in question– Italy looking to tax savings– German 10-Year Bund trading @ -0.24%– US + China trade war rages on– Fed about to cut rates
Can you see the wave of capital flowing into BTC too?
— Marty Bent (@MartyBent) June 12, 2019

Hong Kong Sees Massive Protests; Fintech Ousted For Cash
This week, Hong Kong, a special administrative region of China, has experienced massive protests. On Sunday, one million individuals, over 15% of the island city’s population, took to the streets to protest the implementation of an extradition bill.
While extradition is a legal strategy often used for serious criminals, governments have begun to utilize this as a way to target political dissidents — Jullian Assange being the latest notable individual targeted.

Hongkongers fear that the bill can be used to extradite those critical of Beijing’s policies and send them to mainland Chinese courts, where they can then be tried and potentially face a harsher sentence than if they were to remain in Hong Kong. You see, universal freedoms are meant to be upheld in the island city, not the mainland.
Chief executive of Hong Kong Carrie Lam, however, didn’t budge, proceeding to double-down on the proposed legislation. And as a result, protests continued into Wednesday. This time, the demonstration wasn’t as well received by local police authorities, making many fear a crackdown.

In mainland cash is almost obsolete, most of economic activities are associated real identities : both Alipay and wechat are under real name system + bio metrics.
many important figures/celebs use others’ payment accounts all the time to keep names untraceable in the system https://t.co/66eWY473X8
— Dovey Wan (@DoveyWan) June 13, 2019

Due to this, as observed by many on Twitter, the protesters, many of which were university-age students, have adopted cash instead of their fintech accessories. The most notable case of this occurring is the group’s hesitance to use the Octopus Card, a debit-esque card used in the metro (and at 7-11, Mcdonald’s, etc.) to stem fears that the government is looking over their shoulder.
Of course, crypto ties right into this, having the ability to be a replacement both for cash and current fintech systems.
If implemented correctly and if the proper protocols are in place, Bitcoin can allow for a private financial experience that is impossible with something like PayPal, Visa, or even the Octopus system utilized in Hong Kong. As Arthur Hayes of BitMEX once explained:
“Sooner than you think, cash will not be an option for privacy, or for anything else. And private citizens will come to appreciate the inherent value of Bitcoin, as their ability to discreetly hold and transfer value evaporates once cash goes the way of the dodo.”
Trade War & Crypto
In a similar string of news, the trade war between China and the United States has only flared over recent weeks. While analysts have proven that the correlation between the start of the political dispute was not correlated with early-April’s Bitcoin boom or the subsequent rally, some believe that as a result of the conflict, those in Asia are looking to stock up on BTC.

TL;DR. Interest in BTC only coincided with the Trade War and Yuan since the 6K breakout. The Trade War was long underway by then, with various peak interest prior episodes. It's possible the BTC – Trade War narrative was driven by media and resulted in a self-fulfilling prophecy.
— Alex Krüger (@krugermacro) June 4, 2019

As BitMEX’s chief executive explained in a recent newsletter to his followers:

“The key number is 7.00 [Yuan-to-U.S. dollars]. If the PBOC allows the Yuan to break this level, ordinary Zhou’s will scramble to get their hands on Bitcoin and other cryptos. Similar to 2015, a sharp and sudden Yuan depreciation could lead to the beginning of another epic bull market.”
Indeed, by putting their money in an up-and-coming store of value like Bitcoin, investors can hedge their risk against turmoil. With BTC purportedly continuing to act as a non-correlated asset to the S&P 500, some are sure that allocating capital to the cryptocurrency, especially during this volatile trade war, is only logical.
In fact, Delphi Digital, a markets research and analysis firm, recently proposed that BTC is the crème de la crème of assets for its ability to outperform amid global tumult. In fact, Bitcoin is absolutely lapping every other asset class, even the more risky, high-return blue chips and the venture-backed Silicon Valley darlings that have begun to trade on public markets.

Bitcoin, The Safe Haven
Recently, Italy’s deputy prime minister has proposed a tax on citizens’ savings. Per a report from Reuters, the regulator, Matteo Salvini, told a late-night television program that he had been informed the safety deposit boxes across the European nation hold assets worth hundreds of billions.
As a result of this “substantially hidden money”, Salvini, who evidently is a powerful man in Italy, proposes a 15% tax on those that declare their deposit-box holdings. It isn’t clear whether this will be put in place, but many see this as an evident sign that traditional finance is flawed.
Indeed, European island nation Cyprus mandated banks to “bail-in” themselves, taking a haircut on accounts with a certain amount of money. As a result, Bitcoin surged, rallying as Cyprus citizens rushed to put their money in something they could control.
Some expect for the same to go down here, except on a much bigger scale. Italy is, after all, the country with the eighth largest gross domestic product on Earth. As prominent analyst Alex Krüger kindly puts it, “Italy could end up being the best thing to ever happen to bitcoin.”

This is bullish for bitcoin
Italy could end up being the best thing to ever happen to bitcoin.
H/t @Ray94609549 https://t.co/TmkS7FZICl
— Alex Krüger (@krugermacro) June 12, 2019

What’s even more important is that this comes as Italy’s banks are on thin ice. As crypto investor Cane Island Crypto notes, the so-called “FTSE Italia All Share Banks Index” is down 40% in the past year, looking as bad as Deutsche Bank’s shares.
Teetering Macroeconomic Scales
All this comes as central banks have begun to struggle with encroaching storm clouds. In fact, the Federal Reserve, according to a recent Reuters poll of global economists, is seeing a “dramatic increase” in its chances to hike interest rates.
While a low-inflation rate environment would drive investors to (current) risk-on assets like Bitcoin, some commentators, like Ikigai’s Travis Kling, see this fiscal strategy as a way to validate crypto in the long run and kill central banks. As Kling explained:
“The increasingly erratic U.S. president is yelling at an irresponsible central bank to act even more irresponsibly with its monetary policy, while running a $1 trillion deficit for the second year in a row… Central banks and governments are proving the profound need [for Bitcoin].”
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Analysts Warn Bitcoin Price Has Further to Fall, Why $6,800 is a Possibility

Just as fast as Bitcoin (BTC) began to rally, the crypto market has begun to falter. In the past week, the leading cryptocurrency has lost approximately 15% since its local peak — $9,100 — as altcoins have posted similar losses.
Since Tuesday’s drop, however, the selling pressure has widely subsided, with Bitcoin finding a semblance of local support in and around $7,700. Despite this short-term reprieve, a number of analysts, from newcomers to market veterans, expect for BTC to fall lower in the coming days.
Related Reading: Bitcoin Still Vulnerable to Further Losses Despite Current Stability, Here’s What Analysts Think
The thing is, this dip may not last for long, and may actually present investors, especially those looking to make an entree into cryptocurrency, a perfect opportunity to “stack sats” (accumulate) for the long run.
Bitcoin Can Still Head Lower
Last week, Bitcoin finally showed signs that it was topping. As reported, BTC broke below a descending channel and medium-term trend line, topped twice around $9,000, and failed to close daily candles above the ever-important resistances $8,800 and $9,000.
More importantly, the asset’s weekly candle was an Evening Star Doji, marked by a skinny body and long wicks, which meant a reversal in the eyes of most analysts.

To the surprise of few, Bitcoin did top, subsequently falling from $8,700 to a weekly low of $7,450, to then recover to $7,800 where the asset sits now. Some believe that the cryptocurrency market may continue to slip. Trader Walter Wyckoff noted that if BTC is mirroring price action in 2015 — during which this market went parabolic, saw a brief retrace, and then continued higher — it could fall to the low-$6,000s, or even the high-$5,000s.

Last thing then I am off to bed, last time BTC retraced it lasted 20 days, but now we are moving faster, I don't expect this "buy the dip time" to be longer than MAX 2 weeks, since we are moving 50% faster compared to previous bear market. Don't think too much before pressing BUY pic.twitter.com/0Eswzw7BLj
— Walter Wyckoff (@walter_wyckoff) June 5, 2019

Analyst Moon Overlord has echoed this pseudo-prediction. In a thread, the popular commentator remarked that a 35% correction to approximately $6,000 from the $9,100 peak may be healthy, as BTC bouncing off support at those levels would build a long-term base for the cryptocurrency’s expected “moon shot”.
Some have been a bit less cynical. On Twitter, legendary cryptocurrency investor Trace Mayer explained that he expects for Bitcoin to undergo a “gentle retreat” to anywhere from $6,500 to $7,500. His peer, Adamant Capital partner Tuur Demeester, echoed the analysis, writing in a note that his firm’s indicators now read “greed” after “capitulation”.
Using this information, Demeester remarked that a 2012-esque correction could be experienced, during which BTC may fall to the range of “between $6,800 and $7,680”, which is a 27% to 44% retrace of the upside rally.
But don’t fret, there’s a silver lining — two, actually.
As hinted at earlier, this dip may actually be a chance for investors to get their fingers on the buy trigger, not sell. Per previous reports from NewsBTC, popular analyst DonAlt suggested that if an investor had dollar-cost averaged into Bitcoin every single day for the last year (starting from June 4th, 2018), their cost basis would actually be $5,500, implying a profit. With this, Don explains that “if you’re bullish on something fundamentally, sniping the bottom really isn’t necessary”.

If you dollar cost averaged into $BTC every single day for the last year your average buy-in would be $5500 right now.
If you're bullish on something fundamentally sniping the bottom really isn't necessary. pic.twitter.com/8XSsB4ipF4
— DonAlt (@CryptoDonAlt) June 5, 2019

So with this in mind, some had advised for believers in this asset class to actually keep a close eye on the market, as purchasing Bitcoin, Ethereum, or what have you in the coming dip may net solid returns in the years to come.
What’s also reassuring is that if Bitcoin follows historical trends from here, as it has been over recent months, the ongoing correction shouldn’t take more than two weeks, and should be followed by a return to a market where bulls are in control.
Crypto’s Fundamentals Stronger Than Ever
This begs the question — does Bitcoin really have a future though? On every dip, cynics come out to question the legitimacy and value proposition of digital assets. Most recently, an analyst and investor told gold-loving Kitco that BTC won’t see new all-time highs unless the world’s macroeconomic and geopolitical scene effectively collapses.
Regardless, data suggests that Bitcoin’s fundamentals are stronger than ever, boding well for BTC’s upside potential. Analyst Rhythm Trader explains that there are a multitude of reasons why it’s nonsensical not to be bullish on Bitcoin: BTC has seen nine years of higher lows, the network mining difficulty and hash rate have breached previous highs, institutional and retail adoption is on the rise, and there exist over 8,000 Lightning Network nodes.

Why I think everyone should be bullish on bitcoin:
9 years of higher lows Hash rate ATH Mining difficulty ATH Institutional adoption Retail adoption Trade volume ATH 8,500+ lightning nodes Transactions ATH
Bitcoin isn't surviving, it's thriving.
— Rhythm (@Rhythmtrader) June 4, 2019

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