The total crypto market cap is placed nicely above $180.0B and it could accelerate higher.Bitcoin price is gaining momentum and it recently surged to a new 2019 above $6,050.Litecoin (LTC) price broke the $75 resistance and it seems like it could grind higher towards $80.Bitcoin cash price is once again moving higher towards the key $295 and $300 resistances.Tron (TRX) price broke the $0.0242 resistance to move into a positive zone.Stellar (XLM) price seems to be consolidating below the key $0.0980 and $0.1000 resistances.The crypto market cap and bitcoin (BTC) are gaining momentum. Ethereum (ETH), litecoin (LTC), ripple, bitcoin cash, tron (TRX), stellar (XLM) and other altcoins might jump higher.Bitcoin Cash Price AnalysisBitcoin cash price found support near the $275 level and recently bounced back against the US Dollar. The BCH/USD pair broke the $285 and $290 resistance levels, but it is facing a lot of hurdles on the upside. An initial resistance is at $295, above which the price may test the $300 level in the near term.If the price fails to break the $300 resistance level, there is a risk of a fresh decline towards the $285 support level. The main support is at $275, below which the price may test $260.Litecoin (LTC), Tron (TRX) and Stellar (XLM) Price AnalysisLitecoin price found support just below the $70 level and recently recovered higher. LTC price broke the $72 and $75 resistance levels. It is currently trading above the $75 level and it seems like the price might climb higher towards the $78 or $80 resistance.Tron price finally started a decent recovery above the $0.0238 and $0.0240 resistance levels. It even broke $0.0242 and $0.0245 before starting a downside correction. TRX price is currently above $0.0242 and it seems like it could climb higher above $0.0245 in the near term.Stellar price is trading well below the key $0.1000 resistance level. XLM price is currently at $0.0950, with an immediate resistance at $0.0965. A break above $0.0965 could push the price towards the $0.0980 or $0.1000 resistance level.Looking at the total cryptocurrency market cap 4-hours chart, there was a fresh increase above the $180.0 and $182.0B resistance levels. The market cap recently tested the $186.6B level and the 76.4% Fib retracement level of the last slide from the $189.5B high to $177.3B low. It seems like there is a strong bullish pattern forming with support near the $180.0B level. As long as the market cap is above the $180.0B level, there could be more gains in bitcoin, Ethereum, EOS, litecoin, ripple, XLM, BCH, BNB, TRX, ADA, XMR, and other altcoins in the coming sessions.
Archives for May 8, 2019
Ripple price formed a decent support near the $0.2915 level and climbed higher against the US dollar.The price broke the $0.2950 resistance and it looks set to gain bullish momentum in the near term.Yesterday’s highlighted bearish trend line is about to give way with resistance near $0.2988 on the hourly chart of the XRP/USD pair (data source from Kraken).The pair could start a strong upward move if it breaks the $0.3000 and $0.3020 resistance levels.Ripple price is slowly recovering higher against the US Dollar, while bitcoin and Ethereum gain traction. XRP is likely to accelerate once it clears the key $0.3000 resistance level in the near term.Ripple Price AnalysisYesterday, there was a downside extension in ripple price below the $0.3000 support against the US Dollar. The XRP/USD pair even broke the $0.2950 support level and traded as low as $0.2912. There was a close below the $0.2950 level and the 100 hourly simple moving average. However, the price found support near $0.2910 and $0.2920. Besides, the recent rise in bitcoin price helped altcoins in staging a decent comeback.XRP price recovered above the $0.2950 resistance, and the 23.6% Fib retracement level of the last slide from the $0.3064 high to $0.2912 low. It even climbed above the $0.2980 level and the 100 hourly SMA. At the moment, yesterday’s highlighted bearish trend line is about to give way with resistance near $0.2988 on the hourly chart of the XRP/USD pair. The 50% Fib retracement level of the last slide from the $0.3064 high to $0.2912 low is also acting as a resistance. Once there is a proper break above the $0.2988 and $0.3000 resistances, there could be more gains. The next key resistance is at $0.3020, above which the price could retest the $0.3050 resistance.On the other hand, if there is no upside break above $0.3000, the price might drop back towards $0.2950. If the bulls fail to defend the $0.2950 support, there could be a sharp drop back towards the $0.2910 level. Any further losses could accelerate declines below the $0.2900 support level.Looking at the chart, ripple price is likely to break the trend line and $0.3000 in the near term. The current price action is positive and signaling an upside break above $0.3020. Having said that, there might be a couple of swing moves before the price climbs towards the $0.3050 level.Technical IndicatorsHourly MACD – The MACD for XRP/USD is slowly gaining momentum in the bullish zone.Hourly RSI (Relative Strength Index) – The RSI for XRP/USD recently tested the 60 level and it is currently correcting lower.Major Support Levels – $0.2950, $0.2920 and $0.2900.Major Resistance Levels – $0.2988, $0.3000 and $0.3020.
One of the most recognizable names in the crypto space (and perhaps even outside of it) is using one of the least recognizable blockchains.
Overstock.com subsidiaries Medici Ventures and tZERO have been utilizing the FLO blockchain for some time in work aimed at re-organizing property rights. At one time, a video of the tZERO homepage even showed the little-known blockchain at work.
Still, if you haven’t heard of FLO before, you won’t be alone. Maybe Florincoin, the blockchain’s moniker when it first launched in 2013, shortly before the 2014 altcoin boom – will ring a bell, at least those who were in New York at the time.
Joey Fiscella was a staple in the growing New York City crypto community during that area. A young, extroverted programmer, he had the ability to schmooze with the best of the business types. While the rest of the scene was focused on bitcoin, to a certain extent litecoin and for the lolz dogecoin, Fiscella was instead always talking Florincoin – a coin that’s visage bears a golden fleur-de-lis.
He was a regular at the New York Bitcoin Center and was always handing out thin strips of paper with Florincoin private keys (I used to have one, but as is the nature of small scraps of paper, it has been lost).
The idea was simple: Florincoin was bitcoin but with additional room for transaction comments, 140 characters at that time. And those characters would allow a decentralized social media (what else had a 140-character limit back then? Twitter), one that couldn’t be censored or stopped.
It’s a dream that’s still being toyed with today – from Steemit to Peepeth to Minds – but since then Florincoin, now FLO, has moved on.
Today, most of the developers and businesses involved in FLO are interested in it as an indexing tool, something that could provide the backbone of a blockchain-based Google.
Not only has Medici Land Governance begun adding property records on the FLO blockchain (and partnered with the state of Wyoming, the city of Tulum in Mexico and a government official in Zambia), but T-zero is adding digital locate receipts, which locate the ownership of a stock, into FLO to mitigate naked short selling.
On top of that, FLO is being utilized by the Open Index Protocol (OIP), a database for decentralized publishing of all kinds, and an app on top of OIP called Alexandria, which allows users to search and browse info in that database.
The list of users goes on too.
The California Institute of Technology, also called Caltech, uses FLO to store more than 17,000 records of information gathered with microscopes, and just recently announced the creation of another repository of microscope data.
So how, a crypto enthusiast might ask, did FLO become a blockchain with actual users (and seemingly without gloating in the hopes of sparking a price pump)?
According to Chris Chrysostom, a senior software developer at Medici Ventures, “As a developer I’m always open to looking at other solutions; people mention bitcoin a lot because right now it’s a good starting point for communicating concepts.”
But, he continued:
“One thing that FLO provides that bitcoin doesn’t is, right now, it has the ability to accept 1,040 bytes of metadata. FLO is able and willing to take on the blockchain bloat that many people are critical of in bitcoin.”
The bytes and the bloat
To understand how one of the most-anticipated and regulated token projects in the space came to use a blockchain that most people don’t even know about, you have to start with its first real business case.
Utilized by husband and wife team, Devon and Amy Reed, Florincoin became the underlying technology of the Decentralized Library of Alexandria (DLOA).
A blatant nod to the ancient world library that was burned down (while it’s become a modern-day symbol for the loss of cultural knowledge, the crypto project used it as a way to illustrate the problems inherent to centralization), the project was initially touted as a decentralized library. According to Amy, the co-founder of the project, in an earlier interview, all types of content, including books, blogs, video, audio and art could be added to the blockchain and secured from censorship.
DLOA was the forefather of today’s decentralized content platforms, hoping to untangle the messy distribution models that currently exist for content creators and viewers online.
The project chugged along for a couple of years quietly, until Tim Berners-Lee, the creator of the World Wide Web and the founder of the W3C, a standards organization for the web, was given a demo of the app.
According to Amy, Berners-Lee loved it, but said: “change the name.”
So the application – a Google-like search for the data, became just Alexandria and the protocol, which allows content creators to decide how their content is categorized before adding it to the FLO blockchain, became known as the Open Index Protocol (OIP).
And as that change happened, the number of bytes that could be stored in a transaction was increased as well – from 140 to 528 and then to 1,040, the limit today. But what’s perhaps the most fascinating about OIP is that in a mess of new competition, the project has stuck with FLO.
From Storj to Filecoin or even more broadly ethereum or EOS, there’s a slew of blockchain projects looking to tackle a similar use case – decentralized file storage – and these new players tout advanced architecture that makes their platforms faster, stronger, overall better.
But Devon remains unphased by the shiny new toys.
“When we started the project, our goal was to build a shared data layer that is censorship-proof, persistent and as interoperable as possible,” he told CoinDesk. “This required certain technical choices, which FLO fit perfectly – and even though other things have been launched since which do a variety of things, they don’t meet those needs better than FLO does.”
For that index that OIP is, Devon contends, the project needs full global state replication (to make censorship attempts transparent), proof-of-work consensus (to make censorship attempts expensive and defensible) and the ability to directly benefit from bitcoin’s developer community (a fork of bitcoin).
According to Devon Reed, sure, OIP could instead store its index on ethereum, and with that gain a different developer community and plenty of hype.
But, he said, the project would lose in other ways. For instance, after sharding is implemented, the project wouldn’t any longer get full global state replication; and after Casper – ethereum’s switch to a proof-of-stake consensus algorithm – the project wouldn’t have the security of proof-of-work.
On top of that, the publishing fees would no longer be decided by the OIP working group, and would instead, entirely be a function of the gas costs – priced by the ethereum core developers – of certain operations.
For many intents and purposes, FLO has become a kind of single purpose blockchain specifically for OIP. And that wasn’t a bad thing for FLO. While other institutions are starting to use FLO now, for many years Devon and Amy were the only ones really focused on FLO and they brought in a significant number of the developers that work on the blockchain to this day.
The original angel
Take Sky Young, a senior full stack developer at Alexandria.io, who started working on the FLO protocol because of her role with Alexandria in August 2015.
Or Jeremiah Buddenhage, also known as bitspill, who began developing on the FLO blockchain after he completed and claimed a bounty posted by the Alexandria team to update the protocol. After that, Buddenhage told CoinDesk, Alexandria offered him contract work until hiring him as a full stack developer in the summer of 2017.
Both developers get paid to work on OIP, which many times involves the development of FLO, keeping the blockchain up-to-date, probably more so than it would be were there not a company so tied into its success.
Before OIP and Alexandria, there was only FLO’s (then Florincoin’s), creator, a pseudonymous developer going by the moniker SkyAngel. It’s pretty similar to bitcoin’s Satoshi Nakamoto, although SkyAngel remains around here and there, said Fiscella.
SkyAngel did not return requests for comment.
In June 2013, Fiscella was trolling crypto forums looking for altcoins to mine and stumbled on FLO – hours after the software was released, he began mining the cryptocurrency and after noticing a couple of bugs (nothing consensus-related) in the code, he contacted SkyAngel within a week of its release. He’s been volunteering his time towards development ever since.
And while Fiscella got his fair share of shit for messing around with FLO – this was back in the day when people thought all altcoins were useless or worse, scams – there’s a sense of pride now.
“FLO is one of the oldest altcoins that is still actively traded and developed,” he told CoinDesk.
And it’s done so, he continued, without a pre-mine for developers, without raising huge amounts of money in an initial coin offering (ICO), without even a million dollars from a venture capitalist. Although, the FLO developers have raised $50,000 from the community over the past six years and the OIP and Alexandria team have raised a few $100,000 here and there, which they used to continue FLO development.
As such, many of the developers working on FLO right now are also pretty happy with the way it’s all turned out.
For instance, Young describes FLO as “hidden” and “undervalued.” And although Buddenhage was initially only attracted to FLO as a way to make money from small programming gigs, his “appreciation and understanding” has grown significantly over the years.
He told CoinDesk, “The big idea that made me want to keep working on this project is the idea of building a public space – allowing users to determine the worth of their own work and for the consumers to determine if it’s appropriate (rather than being held to the mercy of rates decided by a private company or a vague definition of ‘advertiser friendly’).”
In describing my story, meeting Fiscella years later at a crypto meetup and thinking, ‘Holy shit, Florincoin still exists,’ Buddenhage, who’s been in the space since 2013, laughed, saying:
“It’s great to see people react when they re-discover that FLO/Alexandria have not joined the ranks of shitcoin yet nor is it merely idling on but has actually grown in the shadows.”
It was Chris Chrysostom, a developer that was looking to build a simple application called a bill of sale on a blockchain, that found FLO and eventually brought it into the Medici ranks.
While he began the project hoping to utilize bitcoin’s OP_RETURN feature, Chrysostom quickly became frustrated with that because cumbersome to use and doesn’t hold enough data to create anything substantial. So he started looking around, reading through some content about Factom and the Storj white papers, both of which mention FLO (again Florincoin at that time).
That led Chrysostom to Alexandria, where he worked alongside Devon and Amy, building out the project’s payment capabilities.
Then in July 2017, he was picked up by Medici Ventures.
Now a senior software developer at the venture capital subsidiary of Overstock.com, Chrysostom brought to the job his interest in FLO. Chrysostom was assigned to a project within Medici Ventures focused on property rights – the idea being a global property rights registry – and FLO and the work being done by the Open Index Protocol seemed like a natural fit there, he told CoinDesk.
“We use it specifically for projects, proofs-of-concept and research for this property rights project,” he said.
While Patrick Byrne, the founder and CEO of Overstock, announced a partnership in late 2017 with Peruvian economist Hernando de Soto with a similar intent, Chrysostom said his work using FLO at Medici Ventures was different, yet could easily support the De Soto project if necessary.
According to Chrysostom, he was looking for a proof-of-work blockchain with similarities to bitcoin, so many similarities that the development work on bitcoin’s core team could then be applied to the other blockchain as well. For instance, security measures and scaling technologies like Segregated Witness.
“FLO was really appealing – bitcoin wants its use case to be focused on value transfer (and that’s fine); FLO has taken it upon itself to have a lot of similarities to bitcoin but with the added feature of application data,” Chrysostom said. “Which is more suited for the property rights use case.”
And sure enough, Chrysostom has similar things to say about the project’s ethos and morals.
“It’s really appealing that FLO hasn’t gone down the path of turning itself into an ICO; it didn’t try to segregate coins in a certain way, like the staking mechanisms; it’s quite admirable that it has remained an open-source project,” he said, adding:
“Four to five years have gone by, and it’s still about what its founding was all about – an open blockchain with a little extra use case. I just find it admirable that it’s stuck to that.”
And as for OIP and Alexandria, those teams get Chrysostom’s praise too since, according to him, they focused on building out the software instead of hyping the coin.
“FLO has been quite the stealth coin in my opinion.”
While Chrysostom would, of course, love to see the developers and projects building on FLO get rewarded for their work, he understands that with investment comes responsibilities that might divert the focus away from the open index goal.
For Medici Ventures part, it does not provide investment to FLO developers, Chrysostom explained, although he continued, “If the day comes that someone wants to make a pitch to Medici Ventures … I think they’d listen. They listen to all kinds of things.”
Keeping it afloat
Still, that’s not to say everything has run smoothly in the FLO community.
For instance, toward the end of 2015, customers of Cryptsy, the only digital currency exchange that listed FLO, began having withdrawal issues, and shortly after the exchange claimed it was insolvent after a July 2014 hack.
While a class action was mounted at Cryptsy in the aftermath, the parties that brought the class action against the exchange didn’t list FLO as one of the coins you could redeem. According to Fiscella, there are 11.5 million FLO coins in one Cryptsy wallet that haven’t moved since February 2014, so he suspects not that the exchange’s founders ran away with the coins (because then they probably would have sold them off at some point) but that these coins could not be recovered by any party, the exchange or even law enforcement.
“It wasn’t worth anything at the time,” Fiscella said. “But FLO was once around 40 cents.”
At that price, the coins lost in Cryptsy would have been worth more than $4 million.
Since then Bittrex and Poloniex have also listed FLO (actually on the same day in March 2015), although Poloniex removed it shortly after the exchange was acquired by Circle. Poloniex didn’t give a reason for the delisting of FLO, though the coin was taken off the site with a handful of other altcoins.
While some thought the reason was low volume, Fiscella argues that other coins that were not delisted had lower volume than FLO, so really he speculates the delisting was about FLO’s low hashrate, which meant that FLO could be relatively easily 51% attacked.
This was right around the same time that Crypto 51, a website calculating the cost of 51% attacking (and then double spending) cryptocurrencies, appeared. Once that website was up, a number of cryptocurrencies, including bitcoin gold and vertcoin, began dealing with attacks.
And FLO, which was on the Crypto51 list with an attack price of only $300, was exploited on Bittrex in September 2018 and 25 bitcoins were stolen. The attack works like this: an anonymous account deposited hundreds of thousands of FLO coins into Bittrex, traded that FLO for the 25 bitcoins, withdrew the 25 bitcoins and then rewrote about 480 FLO blocks. In this way, the FLO deposit was reversed and the hacker was able to reclaim the hundreds of thousands of FLO they had initially deposited and was also out with the bitcoin as well. The wallet at the exchange then didn’t have the FLO to deposit into the accounts that had bought the altcoin.
When Bittrex’s system detected this, it shut down FLO trading for about a month, until the developers fixed the issue.
“And by fixed it, I mean we paid 700,000 FLO to Bittrex,” Fiscella said, adding:
“And by we, I mean me.”
Bittrex did not respond to requests for inquiry.
Joey used the FLO he had been mining since the beginning to pay back the exchange and other FLO developers set up a “Big Mac Fund” for Joey, where community members have donated about half of the 700,000 to Joey for his ongoing work on the protocol.
Before the attack happened, Fiscella had been discussing the issue with Alexandria’s Devon Reed, saying they needed to increase the hash rate before something like this happened. But it was too little, too late.
After the attack, the developers working on the protocol decided that FLO needed to add some additional security measures to the scrypt-based mining algorithm (an alternative to bitcoin’s SHA-256 algorithm) since scrypt-based mining made it easier for an attack to take place.
The developers decided to add an extra rule to the consensus algorithm, a so-called max reorg depth limit feature. This feature requires large reorganizations of the blockchain be rejected, and it’s a similar feature to that used by bitcoin cash and ravencoin.
If that sounds like something that could kill a cryptocurrency, make people so skeptical of its security and value that they sell off their bags and leave it to die, it’s definitely happened before.
But FLO has endured and actually, it’s developers learned from its mistakes and evolved.
“The people who have joined have not asked to be paid, they’re just activists or investors,” Fiscella told CoinDesk, adding: “Everyone joined organically and they’re using their skills and network to grow the community. I think that’s really important.”
Today, there are about 10 active mining pools and another 10 that sometimes mine FLO, which increases the robustness of the coin. Also in early 2018, FLO’s code was updated to Segregated Witness, a protocol change that adjusts the way data is stored, making blockchains more scalable.
Echoing Fiscella’s comments about FLO being successful because of its determined developer community, Buddenhage concluded:
“They all appear to know what they’re doing and why they’re here putting in the effort whenever/wherever life/work allows the opportunity being that it’s a side project and volunteerism keeping it going, perhaps slowly at times but always moving forward with dedication and purpose.”
FLO coins featured image via gunkworks.no; images in the article via Joey Fiscella
By CCN: The bulls are back. After a prolonged period in a sideways range, the bitcoin price has finally established a powerful uptrend. As BTC breaks the $6,000 level, enthusiasm is returning in waves to the cryptocurrency industry. Even the Binance hack has failed to put a dampener on a buoyant BTC/USD.
Bulls Are Unstoppable As BTC/USD Clears $6,000 Hurdle
Why all the enthusiasm about the bitcoin price breaking $6,000? This level has been closely watched for some time. A bounce through this technically significant price point has been long-awaited, and there are several bulls desperate to dive into the marketplace. Speaking to Forbes, Tim Enneking of Digital Capital Management is hugely confident that a clear break will lead to further gains in the original digital currency. He said:
“6k will probably [be] a tough nut to crack, but once it definitively falls, there will almost certainly be a strong surge higher.”
It’s not hard to find analysts who think this rally has legs. Here is TradeBlock’s director of digital currency John Todaro outlining once again how strong the momentum is in bitcoin:
“The market over the past 1-2 months has seen significant upward momentum and has brushed off numerous negative headlines within the space. If we break above the $6,000 level, we could continue to trade higher as momentum builds and negative news reports have a limited downward impact.”
Bitcoin Ignores Binance Hack
— John McAfee (@officialmcafee) May 8, 2019
Binance is the world’s largest cryptocurrency exchange. Because of this, it seems safe to assume that the recent hack of 7,000 BTC should have been disastrous for the BTC/USD price. So far this has not been the case at all. Bullish trends look their most potent when they ignore headwinds and keep surging. This is precisely the characteristic that bitcoin is displaying as it keeps breaking out to fresh yearly highs.
Novogratz Sees Bitcoin at $20,000 in 18 Monthsf
In an interview on Fox Business, Bitcoin perma-bull Mike Novogratz was spreading his usual brand of positivity. As you can see in the following video, he doesn’t have much time for Warren Buffett’s negativity. Novogratz expects BTC/USD to be back to its historic highs of $20,000 within 18 months.
Wall Street legend Mike Novogratz betting big on bitcoin https://t.co/bp4DBUKE09
— Liz Claman (@LizClaman) May 8, 2019
Stars Align As Fundamentals and Technicals Turn Positive
6000… you look so much better from this angle!
— Erik Voorhees (@ErikVoorhees) May 9, 2019
Whether you look at fundamental or technical analysis, it’s hard to come up with a reason to bet against BTC’s bounce through $6,000. Crypto adoption is picking up pace, search interest is returning, and the dip buying is back.
The main threat looks to be overbought conditions, but shorting bitcoin when it’s in this kind of mood has historically been like trying to hold back the tide.
ETH price found support near the $164-165 area and bounced back against the US Dollar.The price broke the $168 and $169 resistance levels, and is currently gathering momentum.There is a breakout pattern forming with resistance at $172 on the hourly chart of ETH/USD (data feed via Kraken).The pair is likely to break the $172 resistance and climb towards the $176 and $180 resistance levels.Ethereum price is gaining bullish momentum versus the US Dollar, following bitcoin price rise. ETH is now placed above $169 and it looks set for more gains towards the $180 level.Ethereum Price AnalysisYesterday, we saw a downside correction in Ethereum price below the $169 support against the US Dollar. The ETH/USD pair even broke the $168 level and the 100 hourly simple moving average. It tested the key $164-165 support area, where buyers emerged. A swing low was formed near $164 and the price started a fresh rise. It broke the $168 resistance and the 100 hourly SMA. Besides, there was a break above the 23.6% Fib retracement level of the last slide from the $180 high to $164 low.The price is now trading above the $170 level and the 100 hourly SMA. However, it is facing a strong resistance near the $172 level. There is also a breakout pattern forming with resistance at $172 on the hourly chart of ETH/USD. Moreover, the 50% Fib retracement level of the last slide from the $180 high to $164 low is also acting as a resistance near the $172 level. Therefore, a successful break above the $172 resistance is likely to open the gates for more gains in the near term.The next key resistance is near $176, above which the price may test the $180 level. Bitcoin price recently surged above the $6,080 level, and it seems like it could help Ether as well. If there is a downside correction, the $168 level and the 100 hourly SMA may act as a support. A close below the $168 support might start a slide towards the $164 support.Looking at the chart, Ethereum price seems to be gaining pace above $170. However, the bulls need to clear the $172 resistance level to set the stage for a push towards the $180 level. There are even chances of a fresh high above $180 if the bulls remain in action for the next few sessions.ETH Technical IndicatorsHourly MACD – The MACD for ETH/USD is gaining pace in the bullish zone, with a positive bias.Hourly RSI – The RSI for ETH/USD climbed back above the 50 level and it is currently near the 60 level.Major Support Level – $168Major Resistance Level – $172
Bitcoin’s price rose above $6,000 on most cryptocurrency exchanges for the first time today in nearly six months.
At 00:57 UTC on Thursday, the world’s largest cryptocurrency by market capitalization, which accounts for more than half of all other cryptocurrencies combined, picked up a bid and saw its price reach as high as $6,076 – its highest price since Nov. 14, 2018.
At the time of writing, bitcoin’s surge has slightly cooled off, now trading across exchanges at an average price of $6,045, according to CoinDesk’s price data.
In another first since last November, bitcoin’s market capitalization rose above $100 billion, $1.45 billion or 1.39 percent of which entered the market in the last 24 hours.
Further still, bitcoin’s dominance rate, a measure of its market share versus that of other cryptocurrencies, hit its highest point in nearly eight months at 56.8 percent – its biggest reading since Sept. 13, 2018, based on data from CoinMarketCap.
According to data from Messari.io, bitcoin’s total trading volume across exchanges today exceeded $15.5 billion, yet its “Real 10” volume – a metric that takes into account trading volume from the only 10 exchanges reporting honest volume figures as identified in a report by Bitwise Asset Management – reveals a seemingly more accurate 24-hour volume figure may be closer to $15.3 billion.
When bitcoin’s price moves emphatically in a particular direction, the U.S. dollar value of most other cryptocurrencies tends to follow suit, and the developments today were no exception.
Other highly ranked cryptos in terms of market cap like Ether (ETH), EOS (EOS), and Cardano (ADA) are all reporting 24-hour gains above two percent, while bitcoin is leading the top 10 cryptocurrencies, currently boasting an increase of 3.64 percent.
Overall the total capitalization of the cryptocurrency market increased roughly by $5.4 billion during today’s rally to where it now stands now at a value of $189.1 billion. Indeed, the value of the broader market is making substantial progress in recouping the losses endured throughout 2018, but is still down 78.1 percent from its all-time high of $835 billion recorded on January 7, 2018.
Disclosure: The author holds no cryptocurrency at the time of writing.
The world’s largest social media platform said in a blog post on Wednesday that it’s been listening to feedback since it shut down crypto advertising. That led it to assess the policy’s effectiveness, and voila, it had an epiphany. The timing just happens to coincide with the upcoming launch of Facebook’s own stablecoin.
In the post, the company says:
“While we will still require people to apply to run ads promoting cryptocurrency, starting today, we will narrow this policy to no longer require pre-approval for ads related to blockchain technology, industry news, education or events related to cryptocurrency.”
2018: Facebook bans crypto ad’s
2019: Facebook accepts crypto ads pic.twitter.com/yff7uR93bI
— faast (@goFaast) May 8, 2019
From No to That’s a Go
Last June, Facebook began requiring those wishing to advertise crypto products on its platform to first get written approval.
An ad that directs to a landing page featuring a restricted product, such as a cryptocurrency exchange, will still require prior approval. Facebook says:
“Or, if the landing page includes a prohibited product, like an initial coin offering (ICO), we will reject it.”
Referring to something it calls its Prohibited Financial Products and Services policy, the post states that Facebook will no longer allow ads promoting contracts for difference (CFDs), complex financial products that are often associated with predatory behavior.
ICOs fall into this category, and ads for them will continue to be banned.
— tadleer (@tadleer) May 8, 2019
Facebook’s Interesting Timing
This gracious allowance from Facebook comes just as it’s looking for $1 billion to fund its stablecoin project. Called Project Libra, CCN reported that Facebook is talking with heavyweights such as Visa and Mastercard to get that cash.
The project has expanded to include e-commerce payments on Facebook and other websites as well as rewards for viewing ads, shopping online, and interacting with content.
Not Everyone Will Benefit
Facebook remains committed to preventing misleading advertising on platforms, especially in the area of financial products and services. As a result, Facebook’s new ad policy is not applicable to all:
“Because of this, people who want to promote cryptocurrency and closely related products like cryptocurrency exchanges and mining software and hardware, will still have to go through a review process.”
By CCN: It turns out the Winklevoss twins aren’t content being Harvard-educated crypto billionaires. They want the title of memelord, too. As this latest piece of marketing shows, cryptocurrency exchange Gemini will do anything to be absorbed into the mainstream consciousness. This includes having their company’s logo photo bomb Kim Kardashian and Kanye West at a Met Gala after party in New York.
— Gemini (@Gemini) May 8, 2019
Winklevoss’ Kardashian-Fueled Gemini Marketing Machine Is in Overdrive
Using (fortuitous or planned?) happenstance with the Kanye West meme, Gemini’s marketing machine has been garnering a lot of attention lately. The last headline-grabber that we saw was a contest giveaway for 1 bitcoin. All contestants have to do is to snap a picture of the Gemini Crypto Bus and the Winklevoss’ will give the winner of the best shot a whole BTC. The entire concept of a giveaway is extremely obnoxious but seems to be working. For the record, this competition is still going on.
— CryptoLaboratory (@LabzCrypto) May 7, 2019
Crypto Memes Are Here to Stay After Kardashian-West Moment
Now back to the meme. It’s an absolute lottery win for Gemini and the brothers. How is it possible that the company logo is so perfectly centered between two pop culture icons? Haters will say it’s fake. It was also extremely fortunate that Kim’s outfit couldn’t be a lot more eye-catching. A sizeable portion of the population hasn’t noticed that Kanye is in this photo yet and don’t care what Gemini is. Ms. Kardashian-West’s physique is not the marketing lure you’d expected from Tyler and Cameron Winklevoss, but it’s the meme trap you got.
Regulation-Friendly Gemini Wants Mainstream Acknowledgement Above All Else
The Winklevoss twins’ strategy for Gemini exchange is clear. They want it to become part of the mainstream financial establishment. This puts them at odds with a large portion of the cryptocurrency world who balk at excessive regulation and associating with “legacy finance.” Given Tyler and Cameron’s affluent background, it isn’t surprising that they crave mainstream validation. The acceptance of their beloved Bitcoin by the same 1% who likely ridiculed them for plunging their Facebook settlement into BTC must be their dream.
Some have wondered why @Gemini believes the Revolution Needs Rules. Answer: Crypto doesn’t need rules, but the companies built on top of it do. See excerpt from court-appointed monitor’s (Ernst & Young) third report filed in Nova Scotia Supreme Court re: QuadrigaCX matter pic.twitter.com/Dvw8Am5H9M
— Cameron Winklevoss (@winklevoss) March 14, 2019
Facebook’s Crypto Plans Are “Cool” with Cameron and Tyler Winklevoss
Given their prior tussle with Mark Zuckerburg, Gemini’s founders have been surprisingly sanguine about the advent of a Facebook cryptocurrency. The twins are mainstream crypto by any means possible. Ultimately this means the “Libra” project is an unequivocal positive in their worldview.
Was Satoshi’s Vision Giveaways and Memes?
Binance, one of the largest cryptocurrency exchanges by trading volume and one of the most trusted and respected names throughout the industry, is now also among the largest cryptocurrency exchange hacks to ever hit the crypto industry since the inception of Bitcoin.The “security breach” as Binance is referring to it as, resulted in 7,000 BTC being stolen from the exchange using advanced methods that helped the hackers remain undetected. The stolen Bitcoin at today’s prices, brings the total loss at the hands of hackers to roughly $41 million dollars – an amount Binance will be able to recoup completely in just 47 days, according to one crypto analyst.Stolen Bitcoin “Peanuts” for Binance to Recoup According to AnalystHead Analyst at The Block and former researcher at Diar, Larry Cermak, spent some time digging through data from the Binance hack to try and get to the bottom of what happened. The analyst speculates that the hack had something to do with Binance’s lack of Segwit implementation, due to none of the exchange’s famed safeguards being triggered.Related Reading | Bullish: Crypto Community In Shock Over Recent Bitcoin Price ResilienceThe analyst further concludes, that the security breach is the sixth largest exchange hack in crypto history, with a grand total of $41 million in Bitcoin being stolen from the leading cryptocurrency trading platform known for its extensive variety of altcoins.Some of my thoughts/insights on Binance hack– $41M is peanuts for Binance – they can make it back in 47 days
– It was the sixth largest exchange hack in history and the total amount stolen from exchanges is now $1.35 billion
– reorg was a stupid idea that wouldn’t work pic.twitter.com/K8rBuFggZm— Larry Cermak (@lawmaster) May 8, 2019Cermak says that the $41 million is “peanuts” for Binance, and will take a mere 47 days to make back the money lost as a result of the security breach. The analyst used data from Binance’s Q1 2019 financial report, which revealed the firm brought in $78 million in profits during the term. With roughly 90 days in any given quarter, the analyst was able to come up with an estimate per day of what Binance earns, which is nearly $875,000 per day in profit.Watch Binance Dominate the Crypto SpaceAlthough the hack is a setback for Binance, the rapidly growing cryptocurrency exchange shows no signs of slowing its momentum.Throughout most of 2019, the platform’s native cryptocurrency has been among the market’s top performers, as the firm is launching its own blockchain, a decentralized exchange, and made the token necessary to invest in the company’s launchpad platform, where it brings new cryptocurrencies to investors for the first time.Related Reading | Binance Coin (BNB) Nears ATH After Exchange Makes Several Bullish AnnouncementsThe company’s unprecedented growth happened almost overnight, with Binance exploding onto the scene in late 2017, and in just one quarter in the market jumped in revenue from just $7.5 million in a quarter to $200 million in the first quarter of 2018.Since then, interest in the crypto market has waned, and competition has picked up, yet still Binance was able to bring in $78 million in revenue during Q1 2019 during the lowest depths of the bear market.Real cool to see the #bitcoin trading volume per exchange 2017 till today. 🔥🚀🔥 #BTC #trading #volume #cryptolife #thebitcoinfamily pic.twitter.com/gNvhIB8XM6— ₿ Didi Taihuttu ₿ (@Diditaihuttu) April 19, 2019In the above video, Binance’s exploding on the scene can be seen through the change in which exchanges dominate trading volume across the crypto market. In a short time, Binance entered the market, and very quickly became a market leader.
The crypto markets dropped slightly yesterday after news broke regarding popular cryptocurrency exchange Binance being hacked. Despite this, the impact of this news was limited, and Bitcoin (BTC) was able to hold steady above $5,800 and has since continued to march back towards $6,000.Now, one popular analyst believes that a continuance of this upwards momentum could lead BTC to over $7,000 in the near-future, which would likely be a definitive sign that the next bull run has truly begun.Bitcoin Continues Climbing Towards $6,000 Despite Yesterday’s DropAt the time of writing, Bitcoin is trading up marginally at its current price of $5,940 and is up from its daily lows of just below $5,800 that were set just minutes after news broke surrounding the $40 million Binance hack that struck fear into the hearts of many investors.Despite this, the reach of this hack was fairly limited, and Binance immediately offered to reimburse anyone whose account was impacted by the security breach, which instantly erased the fear that many investors had regarding the situation.Over a one-week period, Bitcoin is trading up significantly from lows of $5,400, and is only down slightly from its weekly highs of roughly $6,000, which were set late-yesterday just prior to the temporary drop caused by the Binance imbroglio.BTC’s muted reaction to both the Binance news and the recent fiasco surrounding Bitfinex and Tether is seen by analysts as being a bullish sign, and has confirmed the bullish sentiments held by many traders.UB, a popular cryptocurrency analyst on Twitter, shared his thoughts on BTC in a recent tweet, explaining that he expects the cryptocurrency to continue climbing higher, as it has been able to decisively reclaim its position above $5,850 after yesterday’s drop.“$BTC – I’m #long and #strong. That was probably the dip before new highs to be honest. The sooner ~$5850 is reclaimed, the better,” he explained.$BTC – I’m #long and #strongThat was probably the dip before new highs to be honest.The sooner ~$5850 is reclaimed, the better. #Bitcoin pic.twitter.com/4E0kZ1EaUR— UB (@CryptoUB) May 8, 2019BTC May Soon Surge Towards $7,200 Although analysts are decisively bullish on Bitcoin over a short time period, this bullishness also extends over a longer time frame as well, with one analyst explaining a break above BTC’s 100 week moving average may lead the cryptocurrency to surge towards $7,200 in the near-future.“$BTC #Bitcoin Macro View. Weekly Timeframe into play. Bulls need to break 100 Week MA & bears need to defend it. May take days to play out. Failure to breach will result in a failed rally & pullback towards Weekly 7EMA & 20 MA. If broken on upside, 6700-7200 Zone,” Trading Room, a popular cryptocurrency analyst, explained in a recent tweet.$BTC #Bitcoin Macro ViewWeekly Timeframe into play. Bulls need to break 100 Week MA & bears need to defend itMay take days to play out. Failure to breach will result in a failed rally & pullback towards Weekly 7EMA & 20 MAIf broken on upside, 6700-7200 Zone (#Bitstamp) pic.twitter.com/ZmADHVAhBa— Trading Room (@tradingroomapp) May 7, 2019As the week continues on and Bitcoin continues to further establish its foothold in the upper-$5,000 region, confirmation as to whether or not the next bull run is imminent is likely right around the corner.Featured image from Shutterstock.