Bitcoin price extended gains above the $6,400 and $6,440 resistance levels against the US Dollar.The price tested the key $6,500 resistance level as discussed in yesterday’s analysis.Besides, yesterday’s highlighted important bullish trend line is intact with support at $6,060 on the hourly chart of the BTC/USD pair (data feed from Kraken).The pair remains in a strong uptrend and it seems like the real test for the bulls could be near $6,850.Bitcoin price is extending its rally above the $6,450 level against the US Dollar. BTC is following a solid bullish path and it seems like it could even test the $6,800 level in the near term.Bitcoin Price AnalysisYesterday, we saw a strong rise in bitcoin price above the $6,200 resistance area against the US Dollar. The BTC/USD pair even broke the $6,350 level and settled well above the 100 hourly simple moving average. As a result, the bulls are in control and they were successful in clearing a major resistance area near the $6,400 level. Earlier, there was a minor dip, but the $6,280 and $6,300 levels provided support. As a result, the price bounced back and broke the $6,450 level.It recently tested the $6,500 level and is currently consolidating gains. An initial support is near $6,440, and the 23.6% Fib retracement level of the recent wave from the $6,245 low to $6,500 high. However, the main support is near the previous breakout zone at $6,400. Besides, the 50% Fib retracement level of the recent wave from the $6,245 low to $6,500 high is also near the $6,400 level to act as a strong support. Below $6,400, the price may decline back towards the $6,250 support area.More importantly, yesterday’s highlighted important bullish trend line is intact with support at $6,060 on the hourly chart of the BTC/USD pair. The pair is clearly in a strong uptrend and it seems like it could even break the $6,550 and $6,600 levels in the coming sessions. As a result, the main target for the bulls could near the $6,800 and $6,850 levels (as pointed out in one of the previous analysis with the daily chart).Looking at the chart, bitcoin price is gaining traction above the $6,400 level. There may be a couple of swing moves towards $6,400 or $6,300, but dips remain well supported. Only a close below the $6,000 pivot level and the 100 hourly SMA could start a strong correction.Technical indicators:Hourly MACD – The MACD is about to gain momentum in the bullish zone, with bullish signs.Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is moving higher towards the 75 level.Major Support Levels – $6,400 followed by $6,250.Major Resistance Levels – $6,500, $6,600 and $6,800.
Archives for May 10, 2019
By CCN: Vitalik Buterin has expressed an interest in incorporating privacy features into Ethereum. He is partial to the ZK-SNARKS technology that is used in privacy coin Zcash. Nonetheless, his senses appear to be particularly keen about any developments surrounding privacy protocols. This became clear when a research paper was published entitled: “FloodXMR: Low-cost transaction flooding attack with Monero’s bulletproof protocol.”
The researchers decided to explore what they call a “flooding attack with Monero’s bulletproof protocol.” In a nutshell, it involves an attacker flooding the network with their own transactions and then eliminating “mixins from transaction inputs.” In doing so, the attacker could potentially trace nearly 50% of inputs at a cost of less than $2,000.
Incidentally, Monero Lead Developer Riccardo “Fluffypony” Spagni is in New York for the Magical Crypto Conference. He had not responded to the FloodXMR report as of press time.
Vitalik did, however, and caused a small stir on Twitter when he said:
Privacy schemes where the anonymity set of a single transaction is smaller than the entire set of users of the scheme are looking weaker and weaker with every passing month… https://t.co/vTHNQRsVUT
— Vitalik Non-giver of Ether (@VitalikButerin) May 10, 2019
Monero and Ethereum Both Face Headwinds
Some people in the crypto community pointed out that Monero isn’t the only project with challenges to overcome. One follower on the Twitter thread replied to Buterin, saying:
“Ethereum has its obstacles, so does Monero. I’m sure some very bright minds will take care of it. Both are legit projects.”
That’s when the Ethereum co-founder clarified where his comments were coming from, stating:
“I hope Monero overcomes its obstacles by switching to privacy schemes that make the anonymity set for each transaction be the set of all Monero users! The above wasn’t even intended to be against Monero in any way. I’m following this debate between different privacy tech mainly with an eye to seeing what privacy schemes to help support as layer 2’s for Ethereum.”
Ethereum and Privacy
The Ethereal Summit is also unfolding in New York this weekend, a ConsenSys event that’s been dubbed the “SXSW of blockchain.” Yet Buterin still found the time to weigh in on Monero’s privacy protocol.
At the conference, they’re discussion topics such as Ethereum 2.0 and the shift to the proof-of-stake protocol, with Messari CEO Ryan Selkis reportedly forecasting that it’s still a couple of years away. If true, that could push features such as privacy further back, too. Nonetheless, Buterin had privacy on his mind when he responded to Tesla CEO Elon Musk about what can be built on Ethereum. One of the Ethereum co-founder’s 13-point response centered on privacy:
* Markets for personal data for privacy preserving machine learning (you pay me X, I let you homomorphically execute function Y on my data that’s been attestated to by Z…)
* Cryptoeconomics for spam prevention in social networks https://t.co/06n0zGQYXP
— Vitalik Non-giver of Ether (@VitalikButerin) April 30, 2019
Buterin expects ZK-SNARK technology could bolster Ethereum’s scalability to approximately 500 transactions per second compared to its current capacity of approximately 15 tps. ZK-SNARK tech would also give it the ability to scale. This approach differs from the Litecoin blockchain, which is adding second-layer payment solution Lightning Network and is also pursuing privacy. Litecoin is exploring the integration of Mimblewimble tech for privacy. Monero launched in 2014 and uses the bulletproof protocol.
Given the precarious nature of the Monero traceability report, it’s probably not a bad idea for all of these privacy coin project leaders to collaborate.
Vitalik Buterin also published this piece on “Control as Liability” today.
By CCN: While Elon Musk and Jeff Bezos are focused on Mars, billionaire venture capitalist Tim Draper has his feet firmly planted on the ground. Draper might appear to have his head stuck in the clouds with a lofty $250,000 bitcoin price prediction. But from what he tells Fox Business, the early bitcoin investor isn’t stargazing:
“I’m a believer that in four years, something like that, bitcoin will be about a 5% market share of the earth.”
“I’m a believer that in four years, something like that, Bitcoin will be about a five percent market share of the Earth.”Speaking with Fox Business’ Liz Claman at the SALT Conference in Las Vegas, venture capitalist and longtime Bitcoin investor Tim Draper explains why he is so bullish on the cryptocurrency.
Posted by Fox Business on Thursday, May 9, 2019
Draper’s Bitcoin War Chest is a Cool $189 Million
He pointed to bitcoin’s best features such as decentralization, transparency, and simply being a better currency than fiat. Draper was an early bitcoin investor, having purchased 30,000 BTC when the price was hovering at $632 per coin. He points out that the investment is worth 10x that amount today, and he’s got no doubt that it’s going much higher.
Draper envisions a future in which bitcoin further disrupts the venture capital business model.
“I eventually want to have a fund where I take in bitcoin and I fund everybody in bitcoin and they pay their employees and suppliers in bitcoin. And then I pay my investors in bitcoin. Because I would then require no acounting, no legal, no bookeeeping, no custody. It would all be done.”
Considering that transactions would be recorded on the blockchain, all relevant participants would be able to see everything. Tim is a big fan of bitcoin but he keeps an open mind about other cryptocurrencies, too. Though he does expect that the number of coins will be whittled down to only the best projects.
Tim Draper on Facebook
Everyone knows Facebook is pursuing a $1 billion fund for its new stablecoin, and Draper has been linked to discussions with the company about the initiative. Incidentally, the gloves came off on one of Facebook’s founding members earlier this week, with Chris Hughes calling for the breakup of Mark Zuckerberg’s company. Draper isn’t buying into it.
“If the shareholders will benefit somehow by a breakup, then sure go ahead and do it. But the idea that he has all this centralized power…I think he’s just building a business and it’s a great business. And there are plenty of competitors to him out there. And I’m very pleased that he’s done so well.”
If his tone is any indication, perhaps we will be hearing about a VC investment into Zuckerberg’s new blockchain project.
Meanwhile, the bitcoin price is currently hovering at $6,379. It’s a far cry from Tim Draper’s $250,000 target but if he’s right and it captures 5% of the earth’s market share, the moon will seem a lot closer than it does today.
The current ongoing Bitcoin rally has bulls and bears alike in complete disbelief, due to the crypto market leader not only continuing to climb in the face of negative news, and even though it is facing extremely powerful overhead resistance that is the result of the price level playing support throughout the bear market.Since the early April surge that kicked off the bullish rally, Bitcoin price has once again gone parabolic. According to crypto analysts, that parabola has now been broken, and a pullback is long overdue.Bitcoin Price Goes Parabolic Once Again, Where Does The Break Take Us?Starting with the break of resistance at $4,200 that took the price per BTC upward by nearly $1,000 in an hour, the asset has gone full blown parabolic and has most ready to believe the early stages of a bull market have begun.Bitcoin has since nearly doubled from its December 2018 bottom, and has rallied from $5,000 to $6,400 without any significant retracement, even in the face of the worst Tether FUD yet, and a hack of the world’s largest exchange by trading volume, Binance.Related Reading | Crypto Analyst: Bitcoin MACD Histogram More Extended Than During Previous Bull Cycle But parabolic advances cannot last forever, as the height of the December 2017 hype bubble has shown us, which took the price of Bitcoin skyrocketing towards $20,000. Like $20,000, Bitcoin’s parabolic trend line that has been supporting the advance thus far, has now been broken.$BTCParabola broken
Looking for short-term shorts once we lose the last “base”I’ll keep you updated. pic.twitter.com/dhZo7eSARg— Livercoin (@livercoin) May 10, 2019The break hasn’t caused any significant downside, but then again, nothing has been able to stop Bitcoin’s recent bullish momentum.Related Reading | Bullish: Crypto Community In Shock Over Recent Bitcoin Price ResilienceStill, analysts across the crypto market are expecting the price of Bitcoin to be rejected eventually, causing the price of the crypto asset to go tumbling back toward $5,800 or lower to retest support. Previously, a retest of resistance turned support at $4,200 was being called for, but has all been forgotten as Bitcoin set new 2019 high after high.The dying moves of a parabolic trend pic.twitter.com/Nw6ptZ48g0— Bitcoin 𝕵ack (@BTC_JackSparrow) May 10, 2019While most traders are targeting $6,000, $5,800, $5,500, or lower for Bitcoin’s pullback targets, according to professional career trader Peter Brandt, assets that have gone parabolic, once broken, often retrace as much as 80% of the initial advance.His prediction turned out to be chillingly accurate, as once Bitcoin’s all-time high of $20,000 was set, it eventually bottomed out at $3,150 – is an 84.25% decrease in value.An 80% decrease from here, would put the price of each Bitcoin at a mere $1,280 – further than even the most bearish bears are calling for. Given the recent price action, an 80% drop is highly unlikely, however, what goes up must come down eventually, and Bitcoin’s uptrend is far overdue for a correction or at least consolidation. But Bitcoin has continued to shock and awe in recent weeks, and could continue to do so as the disbelief phase rages on.Featured image from Shutterstock
Recently, a buzz of excitement spread throughout the cryptocurrency community after news broke regarding social media giant Facebook’s foray into the crypto industry through a new project that may introduce the benefits of digital currencies to billions of the platform’s users.Although this was certainly a bullish sign that many analysts viewed as the epitome of mainstream adoption for the nascent technology, the US Senate is now getting involved in the project, recently sending an open letter to the company demanding that they reveal significantly more information about the project, which currently remains somewhat mysterious.Facebook Must Answer Several Questions Regarding Crypto ProjectIn a recent letter from the United States Senate Committee on Banking, Housing, and Urban Affairs, the committee demanded that the tech giant elucidate details about the project, specifically with regards to how the project may impact the digital privacy of users.The letter, which is specifically addressed to Facebook’s founder and CEO, Mark Zuckerberg, also brings up the issue of possibly having to subject Facebook to the Fair Credit Reporting Act, which, according to the Federal Trade Commission, ensures that:“The banking system is dependent upon fair and accurate credit reporting…” and that it utilizes an “An elaborate mechanism [that] has been developed for investigating and evaluating the credit worthiness, credit standing, credit capacity, character, and general reputation of consumers.”On this note, one of the questions posed by the committee asks whether or not Facebook has been in contact with financial regulators to ensure that their crypto-based framework meets “all legal and regulatory requirements.”Importantly, this letter signals that the regulation still remains as a hurdle that crypto must jump over before it can incur mainstream adoption, as major corporations looking to adopt the technology will likely have to deal with heavy involvement from the government and regulatory officials who may inhibit the speed at which crypto-based frameworks can be developed and released for public use.Concerns Regarding Facebook’s Privacy Violations and Size Continue to GrowAnother key part of the letter is regarding what protections Facebook will provide that ensure the safety of any personal data that may be exposed as a result of using the crypto-based payments system.“What privacy and consumer protections would users have under the new payment system?” the committee asked.Concerns about Facebook’s aptness to exploit personal data come as one of the company’s co-founders, named Chris Hughes, is calling for the company to be broken up, saying in a recent opinion piece for the New York Times that:“The company’s mistakes — the sloppy privacy practices that dropped tens of millions of users’ data into a political consulting firm’s lap,” referring to the Cambridge Analytica scandal.Hughes further noted that “Mark’s influence is staggering, far beyond that of anyone else in the private sector or in government,” and concluded that “It is time to break up Facebook.”As Facebook continues to grow and ventures into relatively new technologies, like crypto, in an effort to fuel their continuous growth, it is highly likely that calls to break up the tech giant will continue to surmount, and that the government will only grow keener on regulating nascent technologies.Featured image from Shutterstock.
According to a report by the firm appointed to oversee the financial affairs of now defunct crypto exchange QuadrigaCX, the trading venue has only $21 million of a total $160 million it owes out. The exchange shut up shop earlier this year a month after its CEO supposedly died in mysterious circumstances.The revelation seems to lend support to a speculative theory posited by Coinbase’s Brian Armstrong in February. Armstrong said that QuadrigaCX’s CEO’s sudden death may have been used as a scapegoat for the company’s overall mismanagement of its finances.Did QuadrigaCX Ever Have Crypto in Cold Storage?A report dated May 1 but that appears to have been published later states that QuadrigaCX does not have the money it owes out to creditors. Ernst and Young, the court-appointed monitor and trustee in the case, has only managed to track down around $21 million in assets of a total $160 million that is owed out by the exchange.The report details the assets held by three different legal entities that are associated with the now-defunct trading venue. Quadriga Fintech Solutions reportedly holds $189,345 and owes $159,875,011. Whiteside Capital Corporation holds $189,345 and owes $159,875,011. Finally, 0984750 B.C. holds $28,649,542 and owes $215,697,147. A further, $500,000 in a variety of crypto assets was also recovered from one of the exchange’s hot wallets.The author of the Ernst and Young report, George Kinsman, states that poor book keeping has been an issue with compiling the figures published this week. This, coupled with the fact that the firm could not find the cryptocurrencies in cold storage that supposedly became inaccessible with the death of Quadriga’s CEO, appears to lend support to a theory posited by Brian Armstrong of Coinbase in February:Wanted to share a summary of what we believe happened to QuadrigaCX. We did our own internal research, including some blockchain analytics, to see if we could help. Important to note that this is just our best guess. Take it as *pure speculation*, nothing more.— Brian Armstrong (@brian_armstrong) February 21, 2019Whilst being careful to state that he was merely speculating on possible causes of the exchanges missing funds, not making accusations, Armstrong states that the death of Cotton Gerard may have been used as a scapegoat to cover up a gaping hole in the company’s finances. This may have been caused by a technical error, detailed in a post by the exchange itself at the time, made when upgrading to a new version of Geth in 2017 and exacerbated by the crippling bear market of 2018:“They suffered a multimillion dollar bug in June 2017 (before things went vertical)… This is when we start to see movement of funds to ‘cold storages’”The statement from the exchange claims that although the issue ate into profits “substantially”, it would not impact the future running of the exchange.Armstrong speculates that the damage done may have been much greater than the trading venue let on at the time and that attempts to try to “trade their way out of a hole” may have ultimately failed due to the spectacular crash in crypto prices during 2018:“Sequence of events suggests this was a mismanagement with later attempt to cover for it.”Armstrong goes on to state that the exchange might seized the opportunity presented by Cotton Gerard’s death to explain its financial shortcomings. Withdrawal issues cited by users of the exchange before Gerard died lend support to the theory that the exchange’s finances were already suffering before the incident that supposedly lost the missing crypto assets:“So maybe after about a month of debate [Dec – Jan], management decided to cut losses and release a statement claiming that access to money was lost with CEO’s death?“While this story isn’t perfect, it does seem plausible. I do want to emphasize that these are our best guesses based on the available data. As the case unfolds we might find out we were incorrect.”Legal proceedings are ongoing with QuadrigaCX. NewsBTC will bring you more on this story as it develops. Related Reading: Court Grants Quadriga Deadline Extension, $145M in Crypto Still in LimboFeatured Image from Shutterstock.
Ethereum’s true believers think the world’s second-largest blockchain can still be all-encompassing. Others think a more-focused path would be best.
That was the tension on display at Day 1 of the ConsenSys-organized Ethereal Summit NY, a Blockchain Week gathering held at Pioneer Works in Red Hook, Brooklyn on Friday.
Earlier in the day, Messari founder Ryan Selkis offered a counterpoint. If ethereum, he argued, truly reinvents finance, that would be plenty.
“If you think about ethereum as programmable money and decentralized finance (DeFi) applications, that’s probably good enough,” Selkis argued.
It reflected an underlying tension at the conference, one where ethereum’s creators and most ardent adherents envision a blockchain that reinvents the web as we know it.
Still, speakers kept coming back to DeFi, which was unquestionably a major recurring theme for the day, given the rise of ethereum lending platform MakerDAO. But it was also clear that the crowd was not ready to give up on ethereum running the decentralized web.
Soleimani’s “ultimate bull case” for the blockchain, for example, was when DeFi reaches the nation-state level.
“The announcement that I’m waiting for is the first small nation to announce they are issuing their own currency on ethereum.”
Where to focus
To Selkis’ point, ethereum’s ability to run a new internet hinges on building robust technology that can take much of the pressure off Vitalik Buterin’s still-constrained creation.
“If Layer 2 does not work, ethereum will not work. I believe that with pretty high conviction,” Tushar Jain, co-founder of Multicoin Capital, said from the Ethereal main stage. “There are other Layer 1 chains out there that outperform ethereum on multiple dimensions.”
Kaleido co-founder Sophia Lopez was more circumspect on the question, though. The trouble with the Web3 visions for ethereum, she argued, is that “It doesn’t translate into anything actionable, today.”
She said building toward that long term was still fine, but added, “People need to get excited about what they can do today.”
“I think DeFi is a solution looking for a problem,” Flynn said. “Last year people were all about NFTs and this year they are all about DeFi. It’s just recency bias.”
ConsenSys Chief Strategy Officer Sam Cassatt gave a talk on-stage arguing that humans now evolve by building better institutions.
He showed a screenshot of a group of people doing a group video chat and said:
“This is a live Maker governace call. It’s equivalent to watching the Fed set interest rate policy.”
In other words, DeFi seems to be what gives the original smart contract chain its strongest bragging rights these days. It’s the value proposition on which its hopes seem to hang.
MakerDAO, the most well known of the DeFi dapps, has been beset by controversy of late. Nevertheless, the MakerDAO smart contract has $346 million in ETH locked up in it, 83 percent of all the ETH locked in the DeFi sector as a whole, according to DeFi Pulse.
If the main use case remains financial, the question for ethereum is whether DeFi is all it needs to be. It’s a narrative question for ethereum’s community, says Long Reads Sunday curator Nathaniel Whittemore, one the community should have seen coming.
“This is an inevitable narrative shift,” Whittemore said, pointing to those who question the DeFi narrative as nothing more than Ponzi schemes on the blockchain versus those who spin it as a revolution.
Whether the question is raised as a defensive counternarrative or a legitimate critique, Whittemore argued that communities like ethereum’s need to be ready to grapple with these big challenges when they arise.
“If you don’t understand the narrative your project is coming into, you’re a ship without a rudder.”
Ethereal Summit NY image by Brady Dale for CoinDesk
By CCN: William Shatner announced he’s partnering with Mattereum to launch an Ethereum token that authenticates and digitally transfers ownership of physical items like collectibles and instruments. He tweeted:
“Today I am announcing that I am partnering with Mattereum and other technology creators to establish an authentication system, it establishes an irrefutable, internationally recognized proof of authenticity.”
Cryptonians! My friends @VitalikButerin & @ElonMusk were trying to decide what to build on @Ethereum. I’ve been waiting & waiting 🙄 I finally decided to do something myself. Join me! 😘 Bill 👉🏻https://t.co/S8A6lAjapU #MCC2019 #blockchainweeknyc #atomicswapnyc @mattereum pic.twitter.com/NEd8MSVwHC
— William Shatner (@WilliamShatner) May 10, 2019
Shatner also holds up a one-of-a-kind action figure of Capt. James Kirk with his autograph on it, saying:
“The chip, the token, my signature, and a number. One of a kind.”
Star Trek Inspired Digital Twin
The William Shatner action figure will be the first item to get assigned what Mattereum, the company behind Shatner’s Ethereum project, calls a “digital twin.”
The digital twin is the uniquely identifiable digital record that lives on the immutable Ethereum blockchain and can only be transferred to a new owner with a private key.
The London-based law-tech company is building an ERC-20 smart contract token that will track these digital titles in an immutable public record maintained by a decentralized network of computers using Ethereum’s open source software.
The Ethereum network accomplishes this through a clever process inspired by Bitcoin. An easy way to visualize the concept of digital twins, however, is the following clip from Star Trek:
Mattereum Chief Legal Officer Chris Wray stated in the announcement:
“The Mattereum Asset Passport gives you reliable provenance for your collection, backed by the liability of those who certify it – and ultimately their collateral, insurance, and personal assets. Transparency and enforceability will be essential tools in the fight against fraud and counterfeiting.”
Not William Shatner’s First Crypto Rodeo
William Shatner has been very involved in the cryptocurrency industry.
Last June, the actor, celebrity spokesman, and crypto entrepreneur partnered with Solar Alliance in Vancouver to lease renewable energy and space from a solar farm to mine crypto.
Ethereum Smart Contracts to the Moon
Shatner’s personal connection to tracking the authenticity and ownership of collectible memorabilia is understandable. But the possibilities for this use of the Ethereum blockchain are very expansive.
— William Shatner (@WilliamShatner) May 10, 2019
In its white paper, Mattereum features an image of a violin and discusses how it can be used to transfer ownership of instruments.
Another possible use case involves modernizing the entire automobile title transfer bureaucracy out of the hands of local governments and onto the blockchain.
Who knows? Maybe someday it will be used to log the owner of the first faster-than-light spaceship?
Bitcoin has been able to continue extending its upwards momentum and has firmly established its newfound position within the $6,000 region, nearly erasing all of the losses that were incurred in late 2018 after the cryptocurrency failed to find support around $6,400 and was sent spiraling downwards before it found support in the lower-$3,000 region.Bitcoin is now approaching a critical price level that, if broken above, would confirm the start of the next bull market, which could lead to a gradual upwards climb that ultimately results in another parabolic movement that sends the cryptocurrency back towards, or even above, its previously established all-time-highs.Bitcoin (BTC) Surges to $6,400At the time of writing, Bitcoin is trading up over 5% at its current price of $6,415, up from its 24-hour lows of just below $6,100.This latest leg of BTC’s upwards surge has led it to the highest price level it has traded at in all of 2019, and has placed the crypto back at price levels that were last seen in early-November of 2018.This recent upwards momentum has been driven by a steady increase in trading volume, which has surged nearly three times from where it was in March of this year.According to Messari’s “real 10” 24-hour volume indicator, Bitcoin’s current daily trading volume is at just below $800 million, up significantly from its real daily spot volume in late March, which was $270 million according to a report from Bitwise investments.2/ First, key takeaways:A. 95% of reported BTC spot volume is fake
B. Likely motive is listing fees (can be $1-3M)
C. Real daily spot volume is ~$270M
D. 10 exchanges make up almost all real trading
E. Most of the 10 are regulated
F. Spreads are <0.10%. Arb is super efficient— Bitwise (@BitwiseInvest) March 22, 2019The cryptocurrency has now put a significant amount of distance between its current price levels and its 2018 lows of $3,200, which seems to confirm that this price level was, in fact, a long-term bottom.BTC Close to Confirming Next Bull RunAnalysts have long postulated that $6,400 is the key price level that must be broken above in order for the start of the next bull run to be confirmed, and although Bitcoin’s price has now passed that level, it is important that it holds above it for the remainder of the day.Alex Krüger, a popular economist who focuses primarily on cryptocurrencies, spoke about the importance of this level in a tweet earlier this month, explaining that a break above $6,400 would constitute the start of a fresh bull market.“$BTC now at $5750, the 2018 low prior to the November crash. The 2018 bear trend ended once above $4200. Above $6400, 2018’s most traded price, it’s a bull market,” he explained.$BTC now at $5750, the 2018 low prior to the November crash.– The 2018 bear trend ended once above $4200.– Above $6400, 2018’s most traded price, it’s a bull market. pic.twitter.com/rIQI8RIPgs— Alex Krüger (@krugermacro) May 3, 2019Josh Rager, a popular crypto analyst on Twitter, spoke about the critical nature of the $6,400 level in a recent tweet, noting that bulls must hold the cryptocurrency above this price level for the rest of the day in order for the next bull run to begin.“$BTC has pushed its way to a key area of liquidity (interest). A weekly close about this area marked via box would certainly be bullish. Will watch weekly close, if fails to close above here this week or next week then I’d suspect a decent pullback. Not bullish on buying alts yet,” Rager explained.$BTC has pushed its way to a key area of liquidity (interest)A weekly close about this area marked via box would certainly be bullishWill watch weekly close, if fails to close above here this week or next week then I’d suspect a decent pullbackNot bullish on buying alts yet pic.twitter.com/zkIy6YsPA6— Josh Rager 📈 (@Josh_Rager) May 10, 2019As Friday wraps up, all eyes will be closely watching to see whether or not the ever-so-important $6,400 region can be decisively broken above, or if another dip back to BTC’s next region of support is imminent.Featured image from Shutterstock.
By CCN: Market contrarian and popular gold bug Peter Schiff has once again come out with guns blazing against bitcoin and cryptocurrency.
Peter Schiff: ‘Ponzi Scheme’ Bitcoin Is ‘Fool’s Gold’ with ‘No Value’
“I don’t think bitcoin has anything in common with gold. I mean it tries to pretend to be gold, but I think it’s fool’s gold.”
The stockbroker and financial commentator is well-known for his early warning market calls, particularly prior to the US mortgage crisis. The ensuing carnage of 2008 and 2009 gained him notoriety with more than a few media outlets looking for future price predictions.
In the headbutting debate, he went on to rant that bitcoin has “no intrinsic value,” making it a “Ponzi scheme.”
“It has some of the monetary properties of gold but none of the commodity properties of gold, and you can’t be money unless you’re a commodity first. By definition, money is the most liquid commodity, and bitcoin has no intrinsic value other than the fact that people are willing to buy it because they think they can sell it to somebody else at a higher price. That’s not money, that’s a Ponzi scheme.”
The statement is bold, even by Mr. Schiff’s standards. He does have history on his side, though. Fiat currency has always reverted back to gold due to the hyper-inflationary pressures of excessive paper printing. Bitcoin pundits like Keiser believe that this time, “digital gold” will take its place.
Crypto Industry Touts #DropGold Initiative
The interview with RT comes on the back of the somewhat controversial new #DropGold campaign. In a humorous new commercial, New York-based cryptocurrency investment firm Grayscale depicts people lugging around bars of gold in shopping carts.
The company is looking to cash in on a new wave of investors who are more familiar with technology as an investment than its commodity counterpart.
sound ON! pic.twitter.com/SEGAmMItsE
— Grayscale (@GrayscaleInvest) May 1, 2019
The advertisement claims that cryptocurrency actually has some utility, unlike gold. The company even went so far as to register the #dropgold domain. Schiff played down the ad with a fairly-solid counter-argument.
“Look, the average millennial, if he put his entire net worth in gold, it could be in his pocket and nobody would even notice it was there.”
He also pointed out that the average smartphone or machine used to mine cryptocurrency is likely to rely on gold components, proving the metal’s utility.
The Markets Tell a Different Story
Still, contrary to what Peter Schiff would like you to believe, the return on investment for gold has been relatively dismal since 2009. The yellow metal has wildly underperformed the stock market, not to mention bitcoin – which was just a few months old a decade ago and now has a circulating market cap of more than $110 billion.
Max Keiser, meanwhile, is no stranger to cryptocurrency and has been pushing its benefits since the early days. The host of one of Russia Today’s most viewed programs has been telling folks to buy bitcoin way back before it even breached the $10 mark.
To his credit, inviting a known bitcoin-basher onto his platform has, at the very least, provided a space where both sides of the proverbial coin can be heard.