The Bitcoin price has started 2019 off in fine form. Since reaching the $3,200 price point last December, which some have been calling this cycle’s ultimate bottom, the value of BTC has surged around 150% in just six months. With the price of most other crypto assets also increasing in recent weeks relative to the U.S. dollar, many analysts have declared that the current price action looks like the early stages of a new bull market.There are increasing signals that they might be correct too. Terms such as “Bitcoin”, “Coinbase”, and “Blockchain” have been trending across various online search platforms and technical analysis is pointing towards the theory that there is upside to come.Have the Bitcoin Bears Finally Been Vanquished?There is a growing body of evidence to suggest that the Bitcoin price could finally be ready to make a prolonged move to the upside once again. The price has been generally on an upward trend since it sank as low as $3,200 in December 2018.Just recently, however, there has been a much more dramatic price increase than we have seen since the days of 2017. During April and the start of May, Bitcoin’s price more than doubled to a yearly high of $8,320 (according to CoinMarketCap). It has since dropped back to just below $8,000 as of the time of writing.The rising prices have been accompanied by other signs that new money might be ready to get back into the Bitcoin and crypto asset markets. One indicator of such investor confidence is the fact that wallet software is trending hard in the Apple wallet store.Both Coinbase and Blockchain’s software are now listed as trending in the popular application store. This was highlighted by Twitter user Cryptorae recently:Trending now: “Coinbase” and “Blockchain”. Not sure I’m ready for this. pic.twitter.com/mRGgcr8RWO— rae (@cryptorae) May 14, 2019A related signifier that there is renewed interest in crypto relates to trending searches on the well-known search engine Google. According to data from the technology giant, the term “Bitcoin” is currently being searched for three times as often as it was just three weeks ago. It is still nowhere near as high as it was during the peak of the 2017 bull market but it is a clear sign that those less familiar with the technology are becoming interested either again or for the first time.Crypto pundits have posited some theories as to why interest might be on the rise once again. RT’s Max Keiser believes recent financial policies initiated by the US have made the sound monetary policy offered by Bitcoin highly attractive once again. He also states that during this bull market, institutions are likely to fear missing out just as much as retail did in 2017. This could lead to the $100,000+ Bitcoin he has been calling for as clients of Fidelity, Bakkt, and TD Ameritrade all scramble against retail investors to buy up the increasingly scarce crypto asset.Technical analysis also appears to be pointing towards more upside too. One trader and CEO of coding firm NodeSource, Joe McCann, highlighted that Bitcoin’s 200-day moving average recently moved into an upward-facing position. Previous times this has happened — in 2012 and 2015 — huge run-ups in the value of cryptocurrencies have been observed. The trader says we could be looking at a “prolonged bull market”.Judging from the technicals, along with clues into current levels interest in Bitcoin and crypto provided by trending searches at Google and Apple, the likes of Keiser, McCann, and others might be right in their bullishness. There might finally have been enough healing time for investors’ appetites for risk to have returned.Related Reading: Moving Averages Will Be Key In Bitcoin’s Next Move, What Are The BTC Pullback Prices?Featured Image from Shutterstock.
Kik’s CEO says the company has spent $5 million engaging with the U.S. Securities and Exchange Commission (SEC) over what the regulator claims was an unregistered securities sale.
Kik, a messaging platform founded by Canadian entrepreneur Ted Livingston in 2010, raised $98 million in an initial coin offering (ICO) at the end of 2017 to support its kin cryptocurrency and ecosystem. The SEC later indicated the sale may have violated U.S. securities laws, and that SEC staff would recommend bringing an enforcement action against the company.
On Thursday, Livingston told CoinDesk at Token Summit in New York that this hasn’t happened yet, but that both his firm and the regulator have been in talks since late 2017.
“We’ve spent a lot of money on this, over $5 million,” he told CoinDesk. “We’ve spent a lot of time on this, we’ve spent the last 18 months traveling to Washington.”
In November 2018, the SEC filed a formal letter, known as a Wells notice. In Kik’s response to the SEC, the company highlighted a clause in existing law that says currencies are not securities, a comment Livingston echoed Thursday.
Livingston maintains that kin is being used as a currency, adding:
“In the last month alone, over a million people earned kin from 40 different apps, from 40 different companies. Over a quarter million people used kin, making it the most-used cryptocurrency in the world, and they’re not even willing to say that’s not a security.”
“It just continues to drag out,” he said.
While Livingston said he does not have any plans to sue the SEC for greater regulatory clarity, he did say the agency needs to provide clear guidance.
“Enough is enough, you’ve been promising clarity for years now, somebody needs to go to court and get this settled,” he said.
Livingston said he does want to work with the SEC, however.
Addressing the securities regulator, he said:
“We want to find a win-win with you, we understand the tough position you’re in, but at the same time innovation needs to move forward.”
Regulatory uncertainty may be holding back the U.S. cryptocurrency industry, Livingston and others have argued during Blockchain Week. Developers need to pause as they try to determine what regulatory agencies might think of a particular innovation or process, he said, which slows down work.
Indeed, many companies may be afraid of regulatory action, with only one “no-action” letter issued by the SEC to date.
Competition is another issue, Livingston said.
“You have companies like Binance, who look at what Coinbase does and say, ‘We’ll do that but we’ll do it everywhere but the U.S.’ – and now Binance has replaced Coinbase as the top exchange in the world,” he explained, adding:
“We do not want to get Binance’d.”
Ted Livingston speaks at an event in New York, photo by Brady Dale for CoinDesk
By CCN: John McAfee is famous for predicting that the bitcoin price will hit $1,000,000 at some point or he’ll eat his own appendage. What you might not know is that he dislikes Ethereum and doesn’t even care that much for BTC, either. Yes, the reason is as silly as you might have hoped. Meanwhile, similar to Tesla CEO Elon Musk, McAfee has a soft spot for meme-fueled cryptocurrency Dogecoin.
Folks asking my opinion of Ethereum:
Well . . .. Frankly, I prefer one syllable coins and am not fond of Ethereum’s spelling. Additionally, many of my friends who hold Ethereum dress oddly. And, of course, Buterin looks underfed to me. But do not take this as investment advice.
— John McAfee (@officialmcafee) May 15, 2019
John McAfee Is “Merely Predicting” Bitcoin’s Rise, Doesn’t Care For It
He’s got a point. Ethereum is a mouthful. His methodology also brings bitcoin into his crosshairs, and it turns out despite his bullish attitude for the price, McAfee has always been a Doge man.
Did I say I liked it? Merely predicting its rise. The name itself connotes “Tiny Coin”. My friends own hearty sounding coins, or adorable coins like “Doge”. I could cop out of course and say “BTC” but then that’s three syllables and would demonstrate my ignorance.
— John McAfee (@officialmcafee) May 15, 2019
If we analyze this extremely complex methodology, certain truths arise. Buterin is certainly a slender man and as it turns out on occasion fits the profile of dressing oddly.
Aha!!!! Mimicking the God of Ethereum. That explains it.
— John McAfee (@officialmcafee) May 15, 2019
Crypto Community Adores John McAfee Wisdom
I’m not sure we need much more proof than that photo to understand John McAfee’s concerns. It is refreshing to see the tech provocateur giving us some meaningful insight like this. After the Satoshi Nakamoto storyline fizzled out, things had been a little dull on planet McAfee.
Ethereum Price Buoyant Despite Investors Strange Clothing/Buterin’s Weight
Despite John’s concerns, the price of Ethereum has been going wild. Currently trading around $265, ETH/USD has been riding on bitcoin’s coattails to significant effect. News that a little more than 350 individuals control 1/3 of the supply of ETH has done little to dissuade investors from piling into BTC’s more volatile offspring. There are evidently plenty of strangely dressed individuals to keep the price well supported.
McAfee’s Hearty Sounding Coins Are Elusive
We can only speculate on which “hearty sounding coins” McAfee’s friends use. Certainly, Nano is out. Nothing about Litecoin sounds meaty. Anything with “bit” in it fails the test, so the bitcoin spinoffs are gone. Digibyte sounds microscopic. Meticulous research brings us to No. 19 on CoinMarketCap, as it is evident that John McAfee must be talking about Cosmos. What could be heartier than a name meaning “the universe seen as a well-ordered whole”? But alas, on closer inspection, Cosmos’ symbol is the sub-microscopic ATOM.
If anyone can compile a list of the meatiest coin names, it could be a great investment aid. Unfortunately, unless McAfee helps us out all we can do is “hodl” Doge and hope for another tip. Can you imagine how much John must like Fat Doge?
The views expressed in the article are solely those of the author and do not represent those of, nor should they be attributed to, CCN.
Polinex announced that it will prevent US buyers from purchasing nine crypto assets. Polinex said that the assets – ARDR, BCN, DCR, GAME, GAS, LSK, NXT, OMNI, and REP – are dangerously close to being securities under US law. Non-US buyers will still have access to the tokens.
“It is not possible to be certain whether US regulators will consider these assets to be securities,” they wrote in a Medium post.
US customers holding balances in ARDR, BCN, DCR, GAME, GAS, LSK, NXT, OMNI, and REP on Poloniex must finalize all trades and close any positions in these assets prior to May 29th. Once delisted, customers will be able to withdraw these assets from their wallet for as long as we support the asset globally.
US fintech company Circle acquired Polinex in February 2018. It appears the the new owners looked to clean how’s and found tokens like Game.com’s GAME and Lisk.io’s LISK are insufficiently covered by regulatory documentation to continue sales in the US.
Image via Polinex
Since the start of April, the price of the leading cryptocurrency by market cap has been parabolic, breaking key resistance level after another with relative ease, and inciting FOMO in the crypto market once again. Bitcoin has even stayed resilient in the face of some of the worst Tether FUD to hit the market and a hack of the most popular cryptocurrency exchange, Binance.
It raised $35 million in less than a minute in 2017, but Brave is now seeking more funding.
The privacy-centric internet browser is raising a Series A equity round, three sources with knowledge of the situation tell CoinDesk. Brave is looking to raise $30–$50 million at a valuation of roughly $133 million, the sources say.
The company first gained attention with its ad-blocking browser in 2016, after raising a $4.5 million seed round from the likes of Pantera Capital, Founders Fund and Digital Currency Group. Despite successes along the way, Brave showed signs early that its 2017 ICO might not be enough to fuel growth.
A Brave spokesperson did not respond to a request for comment.
Zack Seward contributed reporting.
Brave image via Twitter
By CCN: Bitcoin’s breathtaking rally has dominated the headlines in recent weeks, but today it’s the second-largest cryptocurrency’s turn to enjoy the spotlight. The ethereum price surged as high as $281.77 on Thursday, launching ETH to an eight-month high.
Ethereum Price Finally Joins the Crypto Party
The cryptocurrency asset witnessed massive capital influx into its market when its frontrunner bitcoin began to correct from its overbought territory. The inverse correlation signified that bitcoin investors were hedging into the ether market, a theory further validated by ETH’s 16% appreciation against bitcoin in the last 24 hours, as shown in the chart below.
The bitcoin price, as CCN reported, doubled during a breakneck 45-day bull run, bringing its gains for 2019 to an impressive 119.26%. The move allowed the cryptocurrency to break above several crucial resistance targets, the last being $8,000, to reclaim a nine-month high of $8,391 on Bitstamp.
The ethereum price, meanwhile, held relatively flat. The cryptocurrency failed to catalyze a massive rally like bitcoin did – at least until May 11 when it suddenly popped more than 20%. The surprise upside movement matured into a full-fledged interim bull run, and ETH ultimately soared 63.59% in just six days.
Against $BTC: Very very bullish movements and broke the important 0.03 level. Needs to find support.
— Crypto Michaël (@CryptoMichNL) May 16, 2019
Notably, the bitcoin price corrected lower today, plunging more than 7.5% to an intraday low at $7,746. As of the time of writing, BTC/USD stood at $7,941 for a daily loss of around 2%.
Hardly Any New Money is Entering Ethereum
Ethereum’s sudden boom prompted many in the crypto media establishment to give credit the cryptocurrency’s improving fundamentals. The blockchain project received boosts from both Microsoft and JPMorgan, each of whom has interfaced with ethereum to various degrees. However, the majority of new money that entered the ETH markets came from other cryptocurrencies – not fiat.
The volume report of the past 24 hours showed that ETH/USD markets accounted for just 5.5% of all ethereum trading. Similarly, euro markets recorded just 1.13% of overall ETH volume.
More than 50% of all ethereum trading volume came from BTC and tether (USDT) markets, suggesting that traders were merely cashing in on arbitrage opportunities between bitcoin, ethereum, and various altcoins rather than bringing new money into the cryptocurrency market.
Disclosure: The author holds bitcoin, bitcoin cash, ethereum, litecoin, XLM, and BNB in his portfolio.
In an impeccable sign of the times, sources tell The Block that Coinbase may soon acquire Xapo, one of the first and most well-regarded Bitcoin custodians. This news has been divulged as data indicates that institutions are looking to siphon capital into the crypto asset space, thereby making custodians a necessity.Related Reading: Prominent Analyst: Trouble for Bitcoin if Price Corrects Below $7,500Coinbase & Fidelity Duke It Out Over XapoReported by The Block on Thursday morning, the San Francisco-based cryptocurrency giant Coinbase is “in advanced talks” to purchase Xapo, a Zurich-headquartered custodian that purportedly owns at least 5% of all BTC in circulation, worth billions of dollars. In fact, Xapo has been reported to store the Bitcoin in Grayscale’s Trust (over 1% in circulation) in military vaults in Switzerland, sequestered away in mountain ranges.Xapo, headed by “Patient Zero” Wences Casares, who adopted Bitcoin after he was slammed by multiple hyperinflations of the Argentinian Peso, is one of the earliest startups in the space, and has secured funding from Digital Currency Group, Winklevoss Capital, and Blockchain Capital.Sources, who are “people familiar with the matter”, tell the outlet that Coinbase has an offer of $50 million and added contingent “earn-outs” on the table, but that Xapo has yet to shake on the proposed deal. They add that Coinbase and Fidelity’s resident crypto division, Digital Assets, have been duking it out over this deal, which is massive in and of itself. So far, as hinted at, Coinbase has the lead and was quicker on the draw, as the budding startup looks to bolster its embryonic custody business in a renewed drive to appeal to institutional players.Related Reading: Here’s Why the Bitcoin Price May Not See a Big Correction At AllThis news comes after Coinbase has revealed that it really intends to delve into custody, citing growing interest from its institutional clients and contacts. Speaking at Consensus, Brian Armstrong, the technologist-turned-chief executive of Coinbase, revealed that his firm’s custodian crossed $1 billion worth of assets under management (AUM) this week, which was sourced from 70 institutions. Armstrong adds that this sum continues to grow by $150 million, signaling immense interest from the non-retail audience.And in a Q&A session held on Wednesday night, the entrepreneur noted that Coinbase Pro’s volume is now 60% institutional, furthering the narrative that his company should continue to focus on the needs of big names, which many believe will mature the cryptocurrency market.
Institutions Flood Into Bitcoin
This comes as data has revealed that institutional players are also jumping headfirst into cryptocurrency, downing a red pill if you will. On Monday, for instance, the CME’s Bitcoin futures vehicle saw 168,385 BTC worth of volume on Monday, up from February record of 91,690 BTC. In a similar fashion, the Digital Currency Group’s subsidiary Grayscale was revealed Monday to have seen its flagship product, its Bitcoin Trust, post $141 million in volume today on markets.
And Fidelity Investments revealed that institutions are widely amicable towards the digital asset class. Out of the “more than 400 U.S. institutional investors” polled, 47% agreed that cryptocurrencies should have a place in their portfolios.
But this begs the question, will improved custody solutions spark widespread “FOMO” from some of the bigger names in the institutional side of markets?
Featured Image from Shutterstock
Bitcoin (BTC) cool off, correction in the cards. Shapeshift’s Erik Voorhees says bubbles are normal. At the back of record transaction volumes and ultra-bullish news, Bitcoin (BTC) is one of the top performing assets. All the same, upside momentum is slowing, and BTC could slide back to $7,500, or $5,500.Bitcoin Price AnalysisFundamentalsBubbles are normal, says Erik Voorhees,the CEO of the crypto-to-crypto exchange ShapeShift. In a recent interview with Bloomberg TV, the crypto pioneer and one of the first entrepreneurs of Bitcoin notes that most analysts believe that the so-called winter is over. And as such, there are investors who are cautiously siphoning money back into crypto after last year’s deep plunge. He adds:“We’ve seen four or five of these bubbles at this point, so a lot of this is just cyclical. People wait until they feel the bottom is in, and when they feel like the bear market is over, then they feel comfortable moving back into crypto. That´s probably the biggest reason why this is happening, but often, these things are just a confluence of many individuals making their own decisions.”Despite what Bitcoin, cryptocurrency, and blockchain represent, asset prices are cyclical in nature. Bitcoin, the most valuable of all digital assets, is no different. After bottoming in the $3,200 range in mid-Dec 2018, BTC prices have surged 2.5 times. However, with supportive fundamentals and widespread use of the coin, analysts are convinced BTC is trading at a discount, even after 2019’s over 150% so far.Candlestick ArrangementAfter six weeks of near perpendicular upswings, Bitcoin (BTC) bulls are taking a breather. Prices are up 33.8 percent from last week’s close but printing lower lows in smaller time frames.Even so, the trend is up, and this is normal as prices do correct as accelerants cool off. Thus far, there is a double bar bear reversal pattern from $8,500. Everything else constant, this is a mark of bears and the best move it to exit longs.Meanwhile, aggressive traders can short with safe stops at $8,500 with first targets at $7,500. From candlestick arrangement, there is an overvaluation since four bars are above the upper BB, favoring bears as a result.Technical IndicatorsIn light of the above, our anchor bar is May-11, wide-ranging, high-volume bull bar—47k against 21k. It is a bull breakout bar. To align our trade plan with May-15 laid out conditions, any dip below May-11 lows will slow down buyers more so if the bar has high volumes exceeding 47k. That will also invalidate our long position as bears take the driving seat with targets of $5,600 in a bear trend continuation phase.Chart courtesy of Trading View
By CCN: Bitcoin is on a tear as the price of the flagship cryptocurrency has gone supersonic in 2019. It is widely believed that bitcoin’s remarkable rally is a result of booming institutional interest in the cryptocurrency, as investors are looking for alternative asset classes to park their funds at a time when the stock market is in turmoil and the global economy is on edge.
But it looks like institutional buying isn’t the only catalyst driving bitcoin’s price. The Chinese are reportedly piling into bitcoin, believing it to be a safe investment at a time when the yuan is taking a hit thanks to the U.S.-China trade war.
In a period where:
—political tensions escalate between US and China,
—global equity markets fall sharply
—VIX largest spike in many months
—global yield curves flatten/invert#bitcoin has RISEN and >$6,000
Crypto showing its value as an uncorrelated asset.
— Thomas Lee (@fundstrat) May 9, 2019
China Suddenly Loves Bitcoin
The Chinese government has a hostile approach toward bitcoin, delivering blow after blow to the cryptocurrency industry in general. From shuttering exchanges to outlawing ICOs and considering a ban on mining activities, the Chinese government has made it clear that it doesn’t love crypto.
But the Chinese people are counting on bitcoin a time when the yuan is crumbling under the pressure of the trade war.
The yuan suffered its steepest single-day drop since last July after China announced that it will impose tariffs in the range of 5% to 25% on $60 billion worth of U.S. goods. Analysts believe that the Chinese are dumping the yuan in favor of BTC.
According to David Cheetham, the chief market analyst at trading platform XTB cited in Yahoo Finance:
“Rather than investors seeking out inherently risky assets as safe havens, a more likely explanation is the recent drop in the Chinese yuan and the expectation of a further depreciation when Beijing seeks to make exports more attractive in response to the latest round of U.S. tariffs.”
Dovey Wan, who is the co-founder of crypto holding firm Primitive Ventures, has a similar view.
Maybe just a coincidence but you tell me
Bitcoin is winning the trade war while China and US is a lose-lose pic.twitter.com/8FmVcaHjjh
— Dovey Wan 🗝 🦖 (@DoveyWan) May 13, 2019
Traders Confirm the Chinese Are Buying Crypto
The Chinese government has stringent measures in place to prevent the dumping of yuan, limiting the yuan’s outflow to just $50,000 a year.
But bitcoin gives them a way to circumvent that limit despite a ban on cryptocurrency exchanges, with the help of over-the-counter dealers and peer-to-peer exchanges such as LocalBitcoins.
According to Philippe Bekhazi, CEO of crypto trading firm XBTO cited in Forbes:
“I’ve talked to a bunch of traders on the ground in Hong Kong. There’s a booming business in stablecoins because people are getting money out of China and Hong Kong.”
Not surprisingly, weekly bitcoin volumes on LocalBitcoins have spiked. In March, China was the fifth-largest country in terms of bitcoin volumes on the peer-to-peer platform. What’s more, a closer look indicates that Chinese bitcoin buying on LocalBitcoins has gathered pace in recent weeks.
If the U.S.-China trade war takes a turn for the worse, the price of bitcoin can spike further and possibly reclaim the peak $20,000 level once again.