Bitcoin price extended gains and broke the $3,950 and $4,000 resistance levels against the US Dollar.The price traded to a new 2019 high above $4,100 and it could continue to rise in the near term.There was a break above a major triangle pattern with resistance near $3,950 on the 4-hours chart of the BTC/USD pair (data feed from Kraken).The pair traded above the $4,150 resistance and it could accelerate towards $4,250 and $4,400.Bitcoin price climbed higher sharply above the $4,000 barrier against the US Dollar. BTC/USD could correct a few points, but dips remain supported above $4,000 in the short term.Bitcoin Price AnalysisThis past week, we saw a lot of bullish moves above the $3,600 support in bitcoin price against the US Dollar. The BTC/USD pair rallied above the $3,800 and $3,900 resistance levels. However, sellers fought hard near the $3,950 and $4,000 resistance levels. As a result, there were a couple of bearish moves, but the $3,800 support area acted as a solid buy zone. Finally, buyers had the upper hand and pushed the price above the $3,950 and $4,000 resistance levels.More importantly, there was a break above a major triangle pattern with resistance near $3,950 on the 4-hours chart of the BTC/USD pair. The pair settled above the $4,000 level and the 100 simple moving average (4-hours). The upward move was such that the price traded to a new 2019 high above $4,100. It traded towards the $4,200 level and a high was formed at $4,191. The price is currently correcting lower, but it remains well supported above $4,100 and $4,050. An initial support is the 23.6% Fib retracement level of the last wave from the $3,871 low to $4,191 high.On the downside, there are many supports near the $4,050 level. Below $4,050, the next support is near the $4,030 level. It represents the 50% Fib retracement level of the last wave from the $3,871 low to $4,191 high. The main support is near the $4,000 level (the previous resistance). Therefore, if there is a downside correction, the price may perhaps find buyers near $4,050 and $4,000.Looking at the chart, BTC price is placed nicely in a strong uptrend above the $4,000 resistance area. In the short term, there could be a pullback, but buyers are likely to protect $4,000. On the upside, a break above the $4,200 level could open the doors for $4,250 and $4,400.Technical indicators4 hours MACD – The MACD for BTC/USD is gaining pace in the bullish zone.4 hours RSI (Relative Strength Index) – The RSI for BTC/USD is currently well above the 70 level.Major Support Level – $4,000Major Resistance Level – $4,200
Archives for February 23, 2019
ETH price finally broke the $149 and $150 resistance levels and gained pace against the US Dollar.The price traded above the $160 resistance and formed a new 2019 high above $165.There is a major bullish trend line formed with support near $148 on the 4-hours chart of ETH/USD (data feed via Kraken).The pair remains in a strong uptrend and it could accelerate towards the $175 level in the near term.Ethereum price gained bullish momentum above key resistances versus the US Dollar and Bitcoin. ETH/USD might continue to rise and it could even break the $170 and $175 levels.Ethereum Price AnalysisThis past week, we saw a brief consolidation pattern below the $150 resistance in ETH price against the US Dollar. The ETH/USD pair made many attempts to break the $149 and $150 resistance levels, but it failed. There was even a downside correction below the $146 and $145 supports. However, the $138 level acted as a strong support and the price was well above the 100 simple moving average (4-hours). Finally, buyers gained pace and were able to break the $149 and $150 resistance levels.It broke the $154 resistance as well and climbed above the $160 resistance. More importantly, the price traded to a new 2019 high above the $165 level. A high was formed at $166 and the price is currently correcting lower. An initial support is near the 23.6% Fib retracement level of the last wave from the $139 low to $166 high. However, there are many supports on the downside near the $155 and $153 levels. Moreover, the 50% Fib retracement level of the last wave from the $139 low to $166 high is also placed near the $153 level. Finally, there is a major bullish trend line formed with support near $148 on the 4-hours chart of ETH/USD.Clearly, the price remains well supported above the $153 support. The main support on the downside could be $151 and the 61.8% Fib retracement level of the last wave from the $139 low to $166 high. On the upside, an initial resistance is near the $168 and $170 levels. If there is a break above the $170 level, the price could test the $175 level.The above chart indicates that ETH price is placed in a strong uptrend above the $155, $153 and $151 support levels. Therefore, there are chances of more gains above the $170 level.Technical Indicators4 hours MACD – The MACD for ETH/USD is gaining momentum in the bullish zone.4 hours RSI – The RSI for ETH/USD is currently well above the 70 level.Major Support Level – $151Major Resistance Level – $170
Bitcoin’s price climbed back above $4,000 on Saturday for the first time over over two months as the broader cryptocurrency market flashed green.
At 18:00 UTC on Saturday, the world’s largest cryptocurrency by market capitalization surpassed the $4,000 mark to ultimately reach $4,146 – its highest price since Dec. 24 of last year, according to pricing data from CoinDesk.
Bitcoin’s price has since pulled back slightly, now trading at $4,104, but current figures still represent a considerable 20 percent increase since the beginning of the month.
Bitcoin is usually accompanied by the broader cryptocurrency market when its picks up a strong bid and the developments on Saturday were no exception.
As a result, many other well known cryptocurrencies we able to record notable gains. Names like NEO, QTUM, and NEM have all appreciated more than 9 percent in the past 24-hours.
Meanwhile, lesser known cryptocurrencies out of the world’s 100 largest are flashing even more impressive price growth, including NEXO and S4FE (S4F), who are up 24 and 78 percent at press time, according to data from Coinmarketcap.
The capitalization of the entire cryptocurrency market has increased 16 percent over the past seven days to reach it highest value in over eight weeks of $141 billion. Also of note, the global weekly cryptocurrency trading volume is currently registering $176 billion, which is its most in a single week since the first week in May of 2018, Coinmarketcap data further reveals.
Disclosure: The author holds BTC, LTC, ETH, ZEC, AST, REQ, OMG, FUEL, ZIL, 1st and AMP at the time of writing.
roller coaster image via Shutterstock; charts by TradingView
Whenever a new blockchain platform launched between 2017 and 2018, it was inevitably heralded as a future replacement for the largest, most successful cryptocurrency platform of all. In short, it came bearing the name of Ethereum Killer.
Those prophecies turned out to be premature, and by 2019 the hit that’s been put out on Ethereum is still waiting to be cashed.
A year is a long time in the crypto space, and many would argue that the lineup of possible contenders for Ethereum’s throne has changed already. New upstarts have come to the fore, while some who’ve been in the fight for too long are starting to weaken due to falling coin prices.
So let’s take a look at the so-called Ethereum Killers in 2019. Are we looking at a new crop of assassins – or just the usual suspects?
Zilliqa (ZIL) Draws First Blood
Zilliqa has perhaps already drawn first blood in the battle against Ethereum – last year the Ethereum-based game Etheremon was packed up by developers and emigrated to the Zilliqa blockchain.
The move was in response to rising gas prices on Ethereum, and the assertion that Ethereum’s lack of scalability solutions was draining the game’s potential. The Zilliqa team announced at the time:
“We are glad to announce that we will work with the Zilliqa team to explore Zilliqa as a scalability solution for Etheremon. The higher throughput and low gas of Zilliqa’s sharding solution offer players better experience.”
More on Zilliqa can be read here, in CCN’s interview with Zilliqa CEO, Xinshu Dong where he goes into detail on Zilliqa’s sharding process:
“Imagine a sample network of 1,000 nodes. ZILLIQA will automatically divide the network into 10 shards each with 100 nodes. Each shard can now process transactions in parallel. If each shard is capable of processing 100 transactions per second, then all shards together can process 1000 transactions per second.”
Holo (HOT) – The Non-Blockchain Wildcard
More of a wildcard compared to some in this list, Holo (HOT) sets itself apart from the rest of the crowd by not actually utilizing a blockchain. Instead, Holo uses distributed hash tables (DHT), which are more similar to a torrent network than a blockchain.
In this sense, Holo opts for a distributed network as opposed to a decentralized one (however, a distributed network is by nature decentralized).
Already, several projects have opted to build on the Holochain network, including a Holo-based Reddit competitor named Comet; an open-source legal system called Ulex; as well as several others in industries ranging from social media to supply-chain.
In early 2018, the CFO of Mozilla, Jim Cook, named Holo as one of the projects which was creating an agent-centric model that could wrestle control of the internet back from the hands of Google and friends. Holo’s association with Mozilla is extended by their common use of the Rust programming language.
When Binance’s CEO and founder, Changpeng Zhao, sent out job posts for Rust developers last year, the effect was such that the HOT coin price responded by jumping 26%.
Waves (WAVES) – The Old Guard
Waves launched in early 2016, and within two years over 100 projects had opted to launch ICO’s on the Waves platform. The most successful of those is the gaming-focused MobileGo (MGO), which briefly broke onto CoinMarketCap’s front page in November, and now has a market cap of $18 million.
That could soon change, however, as $120 million was just raised via the Waves platform for its Vostok ICO. With Waves holders set to be airdropped a portion of the Vostok tokens, it could be speculated that Vostok was the driving force behind Waves’ 300% ascent throughout December 2018.
Waves can boast of its own decentralized cryptocurrency exchange and a strong position around the top twenty by market cap. It was launched just one year after Ethereum.
Tron (TRX) – The Young Pretender
No other coin has leveraged the Ethereum Killer label as much as Tron. The trouble is, it’s usually being leveraged by Tron’s CEO and founder, Justin Sun. We only have to go back to the start of this month to find the last time Sun wielded the term – this time in reference to Tron’s domination of the dApp rankings compared to Ethereum.
That domination is genuine – Tron dApps account for six out of the ten most utilized in existence. The proliferation of dice games and gambling dApps on Tron may also account for its soaring transaction rate towards the end of 2018.
But statistics can make anything look good, and one should ask what value these gambling dApps have in comparison to the tried and tested blockchain platform that remains Ethereum’s main use-case.
The arrival of blockchain projects and ICO launches on the platform will have to wait until the completion of the Odyssey phase of Tron’s roadmap – scheduled to for completion in mid-2019.
Notable Mention – Stellar (XLM)
Stellar (XLM) has been around for one year longer than Ethereum, and despite a recent increase in the number of projects being launched on its platform, Stellar isn’t really compared to Ethereum in that way.
Often regarded as one of the ‘finance coins,’ along with Ripple, Stellar’s priorities can be ascertained from the opening line which greets visitors to its website (emphasis theirs):
“Stellar is an open platform for building financial products that connect people everywhere.”
That’s not to say Stellar can’t fulfill some of Ethereum’s roles, as evidenced when one of its recent progeny, Repo Coin (REPO), hit 1,437% growth within the space of a month in early January.
Ethereum Killers Not Living up to Their Name?
One of last year’s Ethereum Killers looks to be in much worse shape this time around, as the EOS blockchain flirts with being a money-losing machine for its block producers. EOS is still the fifth highest capped cryptocurrency, but the enthusiasm surrounding its potential dislodging of Ethereum is much less than this time last year, at the height of its $4 billion ICO.
Meanwhile, a project which didn’t make last year’s list, but was at one point in contention with the coins listed above, is NEM (XEM). The NEM blockchain was tipped to play host to Nicolas Maduro’s Venezuelan Petro cryptocurrency, although much of the Petro’s existence was clouded in confusion, as was its launch.
By the end of January 2019, the ‘crypto winter’ was such that the NEM Foundation had begun to freeze over – with the team announcing a suspension of all projects and partnerships due to lack of funds.
Ultimately, Ethereum is still alive and well, and with upgrades to scalability and speed on the horizon, it may yet be a long time before it is displaced.
Disclaimer: 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.
Featured Image from Shutterstock
Since Bitcoin (BTC) hit public markets, the cryptocurrency has traded in multi-year cycles. Every few years, the asset runs parabolically, prior to a dramatic, nasty ~80% drawdown. In the eyes of most, BTC has done that twice or thrice by this point, not including the current crypto bear market.As Bitcoin is currently ~80% down from its most recent all-time high, some are convinced that sell-offs are in the rearview mirror. One analyst even recently claimed that if BTC really bottomed in late-December, the timing was “perfectly on point,” when compared to historical pullbacks.Bitcoin Bottom Might Already Be InRoger Quantrillo recently explained that Bitcoin’s price action from late-2017 to early-2019 resembles the rally and subsequent collapse of BTC in the previous market cycle. More specifically, he noted that after BTC surpassed a long-term increasing trendline, it took the asset 434 days to hit a bottom in 2015.Bitcoin: History doesn’t repeat itself but it often rhymes..🧐 Not exactly the same price action as 2014/15 but in terms of Time perfectly on Point! Take a minute ore two and take a closer look please..tell me what you think?… @crypToBanger #bitcoin #btc #btcusd #crypto pic.twitter.com/WmImSYXN1l— Roger Quantrillo (@rogerquantrillo) February 21, 2019If Bitcoin truly bottomed at $3,150 on December 14th, 2018, that would mean that the potentially ongoing bear market also took 434 days to bottom after breaking the aforementioned key support line. Thus, Quantrillo noted that if history rhymes yet again, BTC will need to convincingly break above $4,500 by late-2019 to confirm that this bear market is breathing its last breaths.Today’s Crypto Market May Be Much Like 2015’sQuantrillo isn’t the only analyst to have drawn parallels between the current “nuclear winter” and the one seen in 2014 and 2015.Per previous reports from NewsBTC, Filb Filb, a leading analyst, noted that there are “staggering pre-halvening similarities [between] 2015 [and] 2019.” According to a chart from Filb, BTC may have already established a long-term bottom at $3,150 in mid-December, when the asset briefly moved under its a key moving average.Interestingly, the same series of events occurred when the flagship crypto found a long-term floor in early-2015, approximately 1.5 years before 2016’s block reward reduction. And as such, if history rhymes, not repeats, over the next ~441 days, Bitcoin may begin to embark on a recovery, potentially reaching $10,000 just before the so-called “halvening.”Filb and Bag isn’t the only trader to have observed connections between drawdowns in Bitcoin’s history and the one seen today.Related Reading: Analyst: Bitcoin to Bottom Out At Below $3,000 But it Could Easily Achieve 6-Figure PriceAlex Melen, an American entrepreneur with a budding passion for cryptocurrencies, recently noted that the last time that BTC crossed under its four-day 50 and 200 moving averages, Bitcoin bottomed. And as the same occurred in mid-November, Melen touted confidence.Trader Jones, a crypto-centric businessman, noted that current Relative Strength Index (RSI) readings and chart structures are similar to those seen in early-2015, echoing the comments made by Filb.Featured Image from Shutterstock
In the damp and drizzly Pacific northwestern city of Seattle, NEO (remember them?) held their DevCon conference last weekend. It was a chance for the passionate City of Zion developers, dApp developers, NEO enthusiasts, and skeptics alike to come together to find out about the cryptocurrency project’s ambitious plans moving forward – and, of course, to hear from charismatic founder Da Hongfei.
As he leaped on stage, the packed conference room cheered, and he smiled widely, admitting that he had not expected such a large turnout.
NEO, like most other cryptocurrencies, has suffered a brutal year, with the token’s price pretty much dropping off a cliff from its January 2018 high of $161 to just $9 today.
Da Hongfei began to give a background on NEO, formerly called AntShares, founded by himself and Erik Zhang. He also gave some insight into the nature of the Chinese blockchain community they were instrumental in building up.
He also gave an overview of the upgrades to come in NEO 3.0 – and paused for a moment as he reached his slide stating that NEO’s mission is to become the No. 1 blockchain by 2020.
The crypto visionary has made bold statements like this before, a little over a year ago promising TPS speeds of 100,000 without sharding – again in the same time frame.
— NEO News (@NEOnewstoday) January 30, 2018
Yet, this time around, he smiled a little sheepishly, aware of being blamed for overpromising – and also realizing that 2020 is now next year.
“It depends on how you define 2020, by the beginning or the end, but at most it’s two years. Time is ticking, so how can we achieve that? What is the number one blockchain? It’s not the most expensive or biggest, it’s to become the most favorable platform by providing best performance, diversified ecosystem and compliant solutions.”
How Will NEO Become the Number 1 Crypto by 2020?
So how will NEO turn around their well-publicized problems of platform stability, gas price, and criticism of centralization to become the best platform for developers?
1/ NEO thread. I never paid any attention to this project because “it’s a Chinese Ethereum!” just sounded so stupid for reasons I didn’t even know where to begin to explain. If you, like me, ignored NEO for this reason, here’s a quick recap of how hilariously bad this project is:
— Eric Wall (@ercwl) March 4, 2018
The upgrades to the NEO platform are all about allowing the blockchain to enable large scale commercial applications.
Some of the proposed features for NEO 3.0 include native contracts that anyone can execute without the need to use the NEO VM, internet resource access, an improved dBFT consensus mechanism, and a low-cost distributed storage network for large enterprises.
NEO Nabs Former Microsoft Executive
He also explained:
“We are now in Seattle, the hometown of one of the biggest software companies in the world, Microsoft. I think Microsoft, probably nobody knows better how to win a platform competition better than Microsoft, especially for computer language framework and platforms… So we decided to set up an office here… NGD Seattle and led by former Microsoft executives to drive developer adoption.”
He’s talking about ex-Microsoft MD John DeVadoss, NEO Seattle head, who built Microsoft Digital from zero to half a billion dollars of business worldwide and worked with Fortune 100 customers across the world.
Speaking at the conference, DeVadoss said: “I am a platform guy, I like platforms, I enjoy building platforms and evangelizing platforms.”
It should be noted that this “hard fork” that everyone is keenly waiting on isn’t really a hard fork at all. It’s a redesign of the entire blockchain that will most likely start from a Genesis block. And it hasn’t been agreed upon by the community yet.
“The features we mentioned are possible changes… We don’t have the power to decide everything… we will look at the community’s response.”
When Will NEO 3.0 Launch?
One question that a lot of anxious community members have been asking is: “When NEO 3.0?” And they won’t have their answer any time soon.
While Da Hongfei and the NEO team may have set 2020 as a goal, it’s clear they realize that’s decidedly ambitious.
NEO’s founder is certain that the smart economy will be the future. Yet he readily admits that he can’t predict how long that future will take to arrive, or exactly when NEO 3.0 will take wings.
CCN asked Hongfei to explain broadly what these upgrades mean for the crypto project and in what sort of timeline they can be expected.
The premise behind NEO lies in the fact that they believe blockchain will develop as the internet has and will have various layers.
“TCP/IP is at the bottom and HTTP protocol is on top of TCP/IP. If you are building an internet application, you don’t have to worry about TCP/IP anymore, or even HTTP… So blockchain will take a similar road.”
What NEO is basically trying to achieve with an entire overhaul of its platform is to build robust layer 2 solutions. This takes us back to the promise of scaling without sharding, and the fact that NEO sees most dApps being built, not directly on-chain anymore, but on top of layer 2 solutions.
“This is one of the reasons we need to change the architecture and also current new designs.”
What About Regulation in China? How Does NEO Fare in a Country often Hostile to Crypto?
Hongfei insists that China’s hostile crypto stance is not a problem and that Chinese residents have a very good understanding of new technologies.
“I think most of China, including the government and regulators, are open to new ideas as long as it proves the overall well off of the society and country.”
“The current regulation has forbidden two things. One is ICOs, that is to raising money targeting general Chinese retail investors without approval. That is one thing that is forbidden. The other is running a trading facility, an organized OTC service, other than that everything should be fine. I haven’t faced or felt a lot of regulation pressure.”
“As a technology, the Chinese government and regulators are very pro-new technology. If it’s involved with finance, and especially raising money or providing trading facilities, then it’s a trading issue you need a license or you can’t do it.”
He further explains that NEO doesn’t actively work with regulators. However, China recently opened an internet information administration center (he wasn’t sure of the name in English). This entity requires all companies working with blockchain to register with them.
“You need to register with them, tell them who you are and what kind of technology you are using. It’s just a registration, you need to fill out an online form.”
Can NEO Survive the Bitcoin Bear Market?
For anyone in doubt of NEO’s ability to withstand the bitcoin bear market, Hongfei assured his audience that they have plenty of funding left – at least $2 million from their initial ICO and millions of dollars worth of bitcoin, ethereum, and NEO tokens.
But bear market aside, what about the wider global economic slowdown and slowing Chinese growth?
“Yes, definitely we are affected by that, we saw many dApps on top of NEO facing a financial issue, either laying off or some projects just stalled. Yes, it is a problem for us.”
He then goes on to clarify that common sense and good governance will help crypto startups make it through the bear market, and he claims that NEO is more than prepared.
“If you are doing serious business and you are not being too aggressive during the bullish market, most of the teams are fine. They reduce their marketing activities, focus on core development. It’s a tough time but we will get through.”
It isn’t a secret that the Lightning Network, a second-layer solution aimed at easing the qualms Bitcoin faces with scalability, has seen monumental levels of adoption as of late. The ecosystem has seen its maximum capacity swell over the 700 BTC milestone, cementing its viability as a system that provides cost-efficient, rapid, secure, and more private transactions.But this growth hasn’t come unwarranted. Arguably, Lightning’s sudden surge in adoption has much to do with grassroots efforts, like Lightning Pizza and the ever-popular Trust Chain community initiative, launched by HODLnaut just weeks ago.Related Reading: Buy Pizza With Bitcoin! Crypto Twitter Enamored With Lightning Network AppFidelity Takes Up The Bitcoin TorchIt appears that lightning has struck once again. This time, Fidelity Investments’ crypto-centric arm, Digital Asset Services, publicly accepted a Lightning Network transaction. On Friday, the cryptocurrency branch of the Wall Street giant, which has approximately $2 trillion in assets under management, joined in on the multi-week Trust Chain fun, accepting a transaction for 3.64 million satoshis.Fidelity, who has shown a liking to cryptocurrencies and related technologies, is expected to launch its Bitcoin custody offering by March.We’d be honored if you would pass the #LNTorch to our research arm, Fidelity Center for Applied Tech. We are ready with an invoice for 3.64M sats #LNTrustChain #LightningTorch ⚡— Fidelity Digital Assets (@DigitalAssets) February 22, 2019For those who missed the memo, Hodlona recently took to his Twitter page to start an interesting community-run initiative. Through the medium of a tweet, Hodl divulged that he wanted Bitcoin users to start a chain through Lightning, whereas participants would send marginally more BTC with each so-called “hop.”Just hours after Fidelity Digital Assets accepted the torch, it passed it onto the students at Harvard University blockchain club. This is quite fitting, especially considering the hearsay that Harvard’s colossal endowment has allocations in crypto- and blockchain-centric funds.Harvard’s blockchain club and the aforementioned Wall Street institution join a number of other bigwigs in the cryptosphere that have participated in the Trust Chain, which includes Anthony Pompliano, Klaus Lovgreen, John Carvalho, Marty Bent, leading Bitcoin evangelist Andreas Antonopoulos and Elizabeth Stark of Lightning Labs.Twitter CEO Enamored With Lightning TechFidelity’s foray into the storm comes after Jack Dorsey, the chief executive of Twitter and Square, effectively embarked on a crusade for this scaling solution.For the seemingly umpteenth time in weeks, Dorsey has surprised the cryptocurrency space. This time, the Bitcoin fanatic tweeted out the announcement of Tippin, a “game-changer application” that allows social media users on Twitter to get BTC tips for their quips. Alongside the posted link was a simple, yet strong message: “This is excellent.” According to the link that Dorsey broadcasted to his following of millions, Tippin is a Chrome and Firefox browser extension that allows for simple and effective Twitter tipping, giving content creators and personalities the ability to monetize their content further.Just weeks earlier, he too accepted the torch, hoisting it in the Twitter air after he took to Joe Rogan’s podcast to claim that the native currency of the Internet is likely going to be Bitcoin.Featured Image from Shutterstock
Within less than two hours, the Bitcoin price surged from $3,920 to $4,137 by more than 5 percent against the U.S. dollar.
Ethereum spiked from $147 to $157 immediately after the initial price movement of Bitcoin by around 6.8 percent.
Confidence is Returning to Bitcoin and the Crypto Market
Speaking to CCN, Three Arrows Capital CEO Su Zhu stated that the recent price movement of cryptocurrencies demonstrates the growing confidence of investors in the market.
“Confidence [is] returning back to the market,” Zhu said, adding that more fiat holders could invest in crypto assets in the near-term. “I expect large caps to outperform. I also expect stale fiat-holders to chase as we grind higher.”
Last week, Zhu explained that nearly $6 billion is sitting on the sidelines within the crypto market waiting to be allocated to cryptocurrencies once the sentiment in the sector improves.
While the 5 percent surge in the price of Bitcoin did not lead to a break out of key resistance levels above the $4,200 mark, it sparked more optimism in the cryptocurrency market.
Throughout the past month, the commitment of two U.S. public pensions in Morgan Creek’s crypto fund and the $200 million+ investment by institutions in Grayscale’s digital asset fund led investors to become increasingly positive on the mid-term trend of the market.
This morning our team at Morgan Creek Digital announced a new $40 million crypto venture fund anchored by two public pensions.
The institutions aren’t coming.
They’re already here. 🚀
— Pomp 🌪 (@APompliano) February 12, 2019
As sentiment among investors recovers, the $6 billion worth of fiat in the cryptocurrency market could gradually come back into major assets like Bitcoin, fueling a recovery.
“There’s an estimated $2B in cash sitting at crypto funds/holdcos. There’s another $2B+ sitting in stablecoins, and another $2B sitting at exchanges/silver gate/signature.”
“This is $6B fiat already onboarded to crypto to buy your bags. Imagine thinking we need new money to hit $10k.”
As always, there is a possibility that the entire setup from $3,122 to $4,100 is a bull trap. In the upcoming days, it is crucial for Bitcoin to maintain its momentum and volume.
— Peter Brandt (@PeterLBrandt) February 23, 2019
Since early January, the daily volume of Bitcoin has increased from around $4 billion to $8 billion, by nearly two-fold.
If the volume, momentum, and price of BTC can hold up in the near-term, analysts foresee BTC testing the $4,200 resistance level and eventually, the $5,000 to $6,000 range.
Previously, Mark Dow, a former International Monetary Fund (IMF) economist, said that for BTC to escape a vulnerable range, it will need to rebound to $5,000 to $6,000.
“Still a beautiful chart. If bitcoin can’t bounce to at least $5k – $6k soon, it’s a really bad sign for the cyberbulls. And if it breaks down thru the yellow line at any point, even the HODLers need to GTFO,” he said.
Hence, until BTC breaks out of $6,000, it is still vulnerable to a drop below key support levels.
In a sideways market or when Bitcoin demonstrates a decent increase in price, small market cap tokens often tend to record large gains against both BTC and the U.S. dollar.
Tokens representing blockchain projects that have seen significant progress in terms of development, adoption, and scaling have seen strong price movements in the past week.
Ontology, Qtum, ICON, Maker, and NEO have recorded gains in the range of 7 to 20 percent against the USD on the day, within hours.
In the near-term, analysts foresee tokens and small market cap crypto assets continuing to demonstrate strong momentum as the volume of both the digital asset exchange and futures market improves significantly from current levels.
Featured Image from Shutterstock. Price Charts from TradingView.
Just one weekend after it passed $3,600, $3,700, and $3,800 in rapid succession, Bitcoin (BTC) surged again. For the first time in a number of weeks, BTC surpassed $4,000 on Saturday, in a move that seemingly came straight out of left field. Much like the rally that was seen a week prior, this move to the upside saw non-Bitcoin digital assets post notable gains — gains that even outshined the flagship cryptocurrency. EOS, for instance, has found itself up by 6%, pushing the $4.10 price point.EOS Surges Alongside Bitcoin BoomOther cryptocurrencies have also posted notable gains, but EOS has had the strongest daily performance out of the top five assets, per Live Coin Watch data. While this move has been welcomed by holders of the popular digital asset, what are the speculated catalysts behind this move?Firstly, much like other cryptocurrencies, EOS ran partially due to Bitcoin’s surge, as this space has been playing ‘follow the leader’ as of late.In terms of EOS specifically, there have been a few developments pinned to the recent action. The first is Effect.AI’s sudden migration from NEO to EOS. The upstart, centered around the creation of a decentralized and democratic artificial intelligence network, explained that EOS suits its needs much better than NEO can, specifically in regards to its scalability, coding language, technological developments, security, and broader ecosystem/community.Related Reading: What Caused EOS to Surge 30%, Flip Litecoin and Lead Today’s Crypto Rally?The second could be a comment from Brendan Blumer, the chief executive of EOS’s parent company, Block.one. Issuing a comment on Telegram, Blumer purportedly did his best to reassure investors in the project, remarking that he doesn’t intend sacrifice his brainchild’s credibility and security to push out a product faster, adding that “great things take time.”EOS Isn’t All Fine And DandyWhile EOS is evidently performing well, posting larger gains than Bitcoin’s 3%, from a fundamental point of view, many are still skeptical of the project’s long-term viability and staying power. More specifically, news recently arose that the project’s blockchain surpassed 4TB in size, which is on an order of magnitude larger than Bitcoin’s.In response to this controversy, crypto researcher Hasu noted that this debacle accentuates that networks need transaction fees, specifically to avoid blockchain bloat-induced centralization.The absurd growth rate of the EOS blockchain shows again why networks need TX fees. When transaction costs are socialized on full nodes, demand to transact is infinite (e.g. for spam or fake activity.) The resulting blockchain bloat soon becomes a hugely centralizing force. https://t.co/sxtV5yvsmK— Hasu (@hasufl) February 22, 2019Armin Van Bitcoin also had some choice words for the project. Staying true to his love for BTC, Armin remarked that the project raised $4 billion to “create a centralized network where ordinary users can’t even run their own node,” evidently referring to the lack of pruning and the blockchain’s pure size.Jameson Lopp, the chief technology officer of CasaNode, also had something to say about this imbroglio. Lopp, a long-standing industry insider, joked that EOS has “achieved the big blocker vision,” touching on the dichotomy between the BTC community and that of forks that promote higher transactional throughput.So nodes have to buy a new $300 8TB hard drive every 16 months? Why is this a problem? Usenet was growing 1TB/day more than a decade ago…— Tim Sweeney (@TimSweeneyEpic) February 22, 2019Funny enough, however, Tim Sweeney of Fortnite creator Epic Games wasn’t too wary of EOS’s 4TB block size. In response to a critique of this facet of the blockchain, Sweeney asked: “what’s wrong with 4tb for a global transaction ledger?” The gaming guru, who has commented on Monero and blockchain technologies previously, explained that nodes need to spend a relatively small “$300 8TB hard drive every 16 months,” which isn’t much a problem in his eyes.Featured Image from Shutterstock
It seems that each month a fresh story surrounding crypto-related scams and fraud surfaces, but the victims of these stories are typically isolated, and the scope of their victimhood is usually limited to financial losses. Despite this, one Bitcoin trader was recently attacked by a group of armed robbers who tortured him using gruesome tactics in front of his young daughter in an effort to extort him out of his BTC holdings.This robbery took place earlier this month in the Netherlands and is putting a spotlight on the importance of public figures in the cryptocurrency industry keeping their identities and whereabout private.Grotesque Antics Used in the Hopes of Stealing Trader’s Bitcoin and Crypto HoldingsThe robbery occurred on Sunday, February 10th, in the evening at the trader’s home in Zuideind, and is the latest in a string of multiple violent robberies in the area that are being investigated by local authorities.According to a report first seen in De Telegraaf – the largest Dutch daily morning newspaper – the victim, named Tjeerd H. (38), and his daughter, were shocked to hear a large bang at their front door at approximately 10:00 p.m. on Sunday evening, and found three armed robbers with balaclavas, bulletproof vests, and police jackets.Unfortunately, the man’s four-year-old daughter was forced to watch as one of the men ran a drill through his body while demanding that he transfer them his Bitcoin and crypto holdings. The victim was sent to the hospital in order to be treated for significant injuries.It remains unclear as to whether or not H. transferred his holdings to the robbers.According to the report, fifteen police investigators are currently investigating the robbery, and currently have limited information about the robbers, who reportedly had Moroccan accents and left the scene in an Audi A6.Notable Crypto Traders Warned to Express Increased CautionDue to the nature of cryptocurrencies as easily transferable and somewhat anonymous, traders and investors who hold a sizeable amount are easy targets for robbers looking to make a quick buck.WhalePanda – a popular cryptocurrency investor and a self-proclaimed “Bitcoin Maximalist” – spoke about the event in a recent tweet, warning traders and outspoken crypto-personalities to “stay safe.”“‘Bitcoin trader tortured with drill’ in the Netherlands… The robbers were dressed as police with bulletproof vests and masks and they made his 4 year old daughter watch as they were torturing him. He survived but was heavily wounded…Stay safe.”“Bitcoin trader tortured with drill” in the Netherlands.
The robbers were dressed as police with bulletproof vests and masks and they made his 4 year old daughter watch as they were torturing him. He survived but was heavily wounded.
Stay safe.https://t.co/3b58gbgKZK— WhalePanda (@WhalePanda) February 23, 2019As Bitcoin and other cryptocurrencies continue to grow in popularity, it is likely that these types of crimes will continue to increase in popularity as well, which makes at all the more important for public figures to shroud themselves in anonymity, and for non-public traders to exercise caution in who they tell about their holdings.Featured image from Shutterstock.