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Trending Bitcoin News and Market Sentiment February 5th, 2020: Binance Negative Fees to Spur Liquidity from Market Makers,

Bitcoin

  • After a momentary slip, Bitcoin is back trading close to USD 9,300, well above the 200-MA at USD 8,867
  • Binance is moving to give negative fees for market makers in its new Bitcoin futures platform
  • Tom Lee predicts USD 27,000 in on the cards after May 2020

Bitcoin markets have been holding steady in mid-week trading, after slipping slightly yesterday. After first experiencing a spike above USD 9,600, it threatened to break the USD 9,000 support levels in American markets, but only managed a daily low so far of USD 9,072 (CoinDesk). That pullback was soon wiped out by the time Beijing slid into gear, and Bitcoin is now trading closer to USD 9,300.

This is still overall in the bullish territory, and Bitcoin is strongly above the 200-day moving average (200-MA) line at USD 8,867, which should act as a major support line. However, some analysts pointed to what is called a “doji” candle forming yesterday, a usual indicator of fatigue from buyers that could risk shifting into a stronger pullback.

Demand is certainly on the rise, however you see it, and Binance, the world’s largest crypto exchange by trading volume, is now changing its strategy to motivate even more people to offer trades in a bid to enhance liquidity, a longstanding issue with crypto trading.

Binance seeks to do so by changing its free structure to in fact reward market makers on its new futures platform. Its revised Binance Futures Market Maker Program will incur not just small or zero fees for market makers (those who open offers) but a negative fee, effectively giving them back some crypto on top of their trade if settled.

A market maker is a user who places buy or sell limit orders, basically asking to buy or sell somewhat above or below the current market in the hopes of attracting a market taker. In the system, makers add liquidity, and takers remove liquidity, since an offer is gone after it is settled.

It is not uncommon for crypto exchanges to enhance liquidity by offering lower fees to makers, as opposed to takers, but Binance has now seemingly gone one step further by rewarding market makers on selected pairs once the orders are filled.

Detaills have not been fully disclosed, however, although it has been made clear that market makers must have traded volumes over 1,000 BTC on Binance over 30 days in order to have “quality market maker strategies”. Proposals of similar trading volume outside of Binance will also be considered.

The post further promises other benefits, including higher APIs, ultra-low latency connectivity and support services, and a weekly performance review for market makers. It explained:

“Binance Futures Market Maker Program covers perpetual futures on the market making list. We will provide daily and weekly reports detailing your results to help you analyze your performance. Qualifying market makers will have negative maker fees and this will be updated on a regular basis to reflect participants’ market making performance.”

It appears the crypto derivatives market is truly heating up with more regulated services joining those of the Chicago Mercantile Exchange (CME) and Intercontinental Exchange’s Bakkt.

In other developments, crypto analyst and influencer Tom Lee, who is also a partner of investment fund Fundstrat Global Advisors, has predicted Bitcoin to breach its all-time high price this summer, to record possibly a valuation of USD 27,000.

Highlight: “We’re really optimistic on crypto and bitcoin this year,” @fundstrat’s Global Advisors Managing Partner & Head of Research Tom Lee says. “Whenever bitcoin breaks back into its 200 day, its average six-month gain is 197%.” pic.twitter.com/2tqzsuOV0m

— Yahoo Finance (@YahooFinance) February 4, 2020

He believes this almost three-fold gains is possible because of a single bullish technical factor, he told Yahoo! Finance yesterday, and that’s also what we frequently point out: the 200-MA. Lee stated:

“Notably in January — January is usually a week month, it was a great month for Bitcoin, up 26% — but it also recovered its 200-day moving average… That’s a big deal as you know, as anyone who’s a trend follower knows — when you’re back above your 200-day, you’re back in a bull market. Whenever Bitcoin breaks back into its 200-day, its average six-month gain is 197%.”

He isn’t the only analyst to think so, and the fact that this is already the best start to the year since 2013 suggests that the next parabolic bull cycle could already be underway. Lee said the year should see bigger gains than in 2019, even though at its peak, last year actually delivered 300% returns.

Lee does believe that this May’s upcoming Bitcoin block reward halving will help this price climb, since it not only reduced new supply by 50%, but will take inflation rate well below that of gold and most national fiat currencies in the world.

 

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Trending Bitcoin News and Market Sentiment February 4th, 2020: Smart Contracts, Blockchain to Result in 50% Data Quality Improvements by 2023, BitPay to Integrate New Crypto, Lightning Network?

Bitcoin

  • Bitcoin tumbles slightly in a correctional wave to just below USD 9,200
  • Gartner Inc predicts 50% data quality improvements by 2023 thanks to blockchain and smart contracts
  • BitPay to add new crypto support, possible Lightning Network integration

 

After a wonderful weekend of strength from Bitcoin that dragged altcoins and the entire crypto market back up to new heights in 2020, we are not seeing price slipping slightly as profit taking and sell offs do a small correction to current levels just below USD 9,200 (CoinDesk).

Try as hard they may but Bitcoin bears and sellers can’t seem to find enough in them to take Bitcoin below USD 9,000, so the bullish spectators will be pleased to see this performance before North America takes over in a few hours.

The positive numbers have not left, either, and we begin today’s analysis by looking at the new data from analysis company Gartner Inc, who predicts that overall data quality will improve by about 50% for all businesses and organizations who are using blockchain smart contracts by 2023.

According to ‘Predicts 2020: Data and Analytics Strategies — Invest, Influence and Impact’, in the same three-year period, data will become less and less available, since blockchain technology will be replacing traditional business processes. It predicts that, thanks to the proliferation of smart contracts, data access that would have normally been available to third-party intermediaries would now be gone, removing those middlemen from the data transactions. Senior researcher at Gartner Lydia Clougherty Jones explained in a recent blog post that:

“When an organization adopts blockchain smart contracts, whether externally imposed or voluntarily adopted, they benefit from the associated increase in data quality… This variable could leave participants in a worse position than if they did not participate in the blockchain smart contract process. As such, an organization’s overall data asset availability would decrease by 30 percent by 2023.”

Gartner does say that smart contract technology is still a nascent tech and globalized organizations have not been quick on the uptake, but that positive results for data and ROI analytics will be a certain net impact. A year ago, in its 2018 Fourth Chief Data Officer Survey, it had already pointed out that data leaders would need to pick up on blockchain and smart contracts if they wanted to “enable and drive data program success”.

If the role of blockchain and smart contracts in data doesn’t whet your appetite, then maybe you might react better to other news today that brings more support for Bitcoin’s new payment settlement layer Lightning Network. That it comes from another old institution that has been notoriously slow to adopt new upgrades could be even better.

It was in an exclusive Cointelegraph piece that BitPay CEO Stephen Pair finally said that his Bitcoin payment platform would now consider other crypto, in addition to a possible integration with second layer, off-chain settlement network Lighting.

Pair did not reveal which new digital assets would be added, but hinted that the focus would likely be on blockchain platforms that had the highest market capitalizations. He explained:

“I’m not going to specifically name which ones we will add, but you can look at CoinMarketCap to see all the top blockchains and come up with good guesses in what we are interested in. We are looking at cryptocurrencies that have adoption, and work well for payments. We also might add some smaller ones that aren’t as adopted, but are doing something innovative around payments.”

BitPay is one of the industry’s oldest payment service provider that helps merchants accept Bitcoin — without actually really receiving any Bitcoin at all. Merchants signed up to the network actually get their settlements in fiat, which is paid out to them by BitPay. Pair says that his firm now handles more than USD 1 billion in payment volume annually from over 30,000 active merchant accounts. These include household consumer names like AT&T and Microsoft.

The criticism, however, for BitPay, has been their slowness to adopt new technologies in Bitcoin. For instance, they have yet to adopt the Segregated Witness upgrade, which allows for cheaper and leaner transactions. Fees on BitPay are also notoriously high, with it charging its own network fee in addition to forcing customers to pay well above accepted miners’ fees. This has caused urgent transactions in the past to get rejected, such as this charitable donation for the Amazon forest fires that BitcoinNews.com covered, leading to widespread condemnation and calls for boycotts.

So a move to adopt Lightning could go down well with long-suffering users.

 

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Trending Bitcoin News and Market Sentiment February 3rd, 2020: BitMEX, OKEx Hits $1B Open Interest to Open Way for Volatility as Bitcoin Golden Cross Appears Amid China Panic

Bitcoin

  • Bitcoin spikes to a daily high of USD 9,603 so far
  • BitMEX and OKEx open interest stirs to above USD 1 billion, triggering signals of coming volatility
  • Bitcoin’s long-awaited golden cross could be on the cards amid continued health fears in China

 

After a mighty spike to the current daily high of USD 9,603 (CoinDesk) earlier today at the height of Asian morning trading, Bitcoin dipped to current levels above USD 9,300, but there is no sign that consolidation has stopped. The bulls still seem in firm control, and the fact that ETH is still keeping USD 190 levels, with most other altcoins also in firm green territory, suggests that Europe is also keen to ensure the Monday numbers look good for a strong February push upwards.

One big item of news today will be that open interest on global Bitcoin derivatives and exchange platform BitMEX combined with that of OKEx is now worth more than USD 1 billion after spiking more than 60% since the start of the year.

BitMEX & OKEx both > $1bln pic.twitter.com/zzCT7J5X87

— skew (@skewdotcom) February 3, 2020

According to crypto data analysis from Skew Markets, this means that across all major platforms offering Bitcoin futures, open interest has now grown to over USD 4 billion. Deribit, another data analytics firm, also confirmed this data but with even more bullish numbers, saying that monthly growth on Bitcoin futures options turnover had exceeded 70%.

New options record!#Bitcoin Options have officially taken off. On these charts, you can see 70% month on month growth in USD options turnover. Additionally, Options contract volume peaked in January 2020, with more than 180k contracts traded. Option OI remains above 86% 🔥 pic.twitter.com/3haSvwvXPX

— Deribit (@DeribitExchange) February 3, 2020

It is of little surprise that all of this interest has converged, especially since Bitcoin has grown over a third in price since the start of 2020, and this means that global records for futures trading on the world’s most popular digital asset could be toppled in weeks, especially seeing how a single day volume of USD 25 billion was possible in January.

While this is good news for the Bitcoin bulls, analysts suggest preparing for an extended period of heightened volatility, with markets now edging towards USD 10,000. A Cointelegraph market analyst, Scott Melker — better known as Wolf of All Streets — said yesterday:

“With Bitmex Open Interest hitting a billion, volatility is almost assuredly coming. We aren’t staying at 9400 for long. The next move should be significant and come relatively soon.”

A lot of eyes will be on Bitcoin these next few weeks, as the countdown towards the next Bitcoin halving gains more followers. With just fewer than 100 days to that halving, can we really see a USD 100,000 figure coming as some bulls have predicted?

Well, if this following technical analysis is correct, then we have yet another strong sign that this positive upturn is on its way, and we’re talking about the much-welcome Bitcoin golden cross that is appearing now on the charts.

When correlating data taken from aggregators Coin360 and putting it against Cointelegraph Markets, we see that after the spike we talked about earlier today, we now sit in a rather stable region above USD 9,300 and closing in on USD 9,400. And this takes place when you cross Bitcoin’s 50-day moving average (50-MA) with its 100-MA, whereby averages have crossed over, signally a bullish sign with the Golden Cross.

#bitcoin golden cross lining up on the 50/100 MA 🐂🚀🔥 pic.twitter.com/s2Ai9wHw5M

— The Crypto Lark (@TheCryptoLark) February 3, 2020

All this against a background of Coronavirus fears in China which have definitely not abated, with the stock markets, viewed through the Shanghai Composite Index, or SSE opening on Monday on an almost 8% immediate loss as economic fears prompted more sell offs from traditional investors.

And financially, the People’s Bank of China has now opted to pump the market full of cash: CNY 1.2 trillion worth USD 170.9 billion. Of course, this doesn’t necessarily add up to a crypto rally. Analysts still can’t decide if the coronavirus fears have impacted Bitcoin markets, but in any case, there hasn’t been such a large-scale panic since the UN declared a global health alert.

Kenetic Capital managing partner Jehan Chu told Bloomberg today:

“As trust in global institutions and markets continues to deteriorate, we will see highly mobile digital assets like Bitcoin explode in value.”

 

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Trending Bitcoin News and Market Sentiment February 2nd, 2020: Twitter Goes Full Bitcoin While Joining ETH Founder in Bashing Bitcoin Forks

Bitcoin

  • Bitcoin makes a daily high so far of USD 9,465 (CoinDesk) amid a sustained rally across the crypto market
  • A new set of crypto emojis on Twitter celebrate Bitcoin’s logo, puts down Bitcoin forks and other alts

 

Bitcoin price makes a new attempt to scale new heights this year, and while it has not broken the record yet, the fact that it continues to trade above USD 9,000 for the third straight day running is making a strong case for consolidation ahead of a massive bull run.

And altcoin markets are gaining on the ever-growing confidence of BTC, with ETH looking to storm USD 190 and heading towards USD 200 (which our own analyst also agrees with) while all other coins are remarkably green on a Sunday for positive price action.

I’m sure @halfin would be proud. He was the first person to mention #bitcoin on Twitter – and now 11 years later it even has it’s own emoji natively 🔥 RIP Hal pic.twitter.com/plLQWuUABE

— Bitcoin Meme Hub 🔞 (@BitcoinMemeHub) February 2, 2020

It remains to be seen, as usual, what brought this on, but social media is awash with good sentiment following the addition of Bitcoin emojis to Twitter, one of the world’s most popular social media platforms. Now, whenever the hashtag for the most-traded digital currency is used (#Bitcoin), the world-famous icon automatically appears.

While the news that Bitcoin is loved by Twitter CEO Jack Dorsey is not new, the addition of the emoji will certainly help push recognition of Bitcoin throughout the world with this news. At the same time, however, Twitter does seem to have taken a dig at forks like Bitcoin Cash (BCH) and Bitcoin Satoshi Vision (BSV)… if you use #BSV or #BCH, for example, you will see a lump of dung next to it as its emoji.

Clearly, Dorsey has taken to seeing the Bitcoin forks, which threatened once to split up the Bitcoin community, as nothing more than “shitcoins”, which is what Bitcoiners famously call most alternative cryptocurrency.

Woah – Twitter enabled emojis for the top 10 cryptocurrencies 🤯#BTC#ETH 🦄#XRP 💩#BCH 💩#BSV 💩#LTC 💩#EOS 💩#BNB 💩#ADA 💩#ETC 💩

— Anthony Sassano | sassal.eth (@sassal0x) February 2, 2020

Of course, BCH and BSV are not the only ones jokingly being made fun off, with so many of the other Top 10 crypto by market capitalization given the same pile of dung, including Binance Coin, Ethereum Classic, Litecoin, EOS, Ripple and Cardano. Curiously, ETH is given a unicorn emoji and one wonders if Dorsey is allied with Ethereum co-founder Vitalik Buterin, who has also recently called out Bitcoin Cash in a series of Tweets of his own a day earlier, insisting that BCH was NOT Bitcoin.

In a recent tweet, Ethereum network co-founder Vitalik Buterin said BTC and BCH are not the same.

Buterin Tweeted at first in response to an accusation by Brad Mills that he had been promoting the BCH fork, despite insisting before that the two are not the same as early as 2017 when Bitcoin Cash split from Bitcoin in a contentious fork. He said:

“Bitcoin Cash is not Bitcoin.”

Of course, later in the year, he did say:

“I consider BCH a legitimate contender for the Bitcoin name. I consider bitcoin’s *failure* to raise block sizes to keep fees reasonable to be a large (non-consensual) change to the ‘original plan’, morally tantamount to a hard fork.”

1. I consider BCH a legitimate contender for the bitcoin name. I consider bitcoin’s *failure* to raise block sizes to keep fees reasonable to be a large (non-consensual) change to the “original plan”, morally tantamount to a hard fork.
2. Theymos’s censorship.

— vitalik.eth (@VitalikButerin) November 14, 2017

He did continue that on by saying:

“That said, *right now*, I think trying to claim ‘BCH = bitcoin’ is a bad idea, as it *is* a minority opinion in the ‘greater bitcoin community.”

Dorsey, in his introductory Tweet to show off the new BTC emoji, tagged Unicode, the consortium managing the character standard, asking them to consider doing the same. Lightning Labs co-founder Elizabeth Stark are among those who like the idea, joining Dorsey’s appeal to Unicode, which has asked others to do it. Even Tron founder Justin Sun and Binance CEO Changpeng Zhao have asked to share it, though they may not have realized their own altcoins have been tagged as dung coins.

Dorsey, who also co-founded the Square app, has seen his mobile payments app growing in popularity, with Bitcoin buys still very much active on it. He has also put into place a dedicated Twitter team that is apparently building a decentralized standard for social media.

 

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Trending Bitcoin News and Market Sentiment February 1st, 2020: Ethereum Miners at Record Holdings, Bitcoin $100K Bull Run Has Arrived

Bitcoin

  • After some sell offs, Bitcoin recorded a daily high so far at USD 9,451 and looks set to stay in this range
  • Ethereum miners are approaching record levels of ETH holdings in cumulative pool totals as ETH price climbs above $180
  • Crypto analysts have declared the USD 100,000 Bitcoin bull run officially here

 

It ended up as a nervy Friday after all, with a daily low of USD 9,198 for a moment breaking the USD 9,200 support level, but bulls rallied to ensure that Bitcoin would trade on Saturday in the good zone, with price trading at a daily high so far of USD 9,451 a few hours ago (CoinDesk).

Altcoins fared just as well, with Ripple (XRP) going back towards 24 cents, Ethereum (ETH) moving back above USD 180 and many others regaining the heights of the previous week in the absence of a sustained sell off.

February is a historically positive time for Bitcoin and it does look like the buyers are determined to make sure things stay that way in 2020. The popular narrative is down to Chinese investors seeing off a good Lunar New Year, but with that happening weeks ago already and the health fears in mainland China, the current rally is instead attributed to panic in traditional stock markets and a desire to spread risk out to digital assets.

If Bitcoin mining is at an all time high in terms of hash rate, we should note also that Ethereum miners are currently making new records of holdings in ETH as well, and some analysts believe this to be a marker of confidence in the world’s biggest smart contract platform.

ETH mining pools are nearing the all time high set in October 2019 when they held 1.69 million ETH, and crypto analysts Santiment says that the rise from 1.64 million November low had been steady and stable, which is positive news for ETH holders. Santiment founder Maksim Balashevich noted in Spencer Noon’s Substack newsletter:

“These periods of accumulation tend to suggest high confidence levels in the project among the majority block creators, at the very least relative to the current market conditions. On the other hand, major miner sell-offs have often been followed by quick and significant price corrections historically.”

Compared to a year ago, ETH’s cumulative balance in all mining pools have jumped 11%, and notably increased in four months to October 2019 when price slipped from USD 366 to current levels. It makes sense that miners are willing to accumulate and hold in such low prices, as markets have decidedly turned bullish when ETH rallied 120% in the first six months, while dips are taken to be only temporary corrections in bull market medium terms.

When price did not recover, most miners liquidated in late October around USD 170 which caused the drop in holdings, says Balashevich. Nevertheless, mining profitability is at a good level and miners are basically only selling to make up for operational costs, so long term, ETH is pretty bullish coming up to Ethereum 2.0 improvements.

Bitcoin, of course, still takes the best news of the day, with a crypto influencer happily declaring that the USD 100,000 bull run has finally arrived.

In a Market Discussion yesterday, YouTube bloggers Carl Runefelt and Nicholas Merten — better known by their respective aliases TheMoon and DataDash — said that in fact, the world’s largest digital asset by market capitalization had already been in a bull market for a while.

They are only the latest to finally say that the bullish sentiment is true, on the back of Bitcoin being the best major investment opportunity for 2020 way ahead of gold. Tesla stocks don’t count, by the way, since not everyone is able to access that opportunity!

But the analysts do admit that timeframes are very important when deciding if a bull trajectory was indeed here, even if they were firmly of the opinion that a six-digit US dollar valuation was well on its way. Mertens said the next bull cycle would be aiming at least USD 80,000 if not the full six-digit figure:

“Until we get to $20,000, we’re not going to see the parabolic run that we’ve seen in previous cycles, like when we went from $1,000 to $20,000 in 2017… That’s really what I define as a key bull market for cryptocurrencies, but we’re trading higher… we’re going for higher highs and higher lows, those are all positive signs.”

 

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Trending Bitcoin News and Market Sentiment January 31st, 2020: Crypto Loan Facilities in Great Demand Thanks to Rising Interest from Institutional Investors

Bitcoin

  • Bitcoin touched a new monthly and yearly high at USD 9,633 during early Asian trading on Friday
  • The crypto loaning industry is growing at an ever-increasing rate, with demand from institutional investors fueling the rise of crypto lending platforms

 

Bitcoin bulls are having a good day, registering a high at the start of Asian trading hours in Beijing at USD 9,633 (CoinDesk), although momentum has been petering out since then, but consolidation is at a very health USD 9,325 at the moment.

If the scenario where Bitcoin stays above USD 9,000 continues for a few more days, then Bitcoin will have resisted that breakdown for the three or four days that many analysts are asking for to prove that bullish turn in on the way.

The Bitcoin rally has been starkly contrasting with not-so-good results in the stockmarkets. The US economy also does not seem to be willing to get excited, and US banks like JPMorgan Chase are reportedly finding it hard to achieve fast loan growth, even with interest rates very close to all-time lows.

Lending is, however, on the uptrend in the crypto industry.

Compared to only a 2.1% rise in the last quarter for US GDP and other lukewarm numbers reported elsewhere, crypto lenders have been seeing a boom in the last quarter in terms of lending activity

Genesis, for example, that lends cash and crypto, said that loans jumped a massive 21% during the last quarter to USD 545 million, thanks to incredible demand from wealthy investors as well as Asian and European small loan aggregators.

JPMorgan was only able to achieve a 2% growth, keeping in line more or less with the growth of US economy. Lending is a smaller circle in the digital asset market, and they still face down big competition from established banks for loans to crypto traders and businesses. This is because regulators are still employing a strict policy for risk management, and crypto is still deemed to be highly volatile, and therefore, not suitable to be loan collaterals for traditional lenders.

This does mean opportunity for crypto lenders, who are receiving a lot of demand in Bitcoin and stablecoin denominated loans. As such, investors are lining up to put up cash collateral to lenders like Genesis in exchange for interest rates as high as 8%.

Galaxy Digital and Winklevoss Capital have backed crypto lender BlockFi, who will be adding five to 10 new assets to its platform, including Lirecoin and USD Coin, and will follow it up this year with a credit card to offer Bitcoin rewards. Digital asset lender Celsius Network told CoinDesk that institutional clients were driving growth behind loan platforms:

“Obviously the crypto sector is not even a beauty mark right now compared with the banking sector, in terms of the size and maturity,” Genesis CEO Michael Moro said in a phone interview. “But there is rapid growth in this new market, and it’s not just us. There are other companies trying to accomplish similar things.”

As of last month, the entire industry of crypto loaning was estimated by Blockchain analysis firm Graychain Ltd to be worth at least USD 4.7 billion. And this isn’t even taking into account the number of platforms that have been mushrooming since.

So far, lenders have apparently roped in interest to the tune of USD 86 million since 2018, but the demand for more loans has been growing, with over 5,400 loans issued in Q1 2019, compared to more than three times that the following quarter. Volume is also climbing, with USD 64.8 million loaned out in Q1 2019 almost tripling to USD 159.3 million the following quarter.

Historical performance of #BITCOIN against #EURO:
first price:97.0
last price:8370.0
EARNINGS:8528.87%
3.65% per day
25.58% per week
109.64% per month
1315.73% per year
PERIOD:
6.48 years
77.79 months
333.37 weeks
2333.61 days#BTC #BLOCKCHAIN #CRYPTOCURRENCY #digitalmine

— digital mine ⚡🤖👨‍💻🇭🇰🇹🇼 (@digital_mine_) January 31, 2020

In any case, all eyes now turn to Great Britain as they enjoy their final day of membership in the European Union. While the effects on the pound sterling are certain to be pronounced, will the uncertainty and fear in that region cause demand for Bitcoin to go up even higher? Only time will tell, as we like to say!

 

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Trending Bitcoin News and Market Sentiment January 30th, 2020: Cambridge Analytica Whistleblower Singles Out Blockchain As Data Protection Solution, Lloyd’s of London Insures Bittrex Cold Wallet Funds for $300 Million

bitcoin

  • A Bitcoin daily high so far of USD 9,432 ensures that consolidation continues
  • Brittany Kaiser, the Cambridge Analytica whistleblower. says blockchain could address the crisis in data protection
  • Bittrex obtains USD 300 million insurance for its cold wallet funds from Lloyd’s of London

 

Bitcoin has completed a full day above USD 9,000 and based on the performance of the market, it will probably count a full entry into February without ever touching the old resistance at that level again before Monday.

While there hasn’t been a new high at all, with today registering USD 9,432 (CoinDesk), there hasn’t been any threatening of the support level at the low of USD 9,185 either. Yesterday’s performance still stands strong and even technical analysis from our own commentator needs a few more days for patterns to emerge for the short term.

Whatever the price action these weeks, blockchain technology is powering ahead in recognition and acceptance. And now, with data privacy and protection one of the hottest topics being discussed, Brittany Kaiser, the Cambridge Analytica whistleblower, has singled out blockchain technology as the possible solution to data protection and global issues in data privacy.

The former business development director at the British data analytics firm at the center of an infamous Facebook data scandal recently told Cointelegraph that her former firm collected raw data from as many as 87 million Facebook users to be used in Donald Trump’s presidential campaign during the last US elections. Kaiser, who now serves as co-founder of digital intelligence startup Own Your Data Foundation, was at the World Economic Forum in Davos and talked about how emerging technologies, blockchain being one, will help protect personal data.

She calls data the world’s most valuable asset and expressed excitement at seeing so many social media solutions powered by blockchain. Kaiser sees these as important challengers to the existing social media giants like Facebook and its messenger WhatsApp. She said:

“In my opinion, it’s really blockchain tech and blockchain entrepreneurs that are gonna solve a lot of the problems of the data protection crisis.”

The co-founder named Germany and Switzerland as the best performers at data protection, but the American says her own native country is the stark opposite, with “nearly zero data legislation or regulation”. It’s not all bad news, though, as the US has been involved in several key data privacy initiatives, and Kaiser gives the example of how California this year enacted its own state-level California Consumer Privacy Act, which others were sure to follow.

Meanwhile, one of the world’s biggest cryptocurrency exchanges in Bittrex has just taken in USD 300 million in digital asset insurance to protect funds it holds in cold storage against theft or collusion. This was confirmed in a blog post today.

The new specialty insurance for corporations was given by one of the oldest insurers in the business, Lloyd’s of London, after collaborating with insurance broker and adviser Marsh. Marsh digital asset risk transfer team co-leader Sarah Downey said:

“We worked closely with Bittrex to create a tailored insurance solution to fit their specific cryptocurrency needs.”

Lloyds has had previous experience as long ago as August 2018, when it became the insurer for a crypto custodian Kingdom Trust, following that up eight months later in April 2019 with the addition of Coinbase’s hot wallets to its list of insured clients.

The insurance was granted to Bittrex after it successfully demonstrated satisfactory internal security and compliance protocols. Its CEO Bill Shihara was happy to say that the insurance was yet another layer of assurance on top of existing security and that customers would now have an additional guarantee of safety of funds.

Cryptocurrency in its purest form denounces the idea of someone other than the fund’s owner to obtain access, much less custody of money. However, as most mainstream people are not yet used to the idea of being fully and solely responsible for your own money, the idea of crypto custody has been gaining much popularity, especially among institutional investors.

The idea of having your money protected by insurance, especially when exchanges seem to be getting hacked every now and then, will be very appealing, although insurers are finding it difficult to justify the high risk of managing crypto assets.

So much so, Gemini Exchange has told Cointelegraph that the exchange had to launch its own insurance company to cover some USD 200 million of its own custodied assets, but it did so believing that institutional clients have insurance as a prerequisite to investment.

 

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Trending Bitcoin News and Market Sentiment January 29th, 2020: Coronarally Ensures 2020 is Already Bitcoin’s Best Performing Q1 Since 2014

bitcoin

  • Bitcoin breaks to a new high in 2020 at USD 9,420 as coronavirus health fears in China drive money away from traditional markets, causing stockmarkets to slip globally.
  • Bitcoin is projected to enjoy its best-performing first quarter this year, in terms of US dollar price valuation

 

Bitcoin has broken through the ceiling today, marking a new monthly and yearly high so far at USD 9,420 (CoinDesk), where it has more or less remained trading for the past 12 hours, ensuring that Asian market gains have passed on well into late European trading.

Will America take over and ensure that Bitcoin keeps up at that level or will profit taking take its due course? We will wait to find out but analysts hope that USD 9,000 at least will hold for a full 24 hours, though the bulls will want Saturday to emerge without price once falling below that psychological line.

It’s still a lot of guesswork as to what exactly is causing this rally, but some market traders are insisting that traditional markets reacting to health fears in China with the coronavirus-led panic is to blame.

Not for the first time this month, the world’s largest digital asset moved ahead of the 200-day moving average (200MA) at USD 9,000 at the peak of Beijing trading time, ensuring that it recorded more than 25% cumulative monthly gains. All this has happened on the back of tumbling stock markets globally, as the Dow Jones Industrial Average fell by over 450 points related to travel shares slipping on prospects of global economic growth slowing down due to the coronavirus clampdown.

The S&P 500 index also dipped 1.5%, but is now in the midst of a correction. Singapore-based investment fund Three Arrows co-founder Su Zhu told Coindesk:

“[Bitcoin] rally looks Asia-driven with the Chinese equity market reopening after holidays has been delayed due to the coronavirus, so traders itching for activity may have set their sights on the 24-7 crypto markets in the meantime.”

All of the past week’s excitement seems to place Bitcoin in a great position now in terms of investment. According to analytics firm Skew Markets, Bitcoin investors are now well on track to making this year’s first three months the best ever since 2014. So far, investors have already made more on their holdings than any other Q1 since 2014, with data showing institutional interest at a steady and sustained influx

So far, as we mentioned above, Bitcoin gains for an investor since 1 January is just below 30%. Not for six years has any first quarter performed as well, with Q1 having a historical tendency to post losses.

Bitcoin’s gains so far in 2020 amount to just under 30%. In no other quarter in the past six years did markets perform that strongly. In fact, when looking at the past six years, it would seem that Q1 is a bad time to buy Bitcoin, with 39% losses recorded in 2014, followed by 24% and 3% drops in the following two years. The years 2017 and 2019 did post positive gains but at just above 10%, they pale in comparison to this month alone.

Long-term bulls will not see these short time frames in terms of multi-year Bitcoin potential of course, since even from an annual low perspective, Bitcoin has been growing every year since data was recorded. Bitcoin futures interest also suggest that institutional investors don’t really care either, buying and engaging with crypto via Bitcoin derivatives.

Skew data shows that an aggregated open interest in Bitcoin futures products has never been higher at USD 3.7 billion yesterday, with trading volumes in Bitcoin in general increasing across all markets.

$BTC

Volume tells all. A true trend is identified when volume is rising. Blue arrows show volume and price in agreement. Red arrows show price action on descending volume. Price going down with volume = consolidation, not a bearish trend. Volume may be rising with price again. pic.twitter.com/w7Crg7MgjA

— The Wolf Of All Streets (@scottmelker) January 27, 2020

At the same time, not all signs are completely bullish, with Google search requests for Bitcoin petering out. As we pointed out in yesterday’s analysis, market sentiment, despite the rally, has returned firmly to neutral on the so-called Greed and Fear Index.

Now, others like crypto influencer also believes that this could be a greed correction coming into play, with a score 57 indicating this likelihood.

Cointelegraph analyst filbfilb, doesn’t agree, however, saying that the more important 200MA resistance is being breached again and could turn out to be the new support. If another old resistance level at USD 9,555 is broken, the stage could be set for a price escalation.

 

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Trending Bitcoin News and Market Sentiment January 28th, 2020: Google Search for Bitcoin Halving Doubles as Singapore Crypto Legislation Comes into Force

bitcoin

  • Bitcoin has broken the USD 9,000 resistance for the second time in January 2020 and looks set to hold
  • Google Trends shows that search term “bitcoin halving” has doubled since December 2019
  • The new Payment Services Act in Singapore comes into force today, putting all crypto payment services under the regulatory mandate of the Monetary Authority of Singapore

 

Bitcoin price finally smashes USD 9,000 levels today, making it the second time this month that it has breached that resistance line successfully. However, bulls will be wary of a pullback on profit taking, although with a daily low so far of USD 8,682 (CoinDesk)and just under 12 hours left for a complete day above USD 9,000, the coast does look clear. But we’ll wait for North America to wake up before taking any quick guesses into where we’re headed!

BTCUSD Falling Wedge & Symmetrical Triangle Synchronize Breakout for BITMEX:XBTUSD by CrazyGabey #Bitcoin $BTCUSD https://t.co/rDooSW98lE pic.twitter.com/lByREmz2aa

— BitcoinAgile (@bitcoinagile) January 26, 2020

Within just a few days, we have now seen the world’s most used digital asset negate the bulk of losses it witnessed toward the end of last week when Bitcoin slipped 5% after breaching similar levels. Suddenly, the low of USD 8,213 on January 25 does seem a bit far away and some analysts will note how this overnight move seemed chockful of confidence and could signal the end of a corrective pullback from the monthly high of USD 9,188 on January 19 — a yearly record so far that could be broken today.

Meanwhile, with Bitcoin’s much talked about halving event just four months or so away, traders continue to debate if this event, that happens roughly every four years, will be the precursor to a new all-time high or even parabolic moves far beyond that.

While there is no consensus, there is definitely mounting interest, as Google will show. Crypto analytics company Arcane Research, when picking out the data on the world’s most popular search engine, found that Google Trends recorded a doubling of the search term “bitcoin halving” in a matter of a month.

The last time interest was this high was during the last halving event during 2016, and according to analysts, this is just one more indicator that we will see higher prices this year, just we did in 2016 after the halving. The report read:

“The bitcoin halving is gaining more traction. There is now a clear indication that awareness of the concept is spreading to new people.”

Google Trends doesn’t actually publish the exact number of searches, but the data is put as a weighted interest reading of 35 (from a maximum reading of 100, which would represent the peak of a search term’s popularity). This happened for the term in 2016, correlating with a 100% increase of price that year, followed by a 13 times increase in 2017 to within touching distance of USD 20,000.

The Arcane Research report isn’t completely bullish — it notes that market sentiment is actually just neutral, after a period of greed last week, signalling a time for consolidation. It says:

“The Fear & Greed Index is now around 50, which indicates a neutral market sentiment. After touching “Greed” levels over the past week, the market seems to take a small break before deciding on the next move.”

Good news continues to hit home in Asia, in any case, and we have a fresh bullish update from tiny island nation Singapore, whose state legislation that regulates Singaporean crypto firms coming into effect today.

The Payment Services Act is mandatory regulation for crypto payment firms and trading companies that will require them to obtain a license to conduct their business activities. In addition, crypto payment services must be compliat with a slew of other legislation: the Financial Advisers Act, Insurance Act, Securities and Futures Act and the Trust Companies Act.

Nevertheless, the de facto central bank of Singapore, the Monetary Authority of Singapore is now the regulatory body for crypto, and it said in a press release today:

“The new PS Act will enhance the regulatory framework for payment services in Singapore, strengthen consumer protection and promote confidence in the use of e-payments.”

Its Assistant Managing Director Loo Siew Yee has been quoted as saying that the Act intends to be a forward-looking regulatory framework flexible enough to meet the needs of the payments industry. He explained:

“The activity-based and risk-focused regulatory structure allows rules to be applied proportionately and to be robust to changing business models. The PS Act will facilitate growth and innovation while mitigating risk and fostering confidence in our payments landscape.”

 

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Trending Bitcoin News and Market Sentiment January 27th, 2020: Crypto Community Rallies Behind Coronavirus Campaign,

bitcoin

  • Bitcoin makes a break for a new daily high so far of USD 8,684 on Monday trading
  • Despite earlier fears that China’s coronavirus outbreak could impact crypto prices temporarily, signs have yet to show in a healthy market of trading today
  • Several charity campaigns supporting the China coronavirus health campaign is being funded by crypto companies

 

Sunday has been kind to Bitcoin but Monday looks like it will be even better, with Bitcoin bulls gaining some unexpected momentum today to push on to a new daily high right now of USD 8,684 (CoinDesk), with a much higher low of USD 8,375.

Asian traders will be taking credit for this new impetus, against a backdrop of China uncertainty in the Lunar New Year with coronavirus fears prevailing, so those who would have thought this should have a knock on effect on crypto markets will wonder what pushed prices up today.

CEO of non-custodial crypto lender DeFiner had told CoinDesk that he canceled scores of meeting in China with crypto clients due to the outbreak. He said:

“We planned a 10-city tour to talk with potential clients in China. Nobody wants to attend any crypto-related conferences or any meetings at all because of the virus, we have to rearrange everything.”

Someone forgot to send buyers the memo today, though as prices have not reacted anything like what was expected. Chainalysis says that 40% of the Top 50 crypto exchanges in the world are in China and professionals in the sector should have been worried about the potential disruption to crypto-related business. Wu said underground digital asset investment first saw crypto marketing events as highly critical to their success.

Whatever the slowdown expected, it hasn’t quite had an apparent effect yet, as we can see today.

Wu did admit though, that it was difficult to estimate just how much money Chinese investors had poured into the market, although the recent PlusToken debacle gave a good indication when it raised USD 3 billion from Chinese crypto investors despite turning out to be a Ponzi. It was shut down by the state in June 2019. Wu said:

“The market might take a heavy blow if the money stops flowing into these crypto asset classes as it usually did before.”

Another view comes from CTO at a San Francisco crypto hedge fund Trading Terminal, who believes that the correlation between the health event and crypto price action is impossible to quantify. Lingxiao Yang believes that since the entire crypto market capitalization is still dwarfed by the stock market, other factors could still come as easily into play. The CTO said:

“It is really hard to single out one reason that affects crypto trading volumes and market prices, given the data is not always available and transparent in the first place.”

In any case, we turn our attentions to the charitable efforts by some major cryptocurrency firms who have now pledged to assist the efforts against the health epidemic in Wuhan, led by crypto exchange Binance that has promised CNY 10 million (USD 1.44 million) to the campaign.

Binance CEO Changpeng Zhao actually confirmed that the pledge came from his company, although he has cautioned against sending actual crypto to the affected people. Instead, donations should be channeled for the costs of the efforts, such as for local logistics, hence the pledge through Binance’s Charity Foundation. He explained:

For #Wuhan, not realistic to do crypto to end beneficiaries.

Binance pledged 10m RMB ($1.5m USD) to help #coronavirus victims.

We didn’t make any announcements. But BCF/Binance team has been busy for the last few days.

Still need help to arrange logistics locally.🙋‍♀️ https://t.co/UH6FXgVSrX

— CZ Binance (@cz_binance) January 25, 2020

“For #Wuhan, not realistic to do crypto to end beneficiaries. Binance pledged 10m RMB ($1.5m USD) to help #coronavirus victims. We didn’t make any announcements. But [Binance Charity Foundation] BCF/Binance team has been busy for the last few days. Still need help to arrange logistics locally.”

Crypto marketing company Krypital also launched a charity drive aimed at purchasing more medical supplies for those affected in Wuhan. According to the post on Chinese social media chatting app WeChat, only USDT (Tether) will be accepted to ensure transparency. It explained:

“At the same time, we will also take advantage of our industry, the blockchain technology industry, to create a donation system based on the blockchain wallet to ensure that each transaction process is transparent, the task is responsible and efficient.”

 

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