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Although Bitcoin has rallied about 33% year-to-date, its dominance has dipped to 64.40%, its lowest level since July 2019. This shows that altcoins have continued to outperform Bitcoin. However, with the Bitcoin halving fast approaching, the digital asset’s volatility is likely to pick up.
Tom Lee, co-founder at Fundstrat Global Advisors, has again turned ultra bullish on Bitcoin and expects a rally to about 200% in the next six months. According to him, historically, whenever Bitcoin has broken above its 200-day moving average, it has recorded an average six month gain of 197%. Lee expects halving to act as a catalyst for the expected up move.
At the time of writing, Bitcoin is trading up just under 5% at its current price of $9,600, which marks a notable climb from its daily lows of $9,200 that were set during the course of the cryptocurrency’s recent downtrend.
It is important to note that BTC was rejected earlier today after rallying to highs of over $9,800, and it has so far been unable to gain any type of solid foothold within the coveted five-figure price region.
Bitcoin isn’t the only cryptocurrency enjoying this market surge, it’s not even the top gainer. Ethereum (ETH) has also risen above $200 after several months under the level. ETH seems to be showing potential for a higher price from now as analysts say the $200 price is a boon for those who wish to gain the asset. It is currently one of the top gainers among the top ten with a gain of over 10% compared to Bitcoin which is at about 5%.
- Bitcoin (BTC) recorded a yearly high of $9,700 USD, representing a 36.6% increase this year.
- The spike in BTC’s price is causing an upheaval in the market as top altcoins trade in the green.
- Is a $300 billion total market capitalization on the horizon?
As Cryptopotato previously reported, Bitcoin had recently charted the mini Golden cross as the 50-day moving average crossed above the 100-days moving average. Amid this notable increase, the next target for Bitcoin might just as well be $10,000. However, it is also essential to see how the price performs at around $9,550 and whether or not this level manages to become a support.
On February 2, the second largest cryptocurrency, ETH, finally made it out of the $180 area, where it had been trading for a long while and at the time of writing is changing hands at $202, as per the data from CoinMarketCap.
Analyst @CryptoMichNL is bullish on Ethereum and predicts that the ETH price is likely to head for next targets of above $200 now – $225 and even $275. However, he admits that a correction may take place.
According to VanEck’s ‘The Investment Case for Bitcoin’ report, in spite of concerns with regard to crypto and its exchanges, market statistics are on the healthy side. Bitcoin and other crypto-assets are becoming more and more available to retail investors with institutions such as Robinhood, TD, and ETrade facilitating digital asset trading.
Analysts on Wall Street seem to be celebrating this fractured state in the United States. What’s good for Trump is good for the markets. What they don’t seem worried about at all is the Coronavirus. Most seem to agree that the Communist Party is under-reporting the amount of fatalities and the entire country seems to be on lockdown. Nobody is leaving their homes. No doubt travel is being affected but so far the affects on oil and travel stocks seem rather tame.
Going forward, exchanges may have to provide value-add services to establish sustainable profits. Proof-of-work (PoW) coins outperformed their proof-of-stake (PoS) counterparts that ended the year on a weak note. However, most of these PoS coins have seen strong market activity in 2020, with EOS, TRON, and Cardano up 34%, 19%, and 38% respectively against BTC.
Derivatives have seen significant traction in 2019 thanks to the launch of Bakkt, bringing a new influx of speculators. Binance, at one point, had a daily volume of $3 billion dollars on its futures products. BitMEX recently zoomed past $1 billion in open interest on its XBT/USD perpetual swap.
While Chinese miner manufacturers see rising demand for new equipment ahead of bitcoin’s scheduled halving in May, they estimate the disease may limit growth in bitcoin mining power if the situation isn’t resolved in the near future because it is difficult to expand or build new machines, according to Kevin Shao, general manager of Canaan Creative’s blockchain arm.
Shao told CoinDesk that while there is little doubt miners can maintain the current level of computing power, there is a shortage of new mining machines.
In addition, Musk has repeatedly come out to claim that bitcoin, while intriguing, isn’t likely to accomplish what so many say it will. He’s certain it will never overtake cash or become as common as cash and will instead be chalked up as just another (albeit new) financial tool designed for speculative purposes.
In a separate interview, Musk commented that Twitter isn’t doing enough to ensure problems like these don’t occur again in the future. He says that simply suspending accounts isn’t enough, and Twitter should be taking more steps to ensure that parties and conversations on Twitter are real, and that people are indeed speaking with another actual person while engaged in the platform’s services.
One of the major reasons for the success of Youtube is that it enabled content creators to share in the platforms advertising revenue, allowing content creators to monetize the videos they create. This ability to get paid from the posts you make on social media set the platform apart from other video streaming sites. Other platforms like Medium have followed suit, allowing bloggers to get paid in a similar way.
Learning how to use cryptocurrency and bitcoin can often be a daunting task for the uninitiated.
Throw into the mix the whole blockchain technology aspect and many feel it is just too complex a field of understanding to embrace.
However, with blockchain and its uses now reaching far beyond financial transactions, there are so many benefits to be had.
And with the U.S lagging far behind nations like China and South Korea, as well as Dubai, it’s time to embrace how blockchain, cryptocurrency and bitcoin can make a positive impact on the world in general.
BitCherry is a blockchain infrastructure empowering commercial applications, which is to construct P2Plus point-to-point encrypting network protocol with the new thinking of physical structures and achieve highly extensible data architectures by hashing diagrams modified by relational graphs. BitCherry provides smart contract, cross-chain consensus and other operating mechanisms which can reduce the development cost and provide underlying public chain of high performance, high security and high availability for blockchain business applications.