Monthly Archives: Dezember 2020

Bitcoin franchit la barre des 28 000 dollars avant la correction mineure

La flambée monumentale des prix de Bitcoin (BTC) semble actuellement ne connaître aucune limite.

Bitcoin poursuit sa trajectoire de prix historique

Le bitcoin, la plus grande monnaie cryptographique au monde par sa capitalisation boursière, a aujourd’hui dépassé les 28 000 dollars BTC, battant ainsi un nouveau record pour la première monnaie numérique. Cependant, le BTC s’est effondré de plus de 6 % peu après avoir franchi le mur des ventes de 28,4 000 dollars.

Indépendamment de la petite correction, il est indéniable que la BTC est apparue comme l’actif le plus performant au cours de cette année tumultueuse. Après avoir franchi le seuil des 28 000 dollars, Bitcoin Era a atteint une capitalisation boursière d’un demi-billion de dollars.

Les proches de l’industrie des monnaies cryptographiques se souviendront de la hausse soudaine du prix du bitcoin, qui a commencé en octobre, alors qu’il se négociait à environ 10,5 000 dollars. Depuis lors, le prix de la monnaie numérique phare a presque triplé.

Comparé à son tristement célèbre krach à moins de 3 000 dollars au début de l’année, lors du déclenchement de la pandémie de coronavirus, le prix actuel du bitcoin est presque sept fois plus élevé que celui de la mi-mars.

L’intérêt institutionnel en hausse

La hausse historique des prix de la BTC au cours des deux derniers mois pourrait être attribuée à plusieurs facteurs, notamment le renforcement des fondamentaux, la réduction de moitié de l’offre et l’augmentation des investisseurs institutionnels dans cette classe d’actifs.

Rien qu’en 2020, plusieurs sociétés cotées en bourse ont commencé à ajouter le bitcoin comme actif de réserve dans leur bilan pour se protéger contre l’affaiblissement du billet vert.

La première grande entreprise à avoir misé sur BTC a été MicroStrategy, dont le PDG, Michael Saylor, continue d’être l’un des plus ardents défenseurs du bitcoin sur le web. Un mouvement similaire a été suivi par Jack Dorsey’s Square, qui a ajouté des bitcoins d’une valeur de 50 millions de dollars à son bilan.

Selon une estimation faite en octobre, près de 6,75 milliards de dollars de BTC étaient détenus par des sociétés publiques.

Comme l’a rapporté BTCManager en novembre, le principal gestionnaire d’actifs, Guggenheim Partners, est devenu le dernier à rejoindre le train des bitcoins, car il cherchait à „s’exposer indirectement aux bitcoins“, comme l’a montré un dépôt de plainte.

De même, au début de l’année, Paul Tudor Jones, gestionnaire de fonds spéculatifs très réputé et fondateur de Tudor Investment Corporation, a qualifié les bitcoins de couverture contre la „grande inflation monétaire“, ajoutant qu’il faisait tapis sur la plus grande devise cryptographique du monde.

Bitcoin (BTC) price ticks $28,378, market worth over $500 billion

The bitcoin price today ticks the price of $28,378, a new record for the crypto currency. The total market value is also making history with ~$527 billion.

Are we going to see the $30,000 on the boards next week?

Bitcoin (BTC) rate
During Christmas, bitcoin knows how to surprise (or not) everyone again, with this unprecedented racing sprint. Less than a week ago the price stood at $21,865, but in the meantime another $30,000 is in sight. A week’s score of almost 18%, return that some fund managers liked.

The dominance of bitcoin on the crypto market is now over 70%, which has not occurred in 14 months.

Now private investors also seem not to want to miss out (fear of missing out) and are entering the market again. But 2020 is above all the year of the large companies that see bitcoin as a long-term investment.

To put it simply: governments and central banks are printing new Immediate Bitcoin money at the expense of government bonds that no longer yield anything. Private individuals and companies have had to look for alternatives. The retail market jumped on the stock market, as a result of which shares such as Tesla and Zoom grew even faster than bitcoin in 2020.

Bitcoin as an insurance policy
Institutions such as hedge funds and insurers also counted their knots this year: initially, gold rose faster than bitcoin, but gradually some funds exchanged part of their gold (ETFs) for bitcoin. This can be seen as the real transition: bitcoin competing with gold as a safe haven.

They started in 2020 with a modest position (1 to 5% of a specific fund, for example). But given the current price action, that tastes like more.

According to the latest figures, 1.15 million bitcoin is now parked with listed companies. That is about 5.5% of the final 21 million. A clear difference with gold and shares and fiat money that can be made indefinitely and has no ceiling.

The fact that companies literally determine the price of bitcoin is a real shift in the financial world. As more and more companies, millionaires, developers and node-owners have an interest in a good future for bitcoin, its say, including political, is growing.

Bitcoin can thus emerge as the insurance policy of the future, for both companies and citizens. It is a hedge against a degenerate fiat system that kicks the can even further down the alley and thus puts the problems off.

Bitcoin has a clear and well-defined monetary system, with a maximum issue of 21 million.

Fundamental growth
For the time being, the price action will determine the news headlines in the coming months, but fundamentally, the community is working hard on the next stages of this payment – and savings technology and weapon against further surveillance from above.

After all, a large number of the bitcoiners of the first hour attach great importance to privacy and also see bitcoin as a means of payment. This is already the case in some countries, albeit in small communities. Think of a village in El Salvador where villagers pay each other via the Lightning Network.

In 2021, the integration of Taproot is planned at protocol level, which will give the crypto coin an extra layer of privacy.

This will be welcomed by the cypherpunks, one of the original sources from which Satoshi Nakamoto has drawn, both technologically and philosophically.

An indicator signals that Bitcoin’s price has just seen a ‚retail FOMO spike‘

On December 18, Binance Futures‘ funding rate surpassed Deribit’s: historically, such an event leads to a consolidation or pullback in Bitcoin

On the day of December 18, Binance Futures‘ Bitcoin (BTC) funding rate surpassed Deribit’s, according to data provided by CryptoQuant. Historically, this event anticipates a local high or consolidation for the cryptocurrency.

The funding rate of major crypto assets, including Bitcoin Circuit app and Ether (ETH), has increased significantly over the past 48 hours. Typically, this indicates that the futures market is heating up, making a pullback more likely.

What does the future hold for bitcoin?

Bitcoin has already experienced a relatively mild pullback and a consolidation phase following the recent rally.

In the span of two days, between December 16 and 17, the price of Bitcoin rose from $19,300 to $23,800 on Binance. Following a price spike of 23%, a correction between 3% 3 4% is relatively small compared to historical corrections after a large rise.

On December 18, the funding rate of Bitcoin futures exceeded 0.1%, increasing the likelihood of a pullback.

Bitcoin futures use a system called „funding“ to ensure balance in the market. If multiple long contracts are present, the funding rate becomes positive. In that case, buyers or holders of long contracts must pay short-sellers, and vice versa.

Yesterday, the funding rate exceeded 0.1% on Bybit and other major exchanges for the first time since the November rally ended at $19,000. At that time, after the futures market overheated, BTC experienced a strong pullback to $16,000.

On that occasion, a contraction of 20%-30% was likely as the funding rate remained consistently high. This time around, the funding rate declined rather quickly, so the scenario favors a consolidation instead of a correction, especially given that new retail investors still largely remain on the sidelines, as other data shows.

On Twitter, a pseudonymous cryptocurrency trader reported that Binance Futures‘ funding rate has surpassed Deribit’s. While this data does not have specific relevance, historical trends show that this event precedes a contraction in Bitcoin. The trader commented:

„It seems that most of the times when the funding rate of Binance Futures exceeds that of Deribit the price tracks a sideways movement or marks a local high. This could signal a „retail FOMO spike.“

This trend could be attributed to the importance of Binance Futures as a means of assessing general market sentiment. When the price of Bitcoin witnesses a strong movement, Binance Futures often experiences large liquidations due to its high open interest.

The platform regularly remains one of the top three futures exchanges in terms of open interest, along with CME and OKEx. So when Binance Futures begins to show signs of overheating, the market may become cautious.

Bitcoin has crossed the $23,350 hurdle.

In the short term, traders have identified the resistance level at $23,350 as the decisive hurdle for Bitcoin.
Bitcoin’s order book on exchanges displayed. Source: Cantering Clark

Technical analyst Cantering Clark explained that if Bitcoin breaks above $23,350, it is likely to resume its bullish trend:

„Yesterday’s entire structure remained almost all of its time between the previous day’s values. The one from the day before was balanced towards the end of the day. So far it looks like a good opportunity for the breakout of the daily range, I am ready to enter if we break above $23,350. Until then take advantage of the range.“

Bitcoin is a religion, fulfils no practical use

Mavs owner Mark Cuban: „Bitcoin is a religion, fulfils no practical use“.

Prominent billionaire and entrepreneur Mark Cuban reiterates his view that Bitcoin (BTC) is more of a collectible than a reliable financial product for him.

The owner of the Dallas Mavericks, Dirk Nowitzki’s former team, had claimed in the past that even bananas are a better means of payment than Bitcoin.

The „plague year“ of 2020 has been a good one for Bitcoin, driving adoption by institutional investors to new heights. While large companies such as MicroStrategy and Grayscale have bought significant amounts of the Bitcoin Future cryptocurrency, many influential minds from traditional finance have now also acquired a taste for it. Nevertheless, Bitcoin continues to have many critics.

For example, in an interview with Forbes on 8 December, Mark Cuban said that investors should not view the cryptocurrency „as a hedge against disaster“, alluding to the fact that Bitcoin is often interpreted by investors as a hedge because there is little correlation to the stock markets. Similarly, Cuban rejects the idea that the cryptocurrency could replace fiat currencies in the future.

„Bitcoin is a store of value like gold, and is more of a religion than it is of any real practical use,“ Cuban states. He then adds, „Countries will protect their national currencies and their power to collect taxes, so the more people believe that Bitcoin is more than a store of value, the more they run the risk that the government will counter it.“

The Mavericks owner had made the relevant remarks when Bitcoin was still below the US$19,000 mark. A short time later, the market-leading cryptocurrency was then able to „disprove“ his theses by climbing above 20,000 US dollars for the first time in its history.

At the time of going to press, the Bitcoin price even exceeds 23,000 US dollars

The billionaire had already repeatedly criticised the cryptocurrency in the past, attesting that even bananas have a greater added value than Bitcoin:

„A banana has more value because for every person in the world it is a healthy food. But as long as people see Bitcoin as a digital version of gold, BTC is an investment vehicle.“

Mark Cuban has an estimated personal wealth of US$4.2 billion. In August 2019, he stated that at the time he only had US$130 in Bitcoin, which he had generated by selling tickets and merchandise for his basketball club.

How has the COVID-19 pandemic affected the crypto space? Experts respond

Blockchain and crypto coin technology experts answer: What impact has the COVID-19 outbreak had on the industry?

Who could have imagined a year ago how different our lives would be in just 12 months? Last November will undoubtedly remain a significant point in human history – the moment when it all began. Although „patient zero“ has not yet been confirmed – if it ever will be – we now know that it all began in China on November 17, 2019, when the first patient presented symptoms of a new coronavirus disease called COVID-19, according to the South China Morning Post with references to government data.

In January 2020, the city of Wuhan, in central China, suffered the massive expansion of the COVID-19 epidemic, and „41 hospitalised patients with laboratory-confirmed cases were identified,“ according to a publication in The Lancet. Just two months later, in March, the World Health Organization declared COVID-19 a global pandemic. One by one, governments around the world closed their national borders, suspended public events and banned gatherings of people. The conversation unearthed two terms, rarely used before, that have now been declared the words of the year 2020 by the British Collins Dictionary: „quarantine“ and „social distancing“.

It is hard to imagine which spheres of our lives have not been affected by these dramatic and tragic events, with the number of confirmed global cases exceeding 55 million.

Nevertheless, the current COVID-19 crisis has also had a positive impact on the world. European conservatism, which has long been dependent on the traditional financial system, was challenged as the pandemic forced Europeans to move to cashless payments and cryptosystems. Some say that it has even underpinned the widespread adoption of commercial solutions based on cryptosystems and DLTs around the world by changing people’s understanding of money.

Specifically, the COVID-19 outbreak has boosted Bitcoin’s safe haven narrative (BTC) as central banks print $15 trillion in stimulus in an attempt to alleviate the effects of the pandemic on world economies. Amid rising inflation rates, people are turning to Bitcoin as the next inflation hedge.

Meanwhile, in the name of public health, governments are initiating COVID-19 monitoring programmes, raising serious concerns about privacy violations and the squeeze of centralisation in the process. Without stopping there, governments have also taken another step in the erosion of civil autonomy through the development of digital central bank currencies, initiatives that have been boosted globally due to the COVID-19 crisis. While experts see the solution for safeguarding privacy in decentralised technologies, the issue of over-promised decentralisation remains open.

However, the coronavirus outbreak significantly changed everyone’s lives, creating the new normality we now live for. However, despite all the challenges we have faced economically, politically and socially since the beginning of the year, there is no doubt that the pandemic is driving digital innovation and accelerating mankind’s 20 years of technological development.

It is too early to know when it will all end, as the COVID-19 continues to gain speed. Now, a year after Wuhan’s first case, Cointelegraph contacted experts in Blockchain technology and in the crypto space to hear their views on how the coronavirus pandemic has impacted the industry.

What impact has the COVID-19 pandemic outbreak had on the crypto space?

Asheesh Birla, CEO of RippleNet:

„COVID-19 exacerbated the inequalities for many people who do not have access to banking or have no access at all and highlighted the gaps we have in our financial infrastructure, where those who have less pay more – on average the cost of sending $200 is $14. Despite the pandemic, people still need to send money to their family and friends abroad. As a result, remittances have continued to increase in some of the largest corridors. In the US-Mexico corridor, for example, there has been a significant increase in remittances since the beginning of the pandemic, with Mexico receiving $4.02 billion from abroad in March 2020, a 36 per cent increase over March 2019. Ripple can help reduce the cost of remittance payments by using crypto-currency and Blockchain technology to make cross-border payments faster, cheaper and more reliable. Bitso, one of Mexico’s main exchanges, is operating about 10% of total US remittance flows to Mexico through Ripple technology that uses XRP as a bridge currency. In tandem, there is more interest in the space than ever before with big companies like PayPal and Square betting on crypto currencies, pushing them into the conventional world. The validation of these companies has contributed to a greater interest in the usefulness of cryptomonies, and their ability to better serve their companies and customers.

Da Hongfei, founder of Neo, founder and CEO of Onchain:

„From my perspective, COVID-19 did not have a negative impact on the Blockchain technology space – if anything, it drove greater demand for innovation and adoption of Blockchain technology. By revealing the weaknesses of our current paradigm, COVID-19 also highlighted the urgent need for Blockchain technology. For example, COVID-19 demonstrated the failures of the current centralised supply chain system, revealing its fragility and lack of agility. By leveraging Blockchain technology, we can build a decentralized supply chain that can quickly determine and then distribute products based on the needs of a specific area. Similarly, Blockchain technology could also be deployed to more effectively track and locate infection cases, while protecting patient privacy. In fact, we are already seeing this shift to the Blockchain at a time of uncertainty – more and more institutions and individuals are adopting Bitcoin, as it is considered a stable and major asset in these difficult times. In any case, I believe that the COVID-19 firmly demonstrated the need not only for Blockchain technology, but also for a truly digital and intelligent economy. In the future, we must break with our current paradigm to embrace a truly digital and globalised world that has the flexibility, agility and efficiency to flourish and prosper.

Mike Belshe, CEO of BitGo

„The economic turmoil of our pandemic times is creating changes in attitudes and a greater interest in digital assets. The COVID-19 has significantly accelerated the adoption of and interest in crypto-currency around the world. It is important to note that the determined effort of companies like ours to build a secure and compliant base is enabling the influx of new investors in cryptomonies, including large institutional companies such as investment banks and large custodians. Fortunately, we are able to meet the moment as a result of all the hard work we have put into building a new monetary system from scratch these past 10 years. Before COVID-19, most people didn’t pay as much attention to the economic factors that make Bitcoin relevant. Frankly, they didn’t need to. If you’re making a profit in the stock market, you keep what you know, and you don’t have to worry about learning something new. But now all that has changed with the pandemic: fiscal policy around the world is causing governments to print money wildly, reducing its value and causing inflation. Investors now understand that they have to get ahead of this. They are asking many more questions and are understanding the basis of Bitcoin’s thesis: that an asset shortage is important. Digital assets are a hedge against inflation and a secure store of value. Investment leaders such as Paul Tudor Jones, Stanley Druckemiller and Bill Miller are proving that Bitcoin is now an important part of any portfolio. This year has brought a lot of uncertainty, but people feel empowered to educate themselves about what they need to do to get involved with cryptomonies. All the building blocks are in place – legal compliance, custody, liquidity, portfolio management and wallet technology, as well as tax tools – giving investors the tools they need to invest in digital assets.

Preston Byrne, Partner at Anderson Kill, P.C.:

„The most tangible impact of the COVID-19 outbreak on crypto-currencies was the validation of crypto-currency’s central thesis that our societies are fragile and that mathematics, not men, is likely to form a stronger foundation for future social organisation. The reliance of virtually all major economies on fiscal and monetary stimulus to keep afloat reinforced and broadened public perceptions of the weakness of traditional institutions and fiat money. Crypts‘ are a diverse set of beliefs and areas of interest ranging from hard money, to resistance to censorship, to secure communications. These technologies are a unique response to the social and business adaptation to the stress factors that have dominated the headlines over the past year, whether they are talking about ‚money printers go brr‘, the continuing exodus of big technologies or the widespread social unrest in cities.

Tim Draper, venture capitalist and leading investor at Bitcoin:

„Many people, trapped in their homes, finally made time to put together a Bitcoin portfolio, but the real impact of Covid was that the closure was devastating for many families, and when the government printed $13 billion to try and put a blindfold on it, it made it clear that you’d rather be holding Bitcoin than these diluted and dilutable dollars. I hope the ‚fiat duty‘ now includes the possession of some Bitcoin as flood cover and manipulation of government currency.“