Tag: cryptocurrency

Bitcoin: My 1 Reason Why

Posted on by Gary Tanashian

MarketWatch used to pick up my posts on rare occasion but has not done so for a long time. Maybe they think I make fun of some of their articles or something. I don’t know what would give them that idea. I actually find MarketWatch useful in ironic and non-ironic ways.

But anyway, this morning an article tags along with the recent near-deafening Bitcoin noise…

6 reasons bitcoin is trading at its highest level since 2017 — and 1 warning

6 reasons are given for Bitcoin’s re-found popularity. They are the usual pap, including a Dollar/Gold rationalization.

“Bitcoin as a form of digital gold is also seeing its time in the sun as we see the floodgates open on monetary policy. Closing the sluice gate is more difficult than opening it,” Charles Hayter, founder and CEO of CryptoCompare, a company engaged in bitcoin data and analytics, told MarketWatch.

Bitcoin is not a form of digital gold. That is one of the zaniest things I’ve ever seen in print. I am admittedly an old fashioned gold valuing curmudgeon. But in my opinion, Bitcoin is a digital concept; one that I think can be controlled or co-opted by governments more readily than the gold buried in the woods behind some crusty old bug’s shack (to boot, the digital kids are not guarding their hoards with physical shotguns, just maybe virtual hacks or viruses).

1 Reason Why

It was time. Bitcoin is having its technical day in the sun and only this week hit the target NFTRH has had for it since early 2020. Due to nutty rationale like the above and the weight of momentum-fueled money starting to pile in, not to mention an overbought reading on this weekly chart, I think it can pull back here. Possibly to support at the 12500-13500 level. Continue reading "Bitcoin: My 1 Reason Why" →

Bitcoin And Cryptos Tank After Futures Trading Begins

Posted on by Matt Thalman

During the last week of September, the major cryptocurrencies got crushed. Bitcoin fell more than 20% from September 21st through September 26th and then slightly rebounded on the 27th by a little less than 2%. A 20% drop for the most well-known cryptocurrency is not uncommon these days, as it fell that much back in July. However, that doesn’t make it an easy pill to swallow when it happens.

But while Bitcoin fell 10% on September 24th, it's closet rivals, Ethereum, Ripple, Litecoin, and bitcoin cash fell even more, somewhere between 15% and 20% respectively. The likely cause was the lack of interest from institutional investors after the highly anticipated Bakkt crypto platform began trading its “physically” settled bitcoin futures contracts.

The Bakkt platform was announced more than a year ago and had partnerships with Microsoft and Starbucks and was being touted as a way for institutional investors to get involved with cryptocurrencies. The platform allows futures trading of crypto’s but settles the order with physical coins, not cash like other crypto futures platforms currently offer. The thinking was that because the futures contracts had to be settled with actual coins, this would increase the demand for the different crypto’s being traded through the futures contracts.

However, during the first hour, the platform was live, only five contracts were traded, and even after ten hours, only 28 contracts had traded hands. Many industry experts, both who follow the crypto markets and general futures contracts actually have come out and stated this sort of activity is normal for the first few days of a new commodity being offered through regulated futures contracts. They claim some brokers aren’t ready to clear it, while others want to wait and see how things go, while others may not even have the tickers populated on their risk systems. Continue reading "Bitcoin And Cryptos Tank After Futures Trading Begins" →

Libra - Facebook's Cryptocurrency Implications

Posted on by Noah Kiedrowski

Facebook Inc. (FB) is making a bold move that stands to have vast implications across its business model and its user base via launching its cryptocurrency called Libra. Cryptocurrencies are still in a nascent stage in terms of adoption, acceptance, application, and full understanding of these virtual coins. The cryptocurrency market thus far has been speculative, volatile, and met with skepticism from users and governments alike. Despite the tumultuous albeit short history of cryptocurrencies, these alternative forms of currency have vast implications. These implications include potential disruption of central banks, destabilizing government-backed currencies, reshaping the financial transactions space (i.e., banks and credit cards) while displacing central database infrastructures via blockchain (i.e., banks, clearinghouses, credit card networks). Facebook’s Libra stands to address the unbanked (those without traditional bank accounts) segment of its user base in a major way. The President and Jerome Powell, along with many others in government have either voiced concerns or publically made clear that they’re not embracing this move by Facebook. Government officials are concerned about appropriate regulatory framework being in place considering the company’s past privacy scandals. Nonetheless, will this cryptocurrency bode well for Facebook moving forward?

What is Libra?

Libra will be dissimilar from Bitcoin in its underpinning blockchain technology and mining. Libra will not run on a decentralized disturbed blockchain ledger, and no mining of any additional coins will occur. The blockchain is permissioned and will be managed by the Libra Association, which is a membership organization that consists of 27 payment, technology, telecommunication, online marketplace, venture capital, and non-profits. Libra is planned to be launched sometime next year 2020. Libra will allegedly be backed by financial assets such as a basket of currencies and US Treasuries to circumvent volatility. Unlike Bitcoin, which isn’t backed by anything and can highly volatile, Libra’s value should be anchored and less variable. Each member of the Libra Association will add $10 million, so the cryptocurrency has full asset backing. The supply of Libra will expand and contract based on demand; if demand is high, then the association will purchase more of the underlying assets and create new Libra. If users want to cash out of the cryptocurrency, the association will pay them and destroy the equivalent amount of Libra. Continue reading "Libra - Facebook's Cryptocurrency Implications" →

Chip Maker Hits Target, Beats Rivals and Bitcoin

Posted on by Aibek Burabayev

Last November I shared a promising trading opportunity to play on the Modern “Gold Rush” For Cryptocoins. Like the Great Gold Rush, I thought that those who sell equipment could benefit from new a “tulip mania” as this crypto buzz was called in the media.

I selected three chip makers, which were well known for the broad use of their products in the “mining” of cryptocoins. These companies are NVIDIA Corporation (NVDA), Advanced Micro Devices, Inc (AMD) and Taiwan Semiconductor Manufacturing Company, Limited (TSM). Firstly, I made the same comparative chart analysis of their stocks as I usually do for the classic mining stocks; it is funny that the word “mining” I used here has a totally different meaning.

We were on the right path as despite the market euphoria there was one stock, which lagged behind the others and the gap was significant. The laggard Advanced Micro Devices (AMD). It was the only one, which showed the negative price dynamics for the first ten months of 2017 with a -2.71% loss compared to +104.58% for NVDA, +43.94% for TSM and +14.62% for S&P 500. Continue reading "Chip Maker Hits Target, Beats Rivals and Bitcoin" →

Square Just Made It A Lot Easier To Own Bitcoin

Posted on by Matt Thalman

Matt Thalman - INO.com Contributor - ETFs


A few weeks ago, Square’s Cash Application began allowing users to buy, sell, and hold the crypto-currency Bitcoin. Square’s Cash App, which is generally used to transfer money, has now unofficially endorsed the crypto-currency with what is essentially a trial offering to a limited number of Cash App customers. It should be noted that Square has allowed customers to use Bitcoin as a form of payment for nearly two years now, but customers needed to purchase their Bitcoin’s through other methods in the past.

In a statement, a Square spokesperson said, “We’re always listening to our customers, and we’ve found that they are interested in using the Cash App to buy Bitcoin. We’re exploring how Square can make this experience faster and easier, and have rolled out this feature to a small number of Cash App customers. We believe cryptocurrency can greatly impact the ability of individuals to participate in the global financial system and we’re excited to learn more here.”

Square’s Chief Executive Officer Jack Dorsey is a believer in crypto-currencies and the blockchain technology they are built on. He recently told an interviewer that blockchain is “the next big unlock.” The interview went further, and Dorsey disclosed that friends and family had asked him how they could buy Bitcoin, which may be an insight into why he has moved Square in its current direction. Continue reading "Square Just Made It A Lot Easier To Own Bitcoin" →