Top crypto news of the week: A whale broke the 10 thousand dollar mark, 8 Bitcoin predictions and much more
The great story of the week is obviously overcoming the 10 thousand dollar barrier by Bitcoin. We did it. But modestly. It is an important step, because breaking a psychological barrier as significant as that is always something to celebrate. And naturally it is a very hopeful bullish signal. We did it, but modestly. It is a triumph, but it is a conservative triumph. It usually happens that just after overcoming such a barrier the price goes to the moon. Because the new enthusiasm drives greater achievements. However, this time, we did not take an epic leap after crossing the 10 thousand threshold. The market showed an atypical sanity. Are we maturing? Many want Bitcoin to rise to the moon every week. I am one of the few who do not want that. Frankly, I prefer slow growth, but surely a roller coaster of madness. Now, let’s talk about the most read krypton news this week.
Coinbase says that in 93 days Bitcoin will be very close to being digital gold
Certainly our eyes are currently in halving. Halving is a very important event for Bitcoin for the simple reason that makes Bitcoin an increasingly scarce asset. In 3 months, as happens every 4 years, the reward of miners is reduced by half. That obviously affects the flow / existence relationship of Bitcoin. This, of course, does wonders for the price. We will have less new bitcoins after halving, but the demand would be the same. So, you don’t have to be a genius to know that an increasingly scarce asset with growing demand is destined to rise in price.
However, this is the theory. How does it work in practice? Well, you could say that for the price of Bitcoin to rise due to halving, the miners must suffer a bit. Not for a long time, but for a good while. Why? The rewards are cut in half, but the expenses of the miners remain the same. That means that for a while it is highly likely that the production price of a bitcoin will be lower than its market price. That is, the miners would be producing at a loss. Many small miners would be forced to shut down their machines. After all, nobody likes to work to lose. On the other hand, the big miners would be in a better position, because most of them can afford not to have to sell any of their newly mined bitcoins to pay the bills because, in general, they have reserved fiat money for those ends.
In other words, mined bitcoins would not be sold and preserved, hoping for a better price in the future. Sales generate bearish pressure. Then, in the absence of this pressure the price naturally rises. Of course, this is a relatively long process. It is not something of days, it is something of months. In the last two halvings, affection has really been felt the following year of the year of halving. Will history repeat itself this time?
A whale in Bittrex is trying to create enough FOMO for the price of Bitcoin to break the USD 10,000 mark
As is our custom, the theory of the mysterious and manipulative whale could not be lacking to explain the ups and downs of Bitcoin. You could say that it is our national sport. Whale watching is definitely one of our biggest passions. And we cannot resist the temptation to resort to them when we do not know what is happening in the market. As we cannot recognize our ignorance, we have to resort to our emergency wild card: The conspiracy theory. And the theory of the mysterious whale that operates behind the scenes to manipulate everything is simply irresistible.
Of course there have always been great actors trying to manipulate the markets. That is no secret. In fact, it is natural. The interesting thing is the magical effect that the myth of the mysterious whale has on the imaginary bitcoiner. It is irresistibly tempting. What’s going on? It must be a whale. Ray!
8 Bitcoin predictions for 2020-2025
When many things are predicted, they will surely approach each other and not. But I think it would not be foolish to assume that Bitcoin will grow in many ways. That is, in the coming years, their fundamentals will surely be strengthened. The community will grow. The infrastructure will grow. The price will rise. That is likely to be the case because the data confirms this. In addition, one thing leads to another. In other words, it is the domino effect. Technical improvements stimulate usability. Usability creates community. The community raises the price. The price increase attracts people. More people in the system involve more people working on the development of improvements and infrastructure. And so. The growth of one aspect stimulates growth
In my humble opinion, 7 of the 8 predictions mentioned in this kryptonotice are a shot to the ground. That goes with full security. Something might take a little longer. Something might take a little less. But sooner or later those things go. Commercial adoption will grow. Stock exchange funds will be approved someday. Many of the second layer solutions will be a success. In short, the fundamentals will rise like foam in the coming years. The article as such did not take many risks in its predictions. The most daring prediction is that of the categorical failure of the Facebook pound project. Of the 8 predictions, this one, the pound one, is not so clear. It is true that Facebook has received a very hard beating from regulators. And yes, surely the original project will be forced to change in many ways. And its official launch will be postponed. But we cannot underestimate the power of a corporation the size and importance of Facebook. They are not helpless babies. They have a strategy and will return the blows. Will they succeed? It is difficult to make a prediction.
Traders say the price of Bitcoin could drop to USD 6,800 if another Coronavirus-style event is presented
In life you always have to have an illusion. It is important to have something that has the power to get up in the morning. An illusion. A hope. A dream. Something. Not everyone has the ability to endure a life without the dream of a better future. That applies to life and applies to financial markets. And in crypto space it applies much more. Without the hope of something big on the way, the enthusiasm goes out and the price deflates. Now we have the halving and the idea that the coronavirus and geopolitical tensions are increasing the price of Bitcoin. This flame has to be kept alive with more wood so that it does not go out. Boredom is fatal to the markets. You have to have an illusion. If it does not exist, it must be invented.
They will install a new cryptocurrency ATM: this time it will be used to buy and sell using dollars
The dollarization in fact in Venezuela took flight and by the winds that blow there is no turning back. The dollar circulates everywhere and it is natural that the idea of a Bitcoin ATM that works with dollars has emerged. The dollar is not the legal tender in Venezuela. But with an inflation of madness the dollar is simply more convenient than the Bolivar. The commercial use of the dollar in Venezuela is such that the Government had no choice but to tolerate the practice. A Bitcoin-dollar cashier in Venezuela is throwing it away from home run.
Disclaimer: This press release is for informational purposes information does not constitute investment advice or an offer to invest. The views expressed in this article are those of the author and do not necessarily represent the views of infocoin, and should not be attributed to, Infocoin.