Connect with us

Bitcoin

3 Reasons Why Bitcoin Will Go Down in September

Published

on

why is Bitcoin going down

We all keep asking ourselves the same question, why is Bitcoin going down? The price of Bitcoin (BTC) at the moment of writing this, is headed in a direction contrary to what we had all hoped for after the slight recovery due to a decline catalyzed be the Goldman Sachs fake news of September 5th. BTC looked like it had dipped for the last time on the 12th of September when it was valued at around $6,250. It would then briefly rally to $6,580 leading many to believe a bottom had been reached.

One such individual who believed this theory was the ex-fund manager and billionaire investor, Michael Novogratz, who tweeted the following:

I think we put in a low yesterday [12th September]. retouched the highs of late last year and the point of acceleration that led to the massive rally/bubble… markets like to retrace to the breakout..we retraced the whole of the bubble.

Why is Bitcoin going down?

Firstly, on the 16th and 17th of September, Bitcoin experienced its lowest trade volumes since November last year. Further checking coinmarketcap, we find that the 24-hour trade volume on these two days was valued between $3.1 Billion and $3.2 Billion rather than its usual levels above $3.5 Billion.

BTC low trade volumes on the 16th and 17th of September. Source, coinmarketcap.com

The low trade volumes are an indicator that there is reduced trading and interest in the digital asset of BTC. Less interest equals a bear market. The 24-hour trade volume today has since increased to $3.9 Billion and Bitcoin is currently trading at $6,278.

Secondly, there is an Mt. Gox creditors meeting on the 26th of September. We all know that the liquidation of the entire Bitcoin stash to pay creditors of the exchange could literally drop BTC to levels unseen in the last 2 years. The BTC held by the Mt. Gox trustee is in the thousands (over 170,000)  and given current market conditions, it could tank the market.

The announcement of the September 26th meeting was made as follows.

“Meeting for reporting the status of property and submission deadline for a report under Article 125 of the Civil Rehabilitation Act: September 26, 2018”

Therefore, whatever information that will be reported on this date, could impact an already volatile market in a negative manner.

Thirdly, and keeping in mind that the crypto-market is still volatile, the deadline for an SEC verdict on the CBOE sponsored Bitcoin ETF is the 30th of September. Using past SEC announcements and decisions, if the verdict will be postponed, they will announce it before the 30th. The other side of the picture is if there is a rejection of the proposed rule change through the ETF application. In the case of the latter, the SEC will announce a rejection on the 30th.

The possibility of the CBOE sponsored Bitcoin ETF getting approved by the SEC are slim. This is why we have only explored the two possibilities highlighted above. If the SEC would embark on either of the two paths, the crypto market will respond with a knee-jerk reaction that might include panic selling.

In conclusion, and not wanting to sound too pessimistic, the next two weeks are probably one of the most uncertain weeks in the history of the value of BTC. All indicators point towards a bear market, but a crypto miracle is also a possibility before the 30th.

Check out the latest video from our Editor In Chief on the Crypto Rich show!

For the latest cryptocurrency news, join our Telegram!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. The author is long Bitcoin. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Pexels

Bitcoin

Blockchain technology outshines Bitcoin and Gold during global pandemic

Published

on

As the popularity of cryptocurrencies such as Bitcoin begins to level up with investments made in metals such as Gold, together they have both made significant advantages for investors who have taken a leap to invest in them.

However, thanks to the pandemic and the dynamic shift in investing and the economy, many investors have seen fluctuating losses and gains thanks to the uncertainty of the current business world. 

Many investors that backed companies who have exposure to blockchain technology have seen an approximate amount of 54% return on investments over the past year. This is even after considering how hard the global tech market and companies have been hit since the beginning of the pandemic.

What is blockchain technology?

Blockchain technology was first introduced as a supportive technology for Bitcoin. A blockchain is a simple, unchangeable and un-hackable digital ledger that holds transactions in little blocks attached to a chain. The transaction is duplicated and distributed across the entire network of systems on the blockchain, making it available for everyone on the network to see. 

Each block in the chain contains various transactions which are recorded on the participant ledger every time a transaction takes place. The database is decentralised and is managed by multiple participants known as Distributed Ledger Technology (DLT).

Although blockchain technology was birthed from Bitcoin and was widely adopted for the use of cryptocurrencies, the way it works and its security has made…

Continue Reading

Bitcoin

Bitcoin Surges After Tesla Bought $1.5 Billion Worth of BTC

Published

on

Cryptocurrency

The sudden rise of Bitcoin has been connected to the decision taken by the Tesla electric car company to buy $1.5 billion worth of Bitcoin.

The company explained in a filing with the Securities and Exchange Commission (SEC) that it bought Bitcoin to diversify its cash returns and more flexibility.

Musk’s Tweets also impacted Dogecoin’s price

Tesla also added that it will start accepting Bitcoin payments for all its products, although this will be based on a limited basis and applicable laws. If the company concludes and starts accepting cryptocurrency, it will make it the first major car manufacturer to accept Bitcoin payments. The company’s founder and Chief Executive Officer Elon Musk has developed an interest in Bitcoin and cryptocurrencies.

He has been tweeting severally about the viability of the Dogecoin (DOGE), which doesn’t have an important market value attached to it.

Few hours after endorsing Dogecoin, the cryptocurrency rose by an impressive 50%. But regulatory authorities are still concerned about the risks in cryptocurrency investments, with several regulatory bodies warning traders and investors they could lose all their money from crypto investments.

But for Tesla, the company decides to diversify its funds and increased its cash returns. However, Tesla also warned investors about the volatility of Bitcoin’s price in its SEC filing. According to the SEC…

Continue Reading

Altcoins

XNO Token of Xeno NFT Hub listed on Bithumb Korea Exchange

Published

on

Hong Kong, Hong Kong, 25th January, 2021, // ChainWire //

Xeno Holdings Limited (xno.live ), a blockchain solutions company based in Hong Kong, has announced the listing of its ecosystem utility token XNO on the ‘Bithumb Korea’ cryptocurrency exchange on January 21st 2021.

Xeno NFT Hub (market.xno.live ), developed by Xeno Holdings, enables easy minting of digital items into NFTs while also providing a marketplace where anyone can securely trade NFTs.

The Xeno NFT Hub project team includes former members of the technology project Yosemite X based in San Francisco and professionals such as Gabby Dizon who is a games industry expert and NFT space influencer based in Southeast Asia.

NFT(Non-Fungible Token) technology has recently gained huge focus in the blockchain arena and beyond, making waves in the online gaming sector, the art world, and the digital copyrights industry in recent years. The strongest feature of NFTs is that “NFTs are unique digital assets that cannot be replaced or forged”. Unlike fungible tokens such as Bitcoin or Ether, NFTs are not interchangeable for other tokens of the same type but instead each NFT has a unique value and specific information that cannot be replaced. This fact makes NFTs the perfect solution to record and prove ownership of digital and real-world items like works of art, game items, limited-edition collectibles, and more.

NFTs are already being actively traded in markets globally. For…

Continue Reading

Press Release