Connect with us

Bitcoin

Bitcoin Holding its Own Against Widespread Criticism

Published

on

Bitcoin

The Cryptocurrency market has always been on the receiving end of criticism, especially from the more traditional and conservative sectors of the economy. Ever since its introduction quite some years ago, the success of Bitcoin has been growing exponentially, with its value expansion termed as one of the biggest value explosions in recent history. However, despite the popularity, widespread adoption and general acceptance of Bitcoin, there are several who criticise the system, citing technological flaws as the main reason.

As with the case of any digital system, past issues and bugs have made some people disenchanted with Bitcoin from the start. This negative sentiment in and around Bitcoin and its perceived regulations around the world severely affects the value of Bitcoin, which at the moment is experiencing a slow but sharp decline. In this article, we aim to discuss the reasons for the negative perception towards Bitcoin, which is fuelled by some interesting developments in the market.

Bitcoin In The News:

  1. Revelations about Bitcoin’s Alert System: An interesting development took place on June 25th, where it was revealed that that Bitcoin’s age-old alert system was slated to release again after it was discontinued a few years back. For those who don’t know, Bitcoin had an alert system which was once used to flash a text warning in case of any danger to the network. The alert system was removed in 2016 when the Bitcoin Developers released a new code without it. A final message was broadcast in January 2017. Bitcoin Core contributor Bryan Bishop in an interview with Coindesk announced his intentions to release the key in the near future. While it remains to be seen how much of substance is attached to his claim, the release of this key poses a threat to all existing altcoins which have used an older version of Bitcoin’s code, without disabling the alert key mechanism.
  2. Clem Chambers’ and his bearish Stance Against Bitcoin: It is no surprise to see a well-known business entity or personality express their distrust towards the Bitcoin phenomenon with the CEO of ADVFN Clem Chambers predicting “another heavy fall” for Bitcoin in the near future.

According to his statement, “Well, there is such a signal and it’s mining rewards. I look at the rewards for the powerful 1080ti Nvidia card to get my guide. Right now it has fallen off the charts. A few weeks back and the card would excavate $3.50 of bitcoin-equivalent altcoins but right now you are lucky to dig $1.50. This is a flashing warning to me as the drop in mining rewards has been faster than the drop in bitcoin’s dollar price and is at the lowest end of the range in the last year.”

Clem cited the crashes of 2013 and 2014 as key indicators for Bitcoin’s fate in the near future.

  1. Brian Kelly’s Criticism: CNBC analyst Brian Kelly, in a Segment called “Fast Money” had expressed doubt on Bitcoin’s current price action, and believes that it is moving towards the bottom. He cited many reasons as contributing factors towards this decrease, highlighting the recent fiat currency troubles in Iran and Argentina. According to him, “Over the weekend we saw Bitcoin hit new lows […] and then within about 10 or 15 minutes, you had a huge ramp up — one hundred or two hundred points. That’s typically the action that Bitcoin has shown at bottoms.”
  2. Australian Reserve bank’s Mixed Stance towards Bitcoin: On June 26th, Tony Richards, head of payment policies in Australia’s Reserve Bank, noted that Bitcoin and Cryptocurrencies in general still have some major weaknesses which discourage centra banks to adopt a similar currency of their own.  In an argument, he compared Bitcoin’s processing speed with that of Visa, citing Bitcoin’s 4.5 transactions per second being dwarfed by Visa’s speed of 65,000 transactions per second.  According to him, this points out the problem with the scalability and governance model of the Bitcoin currency.
  3. Alibaba’s Jack Ma Comments: Alibaba’s Chairman, Mr. Jack Ma expressed a different opinion towards on cryptocurrencies in general, saying that his company has a positive stance towards Blockchain technology, but advises against investing in Bitcoin. According to him, Bitcoin is a volatile type of currency which makes it a classic example of a “bubble”.
  4. Spencer Bogart’s Negative comments and FTC Warnings: Blockchain Capital partner Spencer Bogart has also hit out against Bitcoin saying that prices are expected to dip further, taking examples from Bitcoin’s position in the summer of 2017. The Federal Trade Commission added fuel to the fire by revealing that consumers lost a total of $532 million in cryptocurrency related scams, that too in the first two months of 2018.  With many in the FTC expecting the figure to rise to $3 billion, the FTC recommends traders and investors to explicitly stay away from cryptocurrencies, especially Bitcoin.

Final Thoughts:

At the time of writing, Bitcoin’s price has decreased to $6,069 compared to yesterday’s high of $6,241. Analysts believe that even though Bitcoin’s prices have dropped, it can still outperform other crypto related assets. It is expected that if Bitcoin closes in on a break below the $6000 mark, it could trigger a risk aversion in the market forcing investors to flock towards Bitcoin again.

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. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Zach Copley via Flickr

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

Bitcoin

Wisebitcoin Launches Professional-Grade Crypto Exchange

Published

on

Infrastructure is developing rapidly in the cryptocurrency industry, but the recent launch of the Wisebitcoin cryptocurrency exchange is nonetheless significant in terms of the immediate value it provides to cryptocurrency users. That’s because the exchange has had a beta version available since 2018 while continuing further developments in stealth mode, and already serves over 1.2 million end users with $6+ billion in 24 hour trading volume at the time of its official launch.

In addition to the large user base and deep liquidity, Wisebitcoin also stands out by offering up to 100x leverage to margin traders, with the ability to open a long or short position in their futures market. In the current bullish environment, leverage is a key way that experienced traders increase their exposure and try to profit from volatility.

For example, if a user opened a long position on ETH on January 2nd at a price of $750, they could have greatly multiplied their profits with even a small amount of leverage such as 5x as ETH reached over $1,100 within 48 hours. A simple unleveraged position would have netted $350 in profit, but a 5x position would have netted $1,750 and a 100x leveraged position would have netted an incredible $35,000 in profits from an initial investment of just $750. 

Beyond leverage, Wisebitcoin additionally offers a simple and…

Continue Reading

Press Release