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Here’s A Key Bullish Metric For Bitcoin (BTC) That No One’s Talking About

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Right now, Bitcoin (BTC) goes for in around $8200 apiece and currently trades for a market capitalization (at this price) of around $139 billion. Much time has been spent over the last six weeks or so trying to figure out where price will eventually bottom out and, subsequently to, turnaround to resume its overarching upside momentum.

Much of this analysis and time has been spent focusing on previous price levels as relates to things like moving averages as well as volume metrics.

There’s another key metric on which we can focus, however, that might be more accurate as far as allowing markets to ascertain exactly where things stand in the bitcoin price right now – market capitalization.

BTC Daily Chart

BTC Daily Chart

The thing with market capitalization in the space is that it doesn’t represent what it represents in the space for which the term was coined, the equities markets. This is something that many people overlook or ignore outright when evaluating coins. Ripple (XRP), for example, is priced at around $0.77, just a tiny fraction of bitcoin’s price, but its market capitalization puts it as the third-largest currency on the market.

There is a degree of similarity between the equities markets and the cryptocurrency space in that a larger total supply will generally result in a reduced price (analogous to a company issuing more shares and its share price reducing accordingly) but that’s about why things end, especially when you take into consideration that the token market capitalization is measured against fiat.

Anyway, the point where trying to make is that with the vast majority of coins, market capitalization isn’t a reliable metric. With bitcoin, however, it is. The fixed supply combined with the ever-increasing difficulty associated with bitcoin mining (in other words, the restricted rate of new coins entering the market) creates a situation in which market capitalization can be a major indication of strength or weakness.

In turn, we can look at historic key market capitalization levels as similar in implications to historic key price levels.

And we’ve got one in and around current pricing.

As mentioned, right now, bitcoin trades for a market capitalization of a little over $139 billion. $100 billion flat is a major psychological key level from a market capitalization perspective and it’s one that initially broke back in October, when price traded in around $6000. Subsequent to the break, the bitcoin price ran to around $7000 before dipping to retest the $100 billion market capitalization level. The retest proved strong (to a degree, at least, price broke below it for a single day before resuming its uptrend) suggesting that this is a major support level in markets right now.

Fast forward to February 6, and the bitcoin price fell to $6300, representing a market capitalization of $106 billion. From here, and as mentioned, it has since appreciated to current levels.

The assumption is, then, that this retest of $100 billion market capitalization as support, and importantly, this successful retest of this level, indicates that we could finally have seen the turning point for the markets and, in turn, that we should see a continued appreciation from here on out as markets recover towards the $10,000 mark and beyond.

Nothing is confirmed, of course, and if we fall once again to the $100 billion level, it will again become a key level to keep an eye on as indicative of near-term action, but as far as technical indicators go, this one looks sound.

Let’s see what happens.

We will be updating our subscribers as soon as we know more. For the latest on BTC, sign up below!

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.


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Bitcoin

Bitcoin Surges After Tesla Bought $1.5 Billion Worth of BTC

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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…

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Altcoins

XNO Token of Xeno NFT Hub listed on Bithumb Korea Exchange

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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…

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Bitcoin

Wisebitcoin Launches Professional-Grade Crypto Exchange

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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…

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