Bitcoin’s price is starting to make gains after what turned out to be a rather dull halving event. With daily active bitcoin addresses at the highest level since 2018, interest in bitcoin could be heading even higher.
The world’s first cryptocurrency is now trading above its 10-day and 50-day moving averages, a bullish technical indicator. This reversal comes after a huge 10% drop in price on May 10 that led to bearish sentiment ahead of the bitcoin halving, which occurred May 11 at 19:23 UTC (3:23 p.m. ET).
While the halving was pretty much a non-event for most traders, many are keeping an eye on various bitcoin-related statistics beyond price. Difficulty, which determines how demanding it is for mining machines to mine a bitcoin block, is one example.
Another metric to watch is the number of active bitcoin addresses. On May 11, the number of active addresses on the bitcoin network totaled 943,869 – the highest number since Jan. 28, 2018, according to data from Glassnode. That was during bitcoin’s frothy 2017-2018 bubble, when prices went as high as $19,915
Those who became interested in bitcoin as a result of its halving might be tempted to stick around if the price increases.
Like they say in Show Business. There’s no such thing as bad PR. With all the publicity around the halving, all the new people getting into it, all the new Bitcoin addresses that have been created, more people are jumping on board the cryptocurrency train.
The price hasn’t dropped down any further, so it might actually just go up.
The value of assets for all stablecoins surpassed $10 billion Tuesday, having surged by over 70% in just two months, according to Coin Metrics. Stablecoin supply growth comes as more cryptocurrency traders choose to trade alternative cryptocurrencies (or altcoins) using dollar-backed digital tokens instead of bitcoin.
Most of the stablecoin growth comes from tether, which represents almost 90% of the total stablecoin supply. The largest tether markets measured by traded volume are supported by two Asia-based exchanges, Binance and Huobi.
Almost every exchange offers the choice to trade assets priced in different quote currencies, usually dollars or bitcoins.
Now there could be multiple factors on why tether and other stable coins are actually going up meaning more people use them. Not that their value increases. One; because a lot of exchanges require you to actually use USDT to buy Bitcoin. So you deposit in USD, then you have to buy USDT. Then you can buy Bitcoin. So it’s increasing their transactions because that’s how these exchanges make their money. So the more transactions you have the more money the Exchange makes.
The second thing; which isn’t so common but it actually happens. A lot of people that aren’t familiar with cryptocurrencies are looking at different cryptocurrencies and then they see the symbol for tether and they’ve even asked me. “Hey, what do you think about tether? It’s a good price. Will it go up?” and I just shake my head saying it’s pegged to the u.s. Dollar. It’s never going to move.
Its CEO once called bitcoin a fraud but now U.S. banking giant JPMorgan Chase has added its first cryptocurrency exchange customers
Sources told The Wall Street Journal Tuesday the bank signed two popular regulated exchanges – Coinbase and Gemini
The fact that both exchanges are regulated in the U.S. was apparently a factor in the approvals, which still took a lengthy period of vetting
Accounts for the two crypto firms were approved last month
The move by JPMorgan is notable in a nation where banking services are hard to come by for any firms dealing with cryptocurrencies, which are viewed as a high risk by the banking industry. Until now, exchanges and other firms working with digital assets have been served by a few crypto-friendly banking institutions such as Silvergate.
They say As crypto matures, there are increasingly many companies that have perfectly robust risk management systems and do have an ability to comply with those laws, and they shouldn’t have trouble finding bank relationships
With cryptocurrency firms now accepted by a major bank, it’s possible other institutions may follow suit. The traditional finance industry has been becoming more open to the financial technology as it proves a worthy investment at a time when the markets’ favorite assets are struggling.
So far this year, bitcoin is up 20%, while the S&P 500 stock index is down 9.3% and oil has fallen 66%. Traditional safe haven gold is up just 11.5% at a time when markets have been reeling from the effects of the coronavirus pandemic.
Many people in the past have been under the belief that Bitcoin and cryptocurrencies are complete scam, they’re worthless, they’re not valued as anything. Having a huge financial institution like JP Morgan Chase use their services to back to Major exchanges in the United States is a humongous move and will take us in the step of wider adoption by the global population. Not only that, but big hedge funds like the one run by Paul Tudor Jones are now allocating 1 to 2% in Bitcoin Futures.
When new things come out there is a long period of early adopters, then it starts taking off, then big businesses get in, and that’s when the global population says; “I’m okay with this.” It’s a very very long transition from the time a new thing is invented to the time where it’s fully used by everybody. Think about the internet. When it first came out very few people used it, today, everybody uses the internet. Cryptocurrencies are just the internet of money.
Bitcoin’s Price Is Rising Despite a Dull Halving
Stablecoin Supply Breaks $10B as Traders Demand Dollars Over Bitcoin
JPMorgan Bank Takes on Coinbase, Gemini as Its First Crypto Exchange Customers
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