U.S. banks can now hold cryptographic keys, meaning they can store Bitcoin, Ethereum, and other digital assets. Analysts say that this move is extremely positive for this space.
One commentator says that a move by U.S. banks to hedge and invest in Bitcoin, even with 1% of their assets, could send this market skyrocketing.
A growing number of Wall Street investors have revealed they’re holding Bitcoin as a hedge after considering the asset’s macro performance. Their positions are small, in most cases, making up a reported 1-3% of their portfolio.
Chart from TradingView.com
This may not sound like a lot. But an analyst recently reminded Crypto Twitter that a few percentage points here and there can go a long way.
How Bitcoin Could More Than Double
According to digital asset manager Charles Edwards, Bitcoin could more than double on one condition: “If US banks put just 1% of their assets into #Bitcoin as an investment, hedge or insurance…” He made this comment in reference to a chart from the Federal Reserve’s FRED board, which suggests that U.S. commercial banks own $20 trillion in assets.
This, of course, was a theoretical scenario. But, Edwards said that it’s “not hard to see where this is going,” referencing Grayscale’s Bitcoin accumulation.
This positive sentiment comes as a growing number of investors expect technicals and macroeconomics to push Bitcoin to $20,000. Bloomberg senior commodity analyst Mike McGlone said in a June report:
“Bitcoin is mirroring the 2016 return to its previous peak. That was the last time supply was halved, and the third year after a significant peak… Fast forward four years and the second year after the almost 75% decline in 2018, Bitcoin will approach the record high of about $20,000 this year, in our view, if it follows 2016’s trend.”
A Large Understatement
Although Bitcoin investors would embrace a move to $20,000, dozens of billions of dollars going into BTC would likely to more than double prices.
Analysis has found that whenever an investor puts $1 into the BTC market, the asset’s market capitalization moves up by more than that dollar. This is called a “fiat amplifier” or “fiat multiplier,” and it’s a byproduct of the liquidity of this nascent market.
Prominent trader Alex Kruger commented on why this amplifier exists in early 2019:
“Invest a relatively large sum in a small asset (in $ terms), where additionally a significant fraction is not liquid (i.e. does not trade, sits off exchanges) => prices skyrocket. Fixed supply compounds the impact. Another way to look at this: Want to buy 1,000 BTC ($3.8 million) at market on Coinbase? You need to cross the bid-ask spread. Doing so would result in approximately a 10% premium.”
There is debate on what exactly this amplifier is for Bitcoin. Calculations made in 2018 put the figure at anywhere from two times to 117 times, the latter figure having been estimated by JP Morgan.
Assuming a low-end estimate of five times, a $200 billion injection of capital into the Bitcoin market could send this market $1 trillion higher. That would imply a price of over $60,000 per coin. That means a base case estimate of ten times would mean Bitcoin surges to over $100,000 per coin.
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Price tags: xbtusd, btcusd, btcusdt
Charts from TradingView.com
Banks Putting 1% of Assets Into Bitcoin Could Send BTC Past $20k: Analyst origin »
Bitcoin has experienced a calm weekend, maintaining its momentum above the $100,000 mark after breaking this milestone on Wednesday and setting new highs. The crypto market is buzzing with anticipation as BTC consolidates near its historic levels, with traders and investors eagerly awaiting its next move.
Bitcoin price is back above $27,000 per coin after holding firm at $25,000 for a second time. If price fails to move below support and makes another run for resistance, bulls might finally buck the downtrend with a powerful, measured move to $42,000.
The Bitcoin (BTC) price has been trading in a range between $27,000 and $28,000 since Friday last week, with $27,800 currently being the most important resistance level to kick off a move to the upside.
Bitcoin (BTC) increased on Aug. 29, creating a bullish engulfing candlestick in the process to move back above $20,000.
The post Bitcoin (BTC) Price at Risk With Dormant Coins on the Move and JP Morgan Screaming Sell appeared first on BeInCrypto.
The Chinese authorities are behaving a bit strange. Previously, they’d make a statement or two on bitcoin and move on, but recently they’ve come across as relishing almost daily statements...
On Oct 20, the Bitcoin (BTC) price moved above the $12,050 resistance area, regaining all of the losses stemming from the early September fall. Despite this move, it’s not yet clear whether this is a new upward move or an upwards correction.
Bitcoin is once again teetering on the brink of seeing some serious downside, as the cryptocurrency is struggling to hold above its key $9,900 support The benchmark crypto has yet to plunge beneath this level, but the chances of it being broken do appear to be growing by the hour Most investors are anticipating this to result in a move down towards its CME gap at $9,700, which has yet to be filled Filling this […]
A top-line crypto trader, Josh Rager, speculates on the possible directions Bitcoin could take from its current position and says that either move will be beneficial
Ethereum (ETH) price analysis, Bitcoin SV (BSV), Litecoin (LTC), and XRP to leave the Top 10 list as DeFi assets move upwards, and Bitcoin (BTC) whales move funds.
Bitcoin has made a healthy retracement, down from the $10,000 level to now hovering around $9,800. A move that is considered to be setting a base for the Bitcoin’s future move still hasn’t gone below $9,700.
Bitcoin experienced a strong upward movement over the last two days as it gained 43% in value. Before the move happened, analysts predicted that there would be a further upside gains before the move happened.
Last weekend, Bitcoin (BTC) saw a historic move: in under 24 hours, the leading cryptocurrency shot higher by 42%, finding itself trading at $10,500 after falling as low as $7,300. This marked Bitcoin’s fourth-largest daily move in its history, and the largest move upward since 2011.
After seeing a sharp downward move earlier this week, for the past two days, Bitcoin is maintaining above $11,000 and flirting around $12,000 level, unable to make a strong move up yet. Currently, we are at $11,731, in the green by 0.
Bitcoin (BTC) has not experienced any substantial market movement since June 4. The world’s leading cryptocurrency has been fluctuating between $7,440 and $8,100 from the last seven days. The move has established a strict $600-wide sideways pattern, which is offering day traders plenty of opportunities to enter and exit the market on smaller profits.
Bitcoin price started a fresh upward move after trading as low as $7,519 against the US Dollar. The price gained pace above the $7,700 resistance and even traded above $7,800. Yesterday’s highlighted key bearish trend line was breached with resistance near $7,780 on the hourly chart of the BTC/USD pair (data feed from Kraken).
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Wirex, a cryptocurrency payments platform, has announced plans to launch a native cryptocurrency token. The British company says the token sale used to launch its cryptocurrency is all about product development and less about fundraising.
While the common universe may be unfamiliar with crypto’s uncertain market and its ongoing scams and controversies, players within the industry are aware of the role whale trading plays in changing market dimensions.
Bitcoin Surges Back to $8,000, Could Rally Higher In a surprising move, Bitcoin (BTC) bulls have returned in a move straight out of left field. After wallowing in between $7,500 and $7,800 for a number.
Bitcoin (BTC) hasn’t done all too hot over the past ten days, finally floundering above $9,000 to fall to $7,500, where the crypto sits now. In spite of this bearish price action, coupled with warnings that a move even lower is around the corner, there could be one industry catalyst that drives Bitcoin higher in.
The signals are all growing louder for Bitcoin price as a bigger move to the downside appears to be building. The closure of a large red weekly candle has seen BTC’s biggest loss since December 2018.
On the downside, if the bears eventually break the $7,500 price level, the market will fall to the lows of $7,000 or $7,400 price level. On the upside, if the $7,500 support level holds, the BTC price will resume its upward move to retest the overhead resistance level.
After days of inaction, Bitcoin (BTC) bears have finally shown their hand. In the past 24 hours, the leading cryptocurrency has lost around 3%, falling from a multi-day high of around $7,950 to $7,650 as of the time of writing this.
Bitcoin is yet again on the move as it inches upward touching $8,000 level. After going below $7,400 on June 4th and then still being in the same area, we have started seeing the greens. At the time of writing, BTC/USD has been trading at 7,850 with 24 hours loss of 3.13 percent. Talking about […]
172. 5 Suspicious Bitcoin On The Move Yesterday, the crypto community was in for a bit of a surprise. Bitcoin from the infamous 2016 hack of Bitfinex, which resulted in the theft of nearly 120,000 BTC,.
After a 2016 hack that resulted in 119,756 bitcoin being stolen from Bitfinex, a total of 720 bitcoin have now been moved by the hacker. Though some thought this suggested that Bitfinex had succeeded in making a deal with the hacker to receive some of the stolen funds back, Bitfinex's Marketing Director says this wasn't part of the redemption process outlined in the exchange's LEO token white paper.
Bitcoin stolen from Bitfinex in 2016 is on the move. Earlier today, a combined 172. 54 BTC ($1. 37 million) was mysteriously sent from the hacker‘s wallets to an unknown address. Bitfinex’ marketing director Anneka Dew however told Hard Fork that today’s movements had nothing to do with the company at all.
By CCN: The litecoin price has appreciated more than 18-percent this week, and fundamentals suggest that it could go even higher. The LTC-to-dollar rate today established an intraday high of $114.
Crypto markets have continued with their consolidation, waiting for Bitcoin to make a move. There are very few crypto assets doing anything today, but Litecoin is one of them, lifted further as the halving approaches.
All eyes are on Bitcoin and where it will go next. After failing to retest $8,000 over the past day, a downside move is looking more likely and Fibonacci levels could be key places to...
The post Fibonacci Levels Key in Bitcoin Support Zones, What’s Next For BTC? appeared first on Ethereum World News.
Ethereum is still hopelessly coupled to Bitcoin price and practically mirrors the movements of the world’s leading cryptocurrency. With BTC still vulnerable and a larger drop expected by many, ETH is very likely to follow suit and analysts are looking into support and resistance zones.
In September 2018, Apple launched the CryptoTokenKit to allow users to store and retain crypto tokens on their MacBooks. Now, Apple has launched a software development kit (SDK) to enable developers on iOS and MacOS to perform cryptographic operations securely.
Price action is not linear so any movements in either direction will come in stages. Bitcoin’s two day slide of over a thousand dollars may not be over yet, but at the moment BTC appears to be taking a breather.
Ever since the #DropGold campaign by Barry Silbert, the debate between gold enthusiasts and Bitcoin proponents has risen to a new level. CNBC guests, Jim Iuorio and Anthony Grisanti, went head-to-head during a discussion about the same.
Bitcoin price started a major downward move below the $8,200 and $8,000 supports against the US Dollar. The price even broke the key $7,600 support level and it is currently recovering higher. There are two major bearish trend lines forming with resistance near $7,950 and $8,200 on the hourly chart of the BTC/USD pair (data.
Bitcoin Fundamentals Are Better Than Ever Over the past week or so, Bitcoin (BTC) bulls have finally begun to relent. In a move uncharacteristic of the past six weeks, BTC has lost around 4% in. .
As from June 4th, 2019, OKCoin will no longer support Tron (TRX/USD) and Ethereum Classic (ETC/USD) margin trading. The exchange made this announcement earlier this week, saying that the move is aimed at concentrating their liquidity in their primary trading pairs.
Since Bitcoin was rejected at the $9,000 position late last week, the digital asset has had a troubling weekend. However, the slow drop during the weekend and at the start of the week has culminated in the early hours of Tuesday.
At long last, Bitcoin (BTC) has slipped. In a move uncharacteristic of the past six weeks, the cryptocurrency has lost some 10% in the past 72 hours, falling from $8,700 to $7,900. This $800 move lower is the most prominent bears have been since last month’s $8,000 to $9,100 trading range.
Bitcoin price fell below $8000 for the first time in over a week June 4 after several huge transactions appeared to move markets artificially. BTC Sheds $600 After Coinbase Sell-Off Data from cryptocurrency exchange Bitstamp painted a volatile picture for bitcoin Tuesday, BTC/USD suddenly dropping $500 in around 90 minutes.
On the downside, if the bears break below yesterday’s low, the BTC market will fall to the lows of $7,800 or $8,000 price level. On the upside, if the $8,200 price level holds, the bulls will resume its upward move and break the EMAs to reach the bullish trend zone. BTC/USD Medium-term Trend: Bearish Resistance […]
Total Market Cap Analysis Let’s first look at what the overall market is doing. As you know, all coin prices are highly correlated with bitcoin’s price action and by extension with the whole market.
At long last, Bitcoin (BTC) has begun to slip after trending in the mid-$8,000s for days on end. In a move expected by a number of analysts, BTC has dropped to $8,100 on most major crypto exchanges.
4H BCHBTC BCH was cemented in a horizontal channel between 0. 047 and 0. 053 BTC. On May 30th, it broke out of it to reach 0. 0554 BTC at one point. However, it quickly got taken out and dragged back down to the channel and is currently sitting on top of MA200 at 0.
Bitcoin price extended losses and traded below the $95,000 zone. BTC is showing bearish signs and might decline heavily below the $92,000 level. Bitcoin started a fresh decline below the $95,000 zone.
Bitcoin price extended losses and traded below the $100,000 zone. BTC is showing bearish signs and might continue to move down toward the $91,200 support zone. Bitcoin started a fresh decline from the $100,000 resistance zone.
Bitcoin price extended losses and traded below the $100,000 zone. BTC is struggling and might continue to move down toward the $92,000 support zone. Bitcoin started a fresh decline from the $102,000 resistance zone.
Bitcoin price started another decline below the $105,000 zone. BTC is down nearly 5% and attempting a close below the $100,000 support zone. Bitcoin started a fresh decline from the $108,000 resistance zone.
Bitcoin price started another increase above the $106,000 resistance zone. BTC traded to a new all-time high above $108,000 and is currently correcting gains. Bitcoin started a fresh surge above the $106,000 zone.
Bitcoin price struggled to clear the $102,000 resistance zone. BTC is correcting gains and might test the $97,500 support zone. Bitcoin started a downside correction from the $102,000 zone. The price is trading above $98,000 and the 100 hourly Simple moving average.
Elon Musk’s crypto investments have soared to staggering new heights, with the combined Bitcoin holdings of Tesla and SpaceX reaching an estimated value of $2 billion.
