The weekend warriors did their best, but a new target above USD 11,000 did not occur, even if the bulls did put an end to the longest weekly losing streak for Bitcoin since November 2018.
That is still good news, and altcoins definitely seemed to have taken the positive side of things as they mostly registered continued gains over Sunday even as Bitcoin price faltered, but the worry now is that profit taking in Asia will be replicated in Europe and North America, leading to further losses.
One analyst even before the weekend slump did already point to a possible new low of USD 7,000, after bringing up talks of a large falling wedge that will see that price before a sustainable rally can take place. BTC Jack Sparrow does say, however, that following that, a breakout will cause price to “throttle full force” and power towards ATH as the next halving event approaches.
I think this is the most likely scenario for $BTC
Bleed our way to 7.4K in a falling wedge bottom in early November
From there we push in to breakout and throttle full force, making our way back above $10K late November or in December and set course for near ATH towards halving pic.twitter.com/j5lXXkuqYT
— Bitcoin 𝕵ack (@BTC_JackSparrow) September 7, 2019
But the consistency of price that bounces back into five digit areas after touching lows of USD 9,000 makes the stronger case for long-term bullishness.
Last week’s speculation about sudden whale movements for Bitcoin continues to pique interest, with stronger and stronger evidence linking the large transactions to Bakkt warehousing facilities, coming up to its launch in about two weeks’ time.
What's up at Bakkt. The equivalent is about $ 1 billion at the current Bitcoin price. It should be noted that this can be a pseudo-correlation. Thus, it is likely that there are coins that are parked in the Bakkt Warehouse (94,505.13BTC) There is only one position where I pic.twitter.com/5korhUdops
— Roland Burren (@wallstreet86) September 9, 2019
Even though this can only be a “pseudo correlation”, as put by trader Roland Burren, if it is true that almost 100,000 BTC is parked and waiting for futures buys, it can only mean that trading volume is going to shoot up in the final week of September. It is also important to note that in the same week, other derivatives contracts like Bitcoin futures at CME are also expiring. Will money move from cash-settled futures to Bitcoin-settled ones? That’s what everyone is waiting to see.
If sentiment is looking for some fundamental strength to begin picking up, one only needs to look at hash rate and transactions as the slow but steady signs of Bitcoin adoption and network security growth. But another metric is also increasing quietly: the number of unique Bitcoin addresses being generated and used each day.
Since 2017 when Bitcoin made mainstream headlines all over the year, addresses have been created at an increasing rate, but more interestingly, the largest gain is being witnessed by addresses owning less than 1 million satoshis. This means to say, it isn’t just whales that are picking up and accumulating, but also regular people trying to get bitcoin worth about $100 or less (at current prices).
The Block’s director of research, Larry Cermak, sees this indicator as an extremely positive sign for mainstream adoption:
“This is probably the most bullish chart on Bitcoin I’ve seen to date. Even though a single person can own multiple addresses, this to me clearly indicates user growth and an improving distribution.”
Coinmetrics data backed up these claims, showing that even in the crypto winter of 2018, people were still getting into Bitcoin. Of course, the top 100 richest addresses are also slowly growing in their wealth held, but the disproportionate concentration of coins at the wealthy few is slowly becoming more distributed.
And if anyone was worried about their stashes of bitcoin getting hacked, it seems that crypto insurance is the new answer, at least according to one article published in Forbes. It estimates that a near USD 300 billion industry is now fuelling a demand for insurance, with insurers like Lloyd’s of London and Aon seeing their profits rise from providing these products.
Cyber security firm Coalition’s CEO, Joshua Motta, put the crypto insurance at between USD 200 and 500 million in revenue from premiums. And he believes that there is still a lot more room to grow, with only less than USD 1 billion available in insurance coverage. Ty Sagalow, chief insurance officer at crypto insurance firm BlockRe, declared:
“I see this market as the next cyber. It will grow to a multibillion-dollar premium market within the next five to ten years.”
Feeling safer yet? It might finally make sense to invest all your hard-earned crypto in all those passive income streams, letting go of your private key control, if you had your entire sums insured. Will this convince people to finally buy more crypto with the security of traditional insurance coverage providing them with a safety net?
In Japan, where crypto exchanges are only allowed to get a license if they manage to insure all deposits by their users, this certainly seems to be the case. Maybe for the rest of the world too.
BitcoinNews.com is committed to unbiased news and upholding journalistic codes of ethics. For more information please read our Editorial Policy here.
Follow BitcoinNews.com on Twitter: @bitcoinnewscom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Image Courtesy: Pixabay
The post Daily Trending News and Market Sentiment: Falling Wedges, Rising Adoption, Crypto Insurance appeared first on BitcoinNews.com.
from BitcoinNews.com RSS Feed
via TOday BItcoin New
0 Comments:
Post a Comment