Peter Chung, an analyst of Presto Research, has examined the intensity of the selloff that ostensibly will be caused by the repayment of Mt Gox creditors, set to flood the market with close to 142,000 BTC between July and October. According to Chung, BCH will hurt the most with this selloff, given its weaker investor […]
Bitcoin News
NFT Sales Take a Hit — Last Month’s Sales Dropped 46% Compared to May
Although non-fungible token (NFT) markets showed improved performance over the past week, June’s sales figures were significantly worse compared to May. Over the last 30 days, NFT sales have decreased by 46.31%. June’s NFT Market Faces Steep Decline June proved to be challenging for digital collectible sales, experiencing a 46.31% drop compared to May, which […]
Bitcoin News
What Triggered The 6,350% Spike In XRP Long Liquidations Compared To Shorts?
The bulls have continued to take a beating in the market, and XRP bulls, in particular, were recently in the spotlight as .27 million was liquidated from their long positions. This 6,350% spike in long liquidations is likely due to XRP’s recent price action, highlighting the general sentiment in its ecosystem.
.27 Million In Longs Get Liquidated
Data from Coinglass shows that .27 million in long positions have been liquidated in the last 24 hours. This is massive in comparison to the ,220 liquidated in short positions during this period. This occurrence was likely due to the 3.85% drop in XRP’s price, as the crypto token dropped to as low as .51 in the last 24 hours.
XRP’s price decline during this period is believed to have been caused by the sharp correction in Bitcoin’s price, with the flagship crypto dropping below ,000 again. However, there also seems to be a bearish sentiment in the XRP ecosystem, as data in the XRP derivatives market shows that trading volume has dropped by over 26%.
Meanwhile, options trading volume has also dropped by over 46%. These figures suggest that XRP investors are choosing to remain on the sidelines, seeing as the bears look to have the upper hand at the moment. However, the bright spot is that there has been an uptick in open interest, which means some bulls are still willing to bet on the crypto token.
These bulls might have a good reason to gamble on the crypto token, seeing as crypto analysts are predicting significant moves for XRP. Specifically, crypto analyst Jonathan Carter recently predicted that XRP could rise to .93 and further to .68. There is also the feeling that a rally is long overdue for XRP and could be anytime soon.
When The XRP Rally Could Come
An XRP rally could be on the horizon with the legal battle between the Securities and Exchange Commission (SEC) and Ripple almost coming to an end, with a ruling expected soon enough. Crypto analyst JackTheRippler predicted that the crypto token could rise to as high as 0 once this case ends.
While this price level is undoubtedly ambitious, XRP could still make a significant move to the upside, considering that it also enjoyed an upward trend on the back of Judge Analisa Torres’ ruling that the crypto token wasn’t a security.
At the time of writing, XRP is trading at around .51, down in the last 24 hours, according to data from CoinMarketCap.
Analyst Compared Solana To Ethereum ICO Boom, What Does This Mean For SOL Price?
Crypto analyst Santiago Santos recently drew parallels between the Solana and Ethereum networks. As part of his analysis, Santos suggested that Solana had an advantage over Ethereum, something which he believes could cause the former to catch up with the latter soon enough.
Solana’s Recent Run Similar To Ethereum’s ICO Boom
Santos mentioned in an X (formerly Twitter) post that Solana is “going through what Ethereum did during the ICO boom.” However, unlike then, when it was only whitepapers, Solana has applications seeing meaningful usage and growth, the analyst further claimed. This is one of the reasons why Santos believes that Solana will “converge on Ethereum faster than most believe.”
The crypto analyst was referring to Solana’s recent run, with the network seeing a lot of activity. Some of this activity has been credited to the applications and protocols being built on the Solana network. Particularly, the Decentralized Exchange (DEX) Jupiter has been drawing a lot of attention to Solana and even recently surpassed Ethereum’s Uniswap in daily trading volume.
On the other hand, Ethereum is known to have generated significant buzz at the height of the ICO (Initial Coin Offering) boom, with a lot of projects swamping the network at the time. Notably, Ethereum’s Decentralized Finance (DeFi) landscape then happened to give the network an edge, a contributing factor to ETH’s rise to become the second largest crypto token.
Santos’ recent comment echoes a growing belief in the crypto community that Solana may indeed be primed enough to take Ethereum’s place as the King of DeFi. Narratives that have continued to work in Solana’s favor include its speed and cost-effectiveness.
Following Santos’ post, another X user hinted that Solana’s adoption rate would probably be higher than Ethereum’s, considering users don’t have to worry about high fees.
Solana To Hit 0 Soon?
The significant activity on the Solana network is believed to be one of the catalysts that could drive SOL’s price to 0. Several analysts have continued to highlight that price level as the next significant stop for the crypto token. Moreover, Jupiter is set to airdrop its JUP tokens on January 31.
This highly anticipated event will cause new money to flow into the Solana ecosystem, with SOL’s price likely to be positively impacted by this splurge of liquidity. Beyond Jupiter, other DeFi projects on Solana are making waves, and these projects could also launch their native tokens at some point in the year.
At the time of writing, SOL is trading at just over 0, down over 2% in the last 24 hours, according to data from CoinMarketCap.
Bitcoin Bear Markets Compared: How Much Longer Till The Bottom? | BTCUSD November 9, 2022
In this episode of NewsBTC’s daily crypto technical analysis videos, we are examining past Bitcoin bear markets to see how much further we could have before a bottom is in.
Take a look at the video below:
VIDEO: Bitcoin Price Analysis (BTCUSD): November 9, 2022
Bitcoin price continues to set new low after low now that support has been decisively broken.
Expanded Flat Corrective Pattern Fills Out Further
The market is clearly bearish, but on the brighter side we have what could be the final wave in an expanded flat pattern. The push to new lows continues to fill out what could be a large falling wedge pattern. But considering the price action and sentiment out there, it is challenging to consider any bullish thesis.
Bitcoin price is now at the 0.5 retracement using Fibonacci on log settings. But that isn’t very reassuring. Given the expectations for the K and K area, either Bitcoin price action stops short of that level, or slices right through it.
Has the corrective pattern completed? | Source: BTCUSD on TradingView.com
Related Reading: Bitcoin Price: Can Cyclical Tools Predict The Next Bubble? | BTCUSD November 7, 2022
Bitcoin Bear Market Worst-Case Scenario
In these next charts, the worst case scenario would involve filling a BTC CME gap at under ,000. Not only is there confluence there with diagonal uptrend support, but that is roughly 85% retracement from the peak.
This is notable, because during the 2018 bear market, BTC fell by 84%, and in the 2015 bear market it dropped 86%. If you average out those two samples, you get an 85% retracement on average.
Much like the top cryptocurrency peaked well below the ROI levels of past bull runs, bear markets won’t see as much of a decline either. The idea is that Bitcoin volatility is disappearing over time.
BTC Futures gap presents worst-case scenario | Source: BTCUSD on TradingView.com
Related Reading: Litecoin Recovery To End Ongoing Crypto Darkness? LTCUSD November 2, 2022
When Will BTC Put In a Bottom?
On the topic of time, time is most certainly a factor in bear markets. The 2018 bear market took roughly 12 months to reach a bottom, or the same amount of time since the second peak of the BTC double top through now.
The 2015 bear market took 14 months to find a bottom. If we count the first peak in Bitcoin, the bear market has been the longest ever at 19 months before reaching a bottom.
How much longer can the bear market last? | Source: BTCUSD on TradingView.com
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Featured image from iStockPhoto, Charts from TradingView.co
NewsBTC
Tether Asset Reserves Figures Record Significant Plunge Compared To 2021
Following the collapse of Terra and its ecosystem, there is a considerable reduction of confidence in stablecoins, especially Tether. Most participants in the crypto space have increased doubts about the level of stability with stablecoins. While many are treading more caution on most projects, some have made a complete back-out.
That’s why the pressure has risen on some of the top stablecoins. Investors have been demanding more transparency in the reserves that back them up. Tether USDT is the leading stablecoin and has received several demands to disclose its reserve to the public.
In a recent development, Tether has finally revealed the details of its reverse to the public. The firm did so on Friday during the announcement of its collaboration with BDO Italia, a public accounting company. The statement from the backing firm for the stablecoin indicated that Tether has up to .4 billion as its reserves.
Also, the company mentioned that it has cut down its backing, which was holdings commercial paper against its report for the previous quarter. Currently, the firm stated that it is maintaining more of its holdings as cash and bank deposits which had risen by 32% within the quarter under review.
Tether market trades upward on the chart l Source: USDT total market cap on TradingView.com
The company cited its plan of eliminating commercial papers as part of its reserves. It said within the last quarter; that the stablecoin reduced its holdings on commercial papers by over 58%. Also, Tether mentioned that it would provide updates regarding issued tokens and reserves daily.
And it plans to be releasing assurance opinions monthly. Finally, Tether maintained that it had proved the robust nature of its operation and its reserve management for careful practices.
Tether Total Assets Value Decreases
According to the report from BDO for the end of June, Tether’s assets are worth about .4 billion. This indicated a drop of about billion between the two quarters for the stablecoin. The consolidated total liabilities for Tether are at .22 billion in the quarterly report. But most of them are digital token issuance.
Tether reiterated that its report displays its resiliency and ability to stand firm through other storms. Also, it’s a measure of its commitment to transparency to its users and the general public.
Additionally, the firm has expressed that transparency and accountability would remain its core value. It revealed its plan to release data monthly to facilitate more progressive moves toward openness.
This is a new change from its old practice of providing a quarterly report of its operations and standing. In addition, USDT disclosed its new official partnership with a new accounting company.
Featured image from Pixabay, chart from TradingView.com
NewsBTC
Bitcoin LTHs Hold Significantly More Loss Now Compared To May-July 2021
Data shows Bitcoin long-term holders hold significantly more supply in loss right now compared to May-July of 2021.
15% Of Bitcoin Long-Term Holder Supply Is In Loss Right Now
As per the latest weekly report from Glassnode, around 30% of the total BTC supply is being held at a loss at the moment.
The “long-term holder supply” is the part of the total Bitcoin supply that hasn’t shown any movement since more than at least 155 days ago.
The other part of the supply belongs to the “short-term holders.” This cohort doesn’t hold for too long and generally sells before 155 days are up. Active traders usually make up a significant portion of this supply.
Naturally, any coins in the Bitcoin STH supply that age beyond the 155-day mark are then counted under the LTH supply.
The relevant indicator here is the “supply in profit/loss,” which looks at each coin on the chain to see how many coins are in profit or loss right now.
Related Reading | Bitcoin Trading Volume Stabilizes At Lows Of July 2021 As Market Sleeps
The metric works by comparing the price a coin was last moved at, to the current value. If the last price was more than now, then the Bitcoin is being held in loss at the moment. Otherwise, it’s in profit.
Now, here is a chart that shows the loss distributions of both the LTHs and the STHs.
Looks like the loss split is quite even between the two categories right now | Source: Glassnode’s The Week Onchain – Week 16, 2022
As you can see in the above graph, around 15.3% of the Bitcoin LTH supply is in loss currently, with STHs also having almost the same amount in the red at 15%.
During the 2018 and 2020 bear markets, about 35% of the LTHs were in loss at some points, much more than right now.
Related Reading | The CEO Of Ripple Says Bitcoin Tribalism Is Holding Back The Crypto Industry
However, the May-July mini-bear period of last year had only half as many long-term holders holding coins at a loss.
This means that the market profitability is in a much worse place at the moment. While LTHs are unlikely to sell with these losses as they are price insensitive usually, the STHs at 15% are more probable to capitulate if the Bitcoin price continues to struggle.
BTC Price
At the time of writing, Bitcoin’s price floats around .5k, up 3% in the last week. Over the past month, the crypto has gained 3% in value.
The below chart shows the trend in the price of the coin over the last five days.
The price of BTC seems to have been climbing up over the past few days | Source: BTCUSD on TradingView
Featured image from Unsplash.com, charts from TradingView.com, Glassnode.com
NewsBTC
How Bitcoin Has Performed Compared To Top Stocks
Bitcoin has grown to become one of the preferred investment options in recent times. Its popularity among investors can be credited to the returns the asset has brought in its decade of existence. It is one of the few assets that has consistently served as a hedge against inflation while bringing massive gains to its holders. Seeing these gains, more investors have wanted a bigger slice of the pie.
Up until 2009 though, bitcoin was not an investment option for anyone. Even then, it was still widely unknown to the general market. Stocks were at the forefront of investing minds at that point and investors had seen gains at various points.
Related Reading | JPMorgan Analysts Put Ethereum Fair Value At ,500, With Bullish Outlook For Bitcoin
Some stocks have been incredibly profitable over this period of time too. An example of that has been Tesla stocks, its success shooting ARK Invest CEO Cathie Wood into the limelight after her call on the stock had paid off. Let’s see how bitcoin has performed in comparison to the top-performing stocks on Wall Street.
Bitcoin Vs. Everyone Else
A lot of the assets traded in the financial market are far older than bitcoin. Still a preteen, the BTC market is still in its very early stages. Nevertheless, this has not stopped the growth of the asset, making it a top contender in financial markets. Comparing the top stocks and markets to BTC shows a glaring disparity in how much better the digital asset has performed compared to the others.
BTC price trading above K | Source: BTCUSD on TradingView.com
In the last decade, bitcoin has returned over 3,000,000% positive gains on its investments, according to this report from Watcher Guru. A single BTC cost as low as .0008 when it was initially released in 2009. Over the years, the asset has grown so much, hitting an all-time high of almost ,000 in October.
In comparison, top-performing stocks show unimpressive returns. Tesla has been one of the best-performing stocks of the last decade, but even the automobile manufacturer’s gains do not come close to BTC’s returns. Tesla has returned 22,520%, Nvidia has returned 8,435%, and gold has seen a disappointing negative 14% return in the past 10 years.
Catching Up On Market Cap
Another interesting metric of comparison is the market cap of the top assets in the financial industry. BTC does not top this list as it does in terms of returns. However, the age difference of all of the assets on this list paints an interesting future for both the past and the future of the assets in this category.
Related Reading | The Fractal That Puts Bitcoin At 0,000 Before Year-End
Bitcoin, despite being only 12 years old at this point, has beat out well-known and long-running asset classes in terms of market cap. For one, BTC’s market cap is almost as large as that of Tesla. It also beats out the market cap of Facebook and Nvidia, both older than the digital asset in the market. Its .15 trillion market cap makes it a top contender in the financial markets
An interesting entrant in this list is Ethereum, the second-largest cryptocurrency by market cap. Ethereum which is only five years old boasts a market cap of 3 billion. This figure makes it a more valuable asset than big names like JPMorgan Chase, Visa, and Alibaba.
Featured image from Forbes, chart from TradingView.com
NewsBTC
Why This U.S. Congressman Compared Bitcoin Investment With Playing The Lottery
The U.S. Congress Oversight and Investigations Subcommittee held a hybrid hearing on Bitcoin and cryptocurrencies. The institution summoned Alexis Goldstein, Director of Financial Policy for the Open Market Institute, Sarah Hammer, Managing Director at the Stevens Center for Innovation in Finance, Peter Van Valkenburgh, Director of Research at Coin Center, and others.
Adam Cochran, a partner at Cinneamhain Ventures, made a detailed summary of the event. The members of the Committee made their opening statements with Congressman Tom Emmer defending Bitcoin and the potential of blockchain technology to create more trust and transparency in traditional systems.
Similarly, Emmer criticized the lacked clarity on regulation and the danger of U.S. companies leaving to other territories consequently. The representative called for answers on a key topic: the classification of digital assets and whether they will be treated as securities, commodities, or currencies.
However, not every member of the Committee was an advocate of Bitcoin. Representative Brad Sherman claimed that “he would rather people make ‘bets’ in equity markets or the California lottery” than invest in BTC or cryptocurrencies. He added:
(…) the only advantage of crypto is avoiding KYC and its supported by anarchists for tax evasion.
Representative Anthony Gonzalez seemed to support cryptocurrencies and encouraged everyone to listen to the opinions of all the members in the Committee and not just the hostiles ones. He classified the idea of investing in the California lottery over Bitcoin as “ridiculous”.
U.S. Representive @RepAGonzalez, with a line of questioning that flips the typical argument against #Bitcoin on its back, "99.9% of money laundering with fiat currencies go unprosecuted" pic.twitter.com/cvbS3sfeHM
— Documenting Bitcoin 📄 (@DocumentingBTC) June 30, 2021
Does Bitcoin Need New Regulations?
Amongst the speakers, Valkenburgh’s presentation highlighted the importance of Bitcoin as a tool that aids different human rights causes around the world. He cited the Nigerian Feminist Coalition in Nigeria to demonstrate the power of receiving money with a censorship resistance network anywhere in the world.
10/ wow Peter just cited the Nigerian Feminist Coalition / #EndSARS movement as an example of bitcoin powering freedom and censorship resistance around the world – love this being on the congressional record
(see this amazing podcast w @AnitaPosch – https://t.co/f6J15x3wsg)
— Meltem Demir◎rs (@Melt_Dem) June 30, 2021
Valkenburgh believes there is sufficient regulation in the crypto industry. His argument had two main points: over the past 10 years, several federal and local governments issued their own legislation towards this new asset class. He added that technologies within the blockchain are a type of regulation.
(…) onramps, offramps and exchanges, are money transmitters, banks and trusts, and are all under the BSA, report to FINRA and require KYC/AML.
In BTC’s decade of existence, there have been no reports of a U.S.-based exchange that has suffered major losses. Regulators in this country have swiftly punished fraud, money launders, and other crimes related to the industry.
Valkenburgh thinks that central bank digital currencies (CBDCs) from China and other “totalitarian governments” will launch in the coming years. Thus, he called on the U.S. Congress to accept financial inclusion or “cede” the influence of these governments. Representative Warren Davidson agreed.
U.S Representive @WarrenDavidson, "China is building the creepiest surveillance tool in history…that’s why we should be embracing decentralized ledger technology." pic.twitter.com/PdorEcBikX
— Documenting Bitcoin 📄 (@DocumentingBTC) June 30, 2021
At the time of writing, BTC trades at ,856 with losses in the lower timeframes. The first cryptocurrency by market cap has experienced a downtrend in the past days and could face further unless it makes a significant push towards former highs.
![Bitcoin BTC BTCUSD](https://www.newsbtc.com/wp-content/uploads/2021/06/Bitcoin-BTC-BTCUSD-25-860x512.png)
XRP Tanks Compared To Crypto Counterparts Bitcoin And Ethereum, But Why?
XRP spent the last several years as the worst performer in the cryptocurrency market. And even though the altcoin has been beaten and battered, it has recently sunk even lower compared to Bitcoin and Ethereum.
Why exactly is the altcoin commonly referred to as Ripple, so severely crippled and unable to gain positive momentum?
XRP Underperformance Against Bitcoin and Ethereum Reaches New Extremes
For two years running, XRP has been among the worst performers in the cryptocurrency space, alongside XLM.
The previously third-ranked cryptocurrency reached an all-time high of over .50 per token following Bitcoin’s peak in 2017. But since then, it has fallen so hard that the stablecoin Tether has knocked it out of the third-ranked spot.
The altcoin remains over 94% down from its record set in early 2018 on the XRPUSD pair. On the XRPBTC pair, the asset is currently down 91%.
Ripple XRPBTC & XRPUSD Comparison | Source: TradingView
The cryptocurrency has reached extremely oversold conditions, yet any glimmer of a rally is immediately sold down. Even Ripple execs committing to cease selling themselves hasn’t had any positive impact on price action.
Related Reading | It’s Official: Tether Flippens Ripple After Recent Crypto Crash
Negative sentiment continues to build. It’s led the altcoin, now in fourth place in the top list of crypto asset by market cap, to underperform Bitcoin and Ethereum over the last 30 days. But what is causing the gross underperformance in Ripple, and the extreme deviation between it and other assets?
Ripple Bitcoin Ethereum Comparison | Source: TradingView
Why Are Whales Accumulating The Crypto Market’s Worst Performer?
The altcoin known as Ripple over the last 30 days, has fallen nearly 14% according to data. During the same timeframe, Bitcoin dropped over 3%, and Ethereum, just over 4%.
The three long-time top crypto assets are typically tightly correlated. When one pumps, so do the others. Especially on USD trading pairs.
Then why exactly is XRP falling so sharply against BTC and ETH by comparison?
A large supply of the altcoin held by PlusToken scammers is said to have been mixed recently, and stealthy selling could be responsible for the continued drawdown. However, these scammers are said to have Ethereum and potentially more Bitcoin to sell as well.
Related Reading | Ripple Effect: Crypto Whales Buy Up A Sea of Small Fish Selling
Sentiment could simply be this bad in XRP holders, who have suffered far worse than most other altcoin bagholders.
Watching Tether “flippen” the asset, and Bitcoin and Ethereum surge could be causing mass capitulation amongst holders of the altcoin.
But while any capitulating small-time fish are selling off their XRP at extreme lows, the largest account holders – whales – are absorbing the selling.
Data shows that the largest under 1% of wallets are increasing their holdings, while smaller wallets dump theirs.
Even despite the ongoing downtrend in XRP, even reaching new depths, the reason why investors continue to hold out hope can be seen below.
Ripple XRPUSD Weekly | Source: TradingView
Although the cryptocurrency has spent nearly three full years in an over 90% downtrend when it does breakout, it is unstoppable.
In less than a year, XRP rose over 50,000%. That’s not a typo, it’s one of the largest gains ever recorded in cryptocurrency history. If this happens again, anyone selling now at these lows are going to experience something far more painful than the downtrend has been.