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Weekly Crypto Brief 24th February

The week ahead!

After so much positivity in terms of Bitcoins price action, it was only inevitable that we saw a pull back at some point.  At the effective close of last week, Bitcoin moved lower and now  appears to be consolidating below the $10,000 mark.  For many, expectations are that there could still be some more short-term downside to around the $9,000 mark, however fundamentally the longer term outlook still appears positive for a few reasons:

Firstly, as has been mentioned here a number of times, the Bitcoin halving story still has legs in it, and there has been significant acknowledgment from market commentators that this is still yet to be fully priced in.

Secondly, with central banks consistently easing around the world, money is cheap and appears to be getting cheaper, which in turn causes net asset inflation across the board.

Next up is Coronavirus which, at least from a media perspective seems to be getting upgraded on a daily basis, and all of which points towards the narrative of BTC as  some form of digital safe-haven.

Finally, and more recently, we have the prospect of the democratic nominee in the USA being Michael Bloomberg, a man not only very business savvy, but also a clear advocate of the Crypto- space which could be very significant.

Plenty to watch out for over the coming weeks and we look forward to keeping you all updated.

Have a great week

 

 

The Past Week in Crypto

“Bitcoin halving is not priced in yet” saids Binance CEO

According to a recent report, Changpeng Zhao the founder and CEO of Binance has predicted that BTC will see more upwards movement in the future. Although he admitted the historic events aren’t always an accurate indicator, Zhao pointed out that miners will soon have to spend almost two times as much to mine a single coin. Although he expresses a bullish outlook, CZ expects resistance to remain in the short term. He added: “There are psychological barriers around nice round numbers. The price will fluctuate back and forth around that a bit” The bitcoin halving event is predicted to take place on the 12th May.

 

Bitcoin Cash Investor takes $30 million hack

A major Bitcoin Cash investor claimed that he lost a total of $45 million in a wallet hack this week just gone. Two-thirds of which was held in BCH, in a now-deleted Reddit post, DreamHost Founder Josh Jones appeared to suggest that his SIM card has been compromised; he has even gone the length to say that any miners who can prevent the transactions from being validated will be “promised big rewards”. Dovey Wan, founding partner at Primitive Ventures, described the attack as “really brutal” and criticized Josh Jones for keeping millions of dollars in crypto on his smartphone.

 

Ethereum 2.0

In recent interviews with Vitalik Buterin, Ethereum’s co-founder, we have discovered that this year’s major development will be the launch of Phase 0, with a proof-of-stake network set to come online later in 2020. From here, Ethereum 2.0 will start its own path as an independent PoS network so it can prove its capabilities over the course of time. Buterin said “Ethereum 2.0 will start with no applications and will have a small number of validators”. It is hoped that subsequent phases would help tackle scalability issues. Buterin also added that Ethereum 1.0 will only merge into the 2.0 system once the network is fully robust.

 

 

Past Week Quotes

 

“I concede that anyone who bought Bitcoin 10 years ago and sells it today will make a lot of money.”

  • Peter Schiff, gold bug

 

“Phase 0 is the first phase of the Ethereum 2.0 launch. This will release the proof-of-stake network, which will come online this year.”

  • Vitalik Buterin, Ethereum co-founder

 

 

“No matter what, this 60,000 $BCH hack, the dispute among BCH camp between Ver and Jihan, all these will mark a slow death of it.”

  • Dovey Wan, Primitive Ventures founding partner
BTC Price: $9,725

Last 7 Days: +0.37%  1month: +17.36%  12months: +163.26%

 

BTC Technicals:

Resistance Levels: $10,000 / $10,105

Support Levels: $9,200 / $9,000

 

BTC Volume:

17th February: $45,998,298,413  (BTC Price of $9,690)

24th February: $40,050,543,354  (BTC Price of $9,748)

12% decrease in trading volume in the last 7 days

 

 

Market Cap. Dominance:

BTC: 62.8%

XRP: 4.23%

ETH: 10.4%

Other ALT-Coins: 22.57%

This newsletter is not intended and should not be construed as an offer, solicitation or recommendation to buy or sell any specific investments  or participate in any investment (or other) strategy.