Connect with us

Blockchain

BTC Holds At $18K As Steven Mnuchin Ends COVID-Related Facilities

Avatar

Published

on

ADVERTISEMENT

BTC holds at $18K, rising on Friday as traders pushed for more before Steven Mnuchin decided to end some of the COVID-19 related facilities at the Federal Reserve so let’s read more in today’s Bitcoin news.

The US Treasury Secretary closed two major schemes that were set up to purchase corporate debt and other programs as well that were launched to lend to medium-sized businesses known as the Main Street Lending Program as well as another facility that supported asset-backed securities. These lending facilities played a huge role in reassuring financial markets after the 2020 global market crash in March. The Risk-on assets like equities surged alongside the safe-haven assets like gold and then the traders awaited for two potential outcomes: that the FED will always back the stock market and that their policies will debase the US dollar.

btc surge
Bitcoin surges another 2 percent on Friday, even against negative fundamentals. Source BTCUSD on TradingView.com

Bitcoin is still a young asset that shifts between safe-haven and risk-on depending on the convenience while it also surged against the FED dovish approach. Between March and now, the number one cryptocurrency increased by about 370% and surpassed the S&P 500, gold, and other traditional market rallies. The prospects of shrinking assistance program seemed bearish for BTC but its risks fell in the water as the cryptocurrency climbed another 2 percent before London’s and New York Opening bell so now BTC holds at $18K.

The rival markets were not so lucky since gold slipped by about 0.2 percent and the futures tied to the S&P 500 index got down by about 0.45% which pointed to a depressive opening once the US market opened. On the other hand, the US dollar increased by 0.04 percent against the top foreign currencies. Mr. Mnuchin decided to end the FED emergency lending platforms and then a huge chunk of which remained underutilized came back once Joe Biden gained a lead over the Republican current president Donald Trump in Georgia.

ADVERTISEMENT

btc/usd
Source BTCUSD on TradingView.com

Krishna Guha, the vice chairman of Evercore ISI, said that this move of the Treasury is reckless by calling it  “reckless politicization of market-stabilization policy.” He noted that Mnuchin was making sure that there’s no money left for the person that will come after him once Joe Biden becomes president officially. In the meantime, the analysts that weighed into the possibility that the Biden administration will reinstate the programs once the new president takes oath, they will have to start a new facility for unusual and exigent circumstances with the FED.

This explains why a downside correction in gold is possible and could be huge and why BTC acts resilient to the end of the catalysts that helped it boost the price to $18,000 in November from $3858 back in March.

DC Forecasts is a leader in many crypto news categories, striving for the highest journalistic standards and abiding by a strict set of editorial policies. If you are interested to offer your expertise or contribute to our news website, feel free to contact us at [email protected]

Source: https://www.dcforecasts.com/bitcoin-news/btc-holds-at-18k-as-steven-mnuchin-ends-covid-related-facilities/

Blockchain

Bitcoin Price Analysis: Is Correction Inbound As Signs of BTC Overheating Appear?

Avatar

Published

on

Bitcoin bulls have managed to buy up another dip today after prices slumped $650 during the morning’s early hours. This is the second significant price crash to have taken place over the last 48 hours, with BTC tumbling $1,000 yesterday to a low of $17,600 before correcting (marked by a white arrow on the following chart).

According to popular crypto analyst Willy Woo, there has been a substantial spike in the number of ‘Bitcoin days destroyed’ recently. This refers to the number of bitcoins that are being moved and sold as opposed to being HODL’ed.

When there’s a rise in the destruction of ‘Bitcoin days’ it likely signals that an increasing amount of long-term holders are dumping their coins onto the market. Woo says this could be construed as a warning that the Bitcoin market is ‘overheated’ right now despite all the promising news circulating about the leading cryptocurrency.

Is this an early warning that smart money is offloading their bags before a serious correction?

bitcoin days destroyed
Source: charts.woobull.com

Price Levels to Watch in the Short-term

On the 1-hour BTC/USD chart, we can see that the $18,645 level plays an important role as a key S/R point for BTC prices (thick white line). As of now, Bitcoin has closed under the line and is heading towards the first support beneath at $18,490 (green line). This particular support is being reinforced by the hourly 50-EMA (blue line).

If the down-trend continues, we should expect additional areas of support at the following levels:

(1) $18,230 – first major support zone (top green bar).
(2) $17,600 – second support zone (lower green bar). This level overlapped with the extended resistance of the former bullish pennant pattern (yellow line) which ended up catching the bottom of the $1,000 weekend crash.
(3) $17,430 – key S/R level.
(4) $17,000 – psychological level and order block support.
(5) $16,700- $16,600 – major support zone.

Underneath that, we also have the last green bar support zone around $16,200 and a key S/R line at $15,880 (green line).

Looking above, there are a number of overhead resistances that will likely see reactions if bullish traders manage to regain momentum and continue their surge towards Bitcoin’s all-time high.

(1) $18,830 – key short-term resistance.
(2) $18,953 – Bitcoin’s highest weekly close. (first thick yellow line)
(3) $19,107– Key 4-hour level from December 2017.
(4) $19,256 – Another key 4-hour level from December 2017.
(5) $19,380 – Daily high from December 2017. (second thick yellow line)

Above those, there is also the $19,554 (top thin red line) and the all-time high at $19,660 (the top-thick yellow line) which will likely act as resistance levels if prices break that high.

Bitstamp BTC/USD 1-Hour Chart

bitcoin trading
BTC/USD chart via Tradingview

 

SPECIAL OFFER (Sponsored)
Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.


Source: https://cryptopotato.com/bitcoin-price-analysis-is-correction-inbound-as-signs-of-btc-overheating-appear/

Continue Reading

Blockchain

YFI’s Andre Cronje Unveils Multi-Purpose DeFi Protocol Deriswap

Avatar

Published

on

Andre Cronje, the brain behind the popular DeFi protocol Yearn Finance and the most expensive cryptocurrency YFI, has unveiled yet another DeFi protocol called Deriswap.

Obsessed With Capital Efficiency

The project focuses on capital efficiency, an aspect of DeFi that Cronje said he is obsessed with. The YFI creator is set to change the current segmented liquidity, which only allows users to choose one of Swaps (Uniswap, Sushiswap, Bancor, etc.), Options (Deribit, Hegic, Opyn, etc.), and Loans (Aave, Compound, DyDx, etc.). 

He described Deriswap as a protocol that combines multiple DeFi services, including Swaps, Options, and Loans, into a capital-efficient single contract. According to the developer, this allows the interaction between two assets that make up the pair. 

For Swaps, Cronje explained that the contract on Deriswap utilizes the standard Uniswap x * y = k. For example, suppose Liquidity Providers (LPs) provide ETH-BTC as liquidity. In that case, the protocol will allow traders to swap BTC and ETH while using the oracle’s time as the weighted average price (TWAP). 

No Deriswap Token Yet

He notes that Deriswap uses the Black Scholes option pricing model to quote options. While Futures are an extension and simplification of Options, Loans are an extension and simplification of Futures. To get a loan, the user will pay a premium and collateral to access the borrowed assets. 

Lastly, the markets (loan, futures, and options) can be tokenized via Non-Fungible Tokens (NFT) to create secondary markets. 

As with many DeFi protocols, it is expected that Deriswap will have a token, and maybe with a limited supply. As a result, DeFi degens are hoping to dive in early. However, the protocol is currently under audit; hence, there’s no official Deriswap token yet. 

Cronje Continues To Explore DeFi

Since YFI’s success, Andre Cronje has become a prominent player in the DeFi ecosystem. The developer is always exploring and “experimenting” with DeFi products, even though some cost investors money due to exploits

Despite the recording failure with Eminence protocol, Cronje’s last project Keep3r Network was quite different as Keep3r’s KP3R token rallied more than 2000%, with the price moving from $10 to over $200 within a few days.

SPECIAL OFFER (Sponsored)
Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

You Might Also Like:


Source: https://cryptopotato.com/yfis-andre-cronje-unveils-multi-purpose-defi-protocol-deriswap/

Continue Reading

Blockchain

Inevitable: Ethereum Classic’s Latest Hard Fork Called Thanos Scheduled for November 29th

Avatar

Published

on

Less than two months after its latest network upgrade, Ethereum Classic plans to undergo another one on November 29th. Dubbed Thanos, the new hard fork will enhance security while maintaining its compatibility with Ethereum.

Thanos Is An Inevitable ETC Network Upgrade

The Ethereum Classic team would like to quickly forget the summer of 2020. In the span of one month, the network was subject to three separate 51% attacks.

The Ethereum Classic Core developer team and Ethereum Classic Labs decided to counteract the growing securities issues by implementing the Modified Exponential Subjective Scoring (MESS) solution on October 2nd.

MESS went live on the Mordor Testnet after passing “rigorous stress tests and simulated attacks.” It aimed to prevent attacks by making large block reorganizations up to “31x more expensive, removing any profit motive.”

However, the ETC Cooperative and Cardano developer IOHK published a report disputing the claim that the MESS update will provide “robust security.” Moreover, it argued that there’s “no guarantee that further attacks will not succeed.”

The latest response from the ETC developer team and ETC Labs has tapped the Marvel Universe for its name – Thanos.

The statement described the upgrade as an “important milestone for ETC as the network continues to drive innovations that will support existing miners and attract new ones while continuing to maintain compatibility with Ethereum.”

The Next Logical Step

According to the announcement, the Mordor Testnet activation occurred on block 2,520,000 – on October 18th, 2020. The ETC Mainnet activation is expected to take place at block 11,700,000 – around November 29th, 2020.

Consumers need to upgrade their node software to a fork compatible version to Core-geth v1.11.16 or later to ensure the success of the hard fork.

Founder and Chairman of Ethereum Classic Labs, James Wo, believes that the Thanos network upgrade will enhance the security while helping ETC to “distinguish itself and increase functionality for its users.”

“The Thanos hard fork is the natural next step for the network, reducing the DAG size to help cultivate a more distributed and healthy mining ecosystem, increasing hash rate, and allowing miners to continue mining ETC and for new miners to join the ecosystem.” – Wo added.

Featured Image Courtesy of SideShow

SPECIAL OFFER (Sponsored)
Binance Futures 50 USDT FREE Voucher: Use this link to register & get 10% off fees and 50 USDT when trading 500 USDT (limited offer).

PrimeXBT Special Offer: Use this link to register & enter CRYPTOPOTATO35 code to get 35% free bonus on any deposit up to 1 BTC.

You Might Also Like:


Source: https://cryptopotato.com/inevitable-ethereum-classics-latest-hard-fork-called-thanos-scheduled-for-november-29th/

Continue Reading
Blockchain3 days ago

Bitcoin Suisse to Deposit Nearly 100,000 ETH to Ethereum 2.0

Blockchain3 days ago

Bitcoin supply shortage is due to overwhelming PayPal support

Blockchain3 days ago

US Government to Use USDC Stablecoin to Bypass Venezuela’s Maduro

Blockchain4 days ago

Bitcoin Is the Biggest Big Short

Blockchain5 days ago

“The Great Reset” Close to Overtaking Ethereum in Searches

Blockchain4 days ago

HEX Dumps Amid 24-hour LiveStream

Blockchain5 days ago

Elastos Network Selected by World Economic Forum to Accelerate Blockchain Adoption

Blockchain4 days ago

How to Invest in DeFi (The Sequel)

Blockchain4 days ago

Companies Like PayPal Are Adopting Crypto Quicker Than Ever

Blockchain3 days ago

Why this Ethereum DeFi coin has surged 400% in two days

Blockchain3 days ago

Ethereum 2.0 Deposits Near 200,000 ETH

Blockchain4 days ago

Simon Peters: $20,000 is next target for Bitcoin

Blockchain3 days ago

DeFi Protocol Pickle Finance Hacked For $20 Million

Blockchain3 days ago

Cardano on schedule to deliver Goguen, reveals Hoskinson

Blockchain4 days ago

The Complete Case for $100K Bitcoin

Blockchain3 days ago

The Long Arm of Justice: How Far Can the DoJ Really Go in Prosecuting Foreign Actors?

Blockchain4 days ago

CorionX to be listed on BitMart Exchange

Blockchain3 days ago

Chainalysis Becomes Newest Crypto Unicorn After $100M C Funding

Blockchain3 days ago

SushiSwap’s SUSHI Continues Ascent, Rallies 10% on $1B in Deposits

Blockchain3 days ago

Argentina and Brazil Get Their Own Stellar Stablecoins

Blockchain3 days ago

Is current Bitcoin trend a Bull trap – $20K beckons extended BTC/USD rally

Blockchain3 days ago

Uniswap User Loses $20,000 With a Fake Google Play Store App

Blockchain5 days ago

News of News For Bears and Bulls

Blockchain3 days ago

Market Wrap: Bitcoin Hits $18.8K as Total Crypto Locked in DeFi Passes $14B

Blockchain5 days ago

Bitcoin and Ether Market Update November 19, 2020

Blockchain3 days ago

BlackRock’s Rick Rieder Says Bitcoin Could Replace Gold

Blockchain3 days ago

3 Reasons Why Analysts Think Bitcoin Will Move Higher After Rally to $18,800

Blockchain3 days ago

Bitcoin’s 14% Weekly Increase Eyes the ATH: The Crypto Weekly Market Update

Blockchain4 days ago

Navigating through the challenges of Blockchain Tech to fast track development of the FinTech Market

Blockchain3 days ago

US Regulator Seeks End to Bank Deplatforming of ‘Disfavored’ Industries (Like Crypto)

Blockchain3 days ago

Bitcoin’s 14% Weekly Increase Eyes the ATH: The Crypto Weekly Market Update

Blockchain5 days ago

In this bull run, why are price rallies of Bitcoin and ETH not the same?

Blockchain3 days ago

Uniswap User Loses $20,000 With a Fake Google Play Store App

Blockchain1 day ago

Crypto.com Launches Visa Cards for Canadians

Blockchain4 days ago

Poker players now request more cash out in Bitcoin

Blockchain2 days ago

XRP Surges 30% Higher—and Analysts Think There’s Upside to Come

Blockchain1 day ago

Chainlink Likely to See an Impulse Higher as Bulls Break Key Range

Blockchain2 days ago

Bitcoin’s 14% Weekly Increase Eyes the ATH: The Crypto Weekly Market Update

Blockchain3 days ago

Uniswap User Loses $20,000 With a Fake Google Play Store App

Trending