Come every Saturday, Hodler’s Digest Will help you keep track of every important news report that happened this week. The best (and worst) quotes, adoption and regulatory focus, leading tokens, forecasts, etc.-Cointelegraph for the week on a link.
Headlines this week
Bitcoin is now struggling. Cryptocurrency has been struggling to stay ahead 40,000 USD This week, traders reacted negatively to the dual threat of environmental issues and increased supervision.
In the past two weeks, we have seen many downward trends in the entire market. Although most institutional investors insisted and vowed to continue to hold their cryptocurrencies, there was a lack of “we buy on dips” announcements. All this makes retail traders worry that BTC may fall further.
The Crypto Fear and Greed Index is currently flashing scores 18, Indicating that extreme phobia is currently paralyzing the market.
Yes, there are some pretty scary warnings, but Bitcoin’s 11-year history does provide insight into the performance of the world’s largest cryptocurrency when things turn bearish.
The BTC/USD exchange rate usually rises in a parabolic shape. As profitable traders sold the top, it subsequently cut its earnings by more than half. However, at the same time, traders who buy Bitcoin near the highest local point will suffer longer losses.
Overall, the historical price trajectory of Bitcoin is still upward. The cryptocurrency bottomed out after each bullish to bearish cycle and rebounded again to seek new all-time highs.
PlanB, the creator of the inventory-to-flow model that predicts that BTC will be impacted 288,000 USD By 2024, this powerful fact has recently been provided: None of the investors who held Bitcoin for more than four years suffered losses.
with China cracks down on cryptocurrencies, Biden government review The “blank” of digital asset supervision, Iran Ban BTC mining until September Protecting electricity, Australia warns Traders who do not report crypto profits There will be consequences, and supervision must be stepped up.
But when it comes to whether Bitcoin itself is in danger of being shut down, Ark Investment founder Casey Wood thinks this is “impossible.”
At CoinDesk’s 2021 consensus meeting, she predicted that global regulators will “be more friendly to cryptocurrencies over time” because of concerns about missing opportunities offered by the industry.
Wood said that since miners are now willing to prioritize renewable energy for BTC mining: “Half of the solution is to understand the problem.”
According to MicroStrategy CEO Michael Saylor, part of the task of understanding this issue involves the creation of a Bitcoin mining committee.
The organization announced on May 25 that it was established after Elon Musk had a successful meeting with a number of top North American mining companies.
During the 2021 consensus meeting, Seiler said: “It turns out that Bitcoin miners actually don’t have a good forum to communicate how they generate energy. We currently don’t have a standard model of Bitcoin energy use, nor our usual future prediction model.”
Nic Carter of Castle Island Ventures is certainly a fan of making things more transparent, but he believes Elon Musk is not the right person Lead this debate.
He explained: “Bitcoiners still have a strong skepticism towards Musk. They think he is contradictory because part of his business involves offsetting sales.”
There has been some promising progress in adoption this week. PayPal announced that it will allow users to withdraw digital assets to third-party wallets.
Simultaneously, Apple revealed It is looking for a new business development manager who specializes in alternative payments, including cryptocurrencies-which shows that iPhone manufacturers are leaning toward digital assets.
Despite the high-profile job postings, Apple is still largely on the fringe of the cryptocurrency industry and has not yet issued a clear plan to enter the market. Interestingly, the cryptocurrency exchange Coinbase recently surpassed TikTok as the most downloaded application on the Apple App Store.
Winners and losers
This weekend, Bitcoin is located at 36,514.09 USD, Ether USD 2,515.33 And XRP in 0.90 USD. Total market capitalization 1,589,854,165,444 USD.
Among the 100 largest cryptocurrencies, the top three altcoin gains this week are helium, Baked tokens with Polygon. The top three altcoin losers this week are wave, Solana with Lonely lion.
For more information on encryption prices, be sure to read Cointelegraph’s market analysis.
The most memorable quotes
“I believe that Bitcoin still has a long way to go. I think it will slowly fall along the slope of hope as the periodic dead cat rebounds. Bitcoin’s technology is seriously damaged, it is better to be in the whole ship The first selling bubble before sinking.”
“It turns out that Bitcoin miners actually don’t have a good forum to communicate how they generate energy. We currently don’t have a standard model of Bitcoin energy use, nor our usual future prediction model.”
Michael Sayler, MicroStrategy CEO
“Talk to Bitcoin miners in North America. They promised to publish current and planned renewable energy usage and asked miners all over the world to do the same. It has great potential.”
Elon Musk, Tesla CEO
“Non-coin investors are taking this opportunity to buy on dips.”
Hu Weili, Statistician
Forecast this week
The 30-day volatility rate of BTC is at an annual high, which indicates that the flagship cryptocurrency is still facing the risk of severe price fluctuations in the next few trading days.
When it comes to ether, things are even crazier. Skew’s data shows that the actual volatility of ETH/USD in the 30-day time frame is now close to the 2017 high.
A terrible prediction this week came from an analyst at Biotech Valley Insights, who said: “I believe Bitcoin has a long way to go. I think it will slowly fall along the slope of hope as the cyclical dead cat rebounds.”
Their current price target? 15,000 USD to 16,000 USD.
FUD this week
Three years later, with some memorable memes, the US Securities and Exchange Commission announced that the five people would face charges related to the promotion of the Bitconnect Ponzi scheme.
The promoter is accused of issuing and selling securities without registering with the US Securities and Exchange Commission and proving that he is a broker-dealer—a violation of the law.
Allegedly, they also “advertised the benefits of investing in the BitConnect loan program to potential investors, including creating’recommended’ style videos and posting them on YouTube, sometimes multiple times a day.”
Lara Shalov Mehraban of the SEC said: “We will hold accountable those who use the public’s interests in digital assets to make illegal profits.”
The British advertising regulator has banned an advertising campaign that tells people “it’s time to buy” Bitcoin.
Luno’s poster caused quite a stir earlier this year and was posted on the London Underground transport network and buses. An ad said: “If you see Bitcoin underground, it’s time to buy it.”
However, the Advertising Standards Bureau concluded that the campaign failed to account for the risks of investing in BTC. it says: “We think consumers will interpret the’it’s time to buy’ statement as a call to action, and the simplicity of the statement gives the impression that Bitcoin investment is simple and easy.”
Future advertisements need to carry appropriate risk warnings.
Introduce new penalties to try to prevent people from mining Bitcoin in Inner Mongolia.
The report shows that offenders will now be placed on the social credit blacklist-which will prevent them from obtaining loans and even unable to use the local transportation network.
The new regulations specifically mention data centers, industrial parks, telecommunications companies, Internet companies, and even Internet cafes, and point out that any offenders found to operate mining equipment will have their business licenses revoked and can be removed from the local power trading plan, and may even be completely Close their business.
China’s determination to get rid of Bitcoin miners has had a ripple effect. Earlier this week, the three major mining companies-BTC.TOP, Huobi and HashCow-announced that they would close their operations in mainland China.
Best Cointelegraph features
Steps are being taken to ensure that investors have access to green bitcoin options, but this may only be a short-term solution to long-term problems.
Institutional investors know that crypto assets are highly volatile: “They are betting on a generation and are not deterred by weeks of volatility.”