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Can the Rich Corner the Bitcoin Market?

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“We haven’t had a universal currency since gold and silver. A decentralised economy allows for borderless trade, which hasn’t been possible before with such ease; people are used to decision-making in trickles, with the group up top choosing what everyone can and cannot do … cryptocurrency requires a cognitive shift.
People need to understand why cryptocurrency should be adopted wider, integrated into our existing way of life, for gradual change.”
So says Eleesa Dadiani, who is believed to have made an astonishing claim. Stating:
“One of our clients approached us and said they were interested in acquiring 25% of all bitcoin currently available. There are a number of entities who want to dominate the market.”
Is it true? Well who knows. Is it credible? Well, credible enough for us to publish it with disclaimers of unconfirmed and all the rest. Is it possible?
Ever since a number of studies effectively proved that bitcoin and cryptos in general are an uncorrelated asset, and thus very useful for diversification and as a hedge, the beginning of the entrance of institutional investors has been a theme running in parallel to monetary mismanagement.
From the hyperinflation in Venezuela, to the constitutional crisis in Britain, the fall in Yuan’s value and the plunge in Argentinian Peso, central bankers have time and again proved the fundamental premise of this space: that however much they try and however much they like, that even if they are angels incarnate, they will mismanage our money.
Sanctions on Russia, a financial blockade on Iran, the entrance of rich Arabia and perhaps even the welcoming of Africa have been a developing theme since last year.
Then since the tipping point was crossed in 2017, with bitcoin debuting in awareness at the end of that year, and then with studies last year amounting to sufficient evidence where one can say – as much as humans can say anything – it is thus, the beginning of the movement from the early adopters phase to institutional investors was confirmed by the announcement of a number of institutions.
Adoption cycle memed.
This is a meme chart, and someone has indeed memed it. The smart money part should be replaced with early adopters. That red line cycle has gone through about three times now or maybe four while still being in the early adopters stage.
You should remember of course that a US Congressman still thinks it fit to get the microphone and outright say bitcoin should be banned. To say nothing of Warren Buffet and all the rest. Or the fact Amazon doesn’t accept bitcoin yet. Not even eBay.
So arguably we are now just entering the institutional investors stage. Here we have rich people and also somewhat smart people and also, you know, milkers.
For an institution to sell bitcoin to “retail” as they call it, to cattle as they mean it, they first have to buy it right?
The more you have of course the more you can control it, it’s price and so on, and thus the more you can milk.
That someone, whether a person or an institution or even a government, want’s 25%, thus, is to be expected not surprising. But can they have it?
“Accepting Russian sovereignty in 1802, the Dadiani were elevated to the dignity of Prince of the Russian Empire and enjoyed significant independence in their home affairs.
Russia made a de facto annexation of Samegrelo in 1857, but Samegrelo remained nominally in existence until January 4, 1867, when Niko Dadiani, the last Prince of Samegrelo, was deposed and the principality was abolished. Prince Niko Dadiani officially renounced his rights to the throne in 1868.”
As a kid, the 1800s sound like a trillion years ago, but of course when our grandfather was born, the 1800s were what we’d now consider the 90s.
Much has changed since then and in many ways little has. Wealth has moved in a caroselo, but largely the rich have continued being rich, through war and peace, devastation and prosperity.
Eleesa Dadiani herself tries to downplay this heritage. “I lived in Oldham, for heaven’s sake!” she says. Oldham being an industrial powerhouse in 1800s UK Manchester that now looks kind of stuck still in that century.
“‘Unschooled, with no degree, I’ve always been on the prowl, on the lookout for new opportunities,’ says Dadiani. Hence her early adoption of Bitcoin, as well as more obscure cryptos like Dogecoin.”
On the other hand “her talk is peppered with references to former Libyan leader Muammar Gaddafi and the petro-dollar, capital flight in China, and Russian trade relations.”
As the talk above with the BBC clearly shows, this appears to be a woman in the business of serving the very rich who may have some need or desire for this new digital money.
Nakamoto on Cornering the Bitcoin Market
“BTC Vulnerability? (Massive Attack against BTC system. Is it really?).” So says a noob all the way back in 2010 when anyone and everyone was trying to find any little whole in the bitcoin designed with the presumed premise of “this doesn’t work.” And here is Satoshi Nakamoto, bitcoin’s inventor:
“What the OP described is called ‘cornering the market’. When someone tries to buy all the world’s supply of a scarce asset, the more they buy the higher the price goes. At some point, it gets too expensive for them to buy any more. It’s great for the people who owned it beforehand because they get to sell it to the corner at crazy high prices. As the price keeps going up and up, some people keep holding out for yet higher prices and refuse to sell.
The Hunt brothers famously bankrupted themselves trying to corner the silver market in 1979:
“Brothers Nelson Bunker Hunt and Herbert Hunt attempted to corner the world silver markets in the late 1970s and early 1980s, at one stage holding the rights to more than half of the world’s deliverable silver.[1] During Hunt’s accumulation of the precious metal silver prices rose from $11 an ounce in September 1979 to nearly $50 an ounce in January 1980.[2] Silver prices ultimately collapsed to below $11 an ounce two months later,[2] much of the fall on a single day now known as Silver Thursday, due to changes made to exchange rules regarding the purchase of commodities on margin.[3]”
25% of bitcoin’s total supply is more than half of all bitcoins that have moved in a year, with circa 10.5 million bitcoin not moving at all since May 2018.
Moreover only about one million moves onchain in any given day, with 25% being 4 times that.
Circa 5 million bitcoin are also estimates to have been lost in the early days or in dust amounts or by lost private keys and so on.
Meaning bitcoin is a lot more scarce than 21 million, with even less in exchanges where the price is set.
Thus a $1 billion injection in fiat can make a far bigger difference in price or market cap than just adding $1 billion to it.
Suggesting a rich person or institution wouldn’t quite want to attempt to corner the market, with this 25% probably being more of a way of saying: as much as you can.
And since perhaps there isn’t much sell supply Over the Counter (OTC), they may well have thought they could go to the media and basically ask for sellers.
Alternatively you can say maybe they bigging up the price to sell higher after accumulating, but of course anyone smart enough to access the media bigly would also be smart enough to know that’s exactly what you’d think.
Thus, they’d achieve both their aims at the same time. Let people know they need sellers, while fooling people into thinking they want to sell when they actually want to buy.
3D chess, that’s the big league. There’s 4D and 5D later on, but for now we can enjoy the two levels below.
Editorial Copyrights Trustnodes.com

Top 7 Bitcoin SV Wallets for 2019

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In the cryptocurrency world, there will always be projects which are considered controversial for different reasons. Regardless of how one feels about Bitcoin SV, plenty of its users are looking for secure ways to store their BSV accordingly. The following Bitcoin SV wallets can all serve that purpose, depending on one’s personal preferences and needs.
HandCash for iOS and Android
Given the growing popularity of mobile devices in terms of storing cryptocurrencies, it is only normal capable wallets are in high demand. For Bitcoin SV users, HandCash is an option well worth exploring. |It can be used on both iOS and Android. Moreover, it has no hidden fees and allows users to generate their own user handle, instead of dealing with a string of numbers of letters. A feature which will certainly be appreciated by a lot of users, as it makes for a more convenient experience.
Coinomi Supports Multiple Currencies
Over the past few years, a lot of developers have shifted from focusing on one cryptocurrency to offering support for multiple projects. In the case of Coinomi, it is one of the oldest multi-currency wallet solutions for the mobile community. It is also one of the more popular Bitcoin SV wallet son the market today. Desktop users can also make use of this offering, as it is accessible on Mac, Linux, and Windows alike. Definitely an option worth checking out for those with a diversified portfolio.
Guarda Supports Web, Mobile, and Desktop
For users who prefer a cross-platform solution, the Guarda project will have most people covered. It is not one of the pure Bitcoin SV wallets, a sit supports multiple currencies and assets. However, users can enjoy the exact same ecosystem across mobile, desktop, and web, which makes it a very interesting offering all around. It also seems to be well-appreciated by the broader cryptocurrency community.
Exodus for Multi-asset Control on Desktop
Users who are not too bothered by Bitcoin SV wallets for mobile can always rely on Exodus. It is a very popular multi-currency desktop wallet, which supports several dozen projects. By adding BSV support quite some time ago, the project gained a bit more popularity. There is also a built-in exchange function which might be of great interest to some users. It is evident there is plenty of support for BSV among wallet developers, regardless of the potential controversy surrounding this project.
Electrum SV is the Staple
In the cryptocurrency industry, virtually every project has its own version of an Electrum wallet. Bitcoin SV is no exception in this regard, as its native ElectrumSV client makes it easier to manage one’s assets on a desktop. It is far from an advanced wallet client, but it will get the job done for most holders and speculators regardless. This is also one of the Bitcoin SV wallets which will always be around, as its code is easily accessible on GitHub.
Edge, Formerly Known as AirBitz
Older Bitcoin enthusiasts may recall the AirBitz wallet when it was still around. Several years ago, the wallet solution was rebranded to Edge. It is still a multi-currency mobile wallet which supports over two dozen different assets. That list also includes Bitcoin SV, as it is a major currency in this industry. It is one of the mobile wallets with the best reputation, as the project has been around for nearly five years now. It also offers some other built-in functionality for users to explore in the future.

Atomic Wallet Sees Merit in BSV
When it comes to supporting many different cryptocurrencies, tokens, and assets, there is no reason to exclude Atomic Wallet. While it is still a relatively new product, all things considered, it has enabled support for several hundred assets. It can be used as a desktop wallet with a built-in atomic swap trading solution. It is good to see Bitcoin SV wallets explore options to let users exchange assets without having to rely on custodial solutions.
Disclaimer: This is not trading or investment advice. The above article is for entertainment and education purposes only. Please do your own research before purchasing or investing into any cryptocurrency or digital currency.

Billionaire Investor: Bitcoin Likely to Consolidate Between $7k and $10k; Will BTC Plunge Lower?

Click here to view original web page at www.newsbtc.comCrypto investors were incredibly disappointed earlier today after Bitcoin surged to highs of $9,000 before it began reeling lower, which has led many analysts to believe that a deeper pullback is imminent.
Despite this, one billionaire investor and crypto enthusiast recently explained that he believes BTC will begin consolidating between $7,000 and $10,000, which could mean that Bitcoin’s current price action is simply part of a much larger trading pattern that will persist for the foreseeable future.
Bitcoin Likely to Be Caught in Wide Trading Range Going Forward
At the time of writing, Bitcoin is trading down just under 1% at its current price of $8,630 and is down significantly from its daily high of over $9,000, which was only touched momentarily before selling pressure ramped up and sent the crypto plunging to its current price levels.
Although many investors were hoping that Bitcoin would move towards $10,000, it may be a while before the crypto is able to break into the five figure price region, as Mike Novogratz, the CEO and founder of Galaxy Digital, recently explained that he believes it will begin forming a pattern of consolidation.
“On a go-forward basis, Bitcoin probably consolidates somewhere between $7,000 and $10,000. You know, trees don’t grow to the sky… If I’m wrong on that, I think I’m wrong to the upside, that there’s enough excitement and momentum that it could carry through,” he explained on a recent conference call where he discussed the company’s financial results, as reported by Bloomberg.
Assuming that Novogratz’s assessment of this potential consolidation pattern is correct, then it is possible that Bitcoin’s current drawback could extend significantly further.
Analyst: BTC Still Bullish as Long as It Holds Above Technical Level
Although the recent flash surge and subsequent drop does appear to spell trouble for the crypto’s bulls, BTC may still have some fuel in it that allows it to continue climbing higher.
Big Cheds, a popular cryptocurrency analyst on Twitter, discussed this in a recent tweet, explaining that a test of $8,400 should provide greater clarity as to whether or not BTC is truly bullish at the present.
“$BTC #Bitcoin daily – $8400 re test should provide some clarity. Still incredibly bullish given that we are above EMA 8,” he explained.
$BTC #Bitcoin daily – $8400 re test should provide some clarity. Still incredibly bullish given that we are above EMA 8 pic.twitter.com/IRQykgGAhG
Although it is currently unclear as to whether or not the bullish upwards momentum that Bitcoin has incurred over the past several weeks is currently in jeopardy, it is likely that analysts will have a better understanding of what the latest price movement means for its long-term price action as the day continue on.
Featured image from Shutterstock.
Tags:bitcoinbtccrypto Play BTC Games, ETH Games, USDT Games, BCH Games, LTC Games

Aryacoin – A Cryptocurrency for Fast and Stable Transactions

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What is Aryacoin?
Aryacoin is a new cryptocurrency that was designed to facilitate the peer-to-peer transfer of money through digital means, similar to how Bitcoin and Litecoin work. The difference, however, is that the AYA cryptocurrency was created to have real world use cases.
Users will be able to transact with the coin without verification processes; this is because trading platforms will be set up in different locations to allow them to buy or sell AYA without any restrictions. The AYA coin was developed to serve as a link between the blockchain and fiat world, as users are able to gain access to the currency via offline exchanges.
Stable Transfer Fee
A unique characteristic of Aryacoin is its stable fee structure. When transferring AYA from one wallet to another, the fee generated on the Aryacoin blockchain is constant at all times. This means that the AYA transfer fee is not affected by how much you transact or by block’s size, unlike with other cryptocurrencies.
Each AYA transaction will incur a fee of 0.001 AYA coins, regardless of the transferred amount and network activity. Other platforms increase their transaction fees during network congestion or intense periods of activity.
Offline Exchanges
The Aryacoin team has dedicated itself into establishing partnerships with different offline vendors that would allow users to buy and sell AYA coins directly at fixed/variable prices by using cash.
This would increase the accessibility of the coin and would allow users to use it without the restrictions and regulations that come with online.
By directly engaging with AYA through offline vendors, where no personal details are required, users will be able to enjoy the anonymity which was promised by cryptocurrencies. This way of interacting also allows less tech-savvy people to get involved with the cryptomarket and its underlying technology.
In these offline exchanges, traders will be able to transact their AYA coins free of any charges. The project’s team will be launching its first offline exchanges in locations throughout the USA, Europe, and Turkey.
Online Exchange Support
Although Aryacoin is a crypto project that was recently launched, the team is working round the clock to have AYA listed on the most prominent crypto exchanges on the market. Currently, users are able to sell and trade AYA on Crex24 against Bitcoin and two fiat currencies, USD and EUR. Another exchange that features the AYA/BTC pair is CoinExchange.
Other partners from the crypto industry include DigitalCoinTech, GmbH and CoinPaymnets.net, a reputable online payment processor for cryptocurrencies. The AYA coins can also be used on the project’s sister platform, mrdigicoin.io.
Transact Anonymously with AYA coin
AYA transactions allow users to maintain a certain degree of anonymity. After sending their funds to any of the network’s public nodes, users will have to sign the transaction using their wallet’s private key.
Aryacoin is a new Proof-of-Work cryptocurrency that wants to give its users the freedom of buying and selling AYA on offline exchanges without any limitations.
This is a paid-for submitted press release. CCN does not endorse, nor is responsible for any material included below and isn’t responsible for any damages or losses connected with any products or services mentioned in the press release. CCN urges readers to conduct their own research with due diligence into the company, product or service mentioned in the press release.
Aryacoin is a new cryptocurrency that was designed to facilitate the peer-to-peer transfer of money through digital means, similar to how Bitcoin and Litecoin work. […]
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Novogratz on Near-Term BTC Consolidation: ‘Trees Don’t Grow to the Sky’

Click here to view original web page at www.ccn.comBitcoin bull Michael Novogratz believes that the bitcoin price is headed to a narrow trading range of between $7K and $10K even as the price hit $9K today. | Source: YouTube/WallStreetWeek
By CCN: Mike Novogratz’s expectation for bitcoin price consolidation is starting to look more feasible since BTC abruptly took a dive today. The high-profile trader believes bitcoin is poised for near-term consolidation to a narrow range despite recent market momentum.
Novogratz, who is at the helm of crypto merchant bank Galaxy Digital, reportedly held a conference call today discussing his firm’s Q1 performance. According to Bloomberg, the Wall Street veteran believes that the bitcoin price “probably consolidates somewhere between $7,000 and $10,000,” adding:
“You know, trees don’t grow to the sky. If I’m wrong on that, I think I’m wrong to the upside, that there’s enough excitement and momentum that it could carry through.”
Novogratz hasn’t abandoned his long-term bullish outlook on bitcoin. It’s just in the near term, he expects that there could be some consolidation. And he’s not closing the door to the possibility of BTC breaking out of the range he described. It is perhaps a more sobering outlook than to the moon, but it is also one that appears to be quite realistic.
| Source: Bloomberg
That excitement he’s talking about has a little something to do with some major technology companies dipping their toes into the crypto space. Microsoft is building an ID platform on the Bitcoin blockchain while Facebook is poised to launch its own cryptocurrency for payments, GlobalCoin. All of this, Novogratz says, is positive for crypto mainstream adoption. While some have argued that crypto doesn’t need validation, Novogratz suggests these brands offer some heft to the market, saying they “both were wild credentializers for this space.” He added:
“We have gone from, you know, crypto as an experiment, is it real? Is it tulips? To crypto is going to be a substantial part of the financial and consumer infrastructure of the world.”
Latest piece from Galaxy Research – a plain English intro on blockchain and digital assets. If you are new to the space, it’s a great place to start. @luka__jankovichttps://t.co/5NzoxwjZ2l— Michael Novogratz (@novogratz) May 23, 2019
Galaxy Digital’s Performance
After being frostbitten by the crypto winter, Galaxy Digital is back in the black. The firm generated Q1 net income of $12.9 million vs. reportedly losing millions during last year’s market downturn. Bitcoin’s triple-digit percentage increase year-to-date has generated a great deal of excitement across the ecosystem.
“We really do feel significantly better about the business.”
Want to set the record straight. Galaxy is still a shareholder in @block_one_ , We are a large holder of $EOS tokens, and we strongly believe in the leadership of @BrendanBlumer and @bytemaster7 Very excited for their June announcement. Took profit to rebalance our portfolio.— Michael Novogratz (@novogratz) May 23, 2019
Novogratz recently clarified that Galaxy Digital’s decision to sell a $71.2 million stake in Block.one was a reflection of the firm taking profits “to rebalance our portfolio.”

Crypto Giant Coinbase Hints at First-Ever U.S. Bitcoin Margin Trading

Click here to view original web page at www.ccn.comA senior Coinbase executive has hinted at the possibility of offering margin (borrowed) trading – if it gains approval to do so. | Source: Shutterstock
By CCN: For years, the global bitcoin margin trading market has been dominated by BitMEX, which at one point reached a daily volume of $10 billion on May 12, a new record high for the company. Now, Coinbase and Binance are looking to enter the market.
New record for BitMEX trading volume. Praise be to volatility and our wonderful traders! pic.twitter.com/iLMGdpz65n— Arthur Hayes (@CryptoHayes) May 12, 2019
The previous all-time high was reached in mid-2018 when BitMEX reached 1 million bitcoin in daily volume, equivalent to nearly $9 billion.
Speaking on The Block’s podcast The Scoop, Coinbase Vice President of Business, Data and International Emilie Choi has said the company is considering the addition of a margin trading feature on the platform.
Can it compete against binance and bitmex in bitcoin margin trading?
As emphasized by Choi, Coinbase would need sufficient regulatory clarity from U.S. authorities before enabling margin trading for clients.
BitMEX has not allowed U.S. bitcoin traders from trading on its platform and it remains unclear whether Binance would serve U.S. users once it opens its highly anticipated margin trading platform in the near future.
A Binance representative told TechCrunch that the exchange is looking to launch its margin trading option in the near-term.
Binance, in One-Two Punch to Rival Exchanges, Readies Margin Trading https://t.co/Z27GsA0XMg— CCN.com (@CCNMarkets) May 24, 2019
If BitMEX and Binance concentrate their margin trading operations in other major markets outside of the U.S., for Coinbase, the U.S. remains a viable market that is virtually untouched by other exchanges providing margin trading services.
Choi said:
We still need to figure that out because there’s not a lot of regulatory clarity there right now in the US. And so that that is being discussed.”We couldn’t probably be more differentiated than them in terms of the focus on the fiat to crypto bridge and being that safe trusted center of the crypto economy. So I think they’re playing one game, we’re playing another.
Why explore margin trading?
Last year, Coinbase recorded total revenue of $520 million, a relatively large figure when compared to other exchanges apart from Binance and South Korea’s UPbit considering the brutal 16-month correction that hit the cryptocurrency market.
But, the company projected annual revenue of around $1.3 billion as of October 2018 according to a Bloomberg report, and $520 million is about 40 percent of its forecasted annual revenue.
In recent months, the valuation of the cryptocurrency market has surged by more than $100 billion as the bitcoin price spiked 135 percent year-to-date supplemented with a noticeable increase in interest from institutional and retail investors.
The valuation of the global crypto market rised by well over $100 billion in six months as bitcoin spiked (source: coinmarketcap.com)
As the market regains momentum, exchanges are likely to see a large increase in volume, bringing back stability in their operations and cash flow.
Still, exchanges would need to continuously find new markets to penetrate into to expand and secure capital to prepare for an unexpected turn in market conditions as seen throughout 2018.
Coinbase successfully opening a margin trading operation that is fully regulated, compliant, and transparent under U.S. laws with the approval of regulators could enable the firm to secure a market that has been dismissed by many exchanges for several years due to regulatory uncertainty.
Through the listing of various alternative cryptocurrencies and tokens, Coinbase has demonstrated an intent to aggressively expand its operations and raise the sustainability of the business.
The exchange secured $300 million in additional investment from Tiger Global in October 2018 that would finance the exchange’s global expansion and the offering of more crypto assets.
“Coinbase will use this financing to accelerate: Global expansion–building the infrastructure between fiat and crypto in regulated markets around the world; Offering more crypto assets, quickly — we see hundreds of cryptocurrencies that could be added to our platform today and we will lay the groundwork to support thousands in the future,” Coinbase President and COO Asiff Hijri said.

Bitcoin emerges as the big winner this month in the financial markets, soaring nearly 70%

Click here to view original web page at www.cnbc.comOmar Marques | LightRocket | Getty Images
The world’s first and largest cryptocurrency was one of the biggest winners this month.
Bitcoin rallied more than 68% in May, hitting a high of $9,084 on Thursday. That’s up from about $5,200 one month ago, and more than double its value to start the year. The S&P 500 is down about 5% in the same time period.
Bart Smith, head of digital assets at Susquehanna, said the crypto rally was driven by a few different factors — including simmering trade tensions.
“The first is the net effect of the trade war with china and the U.S. is that the yuan is hitting a six-month low,” Smith told CNBC’s Squawk Box Thursday, adding that much of the interest came from China. “Bitcoin was either a hedge or just an outright way to get capital outside of that country.”
Global equity markets stumbled this month as the world’s two largest economies remain locked in a stalemate over trade. Jeff Dorman, chief investment officer at Los Angeles-based digital asset manager Arca said that was top of mind for investors, especially as the Chinese yuan fell against the U.S. dollar.
“Chinese investors and the overall population know this, and are worried about protecting their capital and their purchasing power,” Dorman said. “This leads to capital outflows, and Bitcoin and other digital assets are a ‘safe haven’ for them.”

The cryptocurrency became a household name at the end of 2017 as it marched to almost $20,000. Bitcoin has yet to recover to anywhere near that level, but climbed to a 52-week high this week. Bitcoin futures are also on pace for their best month ever, back to their inception in December 2017. Futures are heading for their fourth consecutive month of gains.
Still, bitcoin has not quite caught on as a means of payment. Crypto bulls instead advocate its use-case as a store of value, or “digital gold.”
“Bitcoin is not going to be a payment currency — it’s going to be just like gold,” Michael Novogratz, head of cryptocurrency merchant bank Galaxy Digital and a former Fortress hedge-fund manager, told CNBC last week. “It won that lane.”
Online broker push ahead
Brian Kelly, founder and CEO of BKCM, also pointed out that Asia “was quiet for a long time, but it appears there is appetite for bitcoin again.“Investors are also anticipating demand from Fidelity and TD Ameritrade, he said.
Fidelity’s cryptocurrency platform Fidelity Digital Assets will reportedly offer trading for institutional customers a matter of weeks, according to Bloomberg. Fidelity told CNBC in March that it has quietly rolled out its cryptocurrency custody and trade execution operations. In the past few months it has been up and running with institutional investors like hedge funds and family offices, according to its top executive Tom Jessop. Robinhood, Square and E-Trade Financial are also offering crypto buying to retail investors.
“There’s a tremendous optimism about online brokerages offering bitcoin to retail customers in 2019,” Susquehanna’s Smith said. “I think people are buying bitcoin ahead of that new investor demand.”
But skeptics still abound. Economist Nouriel Roubini, known as “Dr. Doom” for predicting the financial crisis, said in a May debate with Novogratz that bitcoin and its peers don’t even deserve to be called “cryptocurrencies” and are the “mother and father of all bubbles.”
A study released in March from cryptocurrency firm Bitwise found that 95% of spot bitcoin trading volume is faked by unregulated exchanges, casting even more doubt on the legitimacy of trading it. The firm analyzed the top 81 crypto exchanges by volume on industry site CoinMarketCap.com, which report an aggregated $6 billion in average daily bitcoin volume. The study finds that only $273 million of that is legitimate.
“It’s risky and risk in and of itself should have returns associated with it,” Smith said. “The question is, do you understand the risk and are you taking the appropriate amount.”
Bitcoin rallied more than 68% in May, hitting […]
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Bitcoin’s Price Due For A Pullback, Crypto Influencer Says

Click here to view original web page at www.forbes.comCrypto trader and influencer Josh Olszewicz talks about the current state of the market, as well as his methods and journey as a trader and investor.
Getty
These are the podcast episode notes from an interview with crypto influencer and trader Josh Olszewicz (CarpeNoctom on Twitter). Listen to the Crypto: Secrets of the Trade interview on Apple Podcasts or Whooshkaa.
[Ed note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment.]
(Comments stated are relevant to the time of the interview. As time progresses, dynamics change, leading to potentially altered variables and outcomes. Price analysis can be speculative and based on opinion.)
Bitcoin’s price action has been hot over the past several weeks as the asset has surged upward with vigor. Crypto influencer and trader Josh Olszewicz said he expects a pullback coming up for bitcoin.
"It’s to the point now where it’s like if we don’t pull back, the pullback eventually that will come will just be super painful," Olszewicz told me in a podcast interview on May 29, 2019. "There’s really no other good reason to pull back, other than we should have already pulled back."
Due To Cool Off
The crypto trader mentioned people often express shock and nervousness when big corrections occur, even during an uptrend, although such pullbacks simply are part of the market. Olszewicz pointed out several clues on relatively high timeframes that indicate to him that bitcoin’s price may be overextended at the moment, including bearish divergences and overbought signals, as well as other tip-offs. The formation of certain chart patterns may, however, alter said analysis, pending their formation, he added, noting the importance of updating one’s analysis on a regular basis.
An Overall Bull Trend
As a whole, whether or not price corrects in the short-term, Olszewicz said he believes crypto has shifted into a bull market. "Anything above $6,400 is definitely a bull trend," he noted, referring to bitcoin’s price rally above that zone from its bear market lows. "Anything above the daily 200 EMAs [exponential moving averages], on all these coins, is definitely a new bull trend," he said. "Anything with a bullish 50/200 cross on the daily is a bull trend," he added, in regards moving average crossovers.
Price action below bitcoin’s 200-day EMA, around $5,200 at the time of the May 29, 2019 interview, as well as below the Ichimoku Cloud, a common charting indicator, would be cause for reevaluation Olszewicz explained. He, however, added, "As we sit right now, there’s just no way you can look at this and say anything other than this is clearly a bull trend."
In The Game Since 2013
Talking about his journey and career, Olszewicz said he didn’t come from a financial background. The crypto aficionado has a background rooted in biology, originally having his sights set on medical school. After failing to gain entry into med school multiple times, he stumbled upon crypto in 2013 and became interested in the sector. Student debt in hand, Olszewicz said he "came for the money and stayed for the tech."
Olszewicz said his strategy included dollar-cost averaging into the crypto markets, roughly from 2013 to 2016. He noted a difference in his investment portfolio and his trading portfolio. With regards to the trading side of things, Olszewicz said, "It took me years to become profitable."
Learning to trade, in any market, is an in-depth and elaborate process that includes many facets, such as emotional control and risk management. "It takes a long time to learn, it takes a long time to find your emotional ranges," he explained. Olszewicz described the bull run of 2017 and early 2018, mentioning the emotional swings from the monetary gains that came out of that time period.
Prior to forming his trading strategy, Olszewicz said he often saw technical analysis posted on various crypto chat pages online. At the time, he was skeptical of the validity of such trading methods. Since his early days, however, he has changed his outlook and is now a big proponent of charting technical analysis.
Regarding the learning process for his trading strategy and methods, Olszewicz said,
I just tried to expose myself to as much stuff as possible. [I] looked at literally everything I could to figure out what it is, do I like it, do I hate it, how do I use it, when do I use it, why do I use it, what is it trying to tell me, how can I incorporate this into what I do, how do I figure out if its successful for me."
Trading can be a personal journey, catered toward the individual. Olszewicz described needing to know as much about each method as possible and then seeing if it works for him, on a personal level.
Olszewicz elaborated on many more details and topics throughout the rest of the podcast interview. Catch the full episode on the Crypto: Secrets of the Trade podcast.
Disclaimer: I actively trade cryptocurrencies, as well as hold a small amount of BTC, ETH, LTC, XMR, NEO, ZEC, BEAM, BCH and various insignificant altcoin positions.
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Bitcoin Is Weirdly Similar to an Oil Tanker – Expert Explains Why

Click here to view original web page at www.ccn.comBitcoin bears a weird similarity to an oil tanker. Crypto economist and Adamant Capital founding partner Tuur Demeester explains why. | Source: Shutterstock
By CCN: Adamant Capital’s Tuur Demeester, an outspoken crypto analyst and proponent of Bitcoin, said on Twitter that using the flagship cryptocurrency’s blockchain will eventually be as expensive – and rare – as chartering an oil tanker.
Even the simple act of opening a Lightning Network channel will be cost-prohibitive and potentially slow once the network user base climbs into the billions.
Bitcoin’s Blockchain Is Like an Oil Tanker – You Won’t Use Either of Them
At full maturity, using the Bitcoin blockchain will be as rare and specialized as chartering an oil tanker. https://t.co/lu1ORzrTjF— Tuur Demeester (@TuurDemeester) May 29, 2019
Demeester then backed off his original statement a little and qualified it by saying he was talking about a situation where the majority of the world is using Bitcoin – which, of course, is what many bulls anticipate will happen.
In such a scenario, the demand for limited block space will skyrocket. On-chain scaling will eventually have to be considered, many assume. Even some “small blockers” admit that ultimately, the amount of transactions in each block has to increase. In other words, Bitcoin needs to become more efficient.
A few notes given the backlash. This statement assumed:– Billions of Bitcoin users– Ossification of Bitcoin Core, i.e. no further on-chain scalingAs neither is a given, I should have said "may" instead of "will". https://t.co/HSsOEo0Ncl— Tuur Demeester (@TuurDemeester) May 30, 2019
Even opening individual lightning channels would take years for 7b+ people. Bitcoin block chain is the reserve asset and ultimate settlement of a new finance system. Direct use will be ridiculously expensive and that is ok.— Tamas Blummer (@TamasBlummer) May 29, 2019
Bitcoin can act as a gateway drug for new crypto users, but if they’re going to stay, they’ll have to find the systems usable. At scale, even full Lightning adoption could prove expensive for the average user to afford. Rather than opening their own “payment channels,” as expected, most people would utilize a third-party service.
What Is The Real Cost of Bitcoin Mass Adoption?
Does this lead to increased centralization? It’s a question of cost versus convenience.
While many allege that some block size increase will one day be necessary, it’s mostly a question of when. Should it be when 1 million organic transactions are waiting in the mempool regularly? Ten million? More?
The average fee might increase, and that may be a natural market, but if on the whole people find BTC to be “slow,” they might consider the alternatives.
Bitcoin transaction fees have climbed considerably along with the BTC price. Some analysts believe they will one day be so expensive that the average user never actually makes an on-chain transaction. | Source: BitInfoCharts
Whether Bitcoin manages to scale efficiently or not, mass adoption of 1-3 billion people would significantly change the way people think about the power of crypto.
Suddenly everyone accepts and offers cryptocurrency. This scenario doesn’t make sense in a context which only allows for one cryptocurrency to “survive.” It’s far more likely that a variety of cryptocurrencies would be thriving, with Bitcoin on top as usual.
Some blockchains have cemented demand by partnering with companies to provide services. Others continue to grow under vibrant development communities. On-chain gambling is all the rage. These alternatives are fast and capable of handling many thousands of transactions per minute. It’s unlikely that they won’t see equivalent increased demand as the market expands beyond the 1, 2, and 3 billion user marks.
Bitcoin would still be “expensive” by some standards even if you doubled the block size now. However, easing congestion will eventually become a network effect question. If Bitcoin can expand its user base and therefore its interest from miners, investors, and the like, then it’s perhaps worth the effort to increase the maximum amount of usage at a given time.

Susquehanna’s Digital Asset Head Bart Smith: Bitcoin Is Certainly Speculative and Risky

Click here to view original web page at cointelegraph.com
The head of digital assets at Susquehanna, a leading global privately held financial institutional firm, said that bitcoin (BTC) investment is “certainly speculative.” Susquehanna’s Bart Smith discussed the major cryptocurrency’s most recent moves in an episode of CNBC’s "Squawk Box" on May 30.
Addressing the basic question of bitcoin’s high volatility, which some consider prevent it from being considered as a store of value or a reliable medium of exchange, Smith argued that bitcoin investments are speculative and risky.
In the CNBC interview, the crypto expert looked at major factors that may have caused the recent bull move on the crypto markets, as bitcoin has surged more than 50% from around $4,000 over the past two months. Smith emphasized the interconnected nature of various factors impacting the price of bitcoin, including political, technological and regulatory drivers.
According to Smith, bitcoin’s recent price spike has been caused by the net effect of the trade war between China and the United States. The expert outlined the strong correlation between bitcoin’s price and the influence by Asian countries such as Korea and China, which have large capital controls.
The founder of Digital Currency Group had expressed a similar sentiment earlier this month.
Smith also pointed out the major public excitement about the emergence of regulated cryptocurrency platforms, including Fidelity’s institutional-grade crypto trading platform that is expected to be launched soon. As well, Susquehanna’s digital asset head noted a “tremendous amount of optimism” about the U.S.-based brokerages that offer bitcoin services to retail customers.
In the video, Smith also stated that he does not position himself as a “bitcoin evangelist,” stressing that he is a market maker providing liquidity.
In late 2018, Smith declared that he was still a long-term bitcoin believer despite the major bear market. At the time, Smith expressed his optimistic stance towards bitcoin, arguing that “every great idea is volatile.”
Recently, a co-founder at Hong Kong-based blockchain investment firm Kenetic listed major factors that will make bitcoin rally to as high as $30,000 by the end of 2019, regardless of an approval for the first bitcoin exchange-traded fund by the U.S. Securities and Exchange Commission.
Bitcoin broke the $9,000 mark for the first time today since May 2018, according to data from CoinMarketCap.