Bitcoin Today: calm weekends makes me worry
Price
BTCUSD spent the weekend in lateral movement inside the narrow channel 6400 - 6550. But such lateral movement will not last for a long time. As within two days, the price will reach Bearish Trend Line, which imposes the downward tendency of the price and will face a decision, to break the Trend Line and show more bullishness, or bounce downwards from this Line. In a Bullish scenario, the price will meet 7000.0 resistance after breaking above the Bearish Trend Line. In a Bearish scenario, the 6000-6400 support zone will be tested again, and in case of a breakthrough, the price will be headed to the 5000.0 support.
Today forecast
Trading in the 6000.0 – 7000.0 zone. High risk of fall.
Latest news
BTCUSD spent the weekend in lateral movement inside the narrow channel 6400 - 6550. But such lateral movement will not last for a long time. As within two days, the price will reach Bearish Trend Line, which imposes the downward tendency of the price and will face a decision, to break the Trend Line and show more bullishness, or bounce downwards from this Line. In a Bullish scenario, the price will meet 7000.0 resistance after breaking above the Bearish Trend Line. In a Bearish scenario, the 6000-6400 support zone will be tested again, and in case of a breakthrough, the price will be headed to the 5000.0 support.
Today forecast
Trading in the 6000.0 – 7000.0 zone. High risk of fall.
Latest news
- SEC position on BTC, EHT and ICO’s
Securities and Exchange Commission (SEC), clarified the regulatory agency's stance on bitcoin, Ether (the token used to pay for transactions on Ethereum's network), and initial coin offerings (ICOs). More specifically, Hinman noted that bitcoin and Ether aren't going to be classified as securities -- and therefore not held to same stringent regulations as publicly traded stocks -- by the SEC. Meanwhile, most ICOs are likely to be classified as securities, and will, therefore, come under more stringent regulation.
What's the difference? According to Hinman, it comes down to the expectations of the purchasers of an asset and what role the third party behind a cryptocurrency asset or ICO played. In particular, if investors bought a virtual currency with the expectation of a return on their money, and there was a third party behind that asset (either a person or group of individuals who sponsored the creation or sale of the asset), then it would most likely qualify as a cryptocurrency. For example, since there's a single cryptocurrency and a group of developers behind every ICO, most are liable to be considered securities and therefore come under the SEC's watchful eye.
So, how are bitcoin and Ether different? Per Hinman, it's the decentralization of both of their networks. Essentially, there's no third party that either network is reliant on for their success and operation. Said Hinman:
“Based on my understanding of the present state of Ether, the Ethereum network, and its decentralized structure, current offers and sales of Ether are not securities transactio - BIS releases a negative article about Bitcoin
The Bank for International Settlements just told the cryptocurrency world it's not ready for prime time - and as far as mainstream financial services go, may never be.
In a withering 24-page article released Sunday as part of its annual economic report, the BIS said Bitcoin and its ilk suffered from "a range of shortcomings" that would prevent cryptocurrencies from ever fulfilling the lofty expectations that prompted an explosion of interest - and investment - in the would-be asset class.
In one of its most poignant findings, the BIS analysed what it would take for the blockchain software underpinning Bitcoin to process the digital retail transactions currently handled by national payment systems. As the size of so many ledgers swell, the researchers found, it would eventually overwhelm everything from individual smartphones to servers.
"The associated communication volumes could bring the Internet to a halt," the report said.
Researchers also said that the race by so-called Bitcoin miners to be the first to process transactions eats about the same amount of electricity as Switzerland does. "Put in the simplest terms, the quest for decentralised trust has quickly become an environmental disaster," they said.
"Trust can evaporate at any time because of the fragility of the decentralized consensus through which transactions are recorded," the report concluded. "Not only does this call into question the finality of individual payments, it also means that a cryptocurrency can simply stop functioning, resulting in a complete loss of value."
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