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Bitcoin [BTC]: Andreas Antonopoulos rejects the idea of China launching 51% attack on BTC blockchain

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Bitcoin [BTC]: Andreas Antonopoulos rejects the idea of China launching 51% attack on BTC blockchain
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Andreas M. Antonopoulos, the author of Mastering Bitcoin, explained why the Chinese government couldn’t launch a successful 51% attack on the Bitcoin blockchain.

The argument whether China could launch a 51% attack on the BTC blockchain erupted from a tweet posted by Anthony Pompliano on March 16, 2019.

Pomp tweeted:

“The Lightning Network hit a new all-time high of over 1,000 BTC in network capacity today.
Don’t listen to the noise. Bitcoin is going to scale just fine 🔥”

Galgitron, a prominent person in the XRP community, requested Pomp to compare the use of Lightning Network to XRP. This comment led to the age-old topic that “XRP does everything that Bitcoin can and better”. Some of the users argued that Bitcoin could become a store of value if not peer-to-peer cash.

Galgitron replied:

“What you fail to understand is that once Bitcoin loses first spot, the price will drop, miners will defect, a 51% attack will occur, confidence will be lost, and it will collapse. Bitcoin isn’t a rookie baseball card”

@ptothehyphen disagreed with Galgitron as he replied:

“That price action and 51% attacks are correlated….also even if a party managed a takeover of bitcoin, the power needed to mantain the attack for a prolonged period is astronomical (but anything can happen in crypto)”

Although 51% attack on the Bitcoin blockchain is widely debated, it certainly is not impossible. However, the amount of resources required to do the same is massive and it does not make any sense considering the upsides of the attack.

Before the BCH hash wars and the bear market of 2018, the mining pool of Bitcoin came eerily close to being completely dominated by the Chinese miners. Bitmain played a very important role and held a subsequently large stake of the mining pool. However, the stake in the mining pool by the Chinese counterparts has since reduced down.

Galgitron commented:

“Ya, @aantonop isn’t the best authority to elucidate PoW attacks. In this video, sure, the attacks he describes are ludicrous, but he conveniently sidesteps the Chinese govt commandeering 4 mining pools to double-spend Bitcoin, which can be done literally today with zero warning.”

Andreas Antonopoulos addressed these topics in-depth and explained how a 51% attack by China was not possible. Antonopoulos replied to the comment:

Jason A. Williams, a founder of Morgan Creek Digital, added:



“I have thought a lot about the 51% attack. Technically possible, yes. Financially improbable. 3 real threats –
1. Hardware maker attack (state)- they run their inventory already and sell used gear ⚙️
2. Hardware backdoors –
3. Spying technology – access users private keys”

Antonopoulos jumped in and replied to Galgitron:

“I feel comfortable knowing that China *cannot* instantly destroy Bitcoin.
Trying to destroy bitcoin this way will not only fail, but it will demonstrate its resilience by failing. That’s a worse scenario than simply throwing shade at BTC with propaganda”

Antonopoulos also elucidated that the 51% attack would not be over in an hour but would take an hour to start and even if the attack did start, those pools would be abandoned by the users.





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Akash is your usual Mechie with an unusual interest in cryptos and day trading, ergo, a full-time journalist at AMBCrypto. Holds XRP due to peer pressure but otherwise found day trading with what little capital that he owns.

Bitcoin

Bitcoin [BTC] surges above $5,500 and breaks major resistance level; collective market rises

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Bitcoin [BTC] surges above $5,500 breaking major resistance level; collective market surges
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Bitcoin [BTC] broke out of its sideways trend that saw coins fall after a brilliant start to April. This “break-out” is especially significant since it came days after the coin was trading sluggishly, pulling the market cap below $175 billion.

After breaking the $5,200 level on April 16, the coin held steady, showing no noticeable dips. However, it also began losing the momentum it had gained when it rose by 15 percent on April 2. Many saw the past week as Bitcoin losing steam, opining that a drop to as low as $4,000 would manifest. This pessimism coupled with the delisting dilemma saw the global market decline by 3.31 percent over the past weekend.

Given this backdrop, the present Bitcoin price incline was even more bullish for the collective market. Further, this was not just an effort to shrug off “sideways bears,” but instead, two key levels were broken in order to usher a collective market rise and sustain BTC bullishness.

Source: Trading View

RESISTANCE

The first, as indicated by eToro’s senior market analyst Mati Greenspan, was the resistance level of $5,350. When Bitcoin began to consolidate following the early April high, Greenspan stated that if the BTC price were to punch above the aforementioned level, it “would likely serve as confirmation that we’re pushing higher and will lead to further buying pressure.”

Greenspan stated that the $5,350 level acted as a major support level throughout 2018. Hence, it is incredibly important that Bitcoin surge above it in the next rise to consolidate buying pressure. Another important point to signal the coming of a bullish market was the 200-day moving average which Bitcoin has stayed above since the April 2 rally.

PSYCHOLOGY

The other significant level for the collective market is Bitcoin’s ascendance over $5,500, which it managed courtesy of this rally. Many, including Greenspan, pegged $5,000 as a key psychological level for the coin and hence, the rise above $5,500 less than three weeks after $5,000 was broken will bring back optimism to the BTC market.



Further, as was seen in the April 2 rise, the Bitcoin pump resulted in the king coin increasing its market dominance. At the close of March, Bitcoin was edging closer to losing the majority. However, the rally saw its share increase to 52.4 percent within a day. Following this recent 4.61 percent increase against the US Dollar, the king coin’s dominance increased to 53.2 percent.

Given the elasticity of the collective market to changes in Bitcoin’s price, the market was awash in green as Bitcoin broke the resistance and psychological levels. Amid this bullish charge, some coins stood out for their above-average gains, which included Bitcoin Cash [BCH], Cardano [ADA], EOS [EOS], Litecoin [LTC], and the exchange-ousted Bitcoin SV [BSV].





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