Connect with us

Bitcoin

Bitcoin [BTC] is a more fluid, dynamic currency than the US Dollar, claims Tim Draper

Biraajmaan Tamuly

Published

on

Bitcoin [BTC] is a more fluid, dynamic currency than the US Dollar, claims Tim Draper
Source: Pixabay

Tim Draper, a renowned Silicon Valley Venture Capitalist, recently spoke about Bitcoin and offered cryptocurrency investment advice during an AMA session on Facebook.

Draper said that the ideal period to invest in Bitcoin had not passed yet and that he had more faith in the digital asset than the US fiat currency.

Back in 2014, the FBI shut down the black market site Silk Road and seized 144,336 Bitcoins. The US Marshals Service auctioned these digital currencies, with Tim Draper purchasing 29,656 bitcoins at the time. Draper bought it for an estimated $18 million, worth around $118 million, at press time.

Tim Draper stated,

“What it is [Bitcoin] is the future of currency and the currency is going to be decentralised and open and you’re going to end up with a much more fluid, dynamic currency if you own Bitcoin, than if you own dollars.”

He also told investors not to worry too much with respect to the short-term price fluctuations in the cryptosphere. He indicated that it was not ideal to invest in Bitcoin while focusing only on the short term, suggesting that doing so was a “mistake”.

He stressed on the importance and value of Bitcoin and explained how it depended on people and heavy investors. He also added that people could manipulate the coin’s price, stating that its valuation could go up or down if big customers invested in or sold off the coin.



He added,

“Sometimes Bitcoin is going to feel very valuable … and sometimes you’re going to feel like dollars are what you really want to hold on to. When you feel like dollars are what you really want to hold on to, you probably want to buy Bitcoin.”

Tim Draper recently met Argentinean President, Mauricio Macri, suggesting that he should announce Bitcoin as a national currency. Draper was convinced that the decision would rescue the country from its current financial crisis. He said,

“That could end up being just phenomenal and globally, people will start saying I’m going to Argentina to start my business.”





Subscribe to AMBCrypto’s Newsletter




Follow us on Telegram | Twitter | Facebook



Biraajmaan is an engineering graduate who is exploring the ever-changing crypto verse while traversing his passion for cryptocurrency news writing. He is a Chelsea fan and a part-time poet and does not hold any value in cryptocurrencies yet.

Continue Reading
Advertisement
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Bitcoin

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

Avatar

Published

on

Bitcoin [BTC] surges above $5,500 breaking major resistance level; collective market surges
Source: Pixabay

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].





Subscribe to AMBCrypto’s Newsletter


Continue Reading

Trending