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Bitcoin [BTC] market is still majorly bearish, recent price hike was merely a bull trap, claims Tone Vays

Biraajmaan Tamuly

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Bitcoin [BTC] market is still majorly bearish and the recent price hike was merely a bull trap, claims Tony Vays
Source: Pixabay

The Bitcoin [BTC] market recently underwent a major bullish run which propelled its valuation above the $5,000-mark for the first time since November 2018. Many analysts put down their prediction and believed that the Bitcoin bottom was reached and that it was the beginning of another major price hike.

At a recent Bitcoin Q&A meet up at Philadelphia, Tone Vays, a popular Bitcoin [BTC] influencer, said that the market was still bearish and setting up for a bull trap.

Tone Vays presented some of his analysis and explained that he had predicted Bitcoin to reach a valuation of around $5,100. He said that after the breach of the $5,000 mark, he expected Bitcoin to hit new lows.

Additionally, the analyst mentioned in his presentation that he had drawn the support at $4,950 over the next week for Bitcoin. He stated that if the coin fell below the support, the coin was looking at a difficult period in terms of financial valuation.

However, he did open the window for a bullish run and indicated that if Bitcoin crossed $5200, the forthcoming period might be more inclined towards a bullish move.

During the meetup, Vays was queried on whether the bull run was triggered by a major whale purchase. He responded that a major whale purchase was highly unlikely to cause a bull run. He also added that the run only lasted two days, which did not give it enough credibility to be termed “bullish”.



He stated,

“If the bull run was caused by a major whale purchase in the market, then it would never be sustainable in the long term.”

Lastly, Tone Vays remarked that a major economic event, which did not involve a major financial catastrophe, would be beneficial for Bitcoin.





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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.

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Bitcoin

Bitcoin [BTC]: Andreas Antonopoulos breaks down life cycle of a transaction on the BTC blockchain

Akash Anand

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Bitcoin [BTC]: Andreas Antonopoulos breaks down the life cycle of a transaction on the BTC blockchain
Source: Pixabay

Bitcoin [BTC] and its intricacies have been a concept that many users in the cryptoverse have been trying to understand since its inception. In his latest video, Andreas Antonopoulos, a major Bitcoin bull and the author of Mastering Bitcoin, elucidated on the life cycle of a wallet transaction from start to finish.

Antonopoulos stated that from the point someone sends a transaction from a wallet to its confirmation on the Bitcoin blockchain, the wallet constructs a transaction by accumulating the BTC in the user’s wallet and assigning the addresses. The user’s wallet then transmits the transaction’s information to one of the many nodes it is connected to, from where it can be sent to ‘1, 2 or even 8 other nodes’. He added:

“The transaction is then transmitted to other nodes, which can be mining nodes, e-commerce payment gateways, and many such options. Each of those nodes will receive the transaction from your node and each of those, in turn, will validate every single transaction. When the nodes receive the transactions, they don’t’ know whether it was created by you or was forwarded and hence each of these transactions need to be validated individually.”

Antonopoulos went on to state that if all the nodes are validated, ie. if the payment details are correct and if it is confirmed that no double spend has occurred on the blockchain, then eventually through the process of ‘flood propagation’, the transaction information will be sent to every other node, out of which some may be mining nodes. In his words:



“Once the transaction reaches the mining pool, it maintains a pool of unconfirmed transactions, like a bucket where all this unconfirmed data is stored. This is the pool known as the mempool. Also, know that there isn’t THE mempool rather there is ‘A’ mempool. Information in separate mempools can be in a 99 percent overlap but there will never be a case where it will completely similar.”

According to the author, the mempool also serves the purpose of providing transaction for a miner to add a new block after which ‘the race is on’ for the next block. Miners usually have to construct a block and then solve the Proof of Work on it to eventually make it a confirmed block. Antonopoulos claimed that once the block is made, the information will be sent to the mining equipment to solve the PoW on that particular block and probably after a “billion hashes” the miners will find the block. The Bitcoin bull elucidated on the information transfer back by saying:

“Once the PoW is solved, the mining node will propagate the node back the same way as it received. The nodes validate the block on the way back and once all the nodes confirm its validity, then the user’s wallet will know that there is a confirmation on the transaction. That is the entire life cycle of a transaction.”





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