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Bitcoin’s [BTC] sentiment remains positive despite collapse; price closes on a red candle over a weekly time frame

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Bitcoin's sentiment although positive, collapses, as does the price close on a weekly time frame
Source: Unsplash

Bitcoin’s parabolic surge hit a roadblock after the price created a red candle after five successful green candles over 35 days. The price of Bitcoin was $7,681, with a market cap of almost $136 billion, at press time. Bitcoin’s dominance over the market fell to 55% from 60%.

Sentiment and Trading Volume

According to a report by The Tie, Bitcoin’s sentiment has been positive for 120 days out of 160, meaning that Bitcoin’s sentiment has remained positive for 75% of 2019.

Source: The Tie

Despite the fact that Bitcoin’s sentiment has fallen over the past few days, it has managed to stay positive since May 13.

Additionally, the overall trading volume across trusted exchanges has also seen an increase.

Source: The Tie

The Tie tweeted,

“Real trading volumes across the most trustworthy exchanges also continue to increase. 30 Day Average Bitcoin trading volume (blue line) is now at its highest level since July of 2018.”

Source: The Tie

The Tie further added,

“While real volumes continue to increase, it should be noted that the jump is not as significant as what every exchange is reporting (dark gray). Much of the trading included in that metric is still manipulated. Trusted volume (light gray) vs. Reported volume (dark gray)”

Since there isn’t much regulatory clarity around crypto-exchanges, trading volumes are vastly manipulated. The reported volume and actual volume for most exchanges in the space do not match. According to The Tie, almost 90% of cryptocurrency exchanges’ reported volume might be incorrect.

The report said,

“In total we estimated that 87% of exchanges reported trading volume was potentially suspicious and that 75% of exchanges had some form of suspicious activity occurring on them.”

Weekly Time Frame

Source: TradingView

Bitcoin’s weekly chart closed a weekly candle in red that pulled the price of Bitcoin down by 14%. This could indicate that the momentum of Bitcoin’s recent surge is at its end. The Relative Strength Index for Bitcoin has dipped into the neutral zone from an overbought zone, after staying above it for over a month.





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Akash is your usual Mechie with an unusual interest in cryptos and day trading, ergo, a full-time writer at AMBCrypto and a part-time novice trader.

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Facebook’s Libra is a double edged-sword, but will benefit Bitcoin, says Caitlin Long

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Facebook's cryptocurrency Libra is a double edged-sword, but will benefit Bitcoin [BTC], says Caitlin Long
Source: Unsplash

On 18 June, the world’s biggest social media platform, Facebook, introduced its new cryptocurrency, Libra, set to launch in the first half of 2020. The coin that would have its own blockchain will be backed by several sovereign currencies, and these reserves would be managed by the Libra Association. The association will also be engaged in several other key activities, which would focus solely on the development of the Libra ecosystem.

Notably, the coin has brought together major players in both the financial and technology industry including, MasterCard, Paypal, and Coinbase. Despite such strong backing however, the concept of the coin was soon shot down by several influencers and government authorities.

The French Minister of Finance and Economy, Bruno Le Maire, released a statement asserting that Facebook’s digital currency becoming a sovereign currency was “out of question,” adding that “it can’t and must not happen.” Along with this statement, the Finance Minister also raised concerns about money laundering and terrorism funding and urged G-7 countries Central Bank Governors to draft a report on the new “global currency” for their meeting in July.

Further, Facebook’s cryptocurrency is also facing hurdles in its native country. Maxine Waters, Chair of the House Financial Services, has requested the social media giant to hit the pause button on the development of Libra, until Congress and regulatory authorities hold a discussion on the digital currency. This request was put forth mainly because of the firm’s “troubled past.”

In an interview with WhatBitcoinDid, Caitlin Long, Co-founder of the Wyoming Blockchain Coalition, stated that Libra had its pros and cons, adding that it was a “double-edged sword.” However, the blockchain evangelist continued to assert that this was going to benefit Bitcoin, stating that the social networking platform was “making cryptocurrency a mainstream word.” She added that Facebook would introduce the concept of digitally scarce money to people and that these people would look for the best cryptos that would retain the most value over time. That crypto was going to be Bitcoin, she said.

Long stated,

“This is a detour kind of like Andreas analogy, it’s the intranet before internet. We’ve even seen it in this industry, it’s blockchain not Bitcoin but people are coming full circle back around to Bitcoin. These are detours that are ultimately helpful to gaining adoption and wider support, but they’re not where we end up and I think we will end up in Bitcoin.”

Further, Long was asked whether Libra was going to be its own currency, considering it will not be pegged to a specific currency, but several fiat currencies. To this, she stated that Libra was indeed going to be a currency of its own, similar to Bitcoin. She stated that it was going to function like a “central bank,” remarking that it would be a “private version of a central bank.” Long went on to add,

“They’re going to be managing reserves against the liability. For them it will be the people who own the coins and they will be managing the reserves against that […] they are going to be marketing this in the developing world, this is going to be a developing world concept probably more than a developed world concepts […] so my guess is this is mostly an emerging market phenomenon secondarily a European phenomenon and lastly a U.S. phenomenon.”





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