The cryptocurrency industry shot back into the mainstream media’s spotlight on the back of Bitcoin’s phenomenal surge and Facebook introducing its cryptocurrency, Libra. The timing of the current bull run was attributed to Libra’s launch by some members of the community, while others vehemently disputed this fact.
One such critic is Bart Smith, Susquehanna’s Head of Digital Assets, who stated that Libra had nothing to do with the BTC’s price increase and credit had to be solely given to the world’s largest cryptocurrency.
Smith pointed out that Facebook had not yet confirmed whether Facebook’s connecting cryptocurrency wallet will actually support Bitcoin and unless that was proven, there was no way to congratulate Libra for BTC’s growth over the past week. Smith added,
“Unless details come out that Facebook will support BTC transfer, there is no reason to give Facebook credit. This is also a clear indication that the price rise is not driven by Libra but rather because of Bitcoin’s own attributes.”
According to Smith, once Bitcoin broke the $9000 barrier, it pushed through a psychological resistance point which allowed more investors to jump into the Bitcoin ecosystem. Another positive note is the fact that Bitcoin’s previous psychological resistance was in the $5000-$6000 range. However, the same was beaten by the king coin’s stellar rise over the past three months.
Bart Smith further pointed out that the Bitcoin futures market was trading at more than 100 dollars, when compared to the preceding day, with miners raking in profits. There was a general divide among BTC enthusiasts, with some claiming that miners were getting the short end of the stick when it came to profits. However, that has changed a bit right now. Smith said,
“The above-mentioned factors together contributed to Bitcoin’s growth and Libra’s association with it can only be seen as connecting nonexistent dots.”
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