Bitcoin Fees Are Down Big – Why It’s Happening and What It Means

 

Bitcoin Fees Are Down Big – Why It's Happening and What It Means

$26 down to $3.

The average cost of sending a bitcoin transaction is cheaper than it's been in a year and a half, showing the price isn't the cryptocurrency's only unpredictable metric these days.

But with all the debate about growing fees, this might come as a surprise. After all, it wasn't so long ago that fees were so high a group of prominent investors and miners created a whole new version of bitcoin mostly to keep fees lower.

Backing up a bit, much of the conflict centered on the fact that while called "fees," these expenses are best considered as transaction costs that are necessary to the network, as necessary as paying for someone to deliver a protocol service, be it SMS, VoIP or email, or even a pizza.

This is because bitcoin is a software that requires all of the many thousands of computers that run it to stay in sync. To do so easily, there's a limit on how much data the network can process at intervals, and users need to pay more to get their transactions in at times of congestion.

So, as bitcoin grew more popular in the last year, fees skyrocketed to over $25, according to a graph from data website Bitinfocharts.

Bitcoin users, those who truly rely on the protocol for essentials, have been affected by this, as were those who believed bitcoin could be competitive with legacy payment systems.

But, bitcoin fees have fizzled out, declining since the end of December.

So, why did fees take a nosedive? The simple answer is users are making fewer transactions right now. In December, there were roughly 400,000 transactions per day, while today bitcoin is seeing only 200,000, according to data from Blockchain.info.

"I think its really simple," BitGo engineer Mike Belshe told CoinDesk. "There is substantially less transaction demand."

The question, he added, is why has there been a decrease in transactions?

SegWit and beyond

If Twitter and Reddit are any indication, sentiment on the matter tends to be influenced by personal politics, in this case, where users stand in bitcoin's long-standing block size debate, which, at its core, was about network economics.

Popular Twitter figure "Armin van Bitcoin" cheered that the low fees mean the "scaling debates are now a thing of the past," pinning the development partly on growing adoption of Segregated Witness, a scaling feature at the center of bitcoin's long-raging fee debate.

And there is truth to the claims. SegWit reduces transaction fees and adds more space to the blockchain, but it still isn't widely adopted, so it's hard to say how much it actually helped. There hasn't been much of a recent increase in SegWit use either. For the past several months, only about 10-14 percent of transactions, according to SegWit tracking site SegWit Party.

Plus, SegWit doesn't reduce the number of transactions, it makes each one cheaper.

Another possibility, according to Belshe, is that fee prices "finally forced" some large transaction processors to implement a technology called "batching," rolling many transactions into one, to leave more space on the blockchain.

Indeed, exchanges like Coinbase have said they were working on implementing the feature in the past. And Thursday, cryptocurrency exchange ShapeShift announced it now batches transactions, making a point that it makes up 2 percent of all the transfers that occur on the bitcoin blockchain.

However, it's a theory that's difficult to get hard data on, unless an exchange were to formally announce that they were using this technique. "This is hard to confirm with 100 percent certainty," Belshe said.

Still, he argued that even if just one large exchange started batching transactions, it could have a huge impact on the overall transaction load.

These sorts of technical theories add to the idea that developers and those building services on top of bitcoin can make optimizations in order to free up space on the blockchain, without compromising on some of its core features.

"This is why Bitcoin Core worked so hard to get 'layer-two solutions' working, and why they focus so much on optimization of the size of transaction through various things like Schnorr and Bulletproofs," XO Media CEO John Carvalho said.

"They are doing everything to minimize the footprint of every type of transaction attached to bitcoin because they are all stored forever," he added.
 

Ditching bitcoin

Others, especially those critical of how bitcoin developers favor a smaller blockchain and limited transaction space, argue the lower fees are a consequence of people that are sick and tired of the high fees leaving bitcoin.

"Bitcoin isn't useful for anything that involves low fees so people are migrating to alternatives. this has the consequence of lowering the fees on bitcoin," said Ryan X. Charles, founder of Yours, a media startup building on bitcoin cash.

Charles notably moved his startup off of the bitcoin blockchain last year, migrating to alternatives before building on bitcoin cash.

It's possible that some users are doing the same. Payment processor Stripe stopped accepting bitcoin in January payments due to the high fees, and BitPay, a startup that offers payment services over bitcoin has differentiated into supporting multiple protocols for its merchants.

Yet, if they are pushing users elsewhere, it's not clear where they're going. Bitcoin cash, the cryptocurrency created as a cheaper alternative to bitcoin, still has about 10 percent the number of transactions bitcoin currently does.

"Apparently [high fees] don't incentivize folks to switch to bcash," BitGo engineer Jameson Lopp said.

Bitcoin developer Meni Rosenfeld doesn't think so either. In fact, he disagrees with both of the above theories.

"The main reason for the drop in [bitcoin transaction] fees is not SegWit adoption, and it's not people moving to [bitcoin cash]. It's simply that the craze for buying cryptocurrencies in general has calmed down," he tweeted.

Indeed, there's been a downtick in outside interest in bitcoin. A lower price has less new investors searching for bitcoin on Google and coming in to buy and trade the cryptocurrency.

This view seems supported by the fact that the second most valuable blockchain by market cap, ethereum, has also seen a dramatic drop in fees in recent months. The same goes for litecoin, clocking in at number five, and XRP, at third place.

Charles also argued it's possible crypto's waning hype cycle has contributed to lower fees.

"I wouldn't be surprised if ethereum is also lower due to the decline in market value. There may simply be less demand for sending transactions across all blockchains. We went through a hype cycle," he told CoinDesk.

And it's always possible the low fees were caused by a mix of the factors described above.
 

Fees forever

What do lower fees mean for users? In short, it shows that under the current setup, fees might fluctuate over time.

The hope is that – eventually – fees will always be "low," with the word low having somewhat of a relative definition. After all, a low-cost airline flight may be better than an expensive bus ride.

In this way, supporters hope that bitcoin will one day offer the best of both worlds, supporting high demand and "low" fees that reflect the quality of service, while also supporting miners, computer operators who devote real-world costs to securing transactions.

"The fee market is necessary as a counterweight to market price. [Theoretically,] demand for blockspace is infinite, so there must be levers to manage it," Carvalho said.

In the meantime, fees could continue to decline, creating a new standard of "low" that might be friendlier to today's internet users. Carvalho and Rosenfeld, for instance, think the much-touted Lightning Network will help get bitcoin to that point, as it moves more transactions off of the main bitcoin blockchain.

If Lightning really takes off, then low fees may become another problem, as they might not be enough to defray mining costs when the network finally produces all 21 million bitcoin.

For this reason, developer Greg Slepak had an almost ominous-sounding view of the future, arguing that users should "take the opportunity" of today's lows fees, adding:

"It might not come again."

 

Author Alyssa Hertig Updated Feb 23, 2018 at 02:11 UTC

 

Posted by David Ogden Entrepreneur
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Bitcoin – British MPs launch inquiry into digital currencies

Bitcoin – British MPs launch inquiry into digital currencies

MPs have launched an inquiry into cryptocurrencies and the technology behind them.

The Treasury Committee said it wants to understand the risks and benefits of digital money following an explosion of interest – and investment – in them.

The MPs will cover the role of digital currencies in the UK, including the impact on consumers and businesses.

Although currencies such as Bitcoin have drawn criticism, the technology behind them has been praised.

Nicky Morgan, chair of the of the committee, said the MPs would look into how consumers and Britain's financial infrastructure might be better protected, without stifling innovation.

Last year's rapid rise, and subsequent fall, in the value of Bitcoin focussed attention on cryptocurrencies. They were variously dismissed as fraudulent, a "Ponzi" investment scam, and a vehicle for criminals and tax evaders.

Bank of England governor Mark Carney said Bitcoin had failed as a currency, but that the underlying technology which records and verifies the chain of transactions might prove useful.

Warren Buffett, the venerated investor, said the speculative cryptocurrency craze "will come to a bad end".

Divorcing couples may clash over Bitcoin

Ms Morgan said: "People are becoming increasingly aware of cryptocurrencies such as Bitcoin, but they may not be aware that they are currently unregulated in the UK, and that there is no protection for individual investors.

"The Treasury Committee will look at the potential risks that digital currencies could generate for consumers, businesses, and governments, including those relating to volatility, money laundering, and cyber-crime.

"We will also examine the potential benefits of cryptocurrencies and the technology underpinning them, how they can create innovative opportunities, and to what extent they could disrupt the economy and replace traditional means of payment."

But she also wants to strike a balance between protection and regulation, and not hindering the blockchain technology behind cryptocurrencies. "As part of the inquiry, we will explore how this can be achieved," she said.

The committee, which has yet to set a date for its first evidence session, will take evidence on key questions, including:

  • Are digital currencies ultimately capable of replacing traditional means of payment?

  • To what extent could digital currencies disrupt the economy and the workings of the public sector?

  • What risks and benefits could digital currencies generate for consumers, businesses and governments?

  • Could regulation benefit digital currency start-ups by improving consumer trust?

  • How are governments and regulators in other countries approaching digital currencies and what lessons can the UK learn from overseas?

Source   BBC

 

Posted by David Ogden Entrpreneur

 

Bitcoin - British MPs launch inquiry into digital currencies

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Crypto Mining Craze Creates Global GPU Shortage

Crypto Mining Craze Creates Global GPU Shortage

Crypto Mining Craze Creates Global GPU Shortage

The cryptocurrency bull run of 2017 attracted multitudes of investors looking to get rich quick but it also created a mining boom that has resulted in a worldwide shortage of computer components.

 

Miners Plunder Singapore, Hong Kong For Cheap Rigs

Scores of miners from around the world come to the electronics bazaars in Asia to buy cryptocurrency rigs. Hong Kong’s Sham Shui Po and Singapore’s Sim Lim Square to name just a couple are jammed with people of all ages ordering specialized rigs.

This new demand for mining rigs has revitalized these electronic markets that were dying only a few years ago when shoppers turned online for computers, cameras, and gadgets of all kinds.

“It’s 30-50 percent cheaper to buy equipment related to crypto-mining in Hong Kong than in Europe,” Russian bitcoin miner Dima Popov said. This is because Hong Kong has no sales tax and is in close proximity to Chinese components manufacturers.

Miners are demanding more powerful rigs that can include up to 500 graphics cards each which has created a worldwide shortage of the cards allowing manufacturers and retailers to gauge buyers on the price.

 

Scarce GPU Cards Selling At Double Price

The market for high-end graphics cards used to work like anything else. You went to the electronics shop, found the card you wanted and paid just about the Manufacturer’s retail price. Today due to the escalating demand from mining you’ll most likely find the shelves that once held them bare but if you do actually what your looking for expect to pay a premium.

These high-end graphics cards are the most efficient way to mine cryptocurrency and as hobbyist miners and big players alike scramble to snatch up as many as they can prices go through the roof. Last summer popular GPU’s like the AMD Radeon RX 580 sold for about $250 at retail, today the price is more likely to be over $500 and that is if you can find them.

Checking the price of the 5 most popular graphics cards from last year and comparing it with the updated version shows a general price increase of between 70 and 100%. This leaves many wannabe miners trolling online for the best deals on new or even second-hand cards. Buying older cards though means slower computing ability which reduces the profitability of a rig.

Rigs using, for example, a high-end Nvidia Geforce GTX 1080 ti card costing around $1,300 (MSRP) can earn as much as $10 dollars a day at current crypto values. This means that the card may pay for itself in about 4 months.

String the math out and it’s easy to see how a fair sized rig can make a very nice profit over a year or more. Retailers reported a dip in demand for the cards during the crypto market correction but now that Bitcoin and it’s like are on the rise sellers and manufacturers are looking for demand to reach and surpass 2017.

Author JMCMAHON • FEB 21, 2018 • 05:02

 

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Trader Takes a Risk With Bitcoin, Becomes Cryptocurrency Billionaire

Trader Takes a Risk With Bitcoin, Becomes Cryptocurrency Billionaire

Trader Takes a Risk With Bitcoin, Becomes Cryptocurrency Billionaire
A mysterious investor who had recently purchased astonishing $400 million in bitcoin has just become a cryptocurrency billionaire.
Earlier this year, Bitcoin investors pressed the panic button when the cryptocurrency saw as much as 50 percent of the market lost amidst fears of growing regulations within the community.
Taking advantage of the collapse Bitcoin experienced over the first two months of 2018, the unnamed trader with the Bitcoin address 3Cbq7aT1tY8kMxWLbitaG7yT6bPbKChq64 purchased almost $400 million of the currency, apparently making a smart move, with the market now regaining momentum once again.

"Not sure who that big buyer was," founding partner of Tetras Capital Alex Sunnarborg told MarketWatch. "But many have bought this dip and have added since the rebound and additional regulatory clarity in the US and Asia".

Bill on "Cryptoruble" Introduced in Russia's Lower House of Parliament
The trader reportedly purchased about 41,000 bitcoins between February 9 and 12, increasing his balance from 55,000 coins to over 96,000. During that period Bitcoin's price was trading between about $8,600 and $9,000.
Cryptocurrencies nosedived at the beginning of 2018, weeks after bitcoin reached an all-time high of around $19,500. According to Fundstrat Global Advisors LLC's Tom Lee, Bitcoin may be well off its mid-December peak of $19,511, but it will be touching new highs again by July.    

Source Sputnik News

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Doge Is Helping Ethereum Solve Its Biggest Issue

Doge Is Helping Ethereum Solve Its Biggest Issue

Doge Is Helping Ethereum Solve Its Biggest Issue

A cryptocurrency modeled after a dog meme is proving yet again it's not just a joke.

Created on a whim in 2013, dogecoin isn't simply still around, it's playing a crucial role in the ongoing testing of at least one "serious" technology. In fact, on February 5, it notably factored into an experiment that successfully showcased one of ethereum's more enterprising projects.

On that date, the much-anticipated technology truebit successfully sent dogecoin to ethereum's Rinkeby testnet, where it became a distinct asset on that blockchain. A historic first, the transaction marked the completion of a years-long project developers see as a stepping stone toward the interoperability of crypto assets more broadly.

Nicknamed the "dogethereum bridge," the test also marks the first real release for truebit, which aims to solve one of ethereum's biggest problems: scalability.

In short, the smart contract platform can't support many users right now. Indeed, because of all the data ethereum needs to store in its globally distributed database, it requires more than three times as much data as bitcoin, and that's making it more difficult for users to run.

Though truebit is lesser-known than scaling solutions like raiden and sharding, the technology is perhaps more ambitious because it's designed to scale any type of ethereum computation, rather than just transactions. This is key, since ethereum bills itself as more than "just" a financial cryptocurrency.

In the long run, truebit wants to scale video, machine learning or just about any computation you can think of, and dogethereum is the first use case, so far.
 

Truebit co-founder Jason Teutsch:

"We built a first version of that, which we're calling 'truebit lite.' It demonstrates that all the core pieces of truebit work. It's a big milestone for us."

$1 million on the line

Backing up, the history of dogethereum is an interesting one.

In the heyday of dogecoin (back when its thriving community could pool together $30,000 in donations to fund a bobsled team), Ethereum Foundation UX designer Alex Van de Sande got together with other developers and set a bounty to incentivize someone to come up with a way to move coins from dogecoin to ethereum and back.

The group locked up the funds in a DAO, a kind of application that runs on ethereum, enabling money to be spent only once specific rules are met. In this instance, the funds were set to only be released if five of the DAO leaders vote to do so by signing approval with their ethereum private keys.

Since the price of ethereum ballooned over the years, the smart contract holds ether worth about $1.2 million today. But no one's received the bounty so far, primarily because running dogethereum in an efficient way has proven to be a much more difficult problem to solve than expected, as Van de Sande pointed out in a string of tweets describing the project's origins.

The heart of the issue is it's too computationally expensive to validate a coin going from one chain to another – and back again – costing millions of dollars in ether. In order to solve this problem, it needs to be less expensive to run computations on the ethereum blockchain.

"This [bounty] kicked off a two- or three-year discussion about how best to implement it," said truebit developer Sina Habibian, adding:

"Dogethereum is representative of a larger problem of how to run big computations."

And dogethereum is how truebit was born – the seemingly silly bridge sparking Ethereum Foundation developer and truebit co-author Christian Reitwiessner's interest in designing a scalability layer on top of ethereum.
 

The big test

Truebit developers might be getting close to snatching the dogethereum bounty, though, since some successful tests on the Rinkeby copy of the ethereum blockchain have been executed.

The only other step is doing it live.

Truebit built a dogecoin light client, a smaller version of the blockchain that slashes most of the historical data, embedding it in the doge relay so it can securely move coins from chain to chain.

Yet, Truebit's developers stressed the challenging aspect of what they've accomplished, arguing that the dogethereum bridge is different than decentralized exchange via atomic swaps, an idea that's been gaining ground of late. Rather, it's more like sidechains, a long-stalled bitcoin technology.

"We want to actually pull coins off of the dogecoin blockchain and put them onto ethereum in the form of ERC-20 tokens," Teutsch explained. "And be able to move them back."

"You don't need a counterparty. You're doing this completely on your own," Habibian added.

To accomplish this, there has to be some way of locking coins on dogecoin so that they cannot be spent until they are sent back from ethereum. But that's not the most difficult part. What remains computationally expensive is proving that the owner of the dogecoin owns the ether coins on the other side.

They then executed a transaction on the Rinkeby testnet, sending the dogecoin to ethereum – and back again – using truebit under the hood, so the normally expensive proof is executed off-chain, in a much cheaper way.
 

No estimates

Despite the public debut for the scaling project, though, the team behind truebit still has their work cut out for them.

In this first version of the technology, the incentives are "greatly simplified," Habibian said.

In the technology they have ready today, some of the participants are behaving "altruistically." That is, the system's verifiers are performing expensive computations just to be nice.

And while that probably wouldn't work in practice, truebit's goal is to one day create a marketplace where participants are paid for doing computational work on their computers and contributing correct results.

"People will come out of their own self-interest to run these computations and make money in return," Habibian said.

So, when will all that be ready exactly? Habibian wouldn't give an estimate for how long it will take to launch for real on ethereum.

"It's always hard to make estimates like that because one of the rules of software engineering is, 'However long you think something's going to take, it'll take three times as long,'" he said.

Still, he revealed truebit plans to release new software programs iterating on this milestone in the coming months now that the startup has teamed up with decentralization startup Aragon and ethereum-based video service LivePeer.

That's how they think the technology will spread at first, beyond dogethereum, marking a big step for truebit – and potentially ethereum too.

As Habibian told CoinDesk

"When it's done and it's fully built, you'll be able to run any computation on ethereum."

 

Author Alyssa Hertig Updated Feb 19, 2018 at 03:41 UTC

 

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CFTC Warns Against Cryptocurrency Pump-and-dump Schemes

CFTC Warns Against Cryptocurrency Pump-and-dump Schemes

CFTC Warns Against Cryptocurrency Pump-and-dump Schemes

The rising popularity of cryptocurrencies is of great concern. Especially when it comes to pump-and-dump schemes, there’s reason to be concerned. As such, the CFTC issued an official warning against this type of market manipulation. They advise customers to avoid such schemes, especially when it comes to small and new altcoin markets. It is evident doing one’s research is always the best course of action.

In the world of cryptocurrency, pump-and-dump schemes are nothing new. In fact, they are a lot more common than some people might think. The CFTC has issued an official warning on this topic earlier this week. This is quite a surprise, even though it is evident consumers need to be aware of these manipulative efforts. Especially smaller cap coins and new alternative cryptocurrencies pose a significant risk in this regard. Moreover, it is always best to avoid any promotion on social media altogether.
 

Avoiding Cryptocurrency Pump-and-dump Schemes

This seems to stem forth from the recent BitConnect issues. That pump-and-dump scheme caused hundreds of millions in financial losses. It was mainly promoted on social media and YouTube. The CFTC doesn’t want history to repeat itself in this regard. They now want consumers to blow the whistle on any suspicious currencies first and foremost. It’s always better to submit tips than ignore pump-and-dump schemes altogether. Whether or not the general public will follow this guideline, remains to be seen.

According to the CFTC, pump-and-dump schemes in the cryptocurrency world take place on social media first and foremost. Online chat rooms, such as the ones on Telegram, are also problematic in this regard. Ignoring these buy signals will prove to be rather difficult for a lot of novice users. It is these people the marketers and scammers prey on first and foremost. A lot of people never do any research for specific coins or projects, even though they really should.

For now, the CFTC will not undertake further action against pump-and-dump schemes. They are not in a position to do so either, unfortunately. It is evident users need to conduct their due diligence first and foremost. Those who purposefully defraud other investors will face legal issues sooner or later, though. Anyone participating in market manipulation also violates the law. It is evident this new financial industry needs some boundaries first and foremost. Cracking down on pump-and-dumps is the right way to go in this regard.

 

Author JP BUNTINX • FEB 18, 2018 • 03:02

 

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What Could Lift Bitcoin, Ripple, Ethereum, And Litecoin Prices Back Towards New Highs

What Could Lift Bitcoin, Ripple, Ethereum, And Litecoin Prices Back Towards New Highs

The cryptocurrency party is on again.

After being in a deep correction for a few weeks, Bitcoin, Ethereum, Ripple, and Litecoin have been coming back nicely over the last week, gaining 19.87%, 10.48%, 30.57%, and 53.90% respectively—see table 1.

 

Table 1
 

7-Day Price Change For Major Cryptocurrencie

Source: Coinmarketcap.com 2/16/18 at 10:30 a.m.
 

The turnaround in cryptocurrency markets comes as equity markets rebounded from the sell-off early in the month, with NASDAQ gaining close to 5% in the last five days—see table 2.
 

Table 2

Source: Finance.yahoo.com 2/16/18 at 10.30 a.m.
 

Most notably, the cryptocurrency “technicals” remained strong, with 83 cryptocurrencies advancing and only 17 declining among the top 100 listed currencies—see table 3.
 

[Ed. note: Investing in cryptocoins or tokens is highly speculative and the market is largely unregulated. Anyone considering it should be prepared to lose their entire investment. Disclosure: I don't own any Bitcoin.]

 

Number of Cryptocurrencies That Advanced/Declined In The Top 100 Ranks

The strong rebound in major cryptocurrencies is a cause of celebration for investors who purchased near the market bottom.
 

How long will the party last? Will major cryptocurrencies prices test the old highs? It’s hard to tell. Still, there are a few scenarios that could help major cryptocurrencies move in that direction.

One of them is the proliferation of Wall Street products like ETFs and Futures contracts that will allow a broader investor participation in cryptocurrency markets. In fact, it was the introduction of Futures contracts that created a great deal of buzz for major cryptocurrencies last December, and taking some of them to new highs.

Another scenario is an improved access to cryptocurrency exchanges that will ease the difficulty of buying cryptocurrencies by the average investor. “The biggest tailwind I can see right now is greater acceptance of cryptos by mainstream investors and improving ease-of-access to the crypto exchanges,” says Jesse Cohen Senior Analyst with Investing.com. “Trading app RobinHood for example has a waiting list of around 1.2 million users for its new crypto trading service, which would allow easy, quick and most importantly safe investing in all the major coins."

A third scenario is the adoption of cryptocurrencies as a medium of payment by major merchants. Already, there has been talk that Starbucks and Dunkin Donuts are considering accepting Bitcoins for their products.

While all this talk sounds like pie in the sky, the likelihood for one of these companies to adopt a cryptocurrency is very appealing, for an obvious reason: it will create a great deal of buzz among younger customers.

And it will drive cryptocurrency prices higher, provided that big governments, big banks, and hackers do not spoil the party again.

 

Author Panos Mourdoukoutas ,

 

 

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Bitcoin Price Technical Analysis for 16th Feb – One More Hurdle to Clear

Bitcoin Price Technical Analysis for 16th Feb – One More Hurdle to Clear

Bitcoin Price Key Highlights

  • Bitcoin price has broken past its inverse head and shoulders pattern neckline to show that an uptrend is in the cards.

  • Price is hitting another upside barrier at its descending trend line, though, and this might prompt profit-taking.

  • Technical indicators are also suggesting that the rally is overdone.

  • Bitcoin price is testing the descending trend line on its 4-hour time frame, and moving past this hurdle could mean more gains.

 

Technical Indicators Signals
 

The 100 SMA is below the longer-term 200 SMA to signal that the path of least resistance is to the downside. This suggests that the downtrend is more likely to resume than to reverse.

The 200 SMA also lines up with the descending trend line to add to its strength as resistance. This means that it would take a strong catalyst to trigger and sustain an upside break.

Stochastic is indicating overbought conditions, though, so selling pressure could still pick up. Similarly, RSI is in the overbought region and looks ready to turn lower, so bitcoin price might follow suit.

Market Factors
 

Bitcoin price has drawn a lot of support from easing regulatory concerns, stemming from the US Senate hearing and remarks from South Korean officials suggesting that they are open to introducing something like BitLicense.

Recall that Commodity Futures Trading Commission Chair Christopher Giancarlo and Securities and Exchange Commission Chair Jay Clayton mentioned that they have no plans on banning bitcoin. Instead they plan on regulating the industry without quashing development.

More positive updates like these could help improve the sentiment in the industry. Apart from that, the continuation of risk-taking in higher-yielding assets like stocks and commodities has also benefitted bitcoin.

Besides, the move all the way to the $10,000 area of interest could bring more buying interest as this could signal an end of the correction. A sustained move past the next $12,000 area of interest could confirm that buying momentum is in play, attracting even more buyers.

Author SARAH JENN • FEB 16, 2018 • 05:02

 

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Cryptocurrency latest – Unprecedented Bitcoin legal battles BAFFLE top regulation lawyers

Cryptocurrency latest - Unprecedented Bitcoin legal battles BAFFLE top regulation lawyers

Cryptocurrency latest – Unprecedented Bitcoin legal battles BAFFLE top regulation lawyers

UNPRECEDENTED legal battles are set to take place in the UK after it was reported that divorce lawyers are struggling to come up with settlement agreements over cryptocurrencies.

The unusual legal cases are said to concern at least three couples looking to legally separate.

One pair has a fortune of £600,000 in cryptocurrencies that they are currently struggling to agree how to split.

The lack of regulation surrounding the digital currencies means that there is little legal cover for those looking to protect their online assets in the case of a divorce.

Bitcoin, Litecoin, Ripple and Ethereum are all understood to be at the centre of online money involved in the divorce cases.

Vandana Chitroda, a partner at the law firm Royds Withy King, said: “These are the first cases we have seen, and we expect to see many more.

“We believe that cryptocurrencies will be a significant feature in a large number of divorces.

“Whilst cryptocurrencies are volatile, they are not going to go away.”

Bitcoin has dramatically seen its value plunge throughout 2018 from a record high of nearly £15,000 in December 2017 to now under £7,000.

However, there is evidence to suggest the number of people investing in cryptocurrencies is rising.

Ms Chitroda added: “It is important that if you believe your husband or wife has invested in or purchased cryptocurrencies, such as Bitcoin, and you are separating, you tell your legal adviser.”

Countries around the world are currently looking at implementing regulation for digital currencies in an effort to catch up with the latest financial craze.

The finance minister and Central Bank Governors of France and Germany have requested that talks on policy and monetary implications of cryptocurrencies be part of G20 talks in March.

They want world leaders to come up with a global strategy for the online assets.

Some countries have already begun to act unilaterally to increase regulation.

South Korea introduced a raft of measures last month aimed at regulating Bitcoin and similar currencies such as Ripple and Ethereum.

A ban on anonymous trading was implemented by the Asian power in a bid to crack down on all possible criminal activities the secret nature of trading Bitcoin allowed.

Meanwhile, India’s Government has said it does not consider cryptocurrencies to be legal tender and will try to phase out payments using the online money.

 

 

 

Author DAN FALVEY UPDATED: 05:29, Thu, Feb 15, 2018

 

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Bitcoin Price Technical Analysis for 14th Feb – Sitting Tight for a Breakout

Bitcoin Price Technical Analysis for 14th Feb – Sitting Tight for a Breakout

Bitcoin Price Technical Analysis for 14th Feb – Sitting Tight for a Breakout

Bitcoin Price Key Highlights

  • Bitcoin price is currently consolidating, forming higher lows and lower highs inside a triangle pattern.

  • Price is bouncing off support and might be due for a test of resistance soon.

  • Technical indicators are also suggesting that the bounce could take place, possibly even leading to an upside break.

  • Bitcoin price is finding support at the bottom of its triangle consolidation and may be due for a move past the resistance if buyers are strong enough.

 

Technical Indicators Signals

The 100 SMA is above the longer-term 200 SMA to confirm that the path of least resistance is to the upside. This means that support is more likely to hold than to break. It could also indicate that the top of the triangle could be broken.

In addition, the 100 SMA is currently holding as dynamic support and keeping losses in check as it lines up with the triangle bottom. A break past the $8,000 level could be enough to signal a bullish break and further gains.

Stochastic is pointing up to signal that buyers are in control of bitcoin price action while RSI also seems to be turning north. However, hitting overbought levels could draw sellers back in and lead to a move back to the triangle support.

Market Factors

Equities still closed slightly in the green to confirm that risk appetite extended its stay in the financial markets. Note that bitcoin has been tracking these higher-yielding assets these days instead of taking risk-off flows.

But as mentioned, the gains were smaller this time, signaling a slowdown in momentum and a potential correction. US CPI and retail sales figures are up for release and apart from influencing USD price action, it could also have a significant impact on overall sentiment.

Other altcoins like litecoin are starting to enjoy a bit more bullish support, so it’s possible that bitcoin could follow suit. Analysts point to easing concerns about regulation as the crackdown news in South Korea are no longer hitting headlines as one of the factors propping prices up.

 

Author SARAH JENN • FEB 14, 2018 • 04:02

 

Posted by David Ogden Entrepreneur
David ogden cryptocurrency entrepreneur

 

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