Coin Metrics

Crypto Prices Show Signs of Recovery, Market Analyst Says ‘Bitcoin Remains in a Healthy Place’

12/01/2021 by Idelto Editor

Bitcoin and a number of other cryptocurrencies have regained some of the percentage losses they suffered this past Monday, as various crypto assets are up today between 5-25% in value. On Monday, the crypto economy dipped under the $800 billion handle after the entire market cap fell from its trillion-dollar valuation. Today, the overall market valuation of all 7,500+ digital assets in existence is hovering just above the $900 billion mark.

Digital currency markets saw some deep losses this past Monday, as the trading sessions on January 10 and into Monday saw crypto assets lose anywhere between 25% to 40% in value. For instance, the price of bitcoin (BTC) slid from a value of $41,056 per unit to $30,261 per BTC shedding over 25% in fiat value.

Today, however, the crypto asset’s value has improved a great deal jumping over 6% during the last 24 hours. BTC has done considerably well over the long run as the crypto asset is still up 3.1% over the week, 82% for the month, 206% for the 90-day span, and 332% against the USD for the year. At the time of publication, BTC is trading hands for prices between $34,600 to a touch over $35,000 on Tuesday afternoon.

The second-largest market valuation is held by ethereum (ETH), which is up 12% on Tuesday and trading for $1,115 per unit. XRP is up over 8% today and each token is swapping for $0.29. Cardano (ADA) is up 16% at the time of publication and trading for $0.29 per token on Tuesday.

Litecoin (LTC) is trading hands for $139 per LTC and is up 10% during the course of the day. Bitcoin cash (BCH) has gained 8.5% as each BCH is swapping for $470 on Tuesday afternoon (EST). Overall cryptocurrency trading volume worldwide today is up 14% and there’s $93 billion in global swaps.

Etoro’s market analyst, Simon Peters, detailed on Monday that “despite yesterday’s short-term market correction, bitcoin remains in a healthy place.”

Peters further explained that many skeptics will call bitcoin a “bubble” but BTC’s long-term outlook remains very strong. “Many detractors were quick to believe the bitcoin bubble had popped, as the price seemed destined to fall below $30,000 but this failed to materialise,” Peters explained in a note to investors.

“As a result, enthusiasts declared victory, arguing that $30,000 is a new bottom for the crypto asset. In my view, it is too early to say. Although we remain in a price range we haven’t seen before, some of the rises and falls we’re seeing in this current crypto bull market were also present in the 2017 bull market,” the Etoro analyst added.

Furthermore, in the recent “Coin Metrics’ State of the Network: Issue 85,” the research company mentioned BTC’s reaction to the January 6, 2021, Capitol breach events in the U.S.

“Bitcoin’s quick reaction to events on January 6th shows its continued maturation as an asset that responds to global events,” Nate Maddrey and the Coin Metrics Team wrote. “It also potentially adds evidence to the narrative that bitcoin is sometimes viewed as a hedge against global unrest. But the run-up to $40K also occurred on the tailwind of a strong run to start the year so it can be difficult to untangle the exact impact of January 6th’s events.”

Meanwhile, the notorious gold bug and economist, Peter Schiff, scoffed at bitcoin’s big losses this past Sunday. “Bitcoin traded near $42K on Friday and near $30K on Monday,” Schiff tweeted. “An asset that drops 28% over a weekend is not a safe-haven, a store of value, or a viable hedge against inflation. If you want to gamble on bitcoin, buy Bitcoin. But if you want to hedge against inflation buy gold,” Schiff added. Following that statement Schiff also said:

As long as people don’t realize or don’t care that bitcoin has no actual value, and continue to buy it anyway, its price can continue to rise. But eventually, those who don’t care will start caring, and those who don’t understand will figure it out. By then it’s too late to sell.

Of course, a number of crypto assets said that Schiff was just talking about bitcoin to gain some attention, and they believe this is why the gold bug often discusses the cryptocurrency so regularly. “It sounds like bitcoin is helping you grow your following more than gold at this point,” one individual responded to Schiff’s tweet about bitcoin. “It seems like that’s where the real value to you is. Ironic. Appreciate the warnings, if you’re right, and forgive you if you’re wrong. Best of luck,” the person added.

Schiff replied back and said that he’s been trying to get people to jump off the bitcoin bandwagon. “It’s hard to tell, but my guess is that I would have even more followers if I got onboard the bitcoin train, rather than trying to convince others to jump off,” Schiff said.

Meanwhile, today’s top token gainers include coins like stakenet, district0x, genaro network, dmarket, and nano which are up between 40% to 91% today. Tuesday’s biggest losers are tokens such as golem, bitnautic, everex, acute angle cloud, and coinmeet. Those five tokens have seen percentage losses between 5% to 19.99% on Tuesday afternoon.

Check out all the latest cryptocurrency price action in real-time at markets.Bitcoin.com.

What do you think about the cryptocurrency percentage gains on Tuesday? Let us know what you think about this subject in the comments section below.

Research Suggests Bitcoin Buying Ramps Up When Traditional US Markets Open

04/12/2020 by Idelto Editor

While bitcoin and a number of digital assets set new 2020 price highs, a variety of crypto-asset commentators have detailed that since October, there’s been a lot of bitcoin buying action during U.S. market hours. Data shows that between East Asia and North America, the two regions account for close to half of all the bitcoin transfers this year. Recent research also highlights bitcoin buying during U.S. hours suggests that institutional buyers are dipping their feet into the crypto economy.

Reuters Reports American Investors Are ‘Gobbling Up’ the Bitcoin Boom

In the U.S., bitcoin has been trending on social media, as the news publication Reuters recently published a story about a great number of North Americans buying into the bitcoin phenomenon. In fact, the report notes there’s been a “massive flow of coin” this year “to North America from East Asia.” Reuters’ findings stem from the blockchain intelligence company Chainalysis and it claims that East Asian exchanges saw net outflows in November representing 240,000 BTC ($4.5B). An extremely large quantity of those bitcoins was sent to the North American continent.

“Weekly net inflows of bitcoin – a proxy for new buyers – to platforms serving mostly North American users have jumped over 7,000 times this year to over 216,000 bitcoin worth $3.4 billion in mid-November,” the report highlights. Ciara Sun, Head of Global Business and Markets at the crypto exchange Huobi spoke with Reuters about the latest trend in the U.S.

“The sudden influx of institutional interest from the North American region is driving a shift in bitcoin trading, which is rebalancing asset allocations across different exchanges and platforms,” Sun stressed.

Commentators Highlight Bitcoin Buying Ramps Up While Traditional U.S. Markets Are Open

The news outlet is also behind the eightball when it comes to noticing this trend early. For instance, in a Twitter thread written on November 20, Blocktower Capital Managing Partner, Ari Paul, spoke about the bitcoin interest stemming from America.

“For most of this rally, we’ve seen a clear pattern of algorithmic style buying during U.S. hours and flat activity during Asia hours,” Paul tweeted. “Those are largely HNWs (high-net-worth individuals) buying large amounts facilitated by algos (or via an OTC desk that uses algos),” Paul added.

The executive further said that the trend of hedge fund managers like Paul Tudor Jones accumulating bitcoin has been “accelerating.” “I’ve been on a number of calls in the last few weeks with billionaire hedge fund managers discussing making their first $5m-$100m buy, as well as others upsizing their allocations from say 1% of their net worth to 5-10%,” Paul highlighted. The Blocktower Capital executive said that these “buyers are only interested in BTC and they’re buying on a monetary narrative.”

Another commentator who has been discussing the situation about the driving bitcoin trends during U.S. hours is the Venture Coinist podcast host Luke Martin. The bitcoiner spoke about Ari Paul’s commentary the same day, and said the executive’s thread was a good explainer on “what’s driving the uptrend in recent weeks.”

“[Ari Paul] points out the buying happening during U.S. trading hours, and relatively flat during Asia hours. If that pattern continues, you get a hint of what happens this weekend,” Martin added. The podcast host also shared a chart that indicates a clear pattern of upswings during U.S. hours and the weekends.

“The weekend trading hours are highlighted on the BTC chart in red,” Martin tweeted. “[The] past [four] weekends have been almost perfectly flat. Price rises [are] taking place when U.S. traditional markets open. No guarantee the pattern continues but it’s something you should consider for your weekend trades,” Martin said.

Researcher Suggests Trend Is ‘Potentially a New Wave of Institutional Buyers’ Active During the Day and Inactive at Night

The conversation concerning North American buying has continued to trend and the topic was also mentioned by Nate Maddrey of Coin Metrics, in the firm’s latest newsletter “State of the Network: Issue 79.” Maddrey writes about the comments last week from the likes of Paul and Martin on Twitter, and he also details the U.S. bitcoin buying trend has been happening since October.

“This potentially suggests that price rises are being driven by a new wave of institutional buyers who are active during the day and relatively inactive on nights and weekends,” Maddrey’s report notes.

Coin Metrics researchers studied the trend and shared charts that accent BTC’s price when U.S. markets were open and closed in November 2017 and 2020.

“The charts highlight bitcoin’s price during the hours that the New York Stock Exchange was open, shown in green. Hours where the stock market was closed, like nights, weekends, and the Thanksgiving holiday, are left blank (i.e. not highlighted),” Maddrey explained.

The study says results are “somewhat mixed” and there have been some price movements at night, particularly on November 5. BTC prices opened that day at around $14,133 per unit but during the evening, while U.S. markets were closed, bitcoin prices jumped 10.23% and closed the evening at $15,579 per BTC.

“But overall, over the last month price has moved upward more during hours that U.S. markets were open than during hours where U.S. markets were closed,” the report discloses. “On average, bitcoin’s hourly returns were about 0.1% during market open hours compared to about 0.04% when markets were closed.”

In comparison to the bull run movements in November 2017, Coin Metrics’ results were more scattered Maddrey’s report insists. “Specifically, November 2017 saw more movement during nighttime hours when US markets were closed, and more volatility over weekends,” the author concluded. “Average hourly returns were about -0.13% while US markets were open versus about 0.11% while markets were closed.”

What do you think about the trend of U.S.-based bitcoin buying during this bull run? Let us know what you think about this subject in the comments section below.

The post Research Suggests Bitcoin Buying Ramps Up When Traditional US Markets Open appeared first on Bitcoin News.

Cumulative Ethereum Transaction Fees in 2020 Supersede Bitcoin’s by a Long Shot

30/09/2020 by Idelto Editor

This week the research and analysis team Coin Metrics published a report on how decentralized finance (defi) is “fueling Ethereum’s growth.” Meanwhile, the researchers also highlighted that Ethereum’s cumulative transaction fees in 2020 are now over $350 million and more than double the aggregated total of Bitcoin’s network fees.

Coin Metrics researchers and Nate Maddrey published a new report that discusses Ethereum’s defi evolution and the growth the blockchain has seen this year. However, with the new demand Coin Metrics highlights that ETH fees have “changed dramatically” and the authors note “high gas prices are becoming the new norm.”

A few defi project launches contributed to the dramatic rise in network fees including UNI, SUSHI, YAM, and YFI. The trading of the new tokens has been more prevalent on decentralized exchange (dex) platforms and because swaps are onchain this created a fee market. “This can lead to escalating transaction fees as users compete to be first in line for a trade,” the report emphasizes.

“ETH median transaction fee hit a new all-time high of $8.25 on September 2nd following the launch of SUSHI,” the study’s author adds.

On Twitter, the Coin Metric’s team published a chart that shows Ethereum network fees this year are double the size of BTC’s 2020 fees. “Ethereum Total Transaction Fees during 2020 are now over $350m and more than twice Bitcoin’s,” the team’s Twitter account wrote. “By comparison, this time last year, cumulative Bitcoin Transaction Fees were $135M and Ethereum Transaction Fees were $27M,” the researchers added.

The report says that distributed ledger network fees are a “double-edged sword.” Essentially users are paying higher fees but miners are gathering all the revenue and in turn, the hashrate has increased exponentially. “As a result, Ethereum’s hash rate is climbing towards all-time highs— This is a good sign for Ethereum, as network security is critical for the long-term health and success of the blockchain.”

Although, the researchers underline that higher gas fees can make the ETH chain “prohibitively expensive” for a certain fraction of users. This can tip the scales for Ethereum whales who can swap large sums of tokens while smaller players could face a barrier to entry. “Ethereum’s median transfer value has increased to hundreds of dollars since the rise of defi, signalling that the network is shifting towards larger players,” the report points out.

What do you think about Ethereum fees growing double the size of Bitcoin’s network fees in 2020? Let us know what you think in the comments section below.

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CEX.IO Cryptoexchange Makes CryptoCompare Top 10

08/09/2020 by Idelto Editor

The international cryptocurrency exchange CEX.IO made it into the CryptoCompare top 10 July 2020 report, with an overall A grade. The CryptoCompare Exchange Benchmark rating evaluates over 165 exchanges around the world on aspects like adherence to regulations, platform security, liquidity, asset diversity, senior management team, API connectivity stability and performance, and number of negative events, while ensuring the necessary transparency in crypto asset trading.

CEX.IO, one of the world’s largest crypto exchanges, is based in London. It has been in operation since 2013 and has over 7 years’ experience in the digital currency market. It currently has offices in the UK, USA, Ukraine, Gibraltar, Cyprus and Singapore. CEX.IO is aimed at a broad target audience, from novice private traders to professional financial institutions.

CEX.IO’s highest score in the rating, at 12.5 points out of 15, was in the Security category, putting it in the third place among all the competing exchanges. The evaluation took into account security certificates, two-factor authentication, SSL rating, percentage of cold wallet usage, distribution of keys, and the number of hacking attempts. According to CryptoCompare’s data, in 2020 CEX.IO did not experience a single negative event.

“The security of our customers and their funds is CEX.IO’s top priority,” comments Dmytro Volkov, the exchange’s CTO. “We use a comprehensive, thoroughly thought-through system of protection measures to ensure it. High-level certificates protect the platform against phishing, while constant monitoring allows us to track both suspicious activity within the system and manipulations on the market and catch them in time.”

To increase its level of security, CEX.IO decided to minimize its use of third-party services. All the key components and decisions, including KYC and AML, wallet operations, server maintenance, and trading, are proprietary intellectual property, developed by the CEX.IO’s internal outstanding R&D department.

In particular, for the sake of security hot wallets hold only the amount necessary for the exchange’s normal operations, while 95%+ of funds are kept in cold storage; transactions are reliably secured using a system of multiple signatures and two-factor authentication. The platform’s operations also include several additional measures to protect against hacking, including a ban on withdrawals for several days after changing important account security settings, as well as confirmation of important transactions via multiple independent channels.

In addition to security, the exchange earned high scores in Market Quality (11.2), Team/Exchange (11.0), Data Provision (10.1), and Legal/Regulation (9.2). The exchange team’s expertise in cryptocurrency regulation in various world countries has frequently given them a seat at the table in task forces working on developing and implementing industry standards.

“We appreciate this evaluation of our work and our competence. July was a fruitful month for us: in addition to the CryptoCompare rating, CEX.IO also made into the Coin Metrics list of trusted exchanges” notes Oleksandr Lutskevych, the exchange’s founder and CEO.

The analytics platform developed by Coin Metrics makes it possible to gather data from exchanges, evaluate real trends and trading volume, as well as identify exaggerations in public metrics. Successfully passing independent verification by this platform is an additional important indicator of an exchange’s reliability.

Press Contact Email Address
[email protected]

Supporting Link
https://cex.io

This is a press release. Readers should do their own due diligence before taking any actions related to the promoted company or any of its affiliates or services. Bitcoin.com is not responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in the press release.

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Stablecoin Tether Set to Eclipse Bitcoin’s Daily Transaction Value

23/07/2020 by Idelto Editor

The most dominant stablecoin in the cryptocurrency ecosystem has seen some competition during the last few years, but the token tether has remained king in the face of rivalry. Just recently, a “Q2’20 review” published by the digital currency data and analytics firm Messari shows that tether’s daily transaction value is set to eclipse bitcoin’s daily transaction value in the near future.

Ever since the first tokens were issued back in October 2014, the tether (USDT) stablecoin economy has been an enigma, to say the least. Moreover, since 2017 the market capitalization of tether has grown exceptionally large capturing roughly $10 billion in value as of July 22, 2020.

The tether economy has grown massively despite the competition over the last few years, as tokens like pax standard (PAX), trueusd (TUSD), dai (DAI), and usd coin (USDC) nip at the stablecoin’s heels.

Now a recently published “Q2’20 review” concerning the stablecoin economy written by Ryan Watkins notes that tether’s daily transaction value may soon supersede bitcoin’s daily transaction value.

At the time of publication only $100 million remains in between both crypto asset’s daily transaction value.

Data from Coin Metric’s charts also indicate that most of the value stems from USDT tokens created on the Ethereum blockchain. Stablecoins transactions have seen over a half of a trillion U.S. dollars settled during the first half of 2020.

The report written by Watkins highlights that stablecoins offer “24/7 uptime and relatively quick settlement” and they have seen “increased usage in defi” sector.

“While inter-exchange settlement remains the most dominant use case for stablecoins by far, more generally, stablecoins are simply a better means of storing and moving dollars around the world,” the researcher details.

Statistics also show that tether (USDT) has more trade volume than bitcoin (BTC) and this trend is a usual occurrence. Comparatively, data from into the intotheblock.com shows USDT whale concentration is 12.03%, while bitcoin’s whale concentration is only 1.39%.

Data from Cryptocompare shows that USDT captures 64.02% of BTC’s trading share. This is also the case for various digital assets as the largest market pair typically is tether.

Stats from exchanges that swap BTC worldwide indicate that tether is traded more often than fiat currencies.

Fiat currencies like the USD (11.20%), JPY (9.30%), EUR (4.46%), and KRW (3.79%) are BTC’s top fiat pairs on July 22. Those fiat assets do not stack up to USDT with their forces combined.

What do you think about tether surpassing bitcoin’s daily transaction value in the near future? Let us know in the comments section below.

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