Crypto Long & Short: Looking Back on a Monumental Year

Crypto Long & Short: Looking Back on a Monumental Year
Crypto Long & Short: Looking Back on a Monumental Year

Four crypto industry experts share their biggest insights from 2020 and what they mean for 2021.Title: Crypto Long & Short: Looking Back on a Monumental Year
Sourced From: www.coindesk.com/crypto-long-short-looking-back-on-a-monumental-year
Published Date: Sun, 03 Jan 2021 18:12:10 +0000

Crypto Long & Short: Looking Back on a Monumental Year
Crypto Long & Short: Looking Back on a Monumental Year was originally published here https://observednews.blogspot.com/2021/01/crypto-long-short-looking-back-on.html

DOGE’s Gone Wild! Meme Coin Soars After Adult Star Says She’s a HODLer

DOGE’s Gone Wild! Meme Coin Soars After Adult Star Says She’s a HODLer
DOGE’s Gone Wild! Meme Coin Soars After Adult Star Says She’s a HODLer

The price of dogecoin has soared 150% since the start of the new year since an adult star tweeted that she’s been an investor since 2014.Title: DOGE’s Gone Wild! Meme Coin Soars After Adult Star Says She’s a HODLer
Sourced From: www.coindesk.com/doges-gone-wild-meme-coin-soars-after-adult-star-says-shes-a-hodler
Published Date: Sun, 03 Jan 2021 18:12:13 +0000

DOGE’s Gone Wild! Meme Coin Soars After Adult Star Says She’s a HODLer
DOGE’s Gone Wild! Meme Coin Soars After Adult Star Says She’s a HODLer was originally published here https://observednews.blogspot.com/2021/01/doges-gone-wild-meme-coin-soars-after.html

Ethereum targets $1K after ETH, altcoins rally versus Bitcoin

Ethereum targets $1K after ETH, altcoins rally versus Bitcoin
Ethereum targets $1K after ETH, altcoins rally versus Bitcoin

Ether (ETH) has broken a critical price point against Bitcoin (BTC), signalling that altcoins may be about to see huge gains.

Cryptocurrency market overview. Source: Coin360

I’d take Ether bet “all day long” — Winklevoss

Data from Cointelegraph Markets, Coin360 and TradingView showed ETH/BTC pass the essential 0.026 level in just one daily candle on Jan. 3.

After staying weak throughout December, Ether has rebounded in the first few days of 2021, and Sunday’s performance could be the start of something much bigger.

As Cointelegraph Markets analyst Michaël van de Poppe noted last week, 0.026 BTC is a significant breakout point, and flipping it to support indicates “strength and continuation” of a bullish resurgence.

“It’s time for #Ethereum, #Polkadot, #Cardano, #Chainlink and more to break all-time highs,” he told Twitter followers on Sunday.

“I do believe that we’re seeing money shift from BTC towards altcoins and that Ether has bottomed out on the BTC pair,” explained Van de Poppe. “So probably continuation of altseason in this quarter with the topping out of Bitcoin dominance.” He added: 

“But hey, a Bitcoin correction would be appreciated too.”

ETH/BTC 1-day candle chart (Bitstamp). Source: TradingView

At press time, ETH/USD was approaching landmark price levels of its own, taking aim at $1,000 on the back of 21% daily gains. The last time that the pair traded at four figures was in January 2018.

“$ETH was the best performing asset (up 450%) of 2020 hands down and still below its all-time high,” Cameron Winklevoss, entrepreneur and co-founder of exchange Gemini, added on Twitter.

“Today it’s the equivalent of 15K #Bitcoin I would take that bet all day long.”

ltseason is here at least?

With the prospect of “altseason” now firmly back on the menu, top ten market cap altcoins are showing signs of life against Bitcoin.

Litecoin (LTC) is up 18% against the largest cryptocurrency, while Bitcoin Cash (BCH) is 13.3% higher and Cardano (ADA) 9.7%.

Even XRP, still struggling on the back of legal action against Ripple, is finding its feet again with 3.5% daily progress in BTC terms. Bitcoin’s overall market cap dominance remains above 70%.

Bitcoin market cap dominance historical chart. Source: CoinMarketCap

As Cointelegraph reported, meanwhile, a longer-term commitment to altcoins may also prove lucrative this year. Mining Ether, for example, could net over $120,000 per annum.

Title: Ethereum targets $1K after ETH, altcoins rally versus Bitcoin
Sourced From: cointelegraph.com/news/ethereum-targets-1k-after-eth-altcoins-rally-versus-bitcoin
Published Date: Sun, 03 Jan 2021 17:24:17 +0000

Ethereum targets $1K after ETH, altcoins rally versus Bitcoin
Ethereum targets $1K after ETH, altcoins rally versus Bitcoin was originally published here https://observednews.blogspot.com/2021/01/ethereum-targets-1k-after-eth-altcoins.html

Why THETA price is up 180% in two weeks, outperforming even Bitcoin

Why THETA price is up 180% in two weeks, outperforming even Bitcoin
Why THETA price is up 180% in two weeks, outperforming even Bitcoin

The Theta Network is a protocol that enables users to watch digital content, like esports, using the blockchain. The protocol’s native token THETA rose by 180% from $0.867 to $1.92 within two weeks between Dec. 20 and Jan. 2 to outperform even Bitcoin (BTC), which continues to soar to new price discovery highs.

THETA/USDT 1-day candle chart (Binance). Source: TradingView.com

Theta Mainnet 3.0 roadmap was the main catalyst

Typically, the native tokens of blockchain protocols tend to surge in value following high-profile announcements.

Theta released its plans to introduce Theta Mainnet 3.0 in the spring of 2021. The protocol upgrade allows the network to capture live video and enable live streaming, in addition to viewing other videos on the platform.

The development team behind Theta Mainnet 3.0 explained that the “EdgeCast” technology would allow live streaming without a central server. The team explained:

“This new fully decentralized technology stack adds the ability to capture live video, transcode it in real-time, cache and relay live stream video data to users globally — all through Theta’s P2P edge network run by thousands of community members. Not a central server or service is used in this pipeline.”

Two major components in this mainnet release are the introduction of Elite Edge Nodes and TFuel burning.

Simply put, Elite Edge Nodes tokenize internet bandwidth. By staking Theta Fuel (Tfuel), which is another native token of the Theta blockchain, users can earn more Tfuel. This process is called uptime mining.

Tfuel was essentially airdropped to existing Theta Token holders in 2019, when it launched. Theta Token is the governance token of the blockchain, and Theta fuel is the gas token that is used to pay transaction fees on the protocol.

The Tfuel burning mechanism could further reduce the supply of Tfuel as it burns the supply of Tfuel with the revenues taken from fees on the protocol.

The combination of Elite Edge Nodes and Tfuel burning make Tfuel more compelling, which naturally buoys the sentiment around Theta Token.

Other announcements were also key

On Dec. 19, Theta revealed the Theta Wallet Chrome extension on the Google Chrome website. This essentially allows users to use the wallet like Metamask, interacting with the Theta platform.

Prior to that, on Dec. 11, Theta completed a key protocol upgrade, releasing smart contracts on the mainnet. The team said at the time:

“The protocol upgrade is a success! New features including smart contracts and stake min to 1,000 THETA are now implemented onchain, & the Theta Wallet and Explorer have been updated.”

Due to the consecutive release of highly-anticipated announcements, Theta has been one of the best-performing cryptocurrencies alongside Polkadot (DOT). Analysts at Santiment noted:

“The end of 2020 and beginning of 2021 have been outstanding for #crypto, as the most profitable investment asset in the last decade, #Bitcoin, is on the brink of $30,000. In addition to its 20% week, $DOT, $THETA, $DOGE, and $STX performed even better.”Title: Why THETA price is up 180% in two weeks, outperforming even Bitcoin
Sourced From: cointelegraph.com/news/why-theta-price-is-up-180-in-two-weeks-outperforming-even-bitcoin
Published Date: Sun, 03 Jan 2021 13:23:02 +0000

Why THETA price is up 180% in two weeks, outperforming even Bitcoin
Why THETA price is up 180% in two weeks, outperforming even Bitcoin was originally published here https://observednews.blogspot.com/2021/01/why-theta-price-is-up-180-in-two-weeks.html

BTC cracks $30K, supply squeeze worsens, XRP implodes: Hodler’s Digest, Dec. 27–Jan. 2

BTC cracks $30K, supply squeeze worsens, XRP implodes: Hodler’s Digest, Dec. 27–Jan. 2
BTC cracks $30K, supply squeeze worsens, XRP implodes: Hodler’s Digest, Dec. 27–Jan. 2

Title: BTC cracks $30K, supply squeeze worsens, XRP implodes: Hodler’s Digest, Dec. 27–Jan. 2
Sourced From: cointelegraph.com/magazine/2021/01/02/30k-cracked-supply-squeeze-xrp-implodes-1227-0102
Published Date: Sat, 02 Jan 2021 19:02:29 +0000

BTC cracks $30K, supply squeeze worsens, XRP implodes: Hodler’s Digest, Dec. 27–Jan. 2
BTC cracks $30K, supply squeeze worsens, XRP implodes: Hodler’s Digest, Dec. 27–Jan. 2 was originally published here https://observednews.blogspot.com/2021/01/btc-cracks-30k-supply-squeeze-worsens.html

How massive Bitcoin buyer activity on Coinbase propelled BTC price past $32K

How massive Bitcoin buyer activity on Coinbase propelled BTC price past $32K
How massive Bitcoin buyer activity on Coinbase propelled BTC price past $32K

Coinbase has seen a large spike in buyer activity overnight as the price of Bitcoin (BTC) surpassed $32,500 on Jan. 2. Analysts say the trend was reminiscent of MicroStrategy’s Bitcoin accumulation, possibly fueled by institutional buy orders. As a result, BTC surpassed $31,000, reaching a new all-time high.

BTC/USD daily candle chart (Coinbase). Source: Tradingview

Coinbase buyers were the catalyst for the Bitcoin rally

In the last 48 hours, Coinbase has continuously seen a high premium compared to Binance. At one point, Bitcoin on the exchange was $100 more expensive than on Binance.

When the price of Bitcoin surpassed $30,000, the premium reached as high as $350. For instance, when Bitcoin was trading at $30,000 on Binance, BTC was priced at $30,350 on Coinbase.

Prior to the rally, CryptoQuant CEO Ki Young Ju said that low Coinbase outflows posed a risk to Bitcoin’s rally. He said that outflows would have to increase for BTC to find new momentum, which it did. He said before the rally:

“We haven’t had significant Coinbase outflows since $23k, tokens transferred is decreasing, and the fund flow ratio for all exchanges is increasing. Still possible that institutional investors would join anytime soon, but we might face a correction if it continues like this.”

As Bitcoin neared $29,500, Coinbase outflows began to spike. Ki said that they are possible over-the-counter (OTC) deals, which are typically bullish for BTC and exemplifies a wider trend of dwindling BTC reserves on exchanges.

As we pump, another 34K btc got casually taken off exchange in the last few blocks pic.twitter.com/8r20JnOGaj

— //Bitcoin ack (@BTC_JackSparrow) January 2, 2021

High-net-worth buyers use the OTC market to buy or sell large amounts of Bitcoin. Hence, when the signs of OTC deals emerged, Ki said this was positive for BTC. Merely two days after the outflows spiked, BTC surged past $30,000, reaching $31,400. Ki noted before BTC broke $30,000:

“12,063 $BTC just flowed out from #Coinbase. It went to multiple cold wallets. Possibly OTC deals. Breaking 30k is going to be tough, but institutions don’t care. They just buy it more.”

Coinbase outflows. Source: CryptoQuant

Why is BTC becoming so appealing?

According to Ashwath Balakrishnan, an analyst at Delphi Digital, Bitcoin became more compelling when it surpassed its all-time high.

When the price of Bitcoin was hovering at around $4,000, the risk of a significant downside was high, combined with high uncertainty around the medium-term prospect of BTC.

Hence, when Bitcoin surged past $20,000, the dominant cryptocurrency became more compelling for investors. He said:

“Buying $BTC post- ATH is actually superior than sniping the bottom from a risk adjusted lens If you bought at $20k you’re up 50% with minimal friction in between Bottom buyers ~$4k are up almost 8x but their risk of blowing up was much higher.”

In the near term, a popular narrative that could buoy the Bitcoin price higher is the prediction that institutions might not have bought BTC in December due to potential accounting issues.

As such, some analysts say that more institutions could jump into Bitcoin in the first quarter of 2021. If this happens, which would be evident through Grayscale’s assets under management and the CME Bitcoin futures market’s open interest, it would likely cause a broader BTC rally.

Title: How massive Bitcoin buyer activity on Coinbase propelled BTC price past $32K
Sourced From: cointelegraph.com/news/how-massive-bitcoin-buyer-activity-on-coinbase-propelled-btc-price-past-32k
Published Date: Sat, 02 Jan 2021 16:32:11 +0000

How massive Bitcoin buyer activity on Coinbase propelled BTC price past $32K
How massive Bitcoin buyer activity on Coinbase propelled BTC price past $32K was originally published here https://observednews.blogspot.com/2021/01/how-massive-bitcoin-buyer-activity-on.html

Bitcoin price quickly climbs to $31K, liquidating $100M of shorts

Bitcoin price quickly climbs to $31K, liquidating $100M of shorts
Bitcoin price quickly climbs to $31K, liquidating $100M of shorts

Bitcoin (BTC) passing $30,000 and hitting highs of near $31,000 has caused huge pain for traders betting on a bearish pullback.

Cryptocurrency market overview. Source: Coin360

Data from Cointelegraph Markets, Cryptometer and TradingView confirmed that as BTC/USD peaked at $30,960 on Jan. 2, it liquidated $100 million of shorts.

BTC shorters feel the burn… again

Amid highly volatile conditions, Bitcoin attempted to crack $30,000 several times on New Year’s Day and overnight before finally clinching the psychologically significant level on Saturday.

BTC/USD 1-minute candle chart. Source: TradingView

The move was accompanied by a bullish charge which soon took the largest cryptocurrency even higher, with press-time levels attempting to crack $31,000.

While many celebrated, however, some were left far worse off than just minutes previously. 

Liquidated short on XBTUSD: Buy 10,000,000 @ 30864 ~ I’m shocked, shocked to find that gambling is going on in here!

— REKT (@BXRekt) January 2, 2021

“I’m shocked, shocked to find that gambling is going on in here!” a telling tweet from a bot tracking liquidated trades on derivatives giant BitMEX summarized.

Figures suggest that shorters on BitMEX alone lost $10 million, a grim reminder of the dangers involved in second guessing Bitcoin at crucial levels.

Dogecoin leads sudden altcoin gains

Elsewhere, altcoin markets began to see changes of their own. Dogecoin (DOGE), a curious amover, gained 42% on the day, while leader Ether (ETH) surged back above $750.

Cointelegraph Markets analyst Michaël van de Poppe, who believes that this month will herald the start of a broader “alt season,” was characteristically bullish.

“The higher this impulse wave goes for #Bitcoin , the higher the next one will be as well. 2021 is going to be fire,” he tweeted as $30,000 hit.

Others in the top ten cryptocurrencies showed less volatile behavior, while nothing could lift XRP, still floundering amid legal problems at major investor Ripple Labs.

Title: Bitcoin price quickly climbs to $31K, liquidating $100M of shorts
Sourced From: cointelegraph.com/news/bitcoin-price-quickly-climbs-to-31k-liquidating-100m-of-shorts
Published Date: Sat, 02 Jan 2021 13:23:34 +0000

Bitcoin price quickly climbs to $31K, liquidating $100M of shorts
Bitcoin price quickly climbs to $31K, liquidating $100M of shorts was originally published here https://observednews.blogspot.com/2021/01/bitcoin-price-quickly-climbs-to-31k.html