Bitcoin No Longer Seen as the Driving Force in Crypto Market

 


 Bitcoin has plunged more than 30% since hitting a year-to-date high. That fact is clear, but explaining why the world’s largest digital currency has lost momentum in the second half of the year is anything but.
Some, like JPMorgan Chase & Co. have pointed to Intercontinental Exchange Inc.’s new futures contracts and an unwinding of long positions as likely culprits for the nosedive. Others have pointed to a buildup of technicalbearish signals as setting off its summer swoon.
Indexica, an alternative data provider, has a different take. According to their predictive index built on data from Aug. 1 through Oct. 1, Bitcoin’s fall has less to do with the currency itself and more to do with a growing cryptocurrency ecosystem. 
 According to their latest findings, Bitcoin’s price moves are being driven by competing digital currencies and new blockchain technologies. Indexica’s study showed talk around Mastercard’s partnership with R3 to develop a new blockchain payment system as a strong driver of recent returns.
That’s not necessarily a bad thing.
Zak Selbert, chief executive officer at Indexica, says Bitcoin’s sensitivity to the development of competitors is just another sign of a coming of age. In a new development, Indexica found that Bitcoin’s strongest predictive measure was its “quoteability,” which showed that it was most often talked about in conjunction with more traditional currencies.
“Now that Bitcoin is a big kid, anything can make it move, just like anything can make gold or a G-10 currency move,” said Selbert. “Bitcoin is part of the financial landscape in a very intertwined and mature way.”

Comments

Post a Comment

Popular posts from this blog

Bahrain Could Squeeze India to Re-Open its Crypto Market and Legalize Bitcoin !

Image
As per the request of the Reserve Bank of India, the country’s central banking institution, local banks have been disallowed from dealing with crypto businesses such as Bitcoin exchanges since 2018. With no immediate plans of the Supreme Court of India to reverse the decision of the country’s central bank, crypto companies have been pushed out of the local market. Consequently, Bitcoin investors have lost access to fiat-enabled exchanges and have resorted to peer-to-peer exchanges to convert cryptocurrencies, which could be impractical and unsafe, especially for face-to-face deals. However, a recent decision of the government of Bahrain to encourage cryptocurrency firms in India to come into the country and operate their businesses with proper resources could pressure India to potentially legalize and open its cryptocurrency market in the future. Bahrain is Putting the Pressure on India in Crypto On March 3, The Economic Times reported that Bahrain has invited ...
Read more

How to Buy Bitcoin with Credit Card or Debit Card !

Image
We can both agree on this: Buying bitcoins with a credit card or debit card is confusing. Today we'll show you how easy and fast it can be. We've collected the best exchanges and listed them for you below. Chapter 1 Introduction to Buying Here's the deal: Buying bitcoin (BTC) with a credit or debit card used to be REALLY hard. Luckily, companies like Coinbase (USA, Canada, Europe & UK) and CoinMama (worldwide) have made the process smooth and fast. Below, we've listed 5 proven exchanges for buying bitcoins with your credit card. Before we start: You'll need a Bitcoin wallet before you buy since some exchanges require one. Don't have a wallet? Read our guide on the best Bitcoin wallets. Chapter 2 Credit/Debit Card Bitcoin Exchanges Coinbase is the world's largest Bitcoin broker. At Coinbase you can buy up to $150 or €150 of bitcoin per week instantly with a credit or debit card in: the United Stat...
Read more

‘All the Banks Are Broke’ Speech Goes Viral on Crypto Twitter

Image
       A   passionate two-minute speech delivered by Godfrey Bloom, a member of the European Parliament from 2004 to 2014, is  spreading   through Crypto Twitter like wildfire. The 2013 speech is a shakedown on the global financial system. During the presentation, Bloom declares that all the banks are broke. At that time, on May 21, 2013, Bitcoin was trading at $122 and remained a fringe asset among techies and cypherpunks. It would take the remainder of the decade to transform BTC, now trading above $10,000, into the best-performing asset of the last 10 years, attracting legacy giants like Fidelity and Intercontinental Exchange that are putting their full weight behind blockchain-based infrastructure. During that same period, numerous banks, including Deutsche Bank and Danske bank, have been embroiled in multi-billion-dollar money laundering scandals and consumer fraud. Wells Fargo, after the collapse of a scheme to create bogus cus...
Read more