Chainlink’s token trading volume eclipses the one of Bitcoin as retail investors are embracing LINK with open arms making it the most traded token on Coinbase so let’s find out more in the upcoming Chainlink news.
Chainlink’s token trading volume is higher than Bitcoin on Coinbase and the exchange metrics are showing that investors will sit on their tokens and will not enter into profit-taking mode. The token’s valuation is excessive but the shorting of a token in a parabolic trend could be disastrous. Chainlink’s native token hit $14 earlier this week as the volume surpassed that of BTC on COinbase. The rally is believed to have been a huge short squeeze and pushed a few loans on Aave into liquidation.
There are 3 types of crypto funds. Those that benchmark against USD. Those that benchmark against BTC. And those that benchmark against LINK.
— Qiao Wang (@QWQiao) August 8, 2020
The leading smart contract oracle surged past its all-time highs just below $15. On Coinbase the euphoria sent the token’s trading volume above that of market leader-Bitcoin. Across other exchanges, LINK’s trading volume exceeded the one of Ethereum according to Messari, and makes the token the third most traded coin behind BTC and Tether. The trading volume of LINK is backed by some strong inflows of retail investors. The data also suggests that many investors are HODLING despite the recent spike in price. This can be clearly seen on the low levels of the coin on major exchanges even as the token hit new highs.
High exchange inflows show that the investors are moving to platforms where they can sell their assets fast and the outflows suggest the opposite as the investors are moving assets into cold storage wallets. LINK’s soaring value made its investors a lot of profits but it has also spurred other detractors who claim that the altcoin is in a bubble. Valuing the oracle market is quite a difficult task. Looking from a surface view, LINK’s market cap is quite high especially considering the 38% of the total tokens are in supply.
There’s no question that the oracle technology is a critical component for smart contracts and that the price feeds secure more than a billion of dollars in Defi. The chainlink community recently got consumed by the public short-seller Zeus Capital which is an alleged hedge fund claiming that the LINK rally is a result of a pump and dump scheme that is engineered by the core team. The report makes tall claims but fails to support the statements. Shorting is a high-risk trade considering the extent of capital flowing into the token and if the trend starts to reverse, short sellers will be able to recoup their losses.
Author: By TeamMMG
- Ethereum Classic Prints Bearish On-Chain Signals Despite Bitcoin Breakout
- Market Wrap: Bitcoin Tests $12K; DeFi Debt Outstanding Hits Record
- Bitcoin bulls push to $12,000 for weekly close
- Market Outlook: BTC Trend Targets $15K, Bitcoin Bull Raoul Pal ‘Irresponsibly Long’ | Market Updates Bitcoin News
- Bitcoin Price Suddenly Drops by $500 in Seconds to Fill Futures ‘Gap’
Ethereum Classic Prints Bearish On-Chain Signals Despite Bitcoin Breakout
Ethereum Classic is printing bearish on-chain signals despite an ongoing Bitcoin price breakout. Blockchain analytics startup IntoTheBlock shared the data seen below on Monday morning.
According to the firm, ETC is currently “mostly bearish” with three out of five of the company’s core indicators currently printing “bearish” signals. These three indicators are “Net Network Growth,” the number of addresses with ETC balances; “In the Money,” an indicator of the momentum of the profitability of investors, and the number of “Large Transactions.”
Image of Into The Block's Ethereum Classic on-chain/exchange signals dashboard as of Monday morning.
The slowdown in Ethereum Classic’s network activity may pertain to news regarding Coinbase’s listing of the crypto asset.
Due to recent issues with the blockchain, the company will require two weeks of block confirmations for ETC deposited to show up in user accounts. This makes it effectively impossible for one to deposit their ETC coins on the exchange, thus decreasing some transaction demand:
“Given the recent network attacks on Ethereum Classic, we have increased the confirmation time for ETC sent to Coinbase & Coinbase Pro to ~2 weeks. We are actively monitoring the situation and will provide updates as they become available.”
Given the recent network attacks on Ethereum Classic, we have increased the confirmation time for ETC sent to Coinbase & Coinbase Pro to ~2 weeks. We are actively monitoring the situation and will provide updates as they become available.
— Coinbase Support (@CoinbaseSupport) August 8, 2020
It is unclear to what extent ETC’s market value correlates with the on-chain trends of Ethereum Classic.
Although ETC is still a cryptocurrency worth $800 million, some have begun to question if the network has any value at all.
For context, Ethereum Classic saw two 51% attacks in the span of a week. A 51% attack is when a single entity/group manages to obtain more than half (hence “51%”) of a blockchain’s mining power, allowing them to reorganize the chain and pull off other tricks. The most common threat of a 51% attack is “double spending” coins, allowing one’s balance to be used more than once on service providers or users.
Analysts say that if ETC cannot properly secure value due to these attacks, it is intrinsically worth nothing. Dan Tapiero, the founder of Gold Bullion Int. and an outspoken Bitcoin bull, commented:
“Why isn’t #ethereumclassic worth zero? It has a $800mm mkt cap. Why own something that can be easily attacked and stolen when there are so many alternatives (even within alts space). Digital currency is supposed to be secure. What am I missing here?”
Why isn’t #ethereumclassic worth zero? It has a $800mm mkt cap.
Why own something that can be easily attacked and stolen when there are so many alternatives (even within alts space).
Digital currency is supposed to be secure.
What am I missing here?https://t.co/k78W8m6kL0
— Dan Tapiero (@DTAPCAP) August 6, 2020
This sentiment was echoed to a T by Mati Greenspan, a fund manager in the cryptocurrency space, Brave New Coins Josh Olszewicz, and many more.
Author: By TeamMMG
Market Wrap: Bitcoin Tests $12K; DeFi Debt Outstanding Hits Record
Bitcoin bulls push to $12,000 for weekly close
Bitcoin has surged past $12,000 as bulls eye short-term breakout after achieving the highest weekly close in more than two years
Bitcoin has broken above the $12,000 resistance level again and could move higher after hitting a multi-year weekly close milestone over the weekend.
Bitcoin’s price against the US dollar has surged to an intraday high of $12,086, the second time the benchmark cryptocurrency has tested resistance after doing so on August 2.
Although Bitcoin managed to beat a hasty retreat to trade around $11,950, bulls have retained control as prices trend above $12,000 as of writing.
Resilience among bulls comes after rallies over the weekend saw BTC/USD hit a weekly close at $11,686. The last time Bitcoin had a weekly close at or near this level was two and half years ago on January 28, 2018.
Seller congestion at the psychologically significant $12,000 level might prevent an immediate breakout to new multi-year highs. However, according to one analyst, Bitcoin looks strong above $11,000 after its action over the past two years sent prices above a “multi-year bullish triangle”.
Even though the market expects a price correction to lows around $11,000, analysts are pointing to one fundamental indicator that signals long-term bullishness; demand for Bitcoin and the reluctance seen among hodlers and whales to sell.
Standpoint Research founder, Ronnie Moas, forecasts that Bitcoin adoption has reached an “inflection point,” with institutional investors likely to buy more than it is for whales to sell.
That appears to be the case according to Philip Gradwell, Chief Economist at analytics firm Chainalysis. Gradwell claims that exchange inflows for the top crypto look to have slowed to normal levels following an increase over the past week.
According to Adam, it is likely that Bitcoin whales have no plans for a dump in the short term, resulting in a decrease in selling pressure.
If Bitcoin holds above $12,000, then an assault on $13 and then $15 will be more than likely. At the moment, BTC/USD trades at around $12,010, just over 2.7% up in the past 24 hours. A rejection at $12,000 could see prices plummet to $11,700 levels.
Market Outlook: BTC Trend Targets $15K, Bitcoin Bull Raoul Pal ‘Irresponsibly Long’ | Market Updates Bitcoin News
Cryptocurrency markets have been fluctuating quite a bit lately, as bitcoin and a number of crypto assets have been testing new resistance levels. The market valuation of the entire crypto-economy is hovering around $360 billion as a decent portion of the top twenty digital assets have gained 1-15% in the last 24 hours.
A number of digital currency enthusiasts have been focused on crypto markets, as prices started rising again during the latter half of the weekend. During the early morning trading sessions on Monday, bitcoin (BTC) had jumped a hair above the $12k zone.
However, BTC/USD prices slid 4% after reaching the $12k zone to the $11,500 region. The move filled a CME Group bitcoin futures price gap which was not filled prior to the weekend. BTC quickly moved back to the $11,700 position and again bitcoin bulls are pressing toward the $12k range.
Despite BTC’s rising price toward $12k, the crypto asset’s dominance ration is still only 60.5% out of all the coins in existence (5,700+). At the time of publication, bitcoin (BTC) has a market cap between $218 to $221 billion. During the last seven days, BTC is up 5.9% and the asset is up 28.8% for the last 30 days.
Out of all 5,700+ there is $30 billion in 24-hour trade volume on Monday. Ethereum (ETH) is up over 2.4% today and trading for $396 at press time. ETH is only up 3.4% for the week but it’s up over 64% during the last 30 days. XRP is also up over a percentage today as it’s been wobbling between $0.29 to $0.30 during the last few days.
Bitcoin cash (BCH) has been trading for just above the $300 range after touching a high of $308 during the early morning trading sessions. BCH is up 2% during the last seven days, 28% for the last 30-days, and 29.7% during the last 90-day time span. The cryptocurrency has around $779 million in 24-hour global trades and a $5.59 billion market capitalization.
Full-time trader Adam Mancini told his 53,000 Twitter followers on Sunday that he’s seeing an “excellent rally in bitcoin.” Mancini thinks that the next big stop will be around $15,000 after the crypto asset recently busted through a bullish pattern. “[BTC] broke out of a multi-year bullish triangle with force,” Mancini tweeted on Sunday. “Bitcoin may be the new kid on the block but the same old classic patterns that apply to all financial assets still apply. [The] trend is up with $15k next target.”
The CEO of Real Vision, Raoul Pal, is short on the U.S. dollar and “irresponsibly long” toward bitcoin according to a new interview published this week. Pal is extremely bullish toward bitcoin (BTC) and he thinks it’s better than precious metals, bonds, and traditional stocks.
“In fact, only one asset has offset the growth of the G4 balance sheet. It’s not stocks, not bonds, not commodities, not credit, not precious metals, not miners,” Pal said during the daily briefing. “Only one asset massively outperformed over almost any time horizon: Bitcoin. My conviction levels in bitcoin rise every day. I’m already irresponsibly long. I am now thinking it may not be even worth owning any other asset as a long-term asset allocation, but that’s a story for another day.”
This week Coinshares’ Investment Strategist, James Butterfill, published a research report which identifies bitcoin portfolio allocation. Butterfill details that a bitcoin (BTC) portfolio weight of 4% is optimal for a traditional 60/40 portfolio. BTC is a portfolio diversifier and historically it’s attractive due to being a driver of returns.
“Gold has a similar impact in diversifying a portfolio,” Butterfill’s report notes. “Although, portfolio weights above 20% are required to achieve any substantive impact on diversification. Bitcoin is converse to this, with minimal weights having a far greater impact.
What do you think about this week’s cryptocurrency market action? Let us know what you think about this subject in the comments section below.
$12k, $15K, Adam Mancini, BCH, Bitcoin, bitcoin cash, BTC, Coinshares, ETH, Ethereum, Gains, gold, James Butterfill, Losses, market, Market Prices, Markets, Outlook, Performance, Prices, Raoul Pal
Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is 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 this article.
Bitcoin Price Suddenly Drops by $500 in Seconds to Fill Futures ‘Gap’
Bitcoin (BTC) dropped several hundred dollars in seconds on Aug. 10 as $12,000 once more proved too hot to handle.
Cryptocurrency market daily snapshot Aug. 6. Source: Coin360
Data from Cointelegraph Markets and Coin360 showed BTC/USD nosedive 4% during Monday trading, bouncing off $11,500 and since returning to $11,700.
In doing so, Bitcoin neatly filled the latest gap in CME Group’s Bitcoin futures markets, which lay just below $11,700.
BTC/USD 1-day price chart. Source: Coin360
A classic move, Cointelegraph predicted on the day that markets would likely attempt to go lower on short timeframes to fill the gap, in line with standard behavior.
The event caused a dramatic spike in liquidations on derivatives giant BitMEX, data from monitoring resource Skew confirms.
BTC/USD liquidations on BitMEX. Source: Skew
For Cointelegraph Markets analyst Michaël van de Poppe, the sudden dip suggested that Bitcoin was returning to the pattern of behavior seen in recent months.
“Smaller timeframe chart explaining what just happened. Essentially, we’re back into the ranging gameplan,” he told Twitter followers.
“Ranging” within a certain price corridor has become a feature of BTC/USD in 2020, with recent gains upending a protracted period, which slowly narrowed to point — a process known as compression.
Going forward, lower levels could see a retest, with significant support just above $10,000 still apt to form the price floor, Van de Poppe thinks.
“Larger timeframe; still expecting such a scenario,” he continued.
“If we break $12K however, I assume we’ll see $13k.”
Attention will thus now focus on bulls’ ability to cement $12,000 as a support zone, something which has yet to occur on any meaningful level for Bitcoin.
Nonetheless, the latest weekly close marked the highest since January 2018 and the initial fall from Bitcoin’s all-time highs of $20,000.
Keep track of top crypto markets in real time here