Cryptocurrencies are anonymous, only used for drugs, and are linked to deaths, says Bill Gates – Feb 27

 

The total cryptocurrency market cap has been relatively stable in the $450 billion region for the past week. Same is with the Bitcoin price — it has been hovering around $10,500 mark, with a market cap of $179 billion.

Earlier today, a large sell volume across most major cryptocurrency exchanges led the price of Bitcoin to drop by more than $700 within a span of three hours. Since then, Bitcoin has rebounded to $10,500, but volumes remain low on many exchanges.

On the other hand, the daily trading volume of Tether, a cryptocurrency that is backed at 1:1 ratio with the US dollar, has spiked to $2.5 billion, indicating that cryptocurrency traders are using Tether to hedge the value of major cryptocurrencies. It is unlikely that traders are selling Tether and allocating their funds into other cryptocurrencies, because the market valuation of the market has fallen by over $18 billion since February 27.

It is unlikely that the crypto market will enter a strong bull run in the short term considering the price trend of major cryptocurrencies like Bitcoin and Ethereum. It is more likely that the market will remain highly volatile in the $450 billion region both in the upside and downside before it leads a strong rally to its previous levels in January.

In short, looking ahead and preparing is much more effective than reacting. Inexperienced traders may focus on the pin bar and look to sell, but may quickly overlook the context of the situation. With the bullish impulse wave still intact, this market is still has a short-term bullish bias which reduces the weight of bearish formations like a pin bar, or lower high until the impulse is negated.

This information alone should at least help you to look for support levels to hold rather than break, and more importantly to anticipate bullish reversals.

A good thing to know: Bill Gates, in a recent AMA on reddit, stated that cryptocurrencies are anonymous, only used for drugs, and are linked to deaths. He said:

“The main feature of cryptocurrencies is their anonymity. I don’t think this is a good thing. The Government’s ability to find money laundering and tax evasion and terrorist funding is a good thing. Right now cryptocurrencies are used for buying fentanyl and other drugs so it is a rare technology that has caused deaths in a fairly direct way. I think the speculative wave around ICOs and cryptocurrencies is super risky for those who go long.”

As it turns out, these facts are not correct. Bitcoin is transparent and not anonymous by nature and 95% of drug purchases are made by fiat money like the US dollar.

Top Stories from the Crypto World

1. Square will go further with Bitcoin than buy/sell option: Jack Dorsey

CEO of San Francisco-based payment service Square, Jack Dorsey, revealed the company’s plans to focus on developing increased options for Bitcoin (BTC) use in a conference call with Market Watch.

Dorsey, who is also the CEO of Twitter, specifically discussed the company’s Cash App, which now allows all users to buy and sell Bitcoin

He said, “Bitcoin, for us, is not stopping at buying and selling. We do believe that this is a transformational technology for our industry, and we want to learn as quickly as possible.”

Square’s 2017 Q4 report stated:

“Additionally, customers can now buy and sell Bitcoin in Cash App. We observed that this was a feature our customers wanted, and we support Bitcoin because we see it as a step in the long-term path toward greater financial access for all.”

2. JPMorgan says it may have to adapt to counter crypto adoption

In its annual 10-K filing with the U.S. Securities and Exchange Commission, JPMorgan noted the potential impact that cryptocurrencies could have on payment processing under its “risk factors” section, saying the institution could be disrupted by the still-nascent technology.

The bank wrote:

“Furthermore, both financial institutions and their non-banking competitors face the risk that payment processing and other services could be disrupted by technologies, such as cryptocurrencies, that require no intermediation. New technologies have required and could require JPMorgan Chase to spend more to modify or adapt its products to attract and retain clients and customers or to match products and services offered by its competitors, including technology companies.”

3. Bitcoin Segwit transactions are now at an all-time high

As a result of the latest Bitcoin Core 0.16 update, the usage levels of Bitcoin SegWit have been taking off. This significant uptick in usage levels can also be attributed to a number of major exchanges and wallet providers such as Coinbase and Bittrex finally implementing this technology into their platforms.

This uptick means that there could be a significant decrease in global bitcoin transaction fees and times.In the past 24 hours alone, SegWit usage levels have hit peak levels of adoption at the 30% of total Bitcoin transactions mark.

This adoption will also lead to further significant improvements to Bitcoin in the future, such as the implementation of the Lightning Network which might allow transaction times and fees to trend close to zero.

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