Warren Buffet once again calls Bitcoin a bubble – October 27

Bitcoin price on Friday peaked at $5991 mark, but before it could touch $6000, bulls exhausted and prices fell to as low $5715. Interestingly, for the first time in three weeks, the Bitcoin price did not set an all-time high on Friday.

After entering the day at $171.7 billion, the crypto market cap steadily moved throughout the day and eventually settled down at $169 billion at the time of writing.

Bitcoin is struggling to hold above $6000 level. Nevertheless, the most popular cryptocurrency flirted with that threshold throughout the week. Bitcoin is now trading sideways at $5800 level and the rally that started yesterday seems to have stalled. As of now, Bitcoin is trading at $5767, a decline of 3% in the past 24 hours, posting a market cap of $96 billion.

Bitcoin Cash, on the other hand, is the only major cryptocurrency to have rallied – gaining 11.25% at $6.4 billion market cap and trading at $383 a piece.

It is not immediately clear what is fueling this BCH rally. Some analysts believe that if Bitcoin Gold gain any traction, it would come at the expense of Bitcoin Cash because conventional wisdom says that subsequent bitcoin forks will have diminishing returns.

Furthermore, there have been some tweets from the BCH camp criticizing Bitcoin’s block size limit. Jihan Wu tweeted, “Blockstream has executed the order from big banks very well to restrict block size and cripple Bitcoin.”

Followed by Roger Ver saying, “Simply being scarce isn’t enough to give something value. It must be USEFUL and SCARCE. Full blocks are destroying Bitcoin’s usefulness.”

Top Stories from the Crypto World

1. Warren Buffet once again calls Bitcoin a bubble

Billionaire investor Warren Buffet has once again hit out at Bitcoin claiming that the market for the leading virtual currency Bitcoin is already in bubble territory. He also criticised proposals for applying a value to the cryptocurrency.

“People get excited from big price movements, and Wall Street accommodates. You can’t value Bitcoin because it’s not a value-producing asset.” Buffet added.

2. Cryptocurrencies pose low terrorist financing risk, says UK Treasury

UK’s National Crime Agency (NCA) has deemed that the risks of digital currency use in money laundering are “relatively low.” However, it went on to claim that cryptocurrencies are used to “launder low amounts at high volume.”

The U.K. government’s economic and finance ministry also expects the money laundering risks associated with digital currencies to grow in correlation with the increase in the technology’s adoption as a payment method.

According to the report, as the number of businesses accepting digital currency payments grows, there is an increasing risk of criminals using the currencies to launder funds without needing to cash out into non-digital, or ‘fiat’ currencies.

3. Algerian government is looking to completely ban cryptocurrencies

The government of Algeria wants to move towards a total ban on Bitcoin and other cryptocurrencies in the country. Algeria is considering the prohibition of the use, as well as possession of the virtual currencies and not just a ban on their acceptance as a form of payment.

The National People’s Congress (NPC) is currently tackling the 2018 Finance Bill that will declare the usage and ownership of the leading cryptocurrency Bitcoin as illegal in the country.

 

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