Comes every sunday Hodler’s digest Follows all of the major crypto news from the past week. Basic reading for all hodlers!
Top Stories This Week
The calm before the storm? According to the analyst, $ 20,000 bitcoin is possible in three months
Bitcoin Volatility has fallen to a 16-month lowThis indicates that there is a sharp move on the horizon.
Large fluctuations tend to be followed by longer consolidation periods. According to a founding partner of Bitazu Capital, Mohit Sorout, BTC could hit its all-time highs so far if it broke out today.
There are other factors as well. The US dollar has been weak latelyThis traditionally leads to a strengthening of other “safe havens”. Bitcoin reserves also have continued to declineThis indicates a lack of sellers … or a lack of trust in centralized platforms.
Cointelegraph Analyst Michaël van de Poppe says BTC has to hold $ 11,000 for the continuation of the rally in October – paving the way for a new test of $ 12,000 short term. In the meantime, a report from Stack Funds suggests BTC has support to climb all the way $ 15,000 when historical trends repeat themselves this year.
However, this optimism is not universal. JPMorgan Chase experts believe Bitcoin is slightly overvalued and think the asset may foresee selling pressures.
BTC and OKB crash after OKEx suspended withdrawals
OKEx, a major crypto exchange, scared the markets this week by announcing that withdrawals have been suspended.
The company said one of its private key-holders “worked with a public security bureau” to conduct an ongoing “investigation”.
Immediately after Friday’s statement, Bitcoin fell nearly 3% while OKEx native token OKB crashed 15%.
According to Caixin, OKEx founder was Mingxing Xu – also known as Star Xu – the executive branch questioned by the authorities. The Chinese news agency also reported that he was examined “at least a week ago” and had been absent from work for some time.
Industry executives were surprised at the course of events. Bitcoin Association President Leo Weese wrote, “Having a person in China holding the keys to a full offshore cryptocurrency exchange is probably the most surprising thing about this industry that I have learned this year. The fact that customers do not require transparency about key management comes second, however.”
According to Armstrong, the “silent majority” supports Coinbase’s apolitical stance on leaked audio
Coinbase employees fear that the exchange’s leadership is watching their every move and monitoring their messages.
Motherboard said the exchange’s newly discovered “apolitical” stance has led to allegations of surveillance and censorship, but in a leaked recording of a session where I asked a question, CEO Brian Armstrong said the “silent majority” supported the move.
Elsewhere it was alleged that Coinbase’s management “obstructed internal discussion” and forced employees to delete political Slack messages. The exchange responded to Motherboard’s allegations by describing the allegations as “fairly extreme and utterly false”.
During an AMA in June, Armstrong reportedly opposed the idea of making a public statement in support of Black Lives Matter after George Floyd was killed by police. However, he later pulled back and posted a series of tweets in support of BLM.
Coinbase was bleeding employees Recently, at least 5% of the workforce opted for an exit package if they were unwilling to avoid political and social problems at work.
After the start of the whip, Filecoin is looking for stability at a week-long conference
After the long-awaited launch of Filecoin, it’s been a wild ride for the FIL token.
FIL initially shot up 118% before falling 80% as the cryptocurrency was listed on major exchanges – three years after the project’s ICO.
Now the blockchain-based data storage platform is hoping to get the ship through a week-long digital conference that begins October 19th.
Filecoin Liftoff Week focuses on education, infrastructure, interoperability and future plans, with each day focusing on a different topic.
Despite FIL’s recent depreciation, the Filecoin team remains optimistic about the project’s future prospects: “This is just the beginning for the Filecoin network.”
Ripple’s CTO sold 40,000 ethers for just $ 1 each
And we end our round-up with a painful story provided by Ripple’s Chief Technology Officer David Schwartz.
He announced that he and his wife had worked out a “derisking plan” for their crypto investments in 2012 – and had missed out on a million dollar profit as a result.
Schwartz then sold 40,000 ETH for $ 1 each – a supply that would be worth more than $ 15.5 million at today’s prices.
The Ripple executive also sold a significant amount of BTC for $ 750 apiece and a large amount of XRP for $ 0.10.
He described himself as a “risk averse person with people who are financially and emotionally dependent on me”. but admitted that selling his crypto at these low basement prices “hurt”.
Winner and Loser
At the end of the week, Bitcoin is at $ 11,435.68, Ether at $ 375.90 and XRP at $ 0.24. The total market capitalization is $ 359,603,174,619.
Among the top 100 cryptocurrencies are the three best altcoin winners of the week ABBC coin (77.11%), Filecoin (44.49%) and Waves (28.70%). The top three altcoin losers of the week are Arweave (-32.22%), OKB (-23.80%) and Crypto.com coin (-21.98%).
For more information on crypto pricing, see Market analysis by Cointelegraph.
The most memorable quotes
“All of your funds and assets are safe. The investigation only concerns the personal problem of a specific private key holder. “
Jay Hao, OKEx CEO
“Having one person in China with the keys to a complete offshore cryptocurrency exchange is probably the most surprising thing about this industry that I learned this year. However, the fact that customers do not require transparency about key management comes in second place. “
Leo Weese, The President of the Bitcoin Association
“The Chinese government is cracking down on money laundering using cryptocurrency for telecommunications fraud, and the central exchange is in a very dangerous state.”
Colin Wu, Crypto reporter
“I think we’re going to see a relatively boring and corrective quarter in the crypto markets. In history; ETH often bottomed out in December to kick off the following quarter. $ BTC dominance to a mid-season in the first quarter of 2021 to have. Continuation of patience. “
Michaël van de Poppe, Cointelegraph Analyst
“You can only try to win the hand with the high hand: gold, silver and bitcoin. You can’t win playing the low hand unless you’re a sovereign state or a large investment bank, and that’s the game today. “
Max Keizer, Channel
“We want to keep track of the activities of other central banks and learn from them, not just from China but from other countries as well.”
Kazushige Kamiyama, CBDC Head of the Bank of Japan
“Our eyes are on the key resistance level of $ 12,000 as we expect further consolidation from current levels in the elections before breaking higher in the future.”
“So if I wanted to buy the dip, where would the perfect dip be? Well, the perfect dip would be … about $ 11,000. “
Ton Vays, Dealer
“A message is definitely being sent to the crypto world that US users of a product or service are enforcing US laws.”
“Crypto Mom” Hester Peirce, SEC commissioner
Forecast of the week
Could there be a massive bitcoin shortage?
The rapid growth of institutional investments in crypto has led 10T Holdings co-founder Dan Tapiero to warn that a bitcoin shortage may be on the horizon.
He warned: “SHORT CIRCUITS of Bitcoin possible. Barry’s Grayscale Trust is eating up BTC like there’s no tomorrow. When 77% of all newly dismantled vehicles become 110%, the lights go out. The supply of non-miners will come under pressure. Shorts will be dead. The prize can go to any number. “
Institutional demand soared after March, when Bitcoin saw one of the sharpest declines in recent history. This shows that big players see staying power in the world’s largest cryptocurrency.
Speculations about a possible supply-side crisis for Bitcoin also coincide with the halving cycle. Bitcoin went through its third halving on May 11th, and historically, halving in the following two years will result in longer bull runs.
FUD of the week
The G7 will oppose the Libra launch pending regulations
The G7 has warned that it will initially speak out against launching Facebook’s Libra project.
In a statement that drew few blows, the Group of Seven wrote, “The G7 continues to claim that no global stablecoin project should be operational until the relevant legal, regulatory and regulatory requirements are properly designed and complied with be adequately taken into account. ”
The declaration was co-authored by central bankers and finance ministers from the US, Canada, Japan, Germany, France, Italy and the UK.
The G7 has previously raised concerns about the warranty Digital assets comply with anti-money laundering laws, Consumer protection and other regulatory matters.
Last October, one of his reports also warned of global stablecoins pose a threat to the global financial system.
16 countries are joining forces to tackle money laundering crypto criminals
Europol announced that 20 people suspected of working for the QQAAZZ criminal network were arrested in an operation in 16 countries.
The organization is accused of having laundered tens of millions of euros for top cyber criminals since 2016. As part of “Operation 2BaGoldMule” about 40 houses were searched, with arrests made in Australia, the USA, Great Britain, Portugal, Spain, Latvia and Poland.
On the same day, a 40-year-old man was arrested in New Zealand for using cryptocurrency to launder more than $ 2 million for criminals and buying luxury vehicles such as a Lamborghini and a Mercedes G63.
In the United States, six people were charged with participating in a conspiracy to “launder millions of dollars in drug sales on behalf of foreign cartels.”
Deadline for the mountain The rehabilitation plan for the Gox trustee has been extended again
The trustee of the now-defunct Japanese cryptocurrency exchange Gox has received another approval to extend the deadline for submitting a rehabilitation plan – this time to December 15.
As reported by Cointelegraph, Nobuaki Kobayashi received a number of similar deadline extensions in March 2020 and April 2019.
The mountain. Gox Crypto Exchange is known for having the biggest cryptocurrency hack in history. The exchange lost a total of 1.35 million Bitcoin in two hacks in 2011 and 2014.
Despite the hacks years ago, Mt. Gox customers still haven’t received any compensation for their stolen funds.
Kobayashi, a Japanese attorney hired to oversee the civil refund process, reportedly has 150,000 BTC to repay users, but the refund process has been delayed several times since 2019.
Best Cointelegraph properties
The strange case of Coinbase – employees who are displaced from an “apolitical” attitude
The new “apolitical” culture of Coinbase has led some employees to accept severance packages, as the crypto community reacts with ambivalence.
The next big treasure: Companies are buying up Bitcoin as a treasure reserve
The entry of companies like Square, MicroStrategy and Stone Ridge could open the BTC floodgates and “build trust for the rest,” writes Andrew Singer.
Game theory meets DeFi: collect ideas about tokenomic design
Andrew Fenton talks to Jack Lu about his new DeFi platform Bounce, which has been described as a decentralized version of eBay, Sotheby’s or Christie’s.