January Winter Woes Continue
Today’s headlines are dominated by bear-market news, with a few silver linings. Read about what you missed below.
Crypto Market Plunges $6 Billion as Bitcoin Continues Downward Trend
Bitcoin fell out of its consolidation zone today after failing to overcome massive resistance at the $3,600 mark. This plunge sent Bitcoin spiraling to a new low of $3,463, according to data from Coinmarketcap. Most analysts and price predictions point to the fact that new losses are expected for crypto as a whole if BTC fails to hold above $3,000 – as the price plunges further down, it will continue to pull all other altcoin values down with it. The $6 billion dip has seen the crypto market cap plummet to $113.6 billion. This level is a little higher than last year’s $100 billion low. If Bitcoin fails to recover, a new historical low for crypto markets is imminent.
Crypto Winter Expected to go Crypto Nuclear if Bitcoin Plunges Below $3K
Continuing with the above analysis, the total value of all cryptocurrencies has fallen from $121 billion to about $115 billion in a matter of hours. Bitcoin came close to its $3,500 test point – almost as close to its $3,150 yearly low that we saw in mid-December 2018. Altcoins aren’t fairing any better than Bitcoin either. Although Bitcoin may hold above this threshold, both crypto market skeptics and proponents alike are growing ever more skeptical. Morgan Creek’s Anthony Pompliano expects the market to hit new lows, with the possibility of current downtrends extending into Q3 and Q4 of 2019.
Crypto Investors Remain Positive on Bitcoin’s Price
Although the price of Bitcoin and other altcoins fell quite dramatically in the last few hours, some crypto traders believe that this marks the beginning of the market to establish a new low. Alex Melen, a crypto enthusiast, posted on his twitter that perhaps Bitcoin is hitting its new bottom just as it did in 2014 and 2015. Moon Overload, a pseudonymous trader, explained that BTC has historically pumped around one year on average before its halving date. Since the next issuance shift is bound to happen in May 2020, there are chances that prices will pick up by then, so we expect some people to hunker down and continue to hodl!
NASDAQ Pushes for Crypto Adoption by Investing in Blockchain and Crypto
The Nasdaq has decided to invest a substantial amount in a blockchain startup that develops enterprise blockchain solutions. The move is one of many that the Nasdaq intends to use to push for crypto adoption. According to an official press statement, the blockchain startup Symbiont closed a Series-B funding round. Nasdaq led the venture and other notable investors included Galaxy Digital, Raptor Group, Citi, and many others. Symbiont will use the money raised to promote Assembly, a blockchain network created by the firm. Assembly offers support for tokenization solutions and smart contracts, and the Nasdaq stated that it was quite confident of the chances of success of Symbiont.
Coinbase Seeks to Bolster Cryptocurrency Adoption
Cryptocurrencies such as Bitcoin and Ethereum have long struggled to find proper footing in traditional, brick and mortar retail outlets. A recent article from Bitcoin Magazine explains that digital currency use in the real world is as difficult today as it was four years ago. To remedy this, Coinbase is seeking to change the situation. A short video posted by a Coinbase employee showed how the employee purchases a glazed donut with crypto at a pop-up donut shop. However, the mere speed of the transaction led many to believe that the video had been doctored. Despite the criticism, other enthusiasts such as Fred Wilson, co-founder of Square Union, appreciated the effort.