Topic: Coin360 news - page 3. (Read 19473 times)
It is notoriously difficult to measure institutional demand, not only are there too many assumptions to take into account but even data that on paper indicates "institutional" demand is far from being clear cut. Most recently, the CME Commitment of Traders report indicted a sharp increase in demand from asset managers/institutional market participants, which is, of course, a good sign for a cryptocurrency market trying to clean up its image and appeal to professional money managers. However, CME’s latest report has indicated that the healthy appetite has been somewhat short lived.
Read the full article: https://coin360.com/blog/information-cascade
The meteoric climb of Bitcoin (BTC) all the way to $5,500 came to a crashing halt yesterday, at least that’s what social media and the “moon boys” will tell you. However, profit taking at this stage is actually a healthy development for the market that is so heavily driven by leverage and speculative flow. The underlying blockchain metrics do not necessarily indicate whether the rally should or should not have taken place; the hash rate has been on a very steady but gradual uptrend, while the total number of unique addresses used on the Bitcoin blockchain is showing little growth. In fact, one can argue that the fundamentals point to much lower valuation. However, as with anything speculative, do not underestimate the power of FOMO. Also, given the growth in the derivatives market, being aware of the flow in both the options and futures markets is becoming increasingly important in judging the short-term direction of the market.
Read the full article: https://coin360.com/blog/appear-weak-when-you-are-strong
Bitcoin rallied all the way to $5,500 after brief setbacks following the previous high of $5,350. Ethereum got to $185, but notably failed to reach previous highs around the $187 mark. Interestingly, Ethereum Sep futures also topped out a few dollars under the key $200 level, giving it more substance as a barrier. The contango has tightened, with spot ETH vs Sep contracts at around $10 vs $15 yesterday. In short, the trend remains bullish, especially given the apparent indication of demand from China where buyers are paying premiums over the official USD/CNY rate.
Read the full article: https://coin360.com/blog/turbulence-ahead
Regardless of whether you find yourself in the bull or bear camp of the crypto market, it is always worth reminding yourself that this is a very speculative market. Fundamental metrics do not always correlate to the underlying cryptocurrency prices and, more often than not, proposed valuation models are biased and subject to data overfitting. At the same time, the OTC market resembles a very archaic way of doing business and is full of dream chasers. Crypto maximalists may disagree but for Wall Street to roll up their sleeves and commit to crypto, they do not necessarily need to believe in the technology. If there is a secondary market for the asset class and there are inefficiencies to be exploited, then there is no reason to expect them refrain from trading cryptocurrencies, just like they trade pork bellies and the longevity market. With that being said...the crypto market remains in a bullish bias, a positive outlook echoed in the derivatives market. ETH contango is being pushed wider, which is also driving other assets higher (given the correlation and hedging strategies). However, the Bitcoin curve remains subject to regular shifts from contango to backwardation, which indicates increased interest from spread traders.
Read the full article: https://coin360.com/blog/back-to-the-jungle
The bullish momentum continued for yet another day, Bitcoin traded in the high $5,300 area, while Ethereum looks set to test the psychologically important $200 level. Compared to the flurry of activity on the CME last week, the trading volume on Monday was rather light, with only 9,769 contracts exchanging hands. Still, FOMO looks to be in full force according to New York Times journalist and crypto influencer Nathaniel Popper, who Tweeted: “Update on Facebook’s cryptocurrency: Sources tell me that Facebook is now looking to get VC firms to invest in the Facebook cryptocurrency project we reported on earlier this year. I hear they are targeting big sums — as much as $1b.” According to one source Popper talked to, the social media company might utilize the invested funds as collateral for the new digital asset.
Read the full article: https://coin360.com/blog/i-believe-i-can-fly
Looks like an awesome resource for folks like myself, keep up the great work, will be following.
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The bullish sentiment is showing no signs of abating, with Bitcoin trading firmly above the $5,000 mark and Ethereum on its path to reclaim the $200 level. However, those hoping to find signals of the future price action in metrics such as hashrate will be disappointed to learn that despite the rally, there has been little movement in the underlying rate. This of course, makes sense as the exchange trading aspect has little to do with the underlying mechanics of the blockchain, it is the by-product of price gains which tends to incentivize miners and other participants to enter the cryptocurrency market for physical contracts.
Read the full article: https://coin360.com/blog/squeeze-it
Looks like an awesome resource for folks like myself, keep up the great work, will be following.
Heading into the close of the week, Bitcoin is set to finish with gains of over 20% and above the psychologically important 5,000 USD level, while Ethereum rallied all the way to the $180 area before pulling back to mid the $160 region. Social media has been abuzz with excitement, with plenty of “to the moon” references by market commentators. Some attributed the surge to a major order by an anonymous buyer which, as reported by Reuters, set off a frenzy of computer-driven trading. The said order, worth about $100 million, was spread across U.S. based exchanges Coinbase, Kraken, and Bitstamp.
Read the full article: https://coin360.com/blog/spring-is-in-the-air
The aggressive crypto rally which took place in the early hours yesterday may have lost some of its steam but the upside bias remains intact. As a result, the cryptocurrency market remains well bid, with Bitcoin trading up around 6% at the $5,000 level, while Ethereum’s price is up over 10% at $168. As to be expected, there are plenty of theories and conspiracies being attributed to the movement.
Read the full article: https://coin360.com/blog/moon-boys-are-back
Last week we asked, “When FOMO?”, spurred on by a crypto market where Bitcoin was trying to consolidate its position above the key $4,000 level, while also having to deal with expiring futures and options contracts. In particular, as we pointed out, decent size was noted at 3500 strike (puts). For those that are yet to be convinced of the importance that the derivatives market has on the underlying, it is worth pointing out that last Friday was another record day for Deribit with more than $40mln BTC options traded.
Read the full article: https://coin360.com/blog/when-moon-sir
Heading into the CME Bitcoin March futures expiration later today, the cryptocurrency is attempting to consolidate its position above the psychologically important $4,000 level and Ethereum has the $140 level in its sights. A break above will likely see the ETH look to retest $165 area and another break above towards $200 would likely spur retail flow back into the crypto market. It is still too premature to call, but should it materialize, this rally would be even more leverage driven than before given the number of new vendors that provide margin/leverage trading, as well as the futures and options on various crypto assets. At the same time, regulators are acutely aware of the fast-growing asset class and will be prepared to clamp down on cryptocurrency exchanges offering highly risky products to retail clients. On that note, Cointelegraph reported that Star Xu, founder of exchange services provider OKCoin and the world’s 6th largest crypto exchange OKEx, has announced OK Group’s partnership with blockchain-focused trust company Prime Trust, potentially allowing the firm to launch its own compliant stablecoin.
Read the full article: https://coin360.com/blog/when-fomo
The cryptocurrency market is trying to finish off the week on a positive note and, more importantly for Bitcoin, above the $4,000 level. For the month, Bitcoin is up around 5% and Ethereum is also set to finish in the green, albeit with a gain of only 1.5%. On the other hand, EOS is up nearly 20% and its most recent surge has been driven by a positive note from Weiss Crypto Ratings which stated that "EOS is the leading cryptocurrency challenging Ethereum, and Bitcoin is likely to become a popular store of value for savers and investors."
Read the full article: https://coin360.com/blog/higher-higher
The amount of ETH coins locked in the MakerDAO credit ecosystem has stabilized at 2.06% (vs 2.10% before the stability fee hike) and at the same time, DAI is trading better and more in line with its stablecoin peers. This renewed sense of stability is a strong indication that leverage plays will soon resume course. Whether it is with MakerDAO or someone else, cryptocurrency market participants will favour those with higher leverage.
Read the full article: https://coin360.com/blog/stable-again
What started off as a relatively calm trading session, turned into a run and a consequent break of the $3900 level as crypto market participants pre-positioned for the upcoming expiration of CME Bitcoin futures and also reacted to the less than favorable news of a 5.11% rise in BTC’s mining difficulty. In addition, as pointed out by the team at Skew, there is a good amount of Bitcoin expiration options this week - 36,000 options. Trading activity is said to be focused on cleaning the strikes, with a decent size noted at 3500 strikes (puts).
Read the full article: https://coin360.com/blog/indecisive
Decentralized Finance (DeFi) adoption is set to accelerate moving forward, and the pain thresholds associated with higher borrowing rates may have been severely underestimated, especially given the broad-based valuation collapse of cryptocurrency assets over the course of 2018. As such, the base case scenario for being long Ethereum still stands, even in spite of the recent stability hike by MakerDAO/Dai. As a guide, a total of 58 addresses participated in the recent stability fee hike, representing 0.58% of MKR crypto holding addresses, of which 73.2% voted in favour of the highest hike, 17.9% in favour a 2% increase, and just 8.9% to maintain the status quo.
Read the full article: https://coin360.com/blog/do-you-believe
There were huge on-chain token movements for MKR yesterday – $48M moved vs the $4.4M in total on chain volume the previous day. The move took place ahead of yesterday's Governance and Risk meeting, which was focused on 'Supply/Demand Imbalance' and took place ahead of today's stability fee vote. Ethereum came under selling pressure ahead of the event, however, DAI staged a modest recovery during the Governance and Risk meeting, which indicated that the decrease in ETH was exaggerated.
Read the full article: https://coin360.com/blog/crypto-decentral-banking
Bitcoin hash rate, the computing power securing the network, has reached levels not seen since early November 2018. With the mining difficulty remaining relatively flat for over a month now, new cryptocurrency miners have found it easier to bring their rigs online.
There have been numerous reports that Bitcoin miners in China are buying used equipment and making deals with mining farms and hydroelectric plants. This season a significant amount of excess electricity is expected to be generated by hundreds of hydropower stations, especially in China’s mountainous southwestern provinces of Sichuan and Yunnan. This level of excess power would result in competitive electricity costs for Bitcoin miners.
Read the full article: https://coin360.com/blog/crypto-spring
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