As per the latest news, the value of Bitcoin came down to $4,000 which is one of its lowest prices since September 2017 when the market was below $119.
As per John Mandel, Bitcoin has been considered as a legal currency which contains value and planning for national adoption of cryptocurrency. Further, as per a Wall Street Journal report, many businesses are diverting their funds to invest in cryptocurrency.
Yesterday, Bitcoin’s performance was not that great and hence, reflects only $3,601. However, today it is trading at $4,120. Also, when we compared to yesterday’s figures, we can conclude that few cryptocurrencies are performing in a positive way with the difference of 3.2%. Bitcoin is still trading at 25% less when compared to figures from the past week. Bitcoin holds approximately 53.7% of the market.
Bitcoin Cash’s fall down in the market due to its recent hard fork has resulted in huge gains for the top twenty digital coins. The cryptocurrency is trading at $201 value which reflects an upward trend with the difference of 18% when compared to the past week and hence, has taken the fourth position before EOS when we are talking about market capitalization.
Bitcoin Cash value also dropped down and attained the figure of $164. It has taken the top fifth coin position which is 40% low from the past week leading to a loss of approximately 20 top markets. Hence, total market capitalization is reporting at $130 billion, and during press time it accounted for only $128 billion. However, if we are speaking of daily trade, then the market capitalization accounted for $19 billion. As per the current scenario, few experts have commented that Bitcoin price may go less than $1800 soon. While another panel of experts estimated that the Bitcoin price might touch $3000.
Bitmain (The Fraudulent Case)
Recently, a lawsuit of over $5 million was filed against mining stalwart Bitmain in Northern California, United States. As per the suit, while customers were configuring their newly purchased machines for mining, Bitmain utilized customers’ pieces of equipment to mine cryptocurrency at full power for its own benefit.
As per Gor Gevorkyan of Los Angeles, California, he had purchased the Bitmain ASIC device. Configuring the device was not an easy task, and before he could initialize the device at full power mode, the machine got lapsed within that period.
The filing reported that the ASIC started mining cryptocurrency as soon as the plaintiff switched on the device. This activity continued till the device got transferred into Gevorkyan’s personal account. This kind of transaction of cryptocurrency is illegal, and therefore, Bitmain was accused. The company was found guilty of adopting an ‘unfair business practice’ by unjustly enriching the company from the customer’s ASIC device and using customer’s electricity causing ‘ascertainable and out of pocket losses.’
This lawsuit has affected China-produced mining rigs due to impositions of US restrictions on Chinese goods which were not beneficial for the company’s pre-initial public offering prospectus. The company also faced difficulties at the time of their IPO and was able to raise only a little amount.
From the current underlying situation, the hardware manufacturers may face a considerable loss after an investment of funds in the assets. Also, the company’s pre-IPO raised questions against a few others participants like Softbank, Termasek, and other Chinese IT giants.
Combined Stablecoin Market
As per one of the reports, the topmost cryptocurrency exchange Binance has renamed its tether (USDT) market to combined stablecoin market (USDⓈ) in a move to encourage more trading pairs of the latter. However, the exchange clarified that (USDⓈ) is not a new stablecoin but only a symbol for a combined stablecoin market.
Binance has added blockchain payment company Circle’s USD-pegged stablecoin USD coin (USDC). The USDC token was introduced with the collaboration of US cryptocurrency exchange coin and Circle in the month of October. The coin is 100% collateralized with US dollar which is subject to public reporting of reserves. Additionally, Binance also supports Paxos’ (PAX) and TrueUSD (TUSD). Binance plans to announce the list of other trading pairs that it will support on its platform soon.
The rate of Tether has dropped and reached the level of 0.91$. One big reason behind this fall seemed to be the controversary of insolvency surrounding CEO of Bitfinex as well as of Tether Jan Ludovicus van der Velde.
As per market capitalization, USDT is being counted on the eighth digital currency during press time which traded approximately $0.0968 and lost around $0.07% on that day. However, USDC is trading in an upward direction at the rate of 0.53% when compared to the last 24 hours.
Trading of Bitcoin from three to six months
Vinny Lingham, CEO of management startup Civic said in an interview that Bitcoin’s price would be facing range bound issues for few months or it may probably break down the range of $3,000. He further suggested that Bitcoin trading range will move in between $3,000 to $5,000 for a minimum of three to six months. However, the level of Bitcoin may go down $3,000 if the market condition doesn’t improve, hence making it more risky to purchase BTC at the current scenario. Also, if the market turns then the situation will be favorable and will be leading with high rewards thereby making both the scenes extreme and unpredictable.
Further, Lingham opines that Bitcoin cannot be stored as a value, instead can be used for the payment process just like MasterCard or Visa.
In 2013, Lingham entered into cryptocurrency market and claimed to have a ‘checkered past’ in the cryptocurrency. He had written a blog post during February 2017 on the risks associated with cryptocurrency. However, the community disagreed with his opinion that fundamentals should be guiding the market rather than speculation.
Galaxy Digital Founder Mike Novogratz also put forward his opinion at the start of this week that cryptocurrency may flip in the upcoming year. He also estimated that financial institutions would change their investing pattern from cryptocurrency funds to cryptocurrencies in the first quarter of next year.