Tag: BTC Investment

Categories
Bitcoin Bitcoin Investment Bitcoin Wallet Crypto Mining Cryptocurrency Investment Investment News NFT Investment

Fake Safe Haven: Bitcoin Correlation with S&P 500 Hits ATH

The data shows that Bitcoin’s correlation with the S&P 500 and thus the stock market has set a new all-time high (ATH).

Bitcoin’s correlation with the S&P 500 hits a new high

As one analyst pointed out in a CryptoQuant post, BTC’s correlation with the stock market is currently on the rise, further undermining the “safe haven” narrative.

“Bitcoin Correlation with the S&P 500” is an indicator that measures how strongly the BTC price reacts to volatility in the S&P 500, as well as the direction of the response.

When the indicator shows values ​​greater than zero, it means that there is a positive correlation between the stock market and the cryptocurrency price at the moment. “Positive” here means that BTC is moving in the same direction as the S&P 500.

On the other hand, correlation values ​​less than zero imply that BTC reacts to S&P 500 price changes by moving in the opposite direction.

Related Reading | Bitcoin Drops Below $40 As Russia Gave Its Forces the Order to Attack Ukraine

Indicator values ​​exactly equal to zero naturally mean that there is no correlation between the two assets. Now, here is a chart that shows the trend in the S&P 500 and Bitcoin correlation since the year 2013:

The indicator value throughout the history of cryptocurrencies | Source: CryptoQuant

As you can see in the chart above, the correlation between Bitcoin and the S&P 500 has fluctuated between positive and negative, although it has remained low for most of BTC’s history.

Related Reading | Why Bitcoin Won’t Fall Under New Bear Attack, Next Potential Target for BTC

However, since late 2019 and early 2020, the two assets have been strongly and positively correlated. During 2020, the metric has plummeted due to the COVID slowdown, but the indicator has risen sharply during the second half of 2021 and 2022 so far.

The correlation between Bitcoin and the stock market has now set a new all-time high (ATH) of +0.5468 this month.

Such a high correlation between assets further undermined the “digital gold” narrative, as cryptocurrency is no longer the safe haven it once was.

BTC price

At the time of writing, Bitcoin price hovers around $39,000, down 12% over the past seven days. In the last month, the cryptocurrency has gained 10% in value.

The chart below shows the BTC price trend over the last five days.

BTC price seems to have recovered in recent days | Source: BTCUSD on TradingView

A few days ago, the price of Bitcoin dropped, reaching $36,400. Since then, the coin’s value has shown some recovery, breaking above the $39K level again today. It is currently unclear whether this new uptrend will last.

Categories
Bitcoin Bitcoin ETF Bitcoin Investment Bitcoin Wallet Crypto Mining Cryptocurrency news Investment News NFT Investment

Mexico’s Third Richest Billionaire: Don’t Sell Your Bitcoin During Crash

The Mexican billionaire believes the price of BTC will rise further in the long term, stating on Twitter that those who “buy and hold” his assets “will thank you later”.

Bitcoin dropped to $37,300 on Monday before rebounding just above $38,000.

Ricardo Salinas Pliego, the third richest Mexican billionaire, said that the current drop in Bitcoin prices is to buy more BTC and not sell.

According to the billionaire, when prices drop like they did with Bitcoin’s recent drop below $40,000, it’s time to carry more cryptocurrencies. Investors, he noted in a tweet, will be better off hoarding than selling.

Salinas, founder of Mexico’s second-largest television network, TV Azteca, and business conglomerate Grupo Salinas, noted:

“You have to buy bitcoin (keep buying when the price is low), so keep your BTC, forget about selling… trust me, you’ll thank me later.”

Salinas was bullish on Bitcoin before, noting in December 2021 that fiat money was “fake” and “paper lies”.

Bitcoin price drops below $38K

The billionaire’s comments come at a time when Bitcoin has seen its value plummet in recent weeks after a bounce failed to gain momentum above $45,000. At the time of writing, the cryptocurrency is trading near $38,780, with intraday prices hitting lows of $37,300.

The bounce above $38,000 puts Bitcoin in a key support and resistance zone that one analyst is watching closely.

According to pseudonymous trader Credible Crypto, the week may see BTC-USD remain shaky, but a positive resolution from consolidation is possible. Otherwise, he noted, BTC is likely to hit lows of $36,200 and likely invalidate the bullish scenario.

“It will be a slow week in my opinion as we are stuck between key support (38-39k) and key resistance at 41-42k. I suspect we moved a little between these two levels, but eventually we resolved this consolidation to the upside. The hard invalidation for this idea is a 36.2k tap. “

Categories
Bitcoin Bitcoin ETF Bitcoin Investment Bitcoin Wallet Crypto Mining Cryptocurrency Investment Investment News NFT Investment

Ripple Partners with Central Bank Digital Currency Think Tank

Ripple has partnered with the Digital Euro Association (DEA) to work together on Central Bank Digital Currencies (CBDCs).

DEA, based in Frankfurt, Germany, is a think tank focused on CBDCs, stablecoins, cryptocurrencies and other forms of digital money.

The organization aims to influence policy related to CBDC and cryptocurrencies through research and providing a platform for policymakers, technologists and economists to discuss digital assets.

In a new announcement, it describes Ripple as a leader in its field, but does not provide exact details on what the partnership will entail.

“Ripple, a leading provider of enterprise blockchain and cryptographic solutions for cross-border payments, has recently developed a blockchain-based infrastructure to support CBDCs and is engaged with the central bank of Bhutan, among others, to help run its program pilot . of CBDC.

Ripple is also a member of the Digital Pound Foundation and continues to expand its efforts around CBDCs around the world. The DEA partnership with Ripple includes, but is not limited to, joint educational efforts around digital currencies and knowledge sharing.”

DEA President Jonas Gross said:

“We are delighted that, thanks to our partnership with Ripple, we are able to extend the technology experience of the DEA community. As more and more CBDC projects around the world reach advanced stages, the technological design of a CBDC will play a key role for policymakers in the near future, while previous years have mainly focused on research.”

Ripple also addressed the association in a tweet to his followers, saying that it was part of their overall goal to provide CBDC-related solutions on a global scale.

“We are excited to join the Digital Euro Association as a supporting partner to further develop our work with the CBDC!

Categories
Bitcoin Bitcoin ETF Bitcoin Investment Bitcoin Wallet Crypto Mining Cryptocurrency Investment Cryptocurrency news HYIPs Investment News NFT Investment

Uber CEO Recognizes Possible Integration of Crypto Payments

Uber Technologies CEO Dara Khosrowshahi recently made statements that the ride-sharing company will accept cryptocurrencies in the future as the industry becomes “environmentally friendly” and less expensive.

In an interview with Bloomberg, Khosrowshahi said that the company “at some point” will accept cryptocurrencies, but acknowledged that he still has reservations about it because the “cryptocurrency exchange mechanism is expensive”, adding that such a method is also “not good for the environment”. .”

Khosrowshahi says Uber is still evaluating integrating cryptocurrency payments for its ride-sharing services, which have a global presence.

“Will Uber accept cryptocurrencies in the future? Absolutely. At some point. This is not the right time, but we will.” Khosrowshahi notes.

The executive noted that Bitcoin, along with other cryptocurrencies, has become valuable over time. Khosrowshahi is known as one of the early advocates of Bitcoin. During his 12-year tenure at Expedia, a travel booking platform, Khosrowshahi made the platform one of the first major merchants to accept Bitcoin as a form of payment in 2014.

“I think now what we see with bitcoin and some of the other [cryptocurrencies] is that they are quite valuable as a store of value,” Khosrowshahi said. “As the exchange mechanism becomes less expensive and more eco-friendly, I think you will see us leaning a little more towards cryptocurrencies.” he adds.

Uber has not made any definitive statements on the matter, other than those mentioned by its boss. Since its inception, Uber has not made any moves in the crypto space. Notably, however, Uber co-founder Oscar Salazar moved into the cryptocurrency industry by founding Voyager, a cryptocurrency exchange, in July 2018.

Categories
Bitcoin Bitcoin Investment Bitcoin Wallet Crypto Mining Cryptocurrency Investment Cryptocurrency news Investment News NFT Investment Paypal

PayPal Establishes Cryptocurrency and Blockchain Advisory Board

“We believe it is crucial to engage with the world’s best leaders to better understand the industry’s most compelling opportunities and complex challenges,” said José Fernández da Ponte.

Leading US payment processor PayPal has assembled a team of industry experts to act as advisors on crypto, blockchain, and digital currencies.

In an announcement Tuesday, PayPal said that adding six members to its Blockchain, Cryptocurrency and Digital Currency advisory board would help support its current and future products, as well as its goal of creating a more inclusive digital financial ecosystem. Fortress Investment Group Co-CEO Peter Briger, Georgetown University Law Center Professor Chris Brummer, Weizmann Institute of Science Professor Shafi Goldwasser, Former Commodity Futures Trading Commission Chairman, Timothy Massad, MIT Sloan School of Management Professor of Finance Antoinette Schoar, and the director of the MIT Digital Currency Initiative. Neha Narula will join the PayPal initiative.

“We believe it is crucial to engage with the world’s best leaders to better understand the most compelling opportunities and complex challenges in the industry,” said José Fernández da Ponte, senior vice president and general manager of blockchain, cryptocurrency and digital currencies at PayPal.

All six advisors have years of experience in the cryptocurrency and blockchain space from a business or regulatory perspective. Briger would have been responsible for advising Softbank Group founder Masayoshi Son to invest millions in Bitcoin (BTC) before the 2017 bull run. Goldwasser was part of a group of MIT researchers who proposed the zero-knowledge proof as an encryption scheme long before the advent. of cryptography.

During her time with the MIT Digital Currency Initiative, Narula was responsible for an initiative to help the Federal Reserve Bank of Boston build a digital currency intended to scale for consumer use. Brummer would have been a CFTC presidential candidate before President Joe Biden officially nominated Rostin Behnam. Massad, who served as CFTC chairman from 2014 to 2017, argued after leaving his post that regulators should approve an exchange-traded fund offering exposure to BTC.

It is unclear whether the advisory group is aiming to expand PayPal’s foray into cryptocurrencies and the blockchain. The payments app announced in October 2020 that it would allow US-based customers to purchase crypto through the platform, later expanding that offering to include crypto payments at millions of its global merchants. The company plans to launch its own stablecoin called PayPal Coin.