State of the Market #70
10/26/2020 - 11/8/2020
|Joshua Ebedes||Nov 9, 2020|
Keith Asmussen, Joshua Ebedes
Dotted lines represent non-trading days (weekends, holidays, etc.)
Bitcoin Soars Past 15k
Almost quadrupling its price since the March low-point, Bitcoin has come within touching-distance of $16,000. Seemingly indifferent to the results of the election, many are beginning to detect the unique qualities that Bitcoin has to offer. JPMorgan alludes that the rise in demand is the product of institutional investors and asset managers recognizing the potential long-term upside for bitcoin gold as a competitive alternative to gold.
Coinbase’s Debit Card Starts A $30 Billion Crypto Payments War With PayPal
Following Paypal's announcement of allowing U.S. customers to buy and sell major cryptocurrencies, Coinbase is providing a quick rebuttal with the announcement that it will launch a Visa debit card in the US in 2021. PayPal intends to charge an acquiring fee with no transaction fee, while Coinbase will charge a 2.49% transaction fee. Coinbase’s transaction fee is defended by the justification of giving customers the “convenience of having immediate access to spend their cryptocurrencies on how and when they chose.”
Feds Seize $1 Billion Of Bitcoin
Someone has managed to empty the long-dormant wallet (1HQ3Go3ggs8pFnXuHVHRytPCq5fGG8Hbhx) of its 69,000 BTC (~$1 Billion). The wallet is widely believed to have belonged to Ross Ulbricht before he was handed a double life sentence following the FBI shutdown of Silk Road. Two days following the transaction, U.S. Attorney for the Northern District of California stated that “$1 billion of these criminal proceeds are now in the United States' possession.” It has not yet been determined whether the funds acquired will be forfeited or become federal government property.
Chart of the Week
This edition's chart of the week comes from @rextcapital on twitter. Above he showcases and explains his take on a four year Bitcoin price schedule. With prices soaring, we may as well get more optimistic. One of the most important takeaways from this chart is how halvenings appear in the fourth year of the cycle and foreshadow massive price growth. Read his thread linked above for a in-depth explanation.
@_JustinMoon_ helps us calm down the week with this brilliant meme
@lopp reminds us of the painful truth
@lawmaster, If you don’t watch the betting odds during the election you should start, it makes it much more entertaining
@DegenSpartan is one of the most based members of crypto twitter
Video of the Week
This week's video is Marty Bents “Tales from the Crypt” 206th podcast featuring Ryan Gentry. Mary Bents podcast has been featured before and is one of the best Bitcoin podcasts available today. Ryan Gentry is a UT grad, Austin local, and one of Texas Blockchains favorite guest speakers. In this podcast they discuss the Crypto environment in Austin and Ryan gives a brilliant breakdown on how the lightning network works. With soaring BTC prices this is a perfect episode for Bitcoin bulls and maxis.
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Texas Blockchain’s ‘State of the Market’ is a student-led editorial. None of the views expressed by the authors should be taken as the view of the University of Texas at Austin or the Texas Blockchain organization. Furthermore, none of the views expressed should be taken as financial advice in any circumstance.