Adoptar Bitcoin es ahora una cuestión de seguridad nacional, dice el ex director de la CIA

Michael Morel desafía la convención aceptada de que el Bitcoin está lleno de actividades ilícitas, y más aún cómo esta actitud es perjudicial para mantener la supremacía tecnológica.

Michael Morell, ex director en funciones de la Agencia Central de Inteligencia, rebate la narrativa de que Bitcoin está lleno de actividades ilícitas.

En un documento independiente, la investigación de Morell le llevó a concluir que las generalizaciones de la actividad ilícita son exageradas. Al mismo tiempo, añade que el análisis de la cadena de bloques sirve como método eficaz para luchar contra el crimen y recopilar información.

Bitcoin es un vehículo terrible para ocultar la criminalidad

Antes de embarcarse en el estudio, Morell admitió que las narrativas dominantes, como las impulsadas por la secretaria del Tesoro de EE.UU., Janet Yellen, y la presidenta del BCE, Christine Lagarde, ya habían influido en su sesgo hacia una posición anti-Bitcoin.

Sin embargo, al evaluar los datos de la empresa de análisis de blockchain Chainalysis, Morell pronto se dio cuenta de que había más actividad ilícita en las finanzas tradicionales que en el Bitcoin.

„Todo lo contrario, que [el bitcoin y las criptomonedas] no estaban plagados de actividades ilícitas. De hecho, probablemente había menos actividad ilícita en el ecosistema Bitcoin que en el sistema bancario tradicional“.

Señaló que los datos muestran que menos del 1% de la actividad de Bitcoin está relacionada con la delincuencia. Es más, esta cifra se ha reducido drásticamente desde 2012.

Kim Grauer, directora de investigación de Chainalysis, dijo que las criptomonedas tienen fama de anónimas. Sin embargo, descartó esa falacia, ya que el Bitcoin no es una buena forma de ocultar la delincuencia.

„Pero como las transacciones con criptomonedas como el bitcoin se registran en un libro de contabilidad permanente, público e inmutable, las criptomonedas pueden ofrecer en realidad una transparencia sin precedentes en las transacciones financieras“.

El bitcoin se describe más exactamente como una red pseudoanónima. Aunque cualquiera puede abrir un monedero adecuado sin tener que proporcionar información de identificación, la activación/desactivación puede rastrear los vínculos entre las identidades y los monederos.

No subirse al carro de las criptomonedas significa perder la batalla contra China

Morell afirmó que las ideas erróneas sobre el Bitcoin y la criminalidad son factores que contribuyen a que las autoridades estadounidenses no adopten las criptomonedas y la tecnología blockchain en general.

Advirtió que esta actitud podría llevar a perder la „guerra fría tecnológica“ con China.

„Tenemos que asegurarnos de que la sabiduría convencional que está equivocada sobre el uso ilícito de Bitcoin no nos impida impulsar los cambios tecnológicos que nos van a permitir seguir el ritmo de China“.

China restringe a sus ciudadanos el comercio de criptodivisas, especialmente la conversión de yuanes en tokens. Sin embargo, sus dirigentes fomentan activamente los proyectos de blockchain.

Li Bin, el jefe del Banco Popular de China, anunció esta semana que seis nuevas regiones, incluidas Shanghái y Hainan, se han añadido al programa de pruebas piloto para el yuan digital.

Esto está muy lejos de la Reserva Federal, que ha manifestado su indecisión sobre el despliegue de un dólar digital.

Will Bitcoin manage a new rally to an all-time high?

Will Bitcoin manage a new rally to an all-time high? What analysts expect from BTC now

  • Bitcoin has seen a relatively lacklustre price action in recent days and weeks, with the crypto price unable to rise towards its $40k resistance.
  • Its smaller counterparts have all seen massive momentum, ETH for instance, while many smaller altcoins have also risen.
  • BTC’s lack of intense upward momentum is due to the intense selling pressure it faces in the upper $30k region, with selling pressure from large whales and investors hindering growth.
  • Where the cryptocurrency goes in the medium term will undoubtedly depend on the continued reaction to its overhead resistance.
  • One analyst believes there is a strong possibility that BTC will break through this level in the near future, which could lead to new all-time highs.

Bitcoin and the entire crypto market are currently experiencing mixed performance. While BTC is faltering and struggling to break through its Bitcoin Circuit resistance in the upper $30,000 region, Ethereum and many altcoins are experiencing explosive rises.

This has left it somewhat unclear what BTC’s short-term fate looks like.

One analyst comments that the benchmark cryptocurrency is on the cusp of new all-time highs – but that BTC must first overcome a crucial resistance level.

Bitcoin struggles to gain momentum as resistance is strong

At the time of writing, Bitcoin is trading at $34,850, marking a massive rebound from recent lows at $30,000 reached last week.

The cryptocurrency has formed a wide trading range between these lows and its highs of around $40,000.

As long as BTC does not break out above the highs of the range at $40,000, we could continue to see relative consolidation.

Analyst: BTC could be on the cusp of new highs

One analyst now writes in a tweet that a close above a key Fibonacci level could allow bitcoin to rise to new highs.

BTC is pushing against this level; however, a rejection could take it towards the sub-$30,000 region. The analyst, referring to the chart below:

„Close above .618 – target all-time highs. Close below mid and grey zone 34k then most likely the year level retest around 28-29“

The coming days should provide investors with detailed insights into Bitcoin’s medium-term trend (Go to Buy Bitcoin Guide) – and how this trend will affect other digital assets.

Bitcoin nic nie zakłócił, pomimo trafienia 40.000 dolarów, Peter Schiff twierdzi.

Spis treści

  • „Bitcoin niczego nie zakłócił, pomimo wzrostu do ponad 40.000 dolarów“.
  • Złamanie idei wzrostu BTC z powodu ograniczonej podaży
  • „Wall Street kocha Bitcoina, bo nienawidzi złota“.
  • Oto dlaczego BTC jest sprzedawana jako SoV, twierdzi Schiff.

Wokal Bitcoin przeciwnik Peter Schiff zabrał na Twittera, aby twierdzić, że pomimo osiągnięcia nowych wszech czasów wzlotów powyżej poziomu 40.000 dolarów, Bitcoin nie może być nazywany „uciążliwą technologią“, ponieważ nie zakłócił niczego.

Ale Schiff uważa, że złoto może łatwo zawalić system fiatów, jeśli wzrośnie do 10.000 dolarów.

W swoich tweetach z 8 stycznia Peter Schiff poruszył kilka tematów związanych z Bitcoin Billionaire, krytykując flagową krypto walutę z różnych kierunków.
„Bitcoin nie zakłócił niczego, pomimo wzrostu do ponad 40.000 dolarów.“

Peter Schiff twierdził, że Bitcoin, mimo że został nazwany przez społeczność kryptońską „zakłócającym“, w rzeczywistości niczego nie zakłócił – rządy i banki centralne nadal są u władzy – mimo że cena wzrosła z grosza do ponad 40.000 dolarów w ciągu 12 lat.

Schiff uważa jednak, że złoto, które powinno wzrosnąć z obecnej ceny 1.857 dolarów za uncję do 10.000 dolarów, jest w stanie załamać system fiatów.
BTC

Złamanie idei wzrostu BTC z powodu ograniczonej podaży

Złoty bakcyl skrytykował również ideę wzrostu wartości Bitcoina ze względu na to, że popyt jest większy niż 21 milionów całkowitej podaży monet.

Uważa on, że ta dynamika może szybko się odwrócić, ponieważ popyt pochodzi od spekulantów, którzy mają nadzieję zrzucić Bitcoin po wyższych cenach. Jeśli nastroje się zmienią, twierdzi Schiff, popyt może się załamać, nawet jeśli więcej BTC jest wydobywanych i wysyłanych na rynek.

„Pomysł, że cena #Bitcoinu może wzrosnąć tylko dlatego, że popyt przewyższa podaż, nie uwzględnia tego, jak szybko ta dynamika może się odwrócić. Popyt pochodzi wyłącznie od spekulantów, którzy mają nadzieję na sprzedaż po wyższych cenach. Jeśli nastroje się zmienią, popyt załamie się, gdy na rynku pojawi się więcej podaży“.

„Wall Street kocha Bitcoina, bo nienawidzi złota.“

Kolejną kwestią poruszoną przez Petera Schiffa, który został ironicznie nazwany drugim co do wielkości Bitcoinem w ostatnim tygodniu 2020 roku, było to, że Wall Street aktywnie obejmuje Bitcoin teraz, ponieważ ma „długoletnią nienawiść do złota“.

Banki zaczęły postrzegać BTC jako sojusznika, ponieważ dążą do uratowania systemu monetarnego opartego na fiatach, który daje władzę Rezerwie Federalnej i sobie samym. Nazywając złoto jedynym zdrowym pieniądzem, Schiff nie podziela więcej szczegółów swojej teorii, w której banki wykorzystują Bitcoin do ratowania systemu monetarnego opartego na fiatach.

„Jak na ironię, nowo odkryta miłość Wall Street do #Bitcoina ma więcej wspólnego z jego długoletnią nienawiścią do #złota. Bankierzy postrzegają Bitcoina jako sojusznika w wojnie z solidnymi pieniędzmi, gdy walczą o ochronę systemu pieniężnego opartego na fiatach, który wzmacnia Fed i wzbogaca się“.

Powiązany prezes MicroStrategy Michael Saylor nazywa złoto „Zombie Store of Value“.

Oto dlaczego BTC jest sprzedawana jako SoV, twierdzi Schiff.

Schiff zaatakował również Bitcoina jako sklep z wartością powszechnie cenioną przez Wall Street.

Dyrektor generalny Euro Pacific Capital stwierdził, że narracja ta pojawiła się tylko dlatego, że Bitcoin zawiódł jako środek wymiany. Zakłada on, że to również może się wkrótce zmienić, a Bitcoinowie prawdopodobnie wymyślą inny status dla tej monety.

„To narracja Bitcoinów zmienia się“. Kiedy zawiodła jako medium wymiany, została ponownie wprowadzona na rynek jako magazyn wartości. Zastanawiam się, jaka będzie następna iteracja, kiedy ta narracja zawodzi?“

Bitcoin „Insane Volatility“: JP Morgan Bets Crazy BTC Between $ 50,000 and $ 146,000

Overzealous at JP Morgan? – More or less fanciful price predictions have always marked the tumultuous history of Bitcoin (BTC). Today, however, it is the very serious JP Morgan Chase & Co., one of the largest banks in the world, which sees the BTC largely exceed 100,000 dollars.

When Bitcoin competes with gold as a safe haven

Investment strategists mega-bank JP Morgan shared their analysis on the current craze for Bitcoin with the newspaper Bloomberg .

The opinion of the experts led by Nikolaos Panigirtzoglou is final. The king of cryptos has the potential to compete directly with gold as an asset class.

Bitcoin could thus become a recognized store of value , just like the precious metal. Even if the stabilization of the price of bitcoin would be necessary first, in a „process of several years“ , according to the experts, this would have the consequence of exploding the price of BTC:

“(…) The theoretical target of $ 146,000 for the price of bitcoin should be viewed as a long-term target, and therefore an untenable price target for this year. “

The term „not tenable“ (unsustainable) is noteworthy because it implies that JPMorgan teams do not exclude that the BTC can do this year 2021, an upward wick at these price levels, also unpublished that sky-high. This would still require an increase of more than 350% from the current price.

A price of BTC oscillating between 50,000 and 100,000 dollars in 2021?

Beware, however, of excessive optimism ! JP Morgan analysts warn that the very sharp rise in prices in recent weeks could lead to a „breathing“ (including a „correction“ ):

“The [current] valuation and the context of [too many long] positions make this start of the new year perilous for Bitcoin. “

So while speculation could push BTC to a “price consensus between $ 50,000 and $ 100,000” , this latter price point could also prove too ambitious to hold for now.

Você deve esperar um choque de oferta de Bitcoin?

Com o Bitcoin sendo negociado acima de US $ 23.000 emergindo para se tornar o novo normal, as instituições e as baleias Bitcoin Evolution estão conduzindo a descoberta de preços em territórios anteriormente desconhecidos nas tabelas de preços. Isso não é um choque para os analistas da maxis e da rede, no entanto, com Willy Woo recentemente citado como tendo dito :

“$ 100.000, eu classificaria como muito conservador, provavelmente excessivamente conservador. Eu classificaria $ 200.000 para cima como um ponto ideal. $ 300.000 não estão fora de questão, e eu não ridicularizo $ 1.000.000. ”

De acordo com Willy Woo, há potencial para um choque de oferta com cada vez mais compradores institucionais entrando no mercado

É fundamental para os comerciantes de varejo identificar quando e onde no ciclo de mercado do Bitcoin , as instituições assumiram as rédeas do preço do Bitcoin e, mais importante, o fornecimento em bolsas à vista.

Olhando para o gráfico de preços do Bitcoin, em 2018 ou 2019, analistas técnicos ou traders não poderiam ter visto através dele, a menos que estudassem a institucionalização e suas implicações na descoberta de preços. Idealmente, eles não saberiam a diferença entre um mercado em alta e em baixa antes de passar por ele, uma vez que o gráfico esteve instável durante a maior parte de 2020.

Na verdade, em 2019, houve um penhasco na tabela de preços do Bitcoin, onde o preço caiu de $ 6.000 para $ 3.000, um desenvolvimento que marcou o início do ano. Em torno desse fundo, o Bitcoin mudou de mãos várias vezes, ou como o crypto-Twitter gosta de colocar – “mãos fracas foram sacudidas”.

Você deve esperar um choque de fornecimento de Bitcoin?

Com base nos dados do CoinMarketCap e na tabela de preços em anexo, houve uma discrepância notável entre as expectativas dos investidores e o preço diário nas bolsas à vista durante a maior parte de 2018 e 2019.

Em 2019, quando o preço subiu de US $ 4 mil para US $ 14 mil, isso poderia ser atribuído diretamente ao fluxo de investimentos das instituições, segundo Willy Woo. Se os comerciantes de varejo ficassem atentos à mudança de mãos e à rápida aquisição do Bitcoin por instituições como a escala de cinza, a corrida de touros de 2020 teria sido melhor recebida. As paredes de venda atuais em bolsas como Binance e Huobi são indicativas de um suprimento antigo 5Y-7Y que agora está ativo.

Em vez de apoiar mais a descoberta de preços e impulsionar a demanda, mais comerciantes de varejo estão saindo da rede. Este pode ser um movimento momentâneo ou estratégico, no entanto, certamente terá um impacto na distribuição de suprimentos do Bitcoin. O restante dos 2,5 milhões de Bitcoins podem ser adquiridos diretamente por instituições quando o preço for descoberto além de US $ 23.500.

Se a oferta for controlada por instituições, uma liquidação teria um impacto direto sobre os preços de câmbio à vista, e um choque de oferta poderia possivelmente sacudir mais mãos fracas.

A institucionalização que levou à fase de 2020 e explodiu no topo mudou a direção dos fluxos de investimento, especialmente porque há menos de 100 milhões de pessoas em criptografia e muito menos instituições. No entanto, o crescimento não é natural ou simétrico quando olhamos o gráfico, já que muitas compras aconteceram em torno da enxurrada de esquemas Ponzi em 2017.

The DeFi community raises questions about the centralisation of the Compound Chain

The DeFi protocol, Compound, aims to launch a blockchain network that allows cross-string value transfer.

The DeFi lending protocol, Compound, published a whitepaper on Thursday introducing Compound Chain, a new blockchain network aimed at providing value transfer capability between chains.

Reactions to the news have been overwhelmingly negative and many respondents on social networks disagree with the perceived centralisation concerns associated with the project. Perhaps expecting a negative response from „Crypto Twitter“, Compound Labs even limited the responses in its tweet announcing the project.

Compound Finance founder says CeFi will eventually adopt DeFi
According to the whitepaper, Compound Chain is a blockchain architecture that will allow cheaper value and liquidity transfer across different distributed networks. The project will use the Test of Authority (PoA) consensus among a group of validators to govern the chain with CASH as the native currency of the stablecoin.

While not complete in detail, the technical document rated CASH as similar to MakerDAO’s Dai. However, unlike Dai, CASH will be used to settle transaction fees in the Compound Chain.

As part of the documentation released on Thursday, the Compound Chain is a response to three main problems: high gas tariffs, aggregate risks associated with the backed assets, and the inability to manage non-ethereum-based assets. By using PoA among a limited number of validators, Compound Chain can, in theory, deliver faster transactions.

Compound Liquidator made $4 million after oracles inflated the price of IAD
However, as is often the case, higher transaction returns are achieved at the cost of decentralisation. Indeed, critics such as Anthony Sassano of Set Protocol argued:

„Although the reason [ETH gas tariffs are] expensive is because Ethereum’s performance is limited due to its extreme decentralisation, Compound Chain will only have low tariffs because it will be much, much less decentralised, as it is a PoA chain (where validators are chosen by COMP governors)“.
Instead of creating a complete blockchain network, Sassano felt that Compound could achieve the same goal by using layer two solutions in the Ethereum chain. However, layer two implementations also come with additional composability concerns, especially for DeFi users.

In defending the project’s decision to create a new blockchain network, Compound Finance founder Robert Leshner noted that Compound Chain would allow cryptoactives broadcast on other blockchain networks to be linked to „where DeFi occurs,“ i.e., Ethereum. Leshner highlighted assets such as digital central bank currencies (CBDC) as likely use cases for the planned network’s cross chain function.

Compound refused to compensate the victims of the Dai liquidation in November
As Cointelegraph reported earlier, the founder of Compound Finance is confident of future synergies between centralised finance (CeFi) and DeFi. However, the initial technical document did not contain an explanation of how the project will resolve compatibility issues while transporting non-ETHEREUM-based assets to the Ethereum chain.

The news of the planned blockchain Compound Chain comes less than a week after a planned compensation fund for users affected by the Dai mass liquidations that occurred on November 26 failed to get enough votes.

Bitcoin se beneficiará de la desconfianza en el sistema financiero

Morgan Stanley: „Bitcoin se beneficiará de la desconfianza en el sistema financiero“.

¿Es posible que Bitcoin se convierta en la próxima moneda de reserva mundial?

Bitcoin (BTC) es una amenaza significativa para el dólar estadounidense como moneda de reserva mundial, según un analista estratégico senior del importante banco de inversiones Morgan Stanley.

Ruchir Sharma, estratega jefe de desarrollo global de Morgan Stanley Investment Management, cree que el dominio del dólar estadounidense podría ser anulado por la sacudida de la confianza en el mundo financiero Immediate Edge tradicional, siendo Bitcoin el probable beneficiario.

En un artículo del 9 de diciembre en el Financial Times, Sharma dio primero un breve resumen de los acontecimientos históricos de las monedas de reserva mundial. Según el artículo, el dólar estadounidense ha estado en una posición de liderazgo durante 100 años, en parte porque otras monedas nacionales importantes como el yuan chino o el euro no han podido ganar suficiente confianza en la economía para sustituir al dólar estadounidense.

Por lo tanto, Sharma ve los próximos desafíos para la moneda americana en monedas digitales descentralizadas, sobre todo Bitcoin. La moneda criptográfica líder en el mercado ya ha demostrado su fuerza como un poderoso producto financiero en 2020 al cuadruplicar su valor desde marzo. Además de la crisis de Corona, una de las fuerzas motrices fue la „floja“ política monetaria de la Reserva Federal de los Estados Unidos. En este contexto Sharma explica:

„El dominio del dólar americano llegará a su fin cuando el mundo ya no confíe en que los EE.UU. puedan pagar sus deudas. La impresión de dinero continuará incluso después de que la pandemia haya terminado. Bitcon se beneficiará de la creciente desconfianza en las alternativas tradicionales.

El experto en inversiones señala que Bitcoin „está avanzando en la sustitución del dólar estadounidense como medio de pago“

Por ejemplo, la adopción de Bitcoin aumentaría constantemente en muchas áreas de aplicación. „En las últimas semanas, PayPal ha comprado Bitcoin para ofrecer la moneda criptográfica como instrumento de pago el próximo año“, añade Sharma.

Por esta razón, insta a la Reserva Federal de los EE.UU. a repensar los efectos de su política monetaria si quiere mantener su posición de poder:

„La oleada de Bitcoin podría seguir siendo una burbuja especulativa, pero incluso si esa burbuja estalla, la prisa de este año por las criptodivisas debería servir como una advertencia a los bancos centrales, especialmente en los Estados Unidos. ¡No crean que sus monedas nacionales tradicionales son la única reserva de valor y medio de pago en la que la gente tiene confianza!

Top 3 crypto staking: 25% to 35% annual return accessible to all

At a time when traditional finance does not offer any attractive savings solution, some are working behind the scenes to revive a heritage construction worthy of the name. Despite the volatile nature of cryptocurrencies, the bright future promised to the industry today makes it possible to capitalize on certain projects with the possibilities of exceptional passive income.

Altcoins haven’t said their last words

Difficult to predict future market fluctuations. One thing is certain, the cycles are linked but are not alike. Taking a position in a digital asset is no longer sufficient today. Most Bitcoin Bank software offer passive income that not only allows you to benefit from rising prices, but also to generate interest rates that can exceed 30%.

Author of a complete offer bringing together Masternodes, Mining and Staking. Just Mining is in pole position to allow investors to benefit from a future improvement in altcoins.

The crazy returns: between 25% and 35% annually

1. Synthetix: 34.5% per year – Le Pari DeFi

Emblematic figure of the DeFi crypto scene, Kain Warwick, has made Synthetix the cornerstone of decentralized finance

Thanks to its asset synthesis proposal , SNX is in a pole position to democratize the trading of traditional synthetic assets, such as gold or equities on traditional markets.

2. Polkadot: 10% annually – The big winner of the 2021/2022 cycle?

While the evolution of Ethereum 2.0 gives rise to questions. After three years of development, a new heavyweight in cryptocurrencies is creating the sensation.

Relying on an ecosystem of developers provided, Polkadot is seen as an outsider in the race for the protocols that will govern the future Web 3.0. The project is today the ninth crypto capitalization.

3. Matic: from 25% to 35% annually – A historic protocol

Matic aroused enormous enthusiasm when it was launched in 2019.

Considered a major competitor of Ethereum, Matic promises to facilitate a new wave of adoption through the use of its “Plasma Side Chains” and operation in POS, drastically improving the scalability of its blockchain.

L’offre Just Mining

No more insurmountable entry barriers, Just Mining offers the possibility for everyone to enjoy interest rates exceeding 30% per year . Thanks to an all-in-one platform, a minimum investment of a few tens of euros will suffice to start staking.

Bitcoin and the liberation of the US? – Rapper Kayne West is Pro BTC

The US rapper Kayne West is one of the most famous stars in the USA. The billionaire, who is also running as an independent candidate for the US presidential election this year, commented on Bitcoin and its potential in a recent YouTube interview. The rapper and fashion designer gave interesting insights into his point of view.

West attests the crypto currency Bitcoin Future app, for example, the potential to “liberate the USA.” In this article we take a closer look at the rapper’s quite exciting statements.

Bitcoin as a US liberation? – Kayne West

Kayne West is considered a controversial figure. His statements appear again and again to outsiders as bizarre and sometimes crazy. However, West has undoubtedly built an empire, which is based in particular on the two pillars of „music“ and „clothing“.

However, West is not satisfied with this situation and is running as an independent candidate for the US presidential election this year. In the foreground of his campaign is his relationship to God and religion.

However, anyone who thinks of a conservative picture is wrong. In the current podcast interview with Joe Rogan, Kayne West spoke about Bitcoin and his views on cryptocurrency .

Above all, he showed his appreciation for the „Bitcoin geniuses“ who show true foresight and believe in sustainable change in society.

These people have a look at the way true liberation of America and society can look like.

West said that many personalities from the “tech spectrum” push the boundaries forward and thus help shape social change.

Many of these tech people, but especially the Bitcoin people, have been able to take advantage of the new avenues, even the new avenues of information and technology, while pushing the boundaries further. The political system, on the other hand, is still clinging to old values ​​and the classic electoral college.

Companies like Square or Microstrategy as pioneers

Kayne West emphasized in the interview that he had prepared intensively for the talk. For example, he spoke to venture capitalist Anthony Schiller and Coinbase co-founder Fred Ehrsam.

In this respect, West spoke to personalities from the cryptospace who were able to give him interesting insights. In the course of this, the rapper also emphasized the pioneering role of companies like Square or Microstrategy, which had set a stone in motion.

Interestingly enough, Joe Rogan also said after the interview that it “far exceeded his expectations”. Rogan has interviewed several US presidents in the past and made it clear that with Kayne West you can actually understand „how this man thinks“

The rapper emphasized several positive aspects of Bitcoin in the interview. What is your opinion on what Kayne West said?

What’s happening with Bitcoin’s rates?

Bitcoin’s per-transaction rates (BTC) have increased at a significant rate.

Why? What’s causing it? We’re telling you!

BitInfoCharts data reveals that the Bitcoin Union per transaction (BTC) rates have been increasing again; accumulating a growth of more than 255% during the last 30 days until October 26th. What’s been generating this?

Is Bitcoin on its way to a new annual high?

Bitcoin experiences high rates

A little over a month ago, on September 20th, BTC’s transaction fees stood at USD 1.39. This compares to USD 5.76 yesterday.

Therefore, we can see that, according to BitInfoCharts data, Bitcoin’s transaction fees have increased at an unparalleled rate.

On October 22nd it cost an average of $6.3 to process a transaction on the Bitcoin Blockchain, a level not experienced by the market since August 6th.
Quarterly chart of Bitcoin transaction fees. Source: BitInfoChartsQuarterly Bitcoin Transaction Fee Chart Source: BitInfoCharts BitInfoCharts

Glassnode also reported on Twitter today that the percentage of revenue that BTC miners earn from transaction fees increased to 22.25% in the last 24 hours; a level not seen since January 2018.

What have the Bitcoin whales been doing while BTC is reaching its annual high?

Does the price increase offer an explanation?

Soon the recent price increase that Bitcoin has experienced could be one of the main catalysts behind the rate increase.

In general, we could say that when prices rise, investors get excited and enter a mood characterized by FOMO.

The consequence of this is that it leads investors to be willing to pay a higher fee to the BTC miners as long as their transactions take place earlier than others. And, as a result, network congestion is generated that leads to higher average rates.

In this regard, let’s remember that on October 6, Bitcoin’s price stood at approximately USD 10,600. However, last week the leading crypto received a boost that placed it above USD 13,000.

Bitcoin Appreciation is Unstoppable, Says Analyst

Is Bitcoin the most desired asset?

This possible explanation goes very much in line with the previous one and it is that the increase in price has been a catalyst for the interest generated by cryptomoney.

In the last few months we have reported from CryptTrend how institutional investors have entered the Bitcoin market by considering it a refuge for the global economic context.

Just yesterday the stock market was stained red as a result of the tensions in the United States; meanwhile Bitcoin and its investors were very calm when crypto held on to USD 13,000.

Clearly, situations like yesterday’s have improved the perception that investors, and even Wall Street, have of the leading crypto.

So we have investors eager to enter Bitcoin’s paradise and that results in network congestion that leads to rate increases.

Bitcoin Mining information that shined this week

End of the rainy season in China

Another fundamental explanation for this is the end of the rainy season in China.

Let’s remember that China’s summer rainy season usually lasts from June to October; this provides an excess of resources for hydropower plants and, consequently, electricity prices are cheaper and attractive to Bitcoin miners.

However, once the season is over and prices return to their levels, Bitcoin miners switch off their machines and look for other sources of electricity that are cheaper.

Among other things, such a situation may cause some miners to access energy sources that are not so stable that they cause the frequency of mined blocks to decrease until the hardship adjustment occurs.

An interesting fact is that, according to BitInfoCharts data, the time per block of Bitcoin has increased since October 17; it currently takes about 13 minutes per block.

In fact, the difficulty setting is expected to occur by the end of this week and, with it, the network congestion will be lightened.