Bitcoin Supply & Demand Economics Hit the Mainstream, XRP is Exploding and BTC Outperforms Gold
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BTC Hasn’t Had a Down Week Since October 5th
Jason Choi posted the BTC weekly chart on Twitter. To those who say that the bull run hasn’t started, take a look at how we’ve just seen a supercharged BTC price rising upwards with no real BTFD opportunities.
Pomp Appears on CNBC’s Squawk Box
Pomp is a major BTC bull. He’s got the majority of his net worth in Bitcoin and talks about it frequently on his YouTube channel and various news outlets he appears on.
In this clip, he talks about the “fair value” for Bitcoin. There is a real migration in the conversations around Bitcoin in this bull run compared to 2017. This time around, most people are focused on basic economics due to the contrast provided by the global economy.
Central banks are printing money left and right. Inflation and other economic pressures are being put right in center stage for the whole world to see. With this happening simultaneous to the BTC halvening, it’s interesting to see no-coiners get educated about the industry in a way like never before.
Bitcoin is Now the World’s 6th Largest Currency
@jrcornel shows a chart with the top 6 currencies in the world. BTC is now #6 on this list and climbing fast.
It’s pretty hard to ignore Bitcoin when you see it climbing the ranks on all sorts of factors. I also saw a tweet this morning that said BTC is on trajectory to do $2.1 trillion in transactions. Compared to Visa’s $700m in 2019, this is a massive number.
You can’t ignore innovation forever.
BTC / Gold Correlation Has Seen a Major Divergence
@jondoe talks about the BTC / Gold correlation and how we’re seeing a major divergence in the past few months.
BTC has been tracking much more closely to the broader equities markets as we see new all-time highs being made. While many thought that gold would be a great hedge against the current macro economic environment, it turns out that BTC is outperforming… by a significant margin.
Playing off the last post — you can’t ignore something this obvious for long. Expect to see a lot more press coverage about this BTC / Gold divergence in the months to come.
Coinbase Disables Margin Trading
Techcrunch published this piece today about Coinbase disabling margin trading on their platform. The CFTC has issued new guidance on regarding this regulation for U.S. traders and while Coinbase Pro was allowing only a limited set of customers use this feature, they still have to disable it.
Will this be permanent? It’s hard to say. I personally have mixed feelings about margin trading and allowing people to use it. With proper education and risk management, it can be profitable but for most people, it’s a dangerous game.
In crypto, assets are already volatile enough. That’s just my personal opinion. With that said, I am pro giving people a choice to do what they want to do with their own money. There is no doubt that this would’ve been a huge money maker for Coinbase if it rolled out to their broader customer base. I imagine they will fight hard to get it back.
XRP 2017 -vs- XRP Today
This next article comes from The Bitcoin Dood. A popular crypto twitter influencer and LeoFinance author. He contrasted the happenings in XRP today compared to his experiences in 2017.
There’s a lot of great insight here and the relevance is on point as many in the crypto space are trying to glean insights from 2017 to inform them about the current run we’re seeing in 2020. As we enter December, many believe we’ll see a true run to set new All-Time Highs. With the above XRP chart, it looks like this could be a definite possibility.