Lång Bitcoin, korta dollarhandlar „Mest trångt“, säger Bank of America Survey

Fondförvaltare med Bank of America har uttryckt hausseartad inställning till Bitcoin.

Få dagliga kryptomöten och veckovisa Bitcoin-marknadsrapporter levererade direkt till din inkorg.

Denna Exchange News har skickats till dig av OKCoin, vår föredragna Exchange Partner.

En undersökning av investeringsförvaltare med över 500 miljoner dollar under förvaltning visar att majoriteten är hausse på Bitcoin och aktier men förväntar sig att dollarn faller under inflationstrycket.

En Bitcoin, riskfylld investeringsmiljö

Resultatet av fondförvaltarens undersökning avslöjade att investerare är mycket optimistiska om återhämtningen i den globala ekonomin, trots stigande COVID-19-siffror .

Andelen fondförvaltare som förväntar sig positiva nyheter på aktiemarknaden är den högsta på 11 år.

Vidare har Bitcoin slagit teknikaktier , som hade topplaceringen sedan oktober 2020, i långt intresse, vilket gjorde BTC till den mest trånga handeln. Mer än 92% av de investerare som deltog i undersökningen förväntar sig att inflationen blir hög; därför har de trånga order på korta dollar.

Investeringarnas riskaptit är rekordhöga och konvergerar mot aktier och Bitcoin

De största rädslorna för marknaderna är den långsamma utbyggnaden av vacciner (30% av deltagarna), mindre finanspolitisk och monetär stimulans (29%) och en utblåsning av Wall Street-bubblan (18%).

Ledande hedgefondförvaltare och ekonomer globalt är oroade över den kommande inflationen i amerikanska dollar. Bitcoin växer långsamt fram som ett elastiskt alternativ.

Bitcoin sees massive rally overnight – but bulls not yet in control

It’s been a wild 24 hours for Bitcoin, as the benchmark cryptocurrency saw one of the most intense sell-offs in recent memory yesterday.

After a slow grind to the downside that had taken place over the past few days, BTC finally saw a capitulating selloff that sent its price plummeting to lows near $28,000.
At this point, many investors were clearly in a panic sell-off, as funding for short positions skyrocketed and liquidation of long positions began to pile up.
However, this marked the bottom as BTC has since seen a massive rebound from those lows.
One analyst notes that there is still a crucial level that needs to be significantly surpassed before BTC can see a continuation of its uptrend.

Bitcoin and the entire cryptocurrency market have been caught in the clutches of wild volatility in recent days.

Fortunately for the bulls, BTC’s overnight rally appears to be the „V-shaped“ recovery that many analysts have said is necessary for the cryptocurrency to form a long-term bottom.

Assuming this rally continues to extend, it could confirm a macro reversal and lead to a significant further uptrend. However, there is one level that needs to be firmly reversed to support first.

Bitcoin shows signs of strength after overnight rally

Yesterday’s massive sell-off was quite violent and seemed to mark a macro reversal of Bitcoin’s uptrend at the time.

Since then, however, Bitcoin (Go to Plus500 Bitcoin Buying Guide) has recovered and is currently trading up 5% to its current price of $32,900 – a remarkable rise from lows near $28,000.

Where the market is headed in the medium term will likely depend largely on whether the bulls can maintain this momentum and continue to print a textbook „V-shaped“ recovery pattern.

Here’s why BTC isn’t out of the woods yet

Bitcoin still has a key level to break through before it is completely out of the woods.

One analyst writes about it in a tweet, explaining that the first „point of control“ he’s watching closely is at $34,900.

„POC at 34900 is the first area of interest right now.“

Image courtesy of Byzantine General. Source: BTCUSD on TradingView.

The coming days should offer insights into the longevity and significance of the overnight rebound – and whether or not another downtrend will follow.

Bitcoin Price Manipulation by Whales – Fact or Fiction?

The Bitcoin paradox is something of a dilemma. On the one hand, Bitcoin sells itself as a financial equalizer. But at the same time it is one of the most unevenly distributed assets in the world.

Kitco News’s David Lin raised the issue in a discussion with GraniteShares’s director of research, Ryan Giannotto.

Giannotto agreed with Lin, calling it one of the fundamental ironies of Bitcoin. Giannotto:

“It is intended to be a financially democratizing force and yet it is so profoundly unevenly distributed. It’s a seriously cornered asset class where only about one-500th percent of Bitcoin investors control over 40% of Bitcoins. And that’s a serious, serious problem. “

In general, a bitcoin whale is defined as a unit that holds more than 1,000 BTC. Some expand this definition to include addresses with 100 or more BTC as well.

Data from bitinfocharts.com supports Giannotto’s analysis of the situation. They show that 2,419 addresses hold 1,000 or more BTC.

Although these addresses only make up 0.01% of all addresses, they control 43% of the Bitcoin supply (to buy Bitcoins with Sofortüberweisung instructions ).

If the analysis is expanded to include addresses with BTC> 100, an even greater unequal distribution becomes apparent: 0.05% of the addresses hold 62% of the Bitcoin. Overall, more and more Bitcoin is being bought.

Market manipulation

However, unequal distribution is a problem that affects all asset classes. Lin cites the example of Elon Musk’s 20% stake in Tesla stock and asks how this is different.

Giannotto believes that the degree of unequal distribution of BTC is very extreme. To illustrate his point, he cited the example of the Hunt brothers, who held an estimated one-third of the world’s private silver supply.

Between 1979 and 1980, the Hunt brothers were able to push the price of silver from $ 6 to $ 40. Giannotto:

„Even the Hunt brothers couldn’t dream in their wildest fantasies about how cornered Bitcoin is.“

With such tight control of BTC supply exercised by so few, the Bitcoin market is at the mercy of the whales.

Bitcoin whales suffer from „bad reputation“

Undoubtedly, Bitcoin whales play an important role in the BTC economy.

They can choose to withdraw liquidity by not engaging in market activity. Likewise, the oversized effects of moving large amounts of BTC in a relatively illiquid market add to the volatility.

That said , Eric Stone, head of data science at Flipside, believes that whales in general have a self-interest in protecting their horde. As such, they tend to act in ways that favor long-term growth.

„They will cautiously liquidate relatively small amounts of BTC over time rather than risking a supply shock by liquidating larger chunks at once.“

Yet despite Stone’s assessment, the psychology of greed and power suggests that enough is never enough.