One week in review:
April 18–24 We've selected the hottest materials of the past week for you to stay up to date with the latest crypto news: | | #1. Bitcoin tumbles 10% in 12 hours and falls below $50,000 for first time since March | | | Things were looking markedly bearish for Bitcoin following last weekend's swift and sudden correction, which caused Bitcoin to crash by 20% in a single hour. | | | Within minutes last Sunday, $60,000 became a distant memory… with bulls forced to defend $55,000 instead. BTC's prized $1-trillion market cap was also lost, and at one point, dominance sunk below 50% — a milestone that hasn't been seen since 2018. | | | But by the early hours of Friday, as selling pressure heightened, the world's biggest cryptocurrency succumbed, dipping below $50,000 for the first time since March. | | #2. PlanB speculates that Bitcoin's price fall doesn't mean the end | | | There's been no shortage of reaction to Bitcoin's loss of momentum, with PlanB, the analyst behind the stock-to-flow forecast, insisting that the fall below $50,000 doesn't mean that the current bull run is over. | | | Pointing out that nothing goes up in a straight line, he tweeted: "#Bitcoin has gone up 6 months in a row, until this month. This looks like the mid-way dip that we also saw in 2013 and 2017." | | | ExoAlpha's Élie Le Rest also believes that there are reasons to be optimistic, saying: "This kind of market pullback is very healthy as it contributes to deleveraging market participants and builds ground for a more stable growth. | | #3. "Bitcoin incentivises renewable energy," agree Elon Musk and Jack Dorsey | | | Earth Day 2021 happened this week, and with Bitcoin regularly castigated for the high levels of energy that it takes to keep the network secure, some of the cryptocurrency's most vocal backers made the case for BTC's environmental efficiency. | | | A new report authored by The Bitcoin Clean Energy Initiative argues that Bitcoin mining incentivizes the generation of electricity "from renewable carbon-free sources." | | | The paper has received support from top crypto luminaries including Square's Jack Dorsey, Tesla's Elon Musk, and Ark Invest's Cathie Wood. | | | Trade Bitcoin and over a dozen other cryptocurrencies on the world's leading social trading platform. Get up-to-the-minute price charts, chat with other traders, and even test out hypothetical trades with a Virtual Portfolio. 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Prediction of the week: Guggenheim CIO repeats $20,000 Bitcoin price forecast as BTC doubles since last warning | | | The chief investment officer of Guggenheim has repeated his warning that Bitcoin will crash to $20,000. | | | Speaking to CNBC, Scott Minerd said: "Given the massive move we've had in Bitcoin over the short run, things are very frothy, and I think we're going to have to have a major correction in Bitcoin." | | | It is worth noting that Minerd is adamant that Bitcoin could hit $400,000 in the long run. He said: "I think we could pull back to $20,000 to $30,000 on Bitcoin, which would be a 50% decline, but the interesting thing about Bitcoin is we've seen these kinds of declines before." | | | Minerd has also been wrong before. Back in January, he said Bitcoin had put in a price top for 2021… and since then, it has more than doubled. | | #5. FUD of the week: Another U.K. bank serves anti-crypto notice to customers | | | The British bank NatWest has said that it will refuse to serve business customers that accept cryptocurrency payments. | | | A report in The Guardian quoted the head of the bank's risk committee, Morten Friis, as saying: "We have no appetite for dealing with customers, whether taking them on as new clients or having an ongoing relationship with people, whose main business is backed by an exchange for cryptocurrencies, or otherwise transacting in cryptocurrencies as their main activity." | | #6. FUD of the week: Governments can stop Bitcoin by shutting down mining, says Electric Capital exec | | | Electric Capital co-founder and partner Curtis Spencer has implied that the Bitcoin network may owe its continued existence to the grace of world governments. | | | In a panel at the Collision Conference web summit on Tuesday, Spencer said lawmakers are the ones giving Bitcoin a chance to grow by not imposing harsher restrictions on mining operations in their respective countries. | | | He argued: "Could Bitcoin really be stopped by government? I actually think maybe it could be. If you think about the cost of attacking the network, it's not something that nation-states couldn't do." | | | Spencer then pointed to what happened in Xinjiang, where a power outage dramatically affected Bitcoin's hash rate. | | | Feel free to explore the most important news with Hodler's Digest: | | | |
