Another Nasdaq-Listed technology company

on Wednesday (May 5), MercadoLibre, Inc. (NASDAQ: MELI), the Argentinian company that operates marketplaces throughout Latin America, mentioned Bitcoin as part of its Q1 2021 earnings report.

The Latin American e-commerce giant, which is headquartered in Buenos Aires, Argentina, said in the Form 8-K that it filed with the U.S. Securities and Exchange Commission (SEC) yesterday that its “net income before taxes was $9.5 million, up from a loss of $16.7 million during the first quarter of 2020.”

As far as Bitcoin is concerned, MercadoLibre disclosed the following information:

“As part of our treasury strategy this quarter we purchased $7.8 million in bitcoin, a digital asset that we are disclosing within our indefinite-lived intangible assets.”

MercadoLibre (MELI) Stock Price (As of 5 May 2021) via Google Finance

Last week, the company announced that it had updated its online marketplace in Argentina so that it is now possible to go to a page within the real estate section of the site to see properties that can be purchased with Bitcoin.

Hundreds of banks in the United States allow customers to buy and sell Bitcoin

Hundreds of banks in the US are reportedly set to start offering access to Bitcoin to their customers this year, thanks to a partnership between Fidelity National Information Services and the New York Digital Investment Group. Hundreds of banks signed up to join the program as they watched money move from bank accounts to crypto exchanges.

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NYDIG has partnered with Fidelity National Information Services, allowing US banks to offer Bitcoin by 2021.

Bitcoin is poised to take another big step towards global acceptance and use. This is the first time that the customers of hundreds of US banks will soon be able to buy, hold and sell Bitcoin through their existing accounts.

In support of this project, NYDIG, a subsidiary of NYC-based property manager Stone Ridge, announced its partnership with fintech firm Fidelity National Information Services (FIS).

The head of banking solutions at NYDIG, Patrick Sells, announced that hundreds of banks have signed up for the program. The majority of these registered banks are smaller institutions, but NYDIG is in talks with some of the largest banks in North America, hoping to put them on the board.

“What we are doing is making it simple for Americans and corporations to buy and sell Bitcoin every day through their existing banking relationships. If I am using a mobile application to manipulate the features needed when accessing internet banking, now I also have the ability to buy, sell and store Bitcoin. ”

Until this point, new Bitcoin traders were forced to look to third-party payment applications and solutions. Now, instead of having to learn to control an entirely new system, customers can simply access cryptocurrency through their existing bank.

US banks are finally ready to combine cryptocurrencies

Traditional banks and cryptocurrencies often don’t get along with each other. Until now, most banks have overcome the temptation of not plunging into the cryptocurrency market. It seems that US banks have now changed their views and adopted the mentality of “if you can’t beat them, join them”.

Banks are seeing customers withdraw more and more money to send to crypto exchanges. These exchanges are taking money from the pockets of traditional banking, at a rate that has not slowed down.

Yan Zhao, president of NYDIG said:

“It’s not just that banks think their customers want Bitcoin, they’re saying we need to do this because we see numbers don’t lie. They are seeing deposits to Coinbase, Galaxies and Krakens. “

As more and more smaller banks jump in, industry giants like Bank of America may face pressure from their customers to follow a similar path and launch money services. electronic. So far, these institutions have not really ignored cryptocurrency, but they have not fully embraced it yet.

Morgan Stanley was the first bank to offer Bitcoin funds to clients when it announced in March. Goldman Sachs later said it would offer full Bitcoin investments. Even companies like JPMorgan, when chief executive Jamie Dimon called Bitcoin a dangerous scam in 2017, are still exploring crypto options, reportedly looking at products of their own. in conjunction with NYDIG.

Bitcoin Mining Pools Negatively Impacted as Northwest China Undergoes a Complete Blackout

The hashrate of various Bitcoin (BTC) mining pools dropped due to the blackout impacting Northwest China.

Pseudonymous Chinese reporter tweeting under “Wu Blockchain” explained: “The hashrate of Bitcoin mining pools plummeted in 24 hours. Antpools fell by 24.5%, BTC.com fell by 18.9%, Poolin fell by 33%, Binance pools fell by 20%. The reason is that Northwest China is undergoing a complete blackout for safety inspections.”

These inspections have been prompted by security accidents in various coal mines in China triggered by flooding and gas explosions, according to Chinese state media Xinhua. Therefore, the seriousness of these incidents has necessitated the intervention of relevant authorities.

66% of global hash rates come from China

According to a study by UK-based company CoinShares, as much as 66% of global hashrates come from and are controlled by Chinese entities. Technological advancements and cheap electricity are some of the factors that favour Bitcoin mining in China compared to other nations.

The hashrate is used to measure the processing power of the BTC network. It, therefore, allows computers to process and solve problems that would enable transactions to be approved and confirmed across the network.

When more miners join the Bitcoin network, more computational guesses per second are needed in order to find the solution. As a result, the hash power will increase, and Bitcoin’s network difficulty will go up.

Bitcoin’s dominance and price

Crypto analyst Lark Davis has disclosed that Bitcoin’s dominance has been falling in the current period despite its price rising. He explained: “Bitcoin dominance has fallen down to 53%, a critical area of support! Altcoin season in full swing! Crazy thing is that the price of BTC has kept rising during this time.”

BTC recently exploded and hit a new all-time high of above $64,000, even though it has retracted to $61,485 at the time of writing, according to CoinMarketCap.

European Hedge Fund Firm Plans to Buy $84 Million Worth of Cryptocurrencies

Brevan Howard, a European hedge fund asset management firm, is planning to invest in cryptocurrencies.

A person familiar with the sources revealed that Brevan Howard asset management company plans to invest 1.5% of its $5.6 billion hedge fund into cryptocurrencies, meaning that the firm would invest $84,000,000 into crypto assets.

Brevan’s crypto fund will have a diverse portfolio by focusing on several cryptocurrencies besides Bitcoin and Ether.

Brevan Howard is not new in the crypto field. Its co-founder Alan Howard has a wide experience in the field, investing his personal money into crypto assets, and has been a billionaire investor in cryptocurrency investment firm Distributed Global based in California since early 2018.

Tucker Waterman and Johnny Steindorff, co-founders of Distributed Global, will oversee the initial allocation of Brevan’s crypto fund.

Brevan Howard has made several bets in crypto firms over years but now is taking a direct exposure approach with crypto assets. The European hedge fund asset management firm recently bought a 25% stake in the US-based One River Asset Management, a $2.5 billion company whose crypto funds are backed by Alan Howard.

Brevan Howard, best known for its macro trading prowess, is now expanding its investments following a year of record gains.

What the Smartest Investors Are Doing

Brevan Howard has become the latest fund manager seeking to explore the boom in crypto assets. The move is the latest indication that crypto assets are going mainstream as the European fund manager joins the likes of Billionaire hedge fund managers Stanley Druckenmiller and Paul Tudor Jones who have turned into prominent crypto supporters, calling Bitcoin as a better store of value against declining fiat currency and a better asset than gold.

In May 2020, famed macroeconomic investor Paul Tudor Jones bought Bitcoin as a means to protect his portfolio from the negative effect of central-bank-induced inflation. He evaluated several types of potential investments, including stocks, commodities, and gold and concluded that Bitcoin was the best option.

In November 2020, billionaire hedge fund manager Stanley Druckenmiller bought Bitcoin as a means to make profit as the dollar continued declining in value.

Michael Saylor, Paul Tudor Jones, Jack Dorsey, Stanley Druckenmiller, and many other Bitcoin bulls are among the best and most respected investors now buying Bitcoin in huge amounts as the crypto continues appreciating as a store of value.

CNBC’s Jim Cramer sold some of his Bitcoins to pay for a home mortgage

Jim Cramer, the Mad Money host on CNBC media company, has revealed that he recently paid off a mortgage using profits generated from his Bitcoin investments. On Thursday, April 15, Cramer disclosed that he paid off his mortgage the day before by selling half of his Bitcoin investments.

Cramer stated on CNBC’s Squawk on the street: “From the chart, I may be the only natural seller, but it was so great to pay off a mortgage.”

He further added: “It was like, kind of, phony money paying for real money. I now own a house—lock, stock, and barrel—because I bought this currency. I think I won!”

He stated that he purchased a significant amount of Bitcoin when the price was at around $12,000. Yesterday on April 15, Bitcoin price was selling at $64,829.

Cramer appeared to suggest that he followed investment advice he normally gives to his viewers: “Trimming positions to take profits after seeing considerable gains.” He said that he had sold half of his Bitcoin holdings.

Cramer has been a vocal supporter of Bitcoin for a while now. In February, he talked about his motivation for owning Bitcoin describing the crypto as “an alternative to a cash position, where you make absolutely nothing.” He therefore mentioned that it would be “almost irresponsible” not to include Bitcoin in a portfolio.

Last month, Cramer stated that he made more money from his investments in Bitcoin than what has on gold.

Although Cramer did not specify exactly how much money he generated from his Bitcoin sales, in other interviews, he stated that he invested $500,000 in Bitcoin after he faced frustrations with gold. That could put his profits from yesterday’s sales at over $1 million.

Why Bitcoin Is A Good Thing

Bitcoin continues to gain more and more authority as more investors are allocating part of their cash into the cryptocurrency. Most prominent entrepreneurs have adopted the alternative store of value. Michael Saylor, the founder and CEO of MicroStrategy software firm, was the first ever institutional investor to bet on Bitcoin. Jack Dorsey’s Square became the second to invest in the crypto asset and among other investors, Tesla became the biggest.

Many investors together with Saylor are borrowing money at low-interest rates to purchase even more Bitcoins. The reason is that Bitcoin is a relatively safe bet.

Recently, Saylor hosted a seminar for institutional investors to help them understand the benefits of purchasing and holding onto Bitcoin when reflected in the current conditions of the economy. The economy is unstable and with inflation and decreasing buying power of fiat money, investors see Bitcoin as the solution.

Source: Blockchain News

Bitcoin Rises Despite Dollar Strength as Elon Musk Adds BTC Payment Option

Bitcoin jumped early Wednesday after the Tesla CEO Elon Musk said the electric vehicle maker is now accepting the cryptocurrency as a payment option. Musk’s Twitter announcement overshadowed the dollar strength, helping the cryptocurrency stay bid.

“You can now buy a Tesla with Bitcoin,” Musk tweeted at 7:02 UTC, adding that the cryptocurrency received in payments won’t be converted to cash, meaning the company is adding to its already sizeable stash of bitcoin.

Bitcoin rose from $54,700 to above $56,000 following Musk’s announcement, having defended support at $53,000 on Tuesday. Tesla announced in early February it had bought bitcoin (BTC, +3.52%) worth $1.5 billion, validating the cryptocurrency’s appeal as a reserve asset.

While the electric vehicle maker’s acceptance of crypto as payment will undoubtedly grab the headlines, it’s something Musk had said he likely would do when he announced Tesla’s bitcoin investment earlier this year. What’s at least as significant is his statement that Tesla operates its own bitcoin nodes as it shows the company – and its CEO – are committing even further to the cryptocurrency.

“Tesla accepting Bitcoin payments and running its own Bitcoin nodes is massively bullish. Others will follow,” trader and analyst Alex Kruger tweeted.

Musk’s announcement comes two days after Federal Reserve’s Chairman Jerome Powell called bitcoin a volatile speculative asset.

At press time, bitcoin is changing hands near $55,300, representing a 3.6% gain on the day. The cryptocurrency is trading higher despite the strength of the U.S. dollar in the foreign exchange markets. The dollar index (DXY), which tracks the greenback’s value against majors, has risen to 92.52 – the highest level since Nov. 24.

The two assets have mainly moved in opposite directions since March 2020. However, the inverse correlation has weakened somewhat in recent days, with bitcoin trading steady above $50,000 amid the DXY’s rise to four-month highs.

The cryptocurrency is now fast approaching a descending trendline hurdle, as seen on the chart below.

Source: TradingView

A breakout above the trendline hurdle would open the doors for a re-test of record highs above $61,000. On the downside, $53,000 is key support.

Teslas can now be bought with Bitcoin to be stored, not turned into Fiat

Elon Musk has tweeted that Tesla vehicles can now be purchased using bitcoin, increasing the company’s sizeable cryptocurrency holdings.

The Tesla CEO said via Twitter Wednesday that bitcoin paid to the company will stay as bitcoin and not be converted into fiat.

This option will also be made available outside the U.S. later this year.

Musk added that Tesla operates bitcoin nodes directly using internal and open-source software.

The move will see Tesla add to its already sizeable bitcoin holdings which Musk revealed Feb. 8. At the time, Tesla’s trove was valued at $1.5 billion; it’s worth quite a bit more now.

Musk’s tweet disclosing the purchase propelled bitcoin to a then all-time-high of $44,801.

The news today will be welcome for bitcoin investors who have seen the world’s most valuable crypto tread water around the $55,000 mark in recent days.

Musk’s tweet has already given a lift to the price of bitcoin, which is currently at $56,293.57, up 3.45% in the last 24 hours.

Tesla confirmed that this organization holds a large amount of Bitcoin

Analysts at Decentrader point to encouraging hodler behavior that suggests that BTC/USD is far from its cycle top at $56,000.

Bitcoin (BTC) shouldn’t have a problem reaching $100,000 during the current cycle thanks to impressive behavior from hodlers.

HODL Waves stay bullish

In their latest newsletter seen by Cointelegraph, analysts from trading suite Decentrader including Cointelegraph Markets contributor filbfilb sought to allay fears that Bitcoin’s bull run is running out of steam.

Backing their optimism, they said, is data showing that more and more investors are hodling BTC for the long term — one year or more.

Taken from the popular “HODL Wave” indicator, this suggests that there is less desire to sell Bitcoin at short notice at a certain price, providing a solid foundation for further growth.

“The 1Yr+ HODL Wave suggests that Bitcoin should comfortably reach the $100,000 level during this cycle,” Decentrader summarized.

“The greater the amount of Bitcoin being held for a year or longer, the less liquid the supply or potential selling pressure there will be. Typically, if 50% or more of Bitcoin is being HODLed the bull market continues, below this is potentially cause for concern.”

HODL Waves tracks the proportion of the existing Bitcoin according to when it was last used in a transaction. Previously, Cointelegraph noted that those who bought BTC during the 2017 bull run had largely held onto their position despite realizing significant gains.

Locking down the BTC supply

As Cointelegraph reported on Monday, roughly 36% of the circulating Bitcoin supply is currently made up of “younger” coins which have moved at some point in the past six months.

Exchange data further reinforces the pro-hodl mindset among investors, as overall reserves continue to plummet in March despite BTC/USD making a new all-time high.

Even miners appear to be increasingly interested in keeping their BTC rewards, as evidenced by figures from on-chain analytics service Glassnode showing net miner positions turning positive this month. Michael Saylor, CEO of MicroStrategy, described their behavior as “onlyrational.”

“Strong holders are increasing their positions. Another sharp increase of #Bitcoin in the illiquid wallets,” quant analyst Lex Moskovski commented on another Glassnode chart.

Elon Musk, CEO and “Technoking” of Tesla, became the most recent high-profile hodler when he announced on Wednesday that the carmaker would offer products for BTC and not convert the revenue to fiat.

According to Bitcointreasuries.org, Tesla currently holds an estimated 48,000 BTC, a number that should grow as people exchange their Bitcoin for the company’s electric vehicles.

Bitcoin hit $ 60K after the price went through a key resistance cluster

Bitcoin hit $ 60,000 for the first time on March 13 when the expected uptrend returns after uncertain days.

BTC / USD 1 hour | Source: Tradingview

Bitcoin set a record with another important price

Data from Tradingview shows that BTC / USD is finally above historical levels after weeks of slight corrections and few consolidations.

The bulls have been in limbo for a considerable time as Bitcoin repeatedly tested all-time highs of $ 58,350, with a strong area of ​​resistance below slowing progress.

In the end, however, optimism won and the biggest cryptocurrency by market cap hit the latest milestone. At the time of writing, the price was already above $ 60,000 amid characteristic volatility.

As Bitcoin’s price inched closer to its previous all-time high, analysts at Whalemap observed some interesting on-chain activity going on.

HODL Wave Capitalization | Source: Whalemap

According to the research team:

“The real capitalization HODL waves show that the real cap percentage belongs to different types of HODLer (1-3 year hodler, 3-5 years, etc.). Usually, macro peaks occur when the market is over saturated with FOMO. This can be determined when the majority of real capitalization belongs to short-term holders (less than 6 months). The final macro peaks with more than 95% of the real cap belong to short-term hodlers less than 6 months. Right now, we are at 82% ”.

The long road leads to a new price hurdle

Predictions of $ 60,000 and even higher have been steady in recent days. As reported, professional analysts as well as traders are ready to announce the end of the previous sideways price action as indicators favor the bulls.

Healthy on-chain metrics combined with positive support from institutions reinforce trust. Bitcoin’s price has now surpassed $ 60,000 and many analysts have targeted the $ 72,000 zone, followed by $ 100,000.

Total crypto market cap is currently $ 1,118 trillion and Bitcoin’s dominance rate is 61.9%.

Data shows multiple peaks of Bitcoin over the past 40 days and when to sell Bitcoin

Bitcoin price has been on an uptrend for a year now. With the power of this move and the fact that the asset is currently at more than $ 57,000, many people began to question: When to sell?

According to previous bull market data, the last topping and remaining 1/3 of the bullish momentum lasted for just 40 days before it ended. But is it possible to know when this is happening or when it is coming to an end?

The speed and volatility at the top were too fast to be dangerous
Cryptocurrency assets are highly speculative by nature, but are starting to become more solid as adoption increases and proof of feasibility becomes a working product.

However, thanks to the Bitcoin block reward halving every 4 years, so far, market cycles can be accurately calculated.

After each halving, it’s time to stop Bitcoin trading and hold for the next phase instead. However, determining peak times is not so simple.

Measuring and dividing the cycle into 3 parts will see the fastest and most powerful move in the last 1/3. According to the data, these periods and the last 1/3 of a bull cycle occur in just 40 days and nights.

“Aim to sell most of your positions at the top during the third phase of the cycle. Analyzing the previous 2 cycles, you only have ~ 40 days to sell in this area. Both times take place around New Year (December / January). In order to maximize your profits, you should average the most during this 40-day period ”.

Two crypto cycles in 2013 and 2017 | Source: TradingView

Timing of Bitcoin Peak and Cryptocurrency Market Cycle: When to Sell?

Within those 40 days, Bitcoin completed its last parabolic push and a prolonged bearish breakout.

Missing out on this last 1/3 would result in significant losses – almost immediately a 50% drop from the asset’s peak.

The data also shows that assets that went parabolic, once broken, will plunge 80% or more. Commodity trader Peter Brandt correctly predicted the bottom range almost a year ago using these reliable metrics.

In the recent bull market, the price of Bitcoin has dropped from $ 20,000 to just $ 3,000 – leaving many investors stuck in another cycle to lock in profits.

In the previous cycle, Bitcoin price also dropped by 80% and is expected to repeat again when this cycle ends. Despite such risks, investors still rush in and try to get out at the right time.

Past cycle peaks are almost always historical in November and December, when the market reaches its cyclical peak. It’s not entirely clear why this is the case, but since this is a widely known fact any peak can be reached first during this bull run.

Other ways to time a top is to watch the monthly RSI hit the highs from previous bull cycles and only then guess where the real peak is.