Despite many believing that the previous market recovery during May was what Bill Barhydt – CEO of Abra, statedthat the gold-craze and hype will overtake the market again, did not go so well.
“I talk to hedge funds, high net worth individuals, even commodity speculators. They look at the volatility in the crypto markets and they see it as a huge opportunity. Once that happens, all hell will break loose. He added: “Once the floodgates are opened, they’re opened.”
Ripple and its Magical Hype
However, the price recoveries did let us know that the market is not dying as various traders stated after the major dip during January, February. One of the strong impactors on the green-value movement was the rumor that one of the big time crypto-supporters is turning to be Amazon.
The event would not be that shocking because we have to keep in mind that Ripple’s tech is being tested and promoted by various firms, baking institutions or financial companies like MasterCard American Express, Santander.
Speculation of an Amazon partnership were first seen in the Crypto-verse late last year. The idea behind the speculation hinged on the reliability of XRP during transactions. The coin is known for 3.3 second transaction speeds and $0.0004 charges per transactions. These are performances that a leading online retailer like Amazon needs for the process of moving into the future and improving the online payment settlement.
The rumor stands that Amazon will be accepting Ripple as one of the payment methods for Amazon products. That is how it is believed, although not officially confirmed, that Ripple is going to be accepted by Amazon. On the same route, words are spread that Apple, Inc. would have benefits of accepting Ripple as a payment option and it is being considered.
The Amazon partnership speculation was also mentioned in the Youtube video by Chronic Crypto that had predicted that XRP will jump to $24.48 by the end of the year, and after the current market crash or dip is over.
Ripple Spreading Out
We can see that more and more companies and foundations are accepting and working with digital assets, and Ripple (XRP) alongside with only a handful of currencies is slowly becoming widely accepted.
Compared to Bitcoin, Ripple does not have the problems of slow transactions or expensive fees. That is why many welcome its technological capabilities.
In addition to having the ability of processing thousands of transactions in the matter of only a couple of seconds, which would be much appreciated by Amazon in case it decided to adopt XRP as a payment method, Ripple has a certain level of stability in the market, given the fact that its price is rising up slowly
Amazon Squashes Crypto Rumors as Hype Surrounding Facebook’s Libra Grows
In the past few months the world was shocked to hear that social media giant Facebook was entering the crypto markets with the release of their cryptocurrency dubbed Libra. Although Libra has been met with mixed opinions from both those within the crypto community and those outside of it, many analysts do believe it will ultimately help the markets.
Additionally, the Libra hype also led to a significant amount of speculation about other major companies releasing similar crypto-themed products, but e-commerce giant Amazon is now squashing these rumors, boldly stating that they don’t deal in speculative technologies.
Amazon Gives a Hard Pass to Crypto Products… For Now…
Many analysts in the crypto industry believed that Amazon would closely follow Facebook with releasing a crypto of their own, and this belief was primarily rooted in the company’s “Amazon Managed Blockchain” product through their web services initiative, which seemed to signal an interest in distributed ledger technology.
Despite this, the vice president of Amazon Pay, Patrick Gaulthier, recently threw a wet towel on these rumors, saying during Fortune’s Brainstorm Finance 2019 event that now is not the right time to focus on utilizing speculative technologies like cryptocurrency.
“It’s fresh, it’s speculative; at Amazon, we don’t really deal with the speculative, [we deal] in the now,” he noted while responding to a question about Libra.
Although for now the Amazon crypto rumors have been put to an end, that doesn’t mean that Amazon won’t ever introduce a product, as Gaulthier said that he would be “happy” to discuss this type of tech further in two or three years.
“At Amazon, we deal with data a lot, so I’ll be happy to have that conversation two or three years from now,” he later said.
If Libra is Successful, Will Other Companies Follow Facebook’s Lead?
Although we likely won’t know for certain whether Libra is met with wild success until it launches in mid-2020, it does already have a plethora of noteworthy partners that clearly see some merit in its purpose.
In the past week, several large financial institutions have offered bullish analyses of Libra, with Bank of America noting that Libra will make a good addition to Facebook’s e-commerce initiatives.
“With more than 2.5 billion users, Facebook and its partners could be a significant endorsement of cryptocurrency and a notable addition to the Facebook app ecosystem… We see the launch as an important initiative for the company as it builds out a more private messaging ecosystem with eCommerce capabilities,” they said.
Assuming their assessment is accurate and it does begin significantly enhancing Facebook’s ecosystem, then it is likely that other large companies, like Amazon, that are currently hesitant to adopt this type of technology will begin entering the markets.
Why the Cryptocurrency Bubble is Reminiscent of Hodling Amazon Stock: CoinShares CSO
What a difference a few weeks can make.
Just 21 days ago, the bitcoin price was trading above $8,400, riding what appeared to many to be the first wave of a new bull market. The bottom, the analysts said, was in.
Now, midway through August, bitcoin is fighting just to hold above $6,000. The altcoin markets, meanwhile, have been pummeled to a pulp. The ethereum price is down 18 percent for the day and double that for the week, while the ripple price has now plunged 93 percent from its all-time high.
Speaking with CNBC, Meltem Demirors, chief strategy officer at U.K. cryptocurrency investment firm CoinShares, attributed the sell-off in part to the difficulty that the industry is having presenting a consistent, attractive narrative to investors.
“Really the only metric we have for most cryptocurrencies is the price, and price is such an imperfect metric. What does actually utilization look like? That’s the struggle for crypto right now.”
Concurrently, the bear market has presented blockchain startups funded through initial coin offerings (ICOs) with a difficult choice: sell their assets now to preserve whatever runway they have left, or continue to hodl indefinitely in the hope that the market will finally turn a corner.
“What we’re seeing now is that a lot of these ICOs that have raised capital have done so using ether or bitcoin. When the price was $1,200, everyone was feeling really good. They had a long capital runway. Now the price is at $300, they’re not feeling so great,” she said. “I think this is really what our ecosystem is struggling with. How do we allocate out of ETH and into other assets that preserve value long-term, and what should those assets be?”
Demirors compared the fluctuating valuations that bitcoin and ethereum have seen with those experienced by revolutionary tech companies like Amazon, Microsoft, and Intel at the turn of the millennium, explaining that many investors in these companies were forced to wait a decade or more to see the value of their investments break even following the dotcom bubble. Patient investors, however, were richly rewarded.
“New technologies that shift the paradigm take a long time to really understand. I think what we saw in crypto is we saw this massive run-up, where everyone got FOMO,” she said, “and what it caused is the speculative bubble…. But all of that capital is now getting deployed into building real businesses that serve a real purpose.”
Bitcoin (BTC/USD) forecast and analysis on July 31, 2018
Cryptocurrency Bitcoin (BTC/USD) is trading at 8214.99. Quotes of the cryptocurrency are traded above the moving average with a period of 55, which indicates the existence of a bullish trend for Bitcoin. At the moment, the quotes of the cryptocurrency are moving near the middle border of the Bollinger Bands indicator bars. A test of the level of 7900.00 is expected, from which one should expect an attempt to continue growth and further development of an upward trend with a target near the level of 9120.00.
Bitcoin (BTC/USD) forecast and analysis on July 31, 2018
The conservative buying area is near the lower border of the Bollinger Bands indicator strip at 7880.00. The abolition of the option of continuing Bitcoin growth will be the breakdown of the lower border of the Bollinger Bands indicator bands, as well as the moving average with a period of 55 and the closing of the pair quotes below the area of 7520.00, indicating a change in the bearish trend for BTC/USD. In the event of breakdown of the upper boundary of the bands of the indicator Bollinger Bands, one should expect an acceleration of growth.