Connect with us

Bitcoin

Bitcoin Drops to $55k on News of the US CFTC Investigating Binance

Published

on

  • According to Bloomberg, the US CFTC is probing Binance on whether it allowed US residents to trade derivatives on the platform
  • Bitcoin took a $2k nosedive from $57k to $55k as a result
  • March 12th might be a cursed date for Bitcoin as the Coronavirus dip happened exactly one year ago

The US CFTC (Commodity Futures Trading Commission) is reportedly probing whether Binance knowingly allowed US residents to trade derivatives on the platform. According to Bloomberg, the CFTC is investigating Binance on concerned that it allowed Americans ‘to place wagers that violated US rules’. The report by Bloomberg goes on to point out the following queries by the CFTC.

The CFTC is seeking to determine whether Binance, which isn’t registered with the agency, permitted U.S. residents to buy and sell derivatives that the regulator polices, said the people, who asked not to be identified because the probe is confidential.

Binance, which has an office in Singapore but says it lacks a single corporate headquarters, hasn’t been accused of misconduct and the investigation may not lead to an enforcement action.

Bitcoin Drops by $2k to $55k

Before news broke of the CFTC investigating Binance, Bitcoin was trading comfortably at the $57k price area. Bitcoin then dropped to $55k as soon as the Bitcoin and crypto trading communities got wind of the news development.

At the time of writing, Bitcoin is trading at $55,700 as the King of Crypto provides mixed signals as to what its next course of action will be.

Advertisement

Is March 12th a Cursed Date for Bitcoin?

To note is that today is exactly one year since Bitcoin plunged hard by over 50% due to financial fears as a result of COVID19 being declared a global pandemic.

News of Binance being investigated by the CFTC happening on the same date has led many to speculate as to whether today is a ‘cursed day for Bitcoin’.

Adam Cochran, a partner at Cinneamhain Ventures and a Professional analyst, best summarized this theory via the following tweet.

Advertisement

News Source

Advertisement

 

Bitcoin

Legendary Trader Peter Brandt Challenges Binance with Four Questions about 88% BTC Crash

Published

on

Here’s what is unclear for Mr. Brandt about mysterious Bitcoin (BTC) flash-crash of Oct. 21, 2021

Prominent trader and analyst Peter Brandt has taken to Twitter to ask his four questions in the context of the flagship crypto’s 88% dropdown.

What do Binance and Binance.US have in common?

First of all, Mr. Brandt challenged the character of corporate relationships between Binance and Binance.US, its unit focused on American markets.

Advertisement

Also, Mr. Brandt asks whether Binance is planning to release detailed documents to specify statistics for trades, their volume and prices during the flash-crash.

Then, the trading legend asked about the role of the platform in taking the opposite side of a client fills.

Advertisement

Besides the Binance CEO and co-founder Changpeng “CZ” Zhao, Mr. Brandt mentioned the Interactive Brokers platform, U.S. watchdogs CFTC and SEC and Gary Gensler, the SEC chairman.

Most expensive “trading algorithm bug” ever?

Also, Mr. Brandt attached a screenshot of a tweet by CZ when Binance’s boss warned his audience about expected volatility spikes across cryptocurrency markets.

Finally, Mr. Brandt added that he never used Binance for trading.

Advertisement

As covered by U.Today previously, on Oct. 21, 2021, amidst a spending rally, the Bitcoin (BTC) price briefly tanked to the $8,000 level, losing more than 88% in no time.

A similar flash-crash was registered on 26 other low-liquidity exchanges. A Binance.US representative attributed this dramatic plunge to a critical bug in third-party mechanisms by one of the platform’s sophisticated institutional clients.

News Source

Advertisement
Continue Reading

Dogecoin

Dogecoin Looks Ready To Rip As Bitcoin Finds Critical Support, According to Crypto Analyst Justin Bennett

Published

on

Crypto analyst Justin Bennett says that Dogecoin (DOGE) could be ready to make a run for its next critical level about 37% above current prices.

The popular analyst tells his 88,000 Twitter followers that DOGE is attempting to break out of a long descending resistance line that it has been up against since May.

“DOGE looks ready (as long as $BTC cooperates).

Advertisement

Just needs to get above 0.27 on a daily closing basis to open up 0.34+.”

Image
Source: Justin Bennett/Twitter

In the near term, Bennett says DOGE needs to turn the $0.26 level into support and close above $0.27 before continuing higher to his initial target of $0.34. At time of writing, Dogecoin is trading at $0.26 according to CoinGecko.

Looking at Bitcoin, the analyst says BTC’s ability to maintain the $60,000 level is a major show of strength that could have big implications in the broader markets.

“Although the BTC weekly candle might not look great, it still held above $60k.

Advertisement

That’s what I was looking for. Doesn’t mean we can’t see more pullback before further upside, but it does mean $60k is holding as support on a weekly closing basis.

That’s huge.”

Image
Source: Justin Bennett

Bennett also has his eye on Bitcoin dominance, which compares BTC’s market cap to the rest of the crypto markets. He says it’s bounced off a support level and is currently on its way up.

“BTC.D is bouncing from 44.5% support.

Advertisement

Surprise, surprise.”

Image
Source: Justin Bennett/Twitter

While surging Bitcoin dominance often suggests that altcoins will underperform, Bennett says this may only hold true in the short term. He says if the king crypto is looking healthy, then altcoins might take it as a signal to move up.

“This isn’t necessarily a bad thing for altcoins.

Will they suffer if BTC.D heats up again?

Advertisement

In the short term and against BTC, yes.

But Bitcoin strength now is massively bullish for alts over the next few months.

News Source

Advertisement
Continue Reading

Bitcoin

Anybody That Does the Homework Eventually Invests in Bitcoin: SkyBridge Capital’s Scaramucci

Published

on

Founder of SkyBridge Capital believes that anyone who starts looking into Bitcoin seriously will end up buying

Antony Scaramucci, founder and CEO of SkyBridge Capital venture fund that has a branch investing in Bitcoin, has told CNBC that Bitcoin can eventually convert anyone who “does their homework” to invest in it.

He named several billionaires who used to be skeptical on BTC but have been into it since 2020.

Advertisement

Ray Dalio, Paul Tudor Jones, etc, have turned to Bitcoin

According to Scaramucci, Bitcoin has the power to attract even its opponents – if they begin to study BTC carefully and “do the homework” they get convinced of the great potential Bitcoin has.

He has referred to billionaire investors, such as Ray Dalio, Paul Tudor Jones and Stanley Druckenmiller – they used to be opposed to the flagship cryptocurrency and now are holding BTC in their portfolios.

Advertisement

Among these former Bitcoin skeptics are Shark Tank’s co-hosts – Kevin O’Leary (widely known as Mr. Wonderful) and Mark Cuban, billionaire and owner of the Dallas Mavericks baseball team. He now considers Bitcoin a store of value and believes that Dogecoin is a perfect crypto for payments. The Mavericks online store accepts DOGE for tickets and merch, and, according to Cuban, people are spending thousands of USD in Dogecoin on every month. He also likes Ethereum because of smart contracts.

Here’s how much Bitcoin Scaramucci holds

As part of studying BTC, Scaramucci recommended reading the BTC white paper written by Satoshi Nakamoto, the mysterious person or a team of them that created Bitcoin back in 2008-2009.

As for his own crypto holdings, Anthony Scaramucci holds over one billion USD worth of Bitcoin. He believes BTC to be digital analogue of gold.

Advertisement

He also believes that Ethereum and Cardano have a large potential and are going to keep rising in the future.

News Source

Advertisement
Continue Reading