Governments and citizens across the world are in a state of panic as cases of coronavirus continue to rise. This has rocked global equity markets for the past few days and volatility has spiked to levels not seen since the last financial crisis. This shows that fear has gripped the traders and they are likely to sell everything at hand. Even gold sold off today. Compared to other assets that have been around for centuries, cryptocurrencies are a new asset class that has not witnessed any major crisis. Hence, the traders are unsure about their performance. Therefore, we do not …

Crude oil prices plunged about 30% on Monday to the lowest levels seen since Feb. 2016. This triggered a sell-off in global equity markets, which were already reeling under the pressure of a likely global slowdown due to the coronavirus outbreak. At its lowest level, the crude oil traders were nursing losses of about 55% year-to-date. Similarly, the US markets have plummeted about 15% year-to-date. Although Bitcoin (BTC) has dropped about 26% from its highs, it is still up about 7% year-to-date. This shows that it is outperforming both equity and oil markets. While it is difficult to pinpoint a …

Roughly 42% of the total Bitcoin supply has not moved in the past two years. This shows that the investors are holding on to their Bitcoin as they expect the price to rally further. Lesser quantity of Bitcoin in circulation increases scarcity and with the upcoming halving, the supply is only going to decrease further, which could boost prices. The creator of the stock-to-flow Bitcoin price model PlanB believes that “Bitcoin will probably go over $100k before Dec 2021.” While PlanB is banking on halving to boost prices, Max Keiser of The Keiser Report, expects the financial markets to tumble …

Grayscale Investments managing director Michael Sonnenschein said that “Bitcoin itself has solidified its role as a store of value or as a digital gold.” In his conversations with institutional investors, Sonnenschein explained that he has seen a big change in the way they view Bitcoin. According to him, now, several institutional investors are looking to add cryptocurrency to their portfolio, which was not the case just 12 to 18 months ago. In a report, KPMG has said that institutional players are concerned about the lack of proper custody for cryptocurrencies. Co-lead of KPMG’s crypto asset services Sal Ternullo said : …

After the rout last week, most asset classes have started the week with a rebound. The total crypto market capitalization has bounced from the recent lows of about $240.7 billion to $251 billion at press time. The strength of the rebound will confirm whether a bottom is in place or if this is a dead cat bounce after which the down move will resume. With the recent fall in Bitcoin, the price action has been exactly following the popular stock-to-flow Bitcoin price forecasting model designed by PlanB. He expects the price to average about $8,650 until Bitcoin’s halving in May. …

Recently, the chairman of Virgin Galactic Chamath Palihapitiya said that “everybody should probably have 1% of their assets in Bitcoin,” as it is “an uncorrelated hedge” to the excesses in the financial industry. He did not approve of the strategy to buy Bitcoin only when the equity markets are down. Instead, he said that investors should keep a long-term view on Bitcoin and consider it as “insurance”. Fundstrat’s Tom Lee said that blockchain and crypto will disrupt the financial industry over the next twenty years. For the short-term, Lee retained his bullish stance on Bitcoin. He said: “I think there’s …

The equity markets sold off sharply on Feb. 24 and 25. Even gold, a traditional safe-haven has stalled its rally. On similar lines, cryptocurrencies are also witnessing a period of correction. The total crypto market capitalization has dropped from about $308 billion on Feb. 15 to $248 billion at press time, which is a fall of about 19.50%. For an investor, this is a normal and healthy correction, which can provide an opportunity to buy or add to existing positions. In an interview with CNBC, billionaire investor Tim Draper said that he has shifted his money out of stocks and …

The global equity markets are reeling under pressure as the coronavirus outbreak has spread outside China. While gold, the traditional safe haven, has been moving higher, Bitcoin has largely remained range-bound. This again puts focus on the frequently discussed perspective that Bitcoin is a completely uncorrelated to traditional markets. Sometimes it rallies with the equity markets and other times with gold but during certain occasions, such as now, it moves to its own beat. In other news, Tron founder Justin Sun paid a record $4.6 million in a charity auction to have a meal with legendary investor Warren Buffet. However, …

Binance CEO Changpeng Zhao believes that the upcoming Bitcoin halving has not been priced in to the digital asset’s current price action. The reduction in miner rewards will increase the cost of mining each Bitcoin, meaning, miners are unlikely to sell below their cost of production. Bitcoin’s supply will decrease with the halving but its demand has also been increasing, creating a situation where prices are likely to driven higher. Although CZ’s statement can be interpreted as bullish, the CEO personally believes that Bitcoin’s price might gravitate around $10,000 levels for a few more days as round numbers are known …

Eurekahedge's index of crypto hedge funds have clocked 21.15% returns since the start of 2020 and this is the best performance from the firm since the index started in 2013. Even in 2017, which was the blockbuster year for cryptocurrencies, the January returns were a modest 4.85%. If the crypto hedge funds maintain their stellar performance this year, they are likely to attract further investments in this space. Coinbase is now a Visa principal member, the first crypto pure-play company to receive the membership. This will help the company to offer more features and services to its customers of Coinbase …

After Bitcoin (BTC) scaled above $10,000 the mood among market participants turned hugely bullish. Daily talks of the asset making new highs blanketed crypto Twitter and this bullish sentiment also rubbed off on altcoins which picked up momentum and rallied sharply in the past few days. As the week approached a close it was clear that the crypto market was looking overheated in the short-term as greed gripped the market participants. Such a situation usually results in a sharp pullback that scares the weak hands away. Led by Bitcoin, the crypto markets have slipped sharply in the past two days. …

Interest in Bitcoin (BTC) has surged significantly after its rally above $10,000 and if the bulls can sustain the price above this psychological level, it is likely to attract further attention. While it is difficult to pinpoint the exact reason for this resurgence, a host of factors such as the China coronavirus scare, the upcoming Bitcoin halving, discussion of launching a central bank digital currency by various countries, and the increased institutional adoption of cryptocurrency might all be contributing to the rally. An important highlight of the crypto rally in 2020 is that it has been broad-based. Several major altcoins …