What Does Bitcoin’s Bounce Really Mean?

This was supposed to be yet another week of sideways trading for crypto. And it would have been ... if it wasn’t for the market action yesterday.

As Alex Benfield reported, Bitcoin (BTC, Tech/Adoption Grade “A-”) fell below its significant support near $30,000 on Tuesday. Then, in the early hours of Wednesday morning, the bulls turned the tides and pumped Bitcoin up by over 9% to push back above the $30,000 support and even the $32,000 resistance.

Despite retreating from that level Wednesday evening, recent trading has put the King of Crypto back above resistance. A close above this key level would be a bullish sign.

But does a single sign mean we could be entering bullish territory?

Judging from last week’s tweets, this bullish trend seems to have already been priced in ... at least in the sentiment of the most popular tweets.

To illustrate this fact, let’s start it off with a poll:

While the majority of poll voters agree $100,000 is the most likely target to look out for this year, it’s interesting how the second most popular prediction at $66,000 (with 24% of the vote) is almost tied with third place, which believes the King of Crypto will end at $20,000.

The majority of you seem to agree that $30,000 is not the final price for Bitcoin in 2021, but rather a midpoint as the cycle runs its course until the end of the year.

For now, then, let’s turn to the rest of the market.

Even though the majority of followers loved the news of Cardano (ADA, Tech/Adoption Grade “B-”) slowly but surely moving ahead with the scheduled upgrades and inching ever closer to smart contract capabilities, there were a number of fans voicing their frustration at the glacial pace by which IOHK developers were moving ahead with these upgrades.

We want to remind these restless folks that this is by no means any different than the usual pace of the Cardano team. There is a method to their madness ... and it’s reflected in the fact that their thoroughness more often than not results in a robust product.

This trait alone should ensure that once everything is said and done, once it becomes a finished product, ADA will be more than worth the wait.

Another dev. team made it to our kudos list last week:

As a web designer and front-end developer myself, I can attest to the predominance of WordPress. 44% of all content management system (CMS) -based websites run on WordPress. This means that almost half the websites you visit in your daily browsing routine likely run that CMS.

That’s more than 28 million websites!

With this release, all those sites will have the ability to accept Iota (IOTA, Tech/Adoption Grade “C”) from visitors. Enabling this feature is now far simpler and easier to implement than coding it all manually or building your own WordPress-compatible plugin to do that.

However, this doesn’t mean that this alone can fix issues still plaguing IOTA. As one reader puts it:

Speaking of shortcomings, hackers performed a hit-and-run on THORChain (RUNE), emptying one of its liquidity pools and lighting its load by a hefty $4.8 million. Rather than lamenting the situation, though, we simply stated the obvious:

Growing pains in crypto should be obvious to everyone by now; they have their place in complementing its enormous growth and profit potential.

Still, not all cryptocurrencies are prone to these kinds of risks. One we know that isn’t is Bitcoin. We know it, we hope you know it and ultra-rich and institutional investors know it:

So, while the fear, uncertainty and doubt (FUD) was spread far and wide, these savvy and shrewd investors were working fast, filling their bags to the brim and making off with some of the best BTC prices since May this year.

We sincerely hope you are following suit.

Retail investors are truly between a rock and a hard place. On one end, the ultra-rich and institutions are siphoning crypto they dropped while running for the exit, and on the other, governments of the world are pushing hard for central bank digital currency (CBDC) — a digital, heavily centralized form of fiat currency — and doing their best to besmirch or phase out cryptos.

Their most recent target? Stablecoins:

Feel free to read the entire thread, but whatever you do, do not skip our final warning:

Fiat is indeed dying a slow death, and crypto is the future. That is the reality of the situation.

If CBDCs are THAT bad (and they are), then it’s imperative that we hold on to cryptocurrencies as the best and only candidate that will facilitate the international exchange of goods and services.

Our hope lies in countries that follow the example of El Salvador and in diamond hand HODLers that will be able to withstand the torrent of FUD and keep at least a portion of the financial power in the hands of those who deserve it the most: average citizens and the forward-thinking pioneers of this new financial revolution.

So don’t lose hope. Instead ...

Stay safe and trade well,

Jurica Dujmović

About the Contributor

A MarketWatch columnist since 2014, Jurica covers science, technology, privacy, security and futurism, earning him the title of top three contributors for three consecutive years. At Weiss since 2011, he manages social media content and contributes regularly to Weiss Crypto Alert.

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