Bitcoin has made a dramatic comeback yesterday evening on large volume in a spike that drove its price from $9,300 to $10,500 in less than 60 minutes, the rest of the crypto sector followed the same bullish path. The current Market Cap is a bit above $284 billion from the previous 269 billion, and Bitcoin’s dominance is 65.7%. The current price movement is correcting slightly yesterday’s big jump.

What is Happening?

A Chinese court in Hangzhou maintained that Bitcoin was legal as a “virtual property”. The ruling confirms the legality to own Bitcoins in China. by cryptoslate.com

Some takeaways from Facebook’s Libra Hearing in the Congress are that Us policymakers have not much trust in Facebook, the Dollar is in danger, and the bitcoin is an unstoppable force.

About Facebook’s Distrust

Maxine Waters:

Facebook is apparently trying to create a new global financial system that is intended to rival the U.S. dollar. This venture is slated to be based in Switzerland that has a history as a monetary haven for criminals and shady corporations. Facebook’s proposed entry into financial services is all the more troubling because it has already harmed vast numbers of people on a scale similar to Wells Fargo and demonstrated a pattern of failing to keep consumer data private on a scale similar to Equifax. Ultimately, if Facebook’s plans come to fruition the company and its partners will wield immense economic power that could destabilize currencies and governments.

About Bitcoin:

Patrick McHenry:

Change is here. Blockchain technology is real. And Facebook’s entry into this new world is just confirmation. The world that Satoshi Nakamoto, the author of the Bitcoin whitepaper envisioned, and that others are building, is an unstoppable force.

Brad Sherman:

Keep in mind for Bitcoin, 46 percent of all transactions according to one academic study, are used by drug dealers and other nefarious operations. Hammas advertises they want Bitcoin.

Tom Emmer:

Bitcoin is now 10 years old. And now suddenly, magically, Congress is responding. In other words, after more than a decade Congress has apparently started to care. I’m glad after all these years that Congress has finally decided to pay attention to the technology, that could again, just like the internet, upend how we do everything in our lives.

Libra is not Bitcoin

Warren Davidson:

One of the key differentiators with Libra, as a currency, from many other tokens in this space is centralization. When you look at an open blockchain token or you look at Bitcoin, that has come to represent the entire blockchain to many people Tokens could represent title to a car, deed to land, software licenses, goods or services. Libra, meanwhile, is essentially different. It’s a currency. It’s not a payment system

McHenry:

Facebook is using the language of cryptocurrency and digital currency. They’re using the words of blockchain technology. But what they’ve created is something that’s perfectly not either

Shitcoins

Rep. Davidson:

A lot of people in this space will use the phrase that you may be familiar with, there’s Bitcoin and then there’s shitcoin. Are you familiar with that phrase? How would people differentiate between the two?

Demirors:

The network has been operating for 10 years. The Bitcoin network has been tested. The decentralized nature of the Bitcoin protocol has been tested. People have tried to co-op control of Bitcoin source code that benefit their business model

The USA as Leader and the Dollar

Bryan Steil:

If America doesn’t lead in the digital world others will I’m concerned about the values of these others might bring to the table. Where I feel confident in the values of the United States regulatory approach will bring.

Al Green:

I’m concerned about the dollar. As you know there is a competition for currency supremacy. The dollar is the preferred currency in the world. The Yen competes. The Euro competes. And there are others How will this impact the dollar? This is our currency. The dollar is the means by which we have the opportunity to influence the economic order in the world

Source: Cryptoslate.com

Technical Analysis

Bitcoin





Bitcoin has been consolidating its gains for some hours. Its price is currently about $10,500, and moving slightly above the previous top of the descending channel. The next target is $11,000, but first, it needs to get the strength to move. Support is at about $10,400. Resistances are 10,600 and 10,800.





Yesterday, Ripple moved up from its support of 0.2358 reaching its 0.324 resistance level, from which it is currently retracing. The MACD is bullish, while the Stochastics is overbought and retracing, and the CCI is approaching its mid-line, a sign that the price is moving away from the extreme and approaching a centre. The outlook is still bullish, although moderately. The price needs to cross the 0.324 resistance level for its next impulse.

Ethereum





Ethereum is consolidating its previous bullish movement, as well. We see the Stochastics in an overbought condition and the CCI at +61 backing a bit but bullish. The MACD also bullish, while volume is weak in the last red candles. Further impulses to the upside are expected.

Litecoin





Litecoin has retraced a bit its large movement yesterday, falling below $100. The technical indicators are in the same situation as Ethereum. The crypto pair has to fight the $100 resistance point to continue its upward movement.

Binance Coin (BNBUSD)





Binance is showing a lot of strength in its consolidation movement. The price is moving in a very tight range. All indicators are bullish, with the exception of the Stochastics which is overbought. To continue, the price needs to cross the $30 level which many of its previous movements topped.