Bitcoin weekly price chart

Bitcoin (BTC) has crossed into bullish territory with the biggest weekly gain in 2.5 months.

  • The top cryptocurrency by market value climbed nearly 6.6% in the seven days to Oct. 11, capping its biggest single-week percentage rise since the last week of July.
  • The flipping of the stiff resistance of $11,200 (Sept. 18) into support is bullish, according to Stack Funds research analyst Lennard Neo.
  • So far, however, the follow-through to the breakout has been poor: The cryptocurrency is currently trading in the red near $11,250, having printed highs near $11,500 over the weekend.
  • However, the pullback may be short-lived, miner outflows suggest.
  • Last week, bitcoin miners sold more than they generated and ran down inventory by around 1,000 BTC, according to data source
  • The miners’ rolling inventory (MRI) figure, which tracks the changes in how much bitcoin miners are holding, held well above 100% last week; the five- and 12-week MRIs are also above 100%.
  • Miners liquidate their holdings almost on a daily basis to cover operational costs but will offer more when they feel the market has the strength to absorb the additional coins without harming price.
  • As such, the increased miner outflow is sign of strength in the market, according to Charlie Morris, chief investment officer at ByteTree Asset Management.
  • Additionally, payment company Square’s recent disclosure of major bitcoin investments has given market players a fresh shot of confidence, Philip Gradwell, chief economist at the blockchain analysis firm Chainalysis, told CoinDesk.
  • The major portion of the last week’s 6.6% rise happened after Square announced its bitcoin investment on Thursday.
  • While the path of least resistance for bitcoin appears to be on the higher side, a move to the next major resistance at $12,000 may remain elusive if the resurgence of the coronavirus cases across Europe, tanks

A worker cleans units at a cryptocurrency mining farm. 

Photographer: Andrey Rudakov/Bloomberg

A slew of regulatory moves announced this week is positive for the famously free-market-oriented cryptocurrency space, according to Fundstrat Global Advisors LLC.

Developments like the U.K. Financial Conduct Authority banning the sale of crypto derivatives and the U.S. Department of Justice issuing an enforcement framework are beneficial in the long term because they will help reduce nefarious activity in the industry, according to a report by David Grider, Tom Lee and Ken Xuan.

They cited regulators “cleaning up bad actors” as also helping. The market’s focus on news that Square Inc. bought Bitcoin and Bitcoin’s ability to push past $11,000 show that crypto can power through these things, the report said.

“Actions unsurprisingly indicate U.S. and global regulators are committed to stomping out illicit activity, securities violations, money laundering, price manipulation, and noncompliance with banking regulations,” the strategists wrote. “On balance, we view recent news as a positive for crypto markets, despite select smaller pockets of risk, and we believe the prevailing bull market trend is intact.”

Bitcoin has moved back above $11,000 after a successful defense of the $10,000 level in early September. Crypto enthusiasts were also cheered by Square Inc.’s purchase of $50 million in Bitcoin in a bet by Chief Executive Officer Jack Dorsey that it will be an instrument of financial empowerment.

Bitcoin is rising for a fourth day and has retaken the $11,000 level

In other recent developments, the founders of crypto trading giant BitMEX resigned their executive roles after being charged by U.S. authorities with skirting laws preventing money laundering. Cybersecurity pioneer John McAfee, who had been promoting cryptocurrencies, was arrested in Spain on U.S. tax-evasion charges.

Fundstrat cautioned that some areas within crypto might be vulnerable given the regulatory trajectory.

“We do see select crypto market segments as more exposed to

Fixed-rate savings interest typically runs higher than rates offered for standard savings accounts. When interest rates are high, capital is more expensive, and when interest rates are low, bank customers will not receive a satisfactory return. Without adequate return, banks lose purchasing power as other investment opportunities are sought. As inflation outpaces fixed-term rates, is bitcoin the solution?

Zero-interest rate policy and bitcoin

In a September 15, 2020, interview with Stansberry Research, Robert Kiyosaki, author of Rich Dad, Poor Dad, said gold, silver, and bitcoin are investments in disaster. According to the author, “If everything was perfect, you wouldn’t need gold, silver, and bitcoin. Zero-interest rate policy (ZERP) says we don’t want your cash or savings.”

According to Kiyosaki, this current financial situation forces investors into the equity, real estate, or bond markets. He believes investors need to be better informed—and trade-in information. “There is no correlation between the price of a stock and the underlying fundamentals,” he added, “information is the key to the future, and you have to be up to date.” Kiyosaki is of the opinion that when a vaccine is released bitcoin, silver and gold may take a short-term dump—if this happens, he considers this to be a buying opportunity.

What options do investors have?

Capital flows to regions where inflation exceeds the cost of borrowing. Investors earn more by speculating in appreciating stocks, commodities, and real estate if they can borrow at 4% and inflation is 6%.

In China, India, and other countries in Southeast Asia and Latin America, borrowing

CoinDesk 20 Bitcoin Price Index

Bitcoin was able to hit $10,800 Tuesday before falling on U.S. Pres. Donald Trump’s stimulus tweet. Meanwhile, the DeFi ecosystem’s most popular wallet hit 1 million users.

  • Bitcoin (BTC) trading around $10,555 as of 20:00 UTC (4 p.m. ET). Slipping 1.6% over the previous 24 hours.
  • Bitcoin’s 24-hour range: $10,528-$10,800
  • BTC below its 10-day and 50-day moving averages, a bearish signal for market technicians.

Bitcoin’s price was able to climb to $10,800 on spot exchanges such as Coinbase Tuesday before falling to as low as $10,528 immediately after President Trump tweeted his rejection of opposition lawmakers’ most recent economic stimulus proposal. 

“One thing that is still hanging over this market is the stimulus,” said Andrew Tu, an executive at quant trading firm Efficient Frontier. “It may take until after the elections for them to reach an agreement, which would be really bad for a lot of Americans relying on government aid.”

Related: This Self-Sovereign ‘DocuSign’ Uses Bitcoin for Digital Proofs

Katie Stockton, an analyst at Fairlead Strategies, says bitcoin has been above the key $10,000 price point for some time, which she considers bullish. “Bitcoin has been consolidating within its uptrend since discovering support near $10,000 a month ago,” Stockton said. The last time bitcoin traded below $10,000 was on Sept. 9.

Daniel Koehler, liquidity manager at cryptocurrency exchange OKCoin, says the aftermath of the BitMEX news still has him optimistic. 

Read More: BitMEX Ether Futures Trading Contracts Fall by Half in Wake of US Charges

“It’s bullish to see that bitcoin trading infrastructure is so strong given that the former largest bitcoin derivatives trading platform can lose 25% of [its] BTC open interest deposits overnight and the markets just shrug it off.” Koehler also noted that open interest in the bitcoin futures market overall is ticking up, hitting $3.8

US authorities on Thursday charged the founders of BitMEX, a major cryptocurrency exchange, with wilfully failing to prevent money laundering and operating an unregistered trading platform.

The charges are the latest in a years-long effort by the US to crackdown on a cryptocurrency market that was once largely unregulated but has moved more and more under the purview of governments.

BitMEX, which is owned by a parent entity in the Seychelles, was founded in 2014 by Arthur Hayes, Ben Delo and Samuel Reed. The exchange promises customers the opportunity to trade with up to 100 times leverage.

The Department of Justice brought criminal charges against the trio for violating rules under the Bank Secrecy Act that require financial institutions to maintain anti-money laundering controls. Prosecutors also charged Gregory Dwyer, who was BitMEX’s first employee.

Audrey Strauss, the acting Manhattan US attorney, said the four men “undertook to operate a purportedly ‘offshore’ crypto exchange while wilfully failing to implement and maintain even basic anti-money laundering policies”.

“In so doing, they allegedly allowed BitMEX to operate as a platform in the shadows of the financial markets,” she added.

The Commodity Futures Trading Commission also brought civil charges against Mr Hayes, Mr Delo and Mr Reed, as well as five entities behind BitMEX, for failing to register with the agency and not implementing AML procedures.

The CFTC said BitMEX had taken in $11bn worth of bitcoin in deposits and earned $1bn in fees since its founding. It alleged the exchange had operated in part from the US and solicited American customers.

“New and innovative financial products can flourish only if there is market integrity,” said Heath Tarbert, the CFTC chairman. “We can’t allow bad actors that break the law to gain an advantage over exchanges that are doing the right thing by complying