One more bullish sign for Bitcoin?

Well known for his fierce hatred of the cryptosphere, Nouriel Roubini even went so far as to compare cryptos to a stablecoin based on toilet paper and called Bitcoin the “mother of all scams and bubbles” before the US Senate (in 2018). .

However, in a recent interview with Yahoo Finance, the economist specializing in economic catastrophism had to end up admitting, half-word, a quality to Bitcoin. Who would’ve believed that ?

However, Dr. Doom hasn’t turned into a crypto enthusiast. Far from there ! The positive quality he recognizes in Bitcoin has indeed slipped between criticisms, such as:

“It is not a currency”, supposedly because it would not serve as a unit of account;
Its number of transactions per second cannot increase: “it has no scalability”.
His slight compliment to Bitcoin comes from its role as a safe haven:

Bitcoin may be a partial store of value, because unlike thousands of other cryptos that I call shitcoins, it cannot be easily devalued, since it has an algorithm that decides where it is. amount of bitcoins that is issued increases over time…. You can also trade and make a lot of money by riding the volatility of the bitcoin market.

Not so fast: Roubini considers that, anyway, everything will be crushed by the MNBCs

Didn’t you think Dr. Doom was going to end his interview on something positive anyway? As usual, he ends with a nightmarish economic vision, where central bank digital currencies (MNBC) have destroyed all other forms of money:

“Not only will you no longer need crypto, but you will no longer need Venmo (PayPal’s mobile payment service). You won’t even need a bank account anymore. You won’t even need a check (…). The big revolution that we are going to see in the next 3 years will be the digital currencies of central banks. They will crowd out all other digital payment systems. “

It is an economy entirely governed by the goodwill of the central banks, made all-powerful. Even though Halloween is over, Nouriel Roubini still knows how to give us visions of horror.

Obviously, anyone in the cryptosphere knows that Bitcoin was created from the ashes of the 2008 financial crisis, precisely to escape the banking cartel. Crypto-enthusiasts are therefore unlikely to return to this dependence with MNBCs. But what do you want? You don’t turn an apocalypse preacher into a Bitcoin apostle overnight.
 

While it has long looked like Donald Trump would win the election, at the last moment the tide may have turned in Joe Biden’s favor. The participation of voters through the mail could be crucial. There is currently a record turnout in the election, but there is still no clear winner.

Bankman-Fried is part of the Political Action Committee (PAC) or Super PAC, which has no legal restrictions on the amount of money it can spend. However, the funds raised by the Super PACs can only be invested at the state level. However, the law forbids making donations at the federal level.

Therefore, the money raised was sent to contribute to the campaign in 3 key states: Florida, Ohio and Texas. The amount donated by Bankman-Fried is only exceeded by Michael Bloomberg. The magnate made a contribution of $ 56 million.

In total, Biden received $ 79.5 million from key donors. In contrast, the incumbent president received $ 75 million. Given how tight the choice is, the FTX CEO’s input could be critical to the bottom line. In total, the Center for Responsive Politics estimates that both candidates’ campaigns received nearly $ 2.2 billion in donations. Bankman-Fried’s $ 5.2 million is on top of donations from Alphabet Inc (Google), Simon Property Group, Euclidean Capital, and others.

Bitcoin reaches Washington
Bankman-Fried’s donation could have a noticeable impact if a Joe Biden win is consolidated – especially in implementing a new regulatory policy when there is a new government. At least the crypto community has responded positively to the donation from the CEO of FTX. One user stated that “Crypto needs to increase its presence in DC (District Capital, Washington).” Others expect positive effects from Bankman-Fried’s donation:

It is surreal to see a crypto CEO donate such a relatively (and absolutely) high contribution to the election. Let’s hope that Bankman-Fried actually did lobbying for cryptocurrencies with the Biden team before donating.

Notably, FTX is a Hong Kong-based exchange. Under US law, US citizens are not allowed to participate in trading their derivatives. Therefore, the donation could be aimed at easing regulations so that the exchange can eventually enter the US market. Analyst Adam Cochran said:

It was a donation to a super PAC that is going down in broad votes. This is political lobbying and is a great way to get regulation changes.

Bitcoin has thus reached its highest price since January 8, 2018, certain parallels to the Bull Run of 2017 are currently inevitable. The current price movement seems to be driven by a strong FOMO (“fear of missing out”) effect. At least this is what the so-called “Fear and Gread Index” says, which tries to measure the mood in the market.

The index has risen from 72 to 90 yesterday, which means the market is now in an “extreme greed” state, according to the index. The last time the index topped 90 was in June 2019 when BTC hit its yearly high of $ 13,900. However, not all experts are convinced that Bitcoin is actually “overbought”.

The founder of Capriole Investments, Charles Edwards, explained that the situation is fundamentally different than in 2017. Edwards pointed out in a newsletter to investors that there was a massive migration of Bitcoin reserves to crypto exchanges this year. Bitcoin stocks on the exchanges have decreased by 25%.

The shortage of tradable Bitcoin, according to Edwards, is currently “causing a supply shock to potential buyers, which was probably also triggered by the halving dynamic” and increasing the likelihood of positive price movements. Edwards also wrote on Twitter that “19K are more likely at the moment than a drop to 12K”. Edwards also referred to the latest news that Square sold twice as many bitcoins in the third quarter as were mined worldwide.

This, together with the PayPal news and the constantly new records from Grayscale Investments, which bought 77% of all new bitcoins in the third quarter, seem to support the theory of the supply shock from Edwards.

$ 16,000 is the final resistance before a new Bitcoin all-time high
A key level for another Bitcoin rally could be the $ 16,000 mark, as there were two weekly closing prices at $ 16,100 in early January 2018. So if this week’s candle can hold these levels, there could be a surge towards this elusive all-time high. With this in mind, the renowned analyst Michael van de Poppe wrote:

The past few hours have been accelerating as we get closer to the next $ 16,000 weekly level. US stocks are doing their job too, having risen about 7% (Nasdaq) in the past 36 hours. Let’s see where BTC will end up, before or after $ 16,000.

Analyst Credible Crypto pointed out that yesterday’s price movement broke the rising trendline, which could mean the attack on the all-time high at USD 20,000. Still, he also warned that it could be a false outbreak. In this case, the analyst sees the level around 13,500 as the first support:

Our trend line has been broken. Nevertheless, we are now pushing for the HTF [Higher Time Frame] supply, the last major obstacle before the new ATH. It is very possible that this break in the TL [trend line] is just a throw-over (false breakout), and there is simply no way to justify longing for this coverage area.