Bitcoin to Rebound Despite 12 Percent Decline in Price
The Bitcoin ‘break out’ case is stronger than ever – despite the cryptocurrency’s price dropping 12% over the last seven days, affirms the CEO of one of the world’s largest independent financial advisory and fintech organisations.
The comments from Nigel Green, chief executive and founder of deVere, come after the leading digital asset fell to around $10,000 over the weekend.
Mr. Green notes: “Crypto cynics and finance traditionalists will use the current – and temporary – fall in Bitcoin as an excuse to knock its inherent strengths to fit their own agendas.
“However, the reality is that the case for Bitcoin to break out this year is stronger than ever.”
He continues: “The first reason is about record-shattering stimulus initiatives. Governments and central banks around the world are continuing to prop-up their economies. Just last week France announced a new $100bn package.
“The off-the-scale level of money printing drastically devalues traditional currencies, which serves to boost the price of Bitcoin as investors look for viable alternatives.
“The stimulus agendas are unsustainable in the longer-term and there’s a potential inflation issue looming. Investors know this and are revising their portfolios accordingly.”
Mr Green adds: “The second reason is that the uncertainty created by the U.S. presidential election is going to intensify between now and November 3.
“Investors will pile into safe-haven assets, which are not tied to any specific country, such as Bitcoin and gold.”
But perhaps even more important are the underlying fundamentals, says the deVere boss.
“Bitcoin’s price will remain on an upward trajectory in 2020 and beyond because the fundamentals haven’t changed– namely that cryptocurrencies are the future of money.
“Cryptocurrencies like Bitcoin are digital and global. We’re going through a tech revolution and cryptocurrencies are digital by their very nature.
“It is also about demographics. Younger people, who are of course the future, have always lived in a digital era, so using digital currency is going to be second nature.
“In addition, there will be an acceleration of institutional investment which is likely to be driven by greater regulatory clarity.
“For instance, Bermuda last week took another step towards cementing its drive towards crypto by testing a digital token, which can be used to buy food and other essentials.”
More and more global jurisdictions can be expected to join the likes of Malta, Hong Kong, Japan, Switzerland – and now Bermuda – in becoming crypto-friendly from a regulatory and pro-business viewpoint.
“The institutional expertise and capital will bolster prices significantly.”
Mr Green concludes: “The fundamentals that make Bitcoin an attractive investment are, in fact, gaining strength.
“If anything, the drop in price below $10,000, which is a critical psychological level, will be used by investors as a key buying opportunity – especially given that Bitcoin has soared by about 70% year-on-year, making it one of the best-performing assets of 2020.”
Pizza Hut Joins Burger King, Church’s Chicken to Accept Crypto Payments in Venezeuela
Pizza Hut has joined other global fast-food chains like Burger King and Church’s Chicken already accepting crypto payments in Venezuela.
This was confirmed by a crypto services firm, CryptoBuyer, on November 27 after pizza Hut stores in the South American nation partnered with Mega Soft to drive adoption in Venezuela by encouraging crypto payments in its over 20,000 shops and businesses in the country.
“Pizza Hut nowadays cannot be detached from these technological advances and all those incorporating new approaches for daily necessities,” said Richard ElKhouri, General Director for Venezuelan operations of the pizza chain, in an interview with local news outlet ElAxioma. “It is important that we accommodate young people, modern adults, and people technologically knowledgeable.”
According to Elkhouri, customers can buy pizza with Bitcoin (BTC), Litecoin (LTC), Dash (DASH), Binance Coin (BNB), Binance USD (BUSD), Ether (ETH), Tether (USDT), Dai (DAI), and its native token XPT.
This will further help deepen cryptocurrency adoption in the country and across the South American region.
Bitcoin Rebounds; Gained 7 Percent to $18,116 Per Coin Amid Renewed Demand
Bitcoin recovered most of its lost ground in the last 24 hours after dropping about $3,000 from $19,400 it exchanged a week ago to $16,800 per coin.
The world’s most dominant cryptocurrency gained 7.01 percent to close at $18,116.31 per coin on Monday morning at 8:46 am Nigerian time.
Investors jumped on the digital currency after Guggenheim Funds Trust filed an amendment with the U.S. Securities and Exchange Commission to allow its Macro Opportunities Fund to invest as much as 10 percent or $500 million of its $5 billion net asset in Bitcoin through Grayscale Bitcoin Trust (GBTC).
The news bolstered Bitcoin attractiveness as cryptocurrency investors interpreted as a new capital inflow that could aid the coin above the $20,000 per coin obstacle or resistance.
According to the amendment filed: “The Guggenheim Macro Opportunities Fund may seek investment exposure to bitcoin indirectly through investing up to 10% of its net asset value in Grayscale Bitcoin Trust (“GBTC”), a privately offered investment vehicle that invests in bitcoin. To the extent the Fund invests in GBTC, it will do so through the Subsidiary.”
Cryptocurrency: Facebook Owned Libra to Launch Stablecoin in January 2021
Facebook Inc led Libra Association is planning to launch Libra stablecoin pegged to only the United States Dollar as early as January 2021, according to three anonymous people quoted by the Financial Times.
The stablecoin was initially proposed to be pegged to a basket of multiple currencies before the group faced several setbacks after the US parliament pressure Facebook on data breach and other issues that allegedly allowed Russia to meddle in the 2016 US presidential election.
The social media giant has now cut down on its ambition to focus on US dollar-pegged stablecoin in an effort to reduce regulatory bottleneck.
PayPal Inc., one of the first members of Libra Association that pulled out after regulators increased scrutiny on Facebook operations, has since started a cryptocurrency exchange business.
Business2 months ago
Npower News on Permanency for Batch A, B
Forex2 months ago
Naira Improves Against Global Counterparts on Black Market
Business2 months ago
Buhari Budgets N420 Billion for Npower, Other Social Investment Programmes in 2021 Budget
Forex3 months ago
Zenith Bank Joins Other Banks to Cap International Spend Limit at $100/Month
Cryptocurrency2 months ago
Bitcoin Gains 1.67 Percent to $11,050 Per Coin Amid Liquidity Issue
Business3 months ago
FG to Absorb Exited N-power Beneficiaries into New Program
Stock Market3 months ago
Zenith Bank Declares 30 Kobo Interim Dividend for H1 2020
Business3 months ago
FG Approves Stipends for Exited N-Power Beneficiaries