Bitcoin Core Breaks $8,000! - Daily Analysis - 11/16/17

General Daily Trends

Bitcoin Core

At the time of writing, Core is at a new all time high of $8,014.00. This comes as the dust settles after an insane week for cryptocurrency. Bitcoin Core plummeted to the upper $5,800s, before bouncing back today to break $8,000 and hit a new ATH.

Bitcoin’s market dominance is still down, at 57%. It was as low as 49% at some points last week. The market cap is also at an all time high, approaching $130 billion. Charts suggest that Bitcoin will experience a correction shortly, however, due to this massive growth over the past few days. Good time to sell high.

Over the weekend, it’s highly possible that Bitcoin Cash experiences another pump, given that Bitcoin Core is now at a new ATH and Bitcoin Cash is at about a 1 week low. As such, Bitcoin may experience another significant drop shortly, though it’s very hard to be certain.

Bitcoin Cash

Since I last wrote an article, it’s been a BIG week for Bitcoin Cash. It skyrocketed up, far higher than my projections, to over $2,200, marking over 250% gains within only a few days. Just as fast as it blasted up, it shot back down to around $1,500, and has been steadily decreasing since, now at around $1,000.

This blast in price has become known as the “Bitcoin Civil War,” pitting r/Bitcoin and r/BTC against one another, trying to make users choose sides. Bitcoin Cash advocates claim that Bitcoin Cash is a necessary adoption for Bitcoin, and that it will replace the Core chain within a few months.

Outside of the endless politics regarding BCH and BTC, it is likely that BCH gets pumped again this weekend, possibly up to a new high. Lots of underhanded Telegram schemes and Discord groups have been coordinating to artificially pump the prices of cryptocurrencies to gain money - a practice illegal in the stock world, however unregulated within crypto.

I’m still hodling a few thousand in BCH. I expect it to go back up soon, at which point I may trade out to Bitcoin Core or another altcoin.

Etherium

While Bitcoin Cash and Bitcoin were duking it out over last weekend, Etherium experienced slow but steady growth, up to stabilize around $330. Surprisingly, Etherium seems to be a better and less volatile store of value at this point. I’m beginning to personally consider it the gold of the cryptocurrency world, as it’s value has remained remarkably consistent even as other currencies are fluctuating wildly.

Major Events/Miscellanious

Bitcoin Core vs. Bitcoin Cash

Obviously I’m going to have to take a personal stance on this at some point, so in the spirit of full disclosure, here’s my bias: I support Bitcoin Cash. I see the increased blocksize as a 100% necessary fix, and the fees of Bitcoin have led me to believe that Bitcoin Cash will replace Bitcoin Core. It may not be in the next month, or the next 6 months. But I truly believe it will happen, especially with the increasing adoption of it.

Outside of my personal beliefs, both sides of the “conflict” have been horrible. r/Bitcoin has been openly censoring pro-BCH posts, and Core activists hurled countless insults at Cash supporters. Even on r/BTC, many users called for the end of Bitcoin Core, claiming that all the people still invested in it deserved to lose their money. I’d like to separate myself from both communities.

In the future, as I said, I see it as inevitable that Cash replaces Core. But honestly, it’s impossible to predict when that will happen. So for now, I’m holding most of my BCH and trying to play the extremely volatile market as best I can.

Square Implementing Bitcoin

The popular mobile payment app Square has begun implementing Bitcoin trading as an option, citing that users highly requested it as the reason. They’ve only implemented it with a “small number” of users so far, but they claim it will be widely implemented in the near future.

This is great news for Bitcoin. The more commonly used and more accepted it is, the higher the price goes, and the closer we get to the end goal of replacing fiat currency. Square also saw a jump in stock price to their all time high of $41.80. This is similar to Overstock, who saw a large jump in stock price after announcing they would accept cryptocurrency.

Further Reading

http://www.businessinsider.com/bitcoin-price-and-square-stock-up-2017-11

https://cointelegraph.com/news/buyer-beware-cryptocurrency-pump-and-dump-schemes-coordinated-in-telegram

https://cointelegraph.com/news/bitcoin-breaks-through-8000-following-massive-head-fake

http://www.businessinsider.com/ico-cryptocurrency-pump-and-dump-telegram-2017-11

Final Note

First off, sorry for the lack of posts the past week. I’ve been crazy busy, and it’s been hard finding time.

I run solely off of your generous upvotes, and donations. It takes 2 seconds to drop an upvote, which directly helps me continue to write consistently. If you wish to take it a step further, feel free to donate to me directly through Bitcoin (Core or Cash). Any amount is greatly appreciated!
BTC - 1AWvxxKsQBJUtarpD1GdFt3KX1LRdWUWja
BCH - 18UtgKFMYbmJQ7ZfE8XVTBFbmFd7AD1WSP