If China is getting involved in the hash rate and mining pools, then Bitcoin has just proven its resilience
Friday, November 26, 2021, 11:26 a.m.
The week in review
with Jason Deane
Things that hadn’t happened this time last week:
◼ Plans to build a Bitcoin City on the back of a volcano-based Bitcoin bond in El Salvador
◼ Estonia’s LZV bank is the first in the country to allow Bitcoin purchases
◼ Latin American e-commerce giant Mercado Libre is adding Bitcoin to its balance sheet and announcing it will accept cryptocurrencies
This, of course, is just a small selection of events that show how fast Bitcoin’s adoption rates are accelerating, and just one of these topics is enough to more than fill this morning’s weekly summary.
However, as I shuffled into my office this morning with the first coffee of the day, I was faced with two charts that surprised me and immediately showed me the direction of today’s comment – a breaking news. While my Friday morning pieces are usually a leisurely stroll through the events of the week, it seems appropriate to break the log and write about them.
The two charts were Bitcoin Price and Bitcoin Hashrate Charts, which both showed dramatic drops in real time. In fact, at the time of writing, Bitcoin had fallen six percent in about an hour, while the hashrate had fallen around 16 percent (from the most recent average) in the hours immediately prior to that. What happened?
Some brief research and news from my colleagues in the Bitcoin mining world revealed that this could potentially be linked to further mining-related shutdowns by the Chinese government. It appears that the large pools of viaBTC, Poolin, F2Pool, Binance, and BTCcom have suddenly suffered disconnections. The only thing they all had in common was that their DNS was provided by Alibaba Cloud, a Chinese company. Everyone had stopped breaking up.
In other words, while all miners were almost certainly working as normal, their hash power wasn’t coming through, resulting in an artificially low global hashrate. The markets appear to have overreacted immediately and there could be choppy waters for at least a while.
The irony, of course, is that this little technical problem, solved simply by switching to a non-Chinese DNS service, actually shows how resilient the Bitcoin network is, rather than how fragile it is. Are you taking out the largest mining pools and the network still working exactly as intended? This is impressive.
Try this with a different money network and we’ll be right back at “Sorry, mate, only cash, card machine has failed”.
I just say ‘.
Have a nice weekend!
Jason
Would you like to help spread the introduction and formation of Bitcoin in the UK and even pile some sats while you do so? Well now you can!
the Bitcoin pioneers Community, supported by Barry Silberts Digital Currency Group, was formed to bring Bitcoin to a mainstream audience in meaningful ways and now has members across the UK.
We share tips, stories, and ideas on how to encourage others to try Bitcoin for the first time. And thanks to the support of Luno, every Pioneer receives £ 500 a month of Bitcoin to share with beginners to help them get started.
So if you’re interested in Bitcoin, why not join today? Click here to find out more!
All feedback on Crypto AM Daily in partnership with Luno is welcomed by email at James.Bowater@cityam.com
Yesterday Crypto AM Daily in collaboration with Luno
In the markets
The bitcoin economy
* Definitions and findings can be found at https://bytetree.com/insights/
Total crypto market capitalization
The total capitalization of the entire cryptocurrency market at the time of writing is currently $ 2,622,587,539,636, down from $ 2,586,046,553,723.
What Bitcoin did yesterday
We got yesterday, November 25th, 2021, for the price of. closed $ 58,927.89, down from $ 57,206.37 the previous day. The daily high was $ 59,367.97 yesterday and the daily low was $ 57,146.69.
Around this time last year, Bitcoin price closed the day at $ 17,108.40. In 2019, it closed at $ 7,531.66.
Bitcoin market capitalization
Bitcoin’s market capitalization at the time of writing is $ 1,087 trillion. To put it in context, the market cap of gold is $ 11.446 trillion and Tesla is $ 1.12 trillion.
Bitcoin market capitalization
Bitcoin’s market capitalization at the time of writing is $ 1,087 trillion. To put it in context, the market cap of gold is $ 11.446 trillion and Tesla is $ 1.12 trillion.
volatility
Bitcoin’s price volatility over the past 30 days is 42.55%.
Fear and greed index
The market sentiment is today 47, in fear.
Bitcoin’s market dominance
Bitcoin’s market dominance is today 42.19. The lowest dominance ever measured was 37.09 on January 8, 2018.
Relative Strength Index (RSI)
The daily RSI is currently 45.13. A reading of 70 or above indicates that an asset is being overbought and may be prepared for a trend reversal or price correction – an RSI of 30 or below indicates an oversold or undervalued condition.
Convince your Nan: Soundbite of the day
“We are doing a lot of research on this asset class right now … in a time of inflation it could be a potentially good place to invest.”
$ 46.8 billion pension fund in Australia looking to invest in Bitcoin
What they said yesterday
It’s about sovereignty …
What are you grateful for
Historical prices for #Bitcoin this Thanksgiving day:
2013 – $ 832
2014 – $ 365
2015 – $ 356
2016 – $ 732
2017 – $ 9,342
2018 – $ 4,039
2019 – $ 7,118
2020 – $ 18,753
2021 – $ 58,780
– Bitcoin Magazine (@BitcoinMagazine) November 25, 2021
“Everyone does it” …
Morgan Stanley funds now hold ~ $ 300 million #Bitcoin through the Grayscale Bitcoin Trust.
– Bitcoin archive 🗄🚀🌔 (@BTC_Archive) November 25, 2021
Crypto AM: Editor’s Recommendations
New cryptocurrency called ‘JRR Token’ blocked by lawyers for Lord of the Rings creator Tolkien
El Salvador is building Bitcoin city at the foot of the volcano
Bitcoin’s long-awaited taproot upgrade is here
Bitcoin’s long-awaited taproot upgrade has just hit the home network.
NFTs to fund new cryptocurrency film
El Salvador starts mining Bitcoin using volcanic energy
El Salvador, the first country in the world to adopt Bitcoin as legal tender, has mined over £ 200 worth of BTC using volcanic energy (Photo by Sean Gallup / Getty Images)
Binance investigated on suspicion of insider trading
Krypto AM: features
Krypto AM: Spotlight
Crypto AM: Founder Series
Crypto AM: Industry voices
Krypto AM: Contributors
Crypto AM: In conversation with James Bowater
Crypto AM: Tomorrow’s Money with Gavin S Brown
Crypto AM: Mixing in the Metaverse with Dr. Chris Kacher
Crypto AM: Visions of the Future, Past and Present with Alex Lightman
Crypto AM: Tiptoe through the Crypto with Monty Munford
Crypto AM: Get a byte out of digital assets with Jonny Fry
Crypto AM: Parliamentary Special Offer
Part one of two – April 2021
Part two of two – April 2021
Five-part series – March 2021
Day one…
Day two …
Day three …
Day four …
Day five …
Krypto AM: Events
Warning notices
Similar tagged content:
Sections
Categories
Comments are closed.