One Bitcoin Will Buy a Lamborghini This Year and a Bugatti in 2022, Kraken CEO Says

One bitcoin will be able to buy a Lamborghini model by the end of the year and a Bugatti in 2022, said Jesse Powell – the CEO of the veteran US crypto exchange, Kraken.

During a recent interview with Bloomberg, he was also bullish on Ethereum, predicting a price tag well above $2,000 due to the upcoming ETH 2.0 release and the large number of projects built on top of it.

One BTC for Lambo and Bugatti

Kraken’s CEO has been highly-optimistic regarding BTC’s future price performance for a while. He has repeatedly outlined that the primary cryptocurrency is heading towards “infinity,” especially if the US continues to print excessive amounts of the dollar.

When asked to specify what “infinity” means in terms of the USD, he previously said that $1,000,000 per bitcoin sounds very reasonable in the next ten years.

During a more recent interview with Bloomberg, Powell decided to provide a more vehicle-related comparison.

“It might be easier to understand if we measure it in terms of Teslas. Now 1 BTC is one Model 3. Probably by the end of the year, it will be one bitcoin for a Lambo. Probably by the end of next year, it will be one bitcoin per Bugatti.”

How Much Will BTC Be Worth in USD?

Although Powell believes that putting BTC’s price in USD perspective could be unnecessary with the current Fed policy, it’s still worth reviewing how much one coin would be worth if his words come true.

According to data from SuperCars.net, the cheapest new Lamborghini model in the US now is the Huracan Evo Rear Wheel Drive (RWD), worth $179,000. The most expensive one is the Aventador SVJ – $515,000. So, if BTC is to indeed follow Powell’s projection, it could cost between $179,000 and $515,000 in the next nine months.

Lamborghini Aventador SVJ. Source: Nastarta
Lamborghini Aventador SVJ. Source: Nastarta

The 2022 prediction could see bitcoin at an even higher price level – significantly higher. Keeping in mind that the cheapest new Bugatti on sale in the US now – Chiron – costs $2,990,000, this means that bitcoin’s USD price needs to increase by more than 5,000% to reach that level.

Bugatti Chiron. Source: NYTimes
Bugatti Chiron. Source: NYTimes

Just for the sake of it, the most expensive Bugatti, the Chiron Super Sport 300+, costs $3,900,000.

Bullish on ETH and DOT

Powell also touched upon a few other cryptocurrency projects – Ethereum and Polkadot. He noted that Polkadot had become a vital part of the cryptocurrency industry as its blockchain continues to attract new developers.

Although he failed to provide a price tag for Polkadot’s native crypto – DOT – he said that Ethereum’s digital asset – ETH – would most likely be north of $2,000 by the end of the year.

He believes that the upcoming Ethereum 2.0 launch and the high utilization of the network with DeFi and NFT would be the primary reasons behind the price increase.

Source: Crypto Potato

Chipotle is giving away $100,000 in bitcoin

Free burritos or Bitcoin?

Chipotle Mexican Grill has both up for grabs Thursday for National Burrito Day. The fast-casual chain announced Tuesday it will give away $100,000 in free burritos and $100,000 in Bitcoin through an interactive game.

National Burrito Day is April 1 and while Mexican food chains aren’t exactly going the whole enchilada, the day hasn’t been canceled like other food days during the COVID-19 pandemic. The made-up food holiday is held annually on the first Thursday of April.

Chipotle said in a news release that it is the first U.S. restaurant brand to offer a “cryptocurrency giveaway to consumers” through the “Burritos or Bitcoin” game, which starts Thursday at noon EST and ends at 9 p.m. at www.burritosorbitcoin.com.

Chipotle said it is working with Stefan Thomas, the founder and CEO of Coil, for the game – which is described as “a playful ode to Thomas’ experience losing the password to his hard drive that stored $387 million in Bitcoin.” The German-born programmer living in San Francisco made headlines in January for getting locked out of his digital wallet.

Now for its game, Chipotle is “claiming to have lost the passcode to its digital wallet and is encouraging its fans to carry out a mock ‘chiptocurrency’ rescue mission.” Each player gets 10 tries to guess a correct six-digit passcode for a chance to win a free burrito or up to $25,000 in Bitcoin.

“National Burrito Day is a huge moment for Chipotle as our fans traditionally flock to our restaurants and digital platforms to order their favorites,” Chris Brandt, Chipotle chief marketing officer, said in a statement. “We’re always looking for…

Continue reading at USATODAY.COM

 

Visa allows paying off credit card bill with cryptocurrency

Visa said Monday that it will allow the use of cryptocurrency USD Coin to settle up transactions in its payment network, the latest indication of the growing acceptance of digital currencies by the mainstream financial industry.

Visa has launched the pilot program with payment and crypto platform Crypto.com, and the company said it plans to offer the option to more partners later this year.

“We’ve seen record-breaking growth in our business and the broader crypto ecosystem over the last year,” said Kris Marszalek, co-founder and chief executive officer of Crypto.com. “To continue accelerating the world’s transition to cryptocurrency, we need partners who understand the opportunity and the tools that will help us get to market faster and more efficiently. Having been a Visa partner for several years, we’re excited to deepen that relationship through our global agreement and to pioneer an exciting world-first in stablecoin payments.”

According to Visa, if a customer chooses to use a Crypto.com Visa card to make a purchase, the digital currency held in a cryptocurrency wallet needs to be converted into traditional money.

The company explained how transactions work, noting that the cryptocurrency wallet will deposit traditional fiat currency in a bank account, which will be wired to Visa at the end of the day to settle any transactions, adding cost and complexity for businesses.

Visa’s latest step, which will use the ethereum blockchain, negates the need to convert digital coin into traditional money in order for the transaction to be settled, the firm said.

Visa said it has partnered with digital asset bank Anchorage and completed the first transaction this month with Crypto.com sending USDC to Visa’s Ethereum address at Anchorage.

Visa’s move comes as…

Continue reading at NYPOST.com

 

Ray Dalio: The government ‘outlawing bitcoin is a good probability’

Billionaire investor Ray Dalio, founder of the world’s largest hedge fund Bridgewater Associates, thinks bitcoin may have a similar fate as gold did in the U.S. during the 1930s.

″[B]ack in the ’30s in the war years … because cash and bonds were such bad investments relative to other things, there was the movement to those other things, and then the government outlawed them,” Dalio told Yahoo Finance on Wednesday. “They outlawed gold.

“That’s why also outlawing bitcoin is a good probability,” he said.

Bitcoin, the largest cryptocurrency in terms of market value, has “proven itself” as its blockchain hasn’t been hacked and it has a large following, Dalio said. “It is an alternative store-hold of wealth. It’s like a digital cash. And those are the pluses.”

“So I think that it would be very likely that you will have it under a certain set of circumstances outlawed the way gold was outlawed,” Dalio said.

Dalio explained that “every country treasures its monopoly on controlling the supply and demand. They don’t want other monies to be operating or competing, because things can get out of control.”

Whether it could it be effectively banned in the U.S. is another story.

“I don’t know. I’m not an expert on that,” Dalio said. “But, there’s a whole way. My understanding, from people who are in government surveillance and so on, is yes, they can track it. They can know who’s dealing with it.”

However, James Ledbetter, editor of fintech newsletter FIN and CNBC contributor, previously told CNBC Make It that it’d be quite difficult for the government to effectively ban bitcoin.

Although there’s “concern or risk around regulation” of bitcoin, “I don’t think even a concerted effort among different countries and different central banks could actually shut down bitcoin,” Ledbetter said. “I don’t think that’s technologically possible. But there are ways that bitcoin could be regulated.”

While he hasn’t mentioned a ban, Federal Reserve chairman Jerome Powell has repeatedly warned against cryptocurrencies like bitcoin.

“They’re highly volatile and therefore not really useful stores of value and they’re not backed by anything,” Powell said during a virtual panel discussion on digital banking on Monday. “It’s more a speculative asset that’s essentially a substitute for gold rather than for the dollar.”

Dalio has previously addressed the government banning bitcoin.

In a January post titled “What I Think of Bitcoin” on the Bridgewater Associates website, Dalio wrote that…

Continue reading at CNBC.COM

 

 

Bitcoin Records 17-Day Low: Now Facing Critical Support

Bitcoin dropped by a sharp 10% over the past 24 hours as it headed towards $50K. The cryptocurrency has been falling throughout the entire week after slipping beneath an ascending trend line around the previous ATH from February at around $58,300, back on Monday.

It initially found support at $54,000, but it was broken down yesterday, causing Bitcoin to fall further into the .618 Fib Retracement at $51,540. Today, the price decline continued as the 10% price fall caused BTC to record a current low of $50,360 according to Bitstamp.

On March 20th Bitcoin was rejected trying to break through the $60k resistance level. Since then, BTC lost almost $10k of its value. In fact, $50,300 is the lowest price BTC was trading at since back on March 8th.

The bearish momentum follows the global markets. On Wednesday, major Wall Street indices saw 1-2% crashes, and today the bloodbath continues with Nasdaq deep in the red.

On a daily timeframe, Bitcoin broke down a critical ascending trend-line at around $54k and is now struggling to stay on top of the 50-day moving average line which is currently around the $51k mark. Besides, a daily close above the latter is the first condition to stay safe from a deeper plunge towards the mid 40k zone.

BTC Price Support and Resistance Levels to Watch

Key Support Levels: $51,540, $51,000, $50,000, $49,195, $47,700.

Key Resistance Levels: $53,500, $54,000, $56,000, $58,350, $60,000.

Looking ahead, the first level of support beneath $51,540 lies at $51,000 (50-day MA). This is followed by $50,000, $49,195 (.382 Fib Retracement), $47,700 (downside 1.618 Fib Extension), $46,000, and $44,750.

On the other side, the first level of resistance lies at $53,500 (ascending trendline which started forming in January). This is followed by $54,000, $56,000, $58,350, and $60,000 (this week’s high).

It is important to point out that the RSI is now the most oversold since mid-January as it falls beneath the 30 level. This indicates that the market sentiment is pretty bearish as the price drops. In this bull run, the last two times the daily RSI fell below 50 was the last days of the past two months. On both occasions, it took bitcoin no more than two weeks in order to record a new all-time high.

Moreover, the Stochastic RSI is extremely oversold, and a bullish crossover might give some hope for a bullish correction.

Bitstamp BTC/USD Daily Chart

btcusd-mar25th
BTC/USD Daily Chart. Source: TradingView

Bitstamp BTC/USD 4-Hour Chart

btcusd-mar25-4hr
BTC/USD 4-Hour Chart. Source: TradingView

Source: Crypto Potato

Ethereum Price Analysis: ETH at 25-Day Low Against Bitcoin, Time to Buy?

ETH/USD – Bulls Rebound From Early January Trend Line

Key Support Levels: $1652, $1610, $1527.
Key Resistance Levels: $1755, $1800, $1875.

Over the past week, Etheruem had been trading within a range between $1875 and $1755. This range was penetrated toward the downside on Monday as the coin dropped beneath $1700 to reach support at $1652.

This support was further bolstered by an ascending trend line that dates back to early January. After hitting this support, Ethereum bounced higher to climb back above $1700 and hit $1732 today.

ethusd-mar24
ETH/USD Daily Chart. Source: TradingView

ETH-USD Short Term Price Prediction

Looking ahead, the first level of resistance is expected at $1755 (bearish .618 Fib Retracement). This is followed by $1800, $1875 (1.414 Fib Extnesion), and $1960 (1.272 Fib Extension and all-time high daily closing price).

On the other side, the first support lies at $1652. Beneath this, support lies at $1610 (.618 Fib), $1527 (.786 Fib), and $1425 (early March support & 100-days EMA).

The RSI has started to push higher from beneath 40 as it heads toward the midline. This indicates the previous bearish momentum is starting to fade. Additionally, the Stochastic RSI is primed for a bullish crossover signal that should send the market higher.

ETH/BTC – Buyers Continue To Defend 0.0305 BTC Support

Key Support Levels: 0.0305 BTC, 0.03 BTC, 0.0295 BTC.
Key Resistance Levels: 0.031 BTC, 0.0318 BTC, 0.032 BTC.

Ethereum is showing some sign of weakness against Bitcoin. The cryptocurrency held support at 0.0305 BTC (.886 Fib Retracement) for the majority of the month. Today, the cryptocurrency spiked beneath this support, reaching as low as 0.0302 BTC.

It has since rebounded from there to climb back above 0.0305 BTC, but the spike lower is an indicator of weakness. A break beneath 0.03 BTC would be disastrous for ETH and is likely to push it lower toward 0.028 BTC.

It’s worth noting that we haven’t seen this price since last month on February 28th.

ethbtc-mar24
ETH/BTC Daily Chart. Source: TradingView

ETH-BTC Short Term Price Prediction

Looking ahead, the first level of support toward the downside lies at 0.0305 BTC. This is followed by 0.03 BTC, 0.0295 BTC, and 0.0285 BTC (Feb 2020 highs).

On the other side, the first resistance is located at 0.031 BTC. This is followed by 0.0318 BTC, 0.032 BTC (200-days EMA), and 0.0337 BTC (Nov 2020 Highs).

The RSI is in bearish territory and starts to head lower, indicating that the bearish momentum is starting to increase. If it continues to dip further, ETH will likely break the support at 0.03 BTC.

Source: Crypto Potato

Bitcoin could plunge 90% into a ‘winter’ lasting years after another surge, crypto-exchange founder says

The bitcoin price could surge as high as $300,000 in the latest bull-market rally but then plunge 90% into a “winter” lasting years, the founder of the cryptocurrency exchange BTCC said.

Bobby Lee told CNBC’s “Squawk Box Asia” on Monday that 2021 is a bull market for bitcoin, of the sort that comes around every three or four years. Lee, who runs the crypto wallet app Ballet, said 2013 and 2017 were also bull-market years in which the bitcoin price increased by 10 or 20 times.

He predicted that the price of bitcoin would hit $100,000 by the summer and “potentially” $300,000 by the end of the year “if history plays itself out again.”

However, Lee said that “bull-market cycles come and go,” adding that “after a bull-market peak inevitably it could go down by quite a bit, and that’s when the bubble bursts.”

Lee said bitcoin could enter a “winter” where the price stays low for two or three years. “So after it peaks out, whether it’s $200,000, $100,000, or $300,000, people should be aware that it could fall as much as 80% to 90% of its value from the all-time peak,” he said.

Lee cofounded BTCC in 2011, making it one of the oldest cryptocurrency exchanges.

The bitcoin price has roughly doubled this year, to about $58,100 on Monday, down from a high of close to $62,000 a week ago. It is up by almost 800% from last March, when it tumbled as the coronavirus outbreak started to batter the global economy.

Advocates say the world’s biggest cryptocurrency by market value will continue its remarkable run, as institutional investors increasingly become involved. They also argue that bitcoin can act as a hedge against inflation, which many investors expect to rise.

But critics say bitcoin’s massive volatility means its…

Continue reading at BUSINESS INSIDER

 

Fed Chairman Jerome Powell Says Bitcoin Is a Substitute for Gold

Federal Reserve Chairman Jerome Powell sees cryptocurrency as a substitute for gold, rather than the dollar. However, he cautioned that crypto assets, including bitcoin, are highly volatile and not useful as a store of value.

During a webinar sponsored by the Bank of International Settlements (BIS) on Monday, Federal Reserve Chairman Jerome Powell talked about cryptocurrency, mentioning bitcoin in particular.

The Fed chair detailed: “Crypto assets are highly volatile, see bitcoin, and therefore are not really useful as a store of value. And, they are not backed by anything. They are more of an asset for speculation. They are also not particularly in use as a means of payment.” He elaborated:

It’s more a speculative asset. It’s essentially a substitute for gold, rather than for the dollar.

Powell proceeded to say that with crypto assets, “the public needs to understand the risks. The principal thing is there’s the volatility. There’s also the outsized energy requirement for mining, and the fact that they’re not backed by anything.”

What do you think about what Fed Chair Powell said? Let us know in the comments section below.

Source: Bitcoinnews.com

Analysis: Bitcoin Price Could Top $250,000 According to an Important Indicator

Bitcoin’s current bull run could continue for another 4x price increase, according to the Long-Term Holder MVRV metric, suggested Glassnode.

Simultaneously, the network’s activity keeps escalating as the non-zero and 0.01+ accounts have both reached new all-time highs.

Bitcoin to $250K and Beyond?

The primary cryptocurrency has been on a bull run in the past several months. After all, its price increased by roughly six-fold since early October to its recently-registered all-time high at $61,800.

Despite this impressive surge in a relatively short period, the analytics resource Glassnode indicated that the run could continue to well within a six-digit price territory.

According to the company, the Long-Term Holder Market Value/Realized Value metric, which takes into consideration only UTXOs with a lifespan of at least 155 days, is a “good indicator of bitcoin market tops.”

The metric is currently at ten, which is still beneath the red zone (above 20). During the previous bull cycle in 2017, BTC traded at $4,500 when the LTH MVRV was at a similar spot. From that point on, the asset price exploded by about 4.4x to its December 2017 peak at nearly $20,000.

Should a similar scenario occur now, bitcoin’s price would explode to over $250,000 per coin. Its market capitalization would be about $4.7 trillion – or more than two times larger than Apple’s.

Bitcoin Long-Term Holder MVRV Metric. Source: Glassnode
Bitcoin Long-Term Holder MVRV Metric. Source: Glassnode

Although these potential price tags sound quite optimistic as of now, it’s worth noting that numerous bitcoin advocates have recently predicted similar projections. Max Keiser, who was very accurate about his end-of-2020 forecast, has repeatedly said that $220,000 per coin is “in play” in 2021.

The popular S2FX model, the upgraded version of the stock-to-flow, sees $288,000 this year, while its creator recently doubled-down on his belief.

Network Activity to New ATHs

Apart from the price reaching new highs, the BTC network activity has been exponentially increasing in the past several months as well.

The number of non-zero bitcoin addresses, which saw a sharp drop during the year-long bear market in 2018, has reached a new all-time high of over 36,700,000.

Bitcoin Non-Zero Addresses. Source: Glassnode
Bitcoin Non-Zero Addresses. Source: Glassnode

Additionally, other accounts, holding at least 0.01 bitcoins (worth roughly $590 as of today’s prices), have gone for a new record as well. Further Glassnode data indicated that such wallets are now more than 8,900,000.

Bitcoin Addresses with 0.01+ Coins. Source: Glassnode
Bitcoin Addresses with 0.01+ Coins. Source: Glassnode

Source: Crypto Potato

What is BitClout? The Latest Crypto Hype – Is It Safe?

Every now and then, the cryptocurrency community is taken ablaze by a new project that does the rounds.

Now, it seems that Bitclout is where all the rage is – a new type of social network, the intention of which is to enable users to speculate on people and posts with real money.

Let’s have a closer look at what Bitclout is and why it is so popular right now.

What is the Bitclout Network?

Bitclout is a new decentralized protocol that brings forwards a social network, enabling users to speculate on people and posts using real money.

According to the project’s official whitepaper, it’s set up on its own custom blockchain and boasts a similar architecture to Bitcoin. However, it can only support data like posts, follows profiles, and other speculation features.

Without providing any further information about the technology behind the product itself, the whitepaper goes on to explain everything about its native cryptocurrency – BitClout, and the things users can do with it.

Yet, it mentions that “just like Bitcoin, anyone on the internet can run a BitClout “node” that serves the BitClout content, and every node on the network stores a full copy of all the data.”

The BitClout Cryptocurrency

BitClout can be bought for Bitcoin, and it can be used to “do all kinds of things on the platform, including buying a new type of asset called creator coins.”

Interestingly enough, the price for BitClout doubles for every million of BitClout sold – this is what supposedly makes the coin scarce. It also results in 10 to 19 million BitClout minted in the long run.

As mentioned above, users can spend their BitClout coins on creator coins, and this is where everything comes together.

Creator Coins

Every profile that’s on the platform gets its very own creator coin – anyone can buy and sell it. The price of each coin, naturally, goes up if people buy it and vice versa. The main idea is to enable people to invest in profiles they believe will become more popular and more influential – “collect more clout.”

The developers had pre-loaded profiles for the top 15,000 influencers from Twitter, and users are already able to buy and sell their coins.

However, these profiles, if unclaimed, are “reserved” and are marked with a clock symbol next to their names.

bitclout_shot1-min

In the above image, we can see that the profiles of Elon Musk, Katy Perry, CZ Binance, and so forth have yet to be claimed, and the profiles of Chamath Palihapitiya and Justin Sun have already been claimed.

We can also see that the price for these selected creator coins has already skyrocketed. For instance, at the time of this writing, Musk’s creator coin is priced at almost $68,000.

The Creator Coin Supply

According to the whitepaper, creator coins are designed to be scarce “with generally fewer than 100 to 1,500 coins in existence for each profile.”

The formula for determining the price of a creator coin is as follows:

creatorcoinvalue_shot1-min

A Twitter Ad Storm

One of the most ingenious things about BitClout is the way they’ve set up their marketing efforts. Basically, in order for anyone to claim their profile, they need to tweet about it. This is why last night we saw some big names in the crypto industry, such as Crypto Cobain, tweet the following:

cobie-min

By doing so, they “gain full access to the account, as well as a percentage of the creator coins associated with their profile.” Naturally, only the owner of the Twitter account that is associated with a reserved profile can claim it.

Each profile allows its creator to keep a percentage of the coins that are created as a “fonder reward.” So, for instance, if someone sets up their reward percentage to 10% and someone buys 100 BitClout of that coin, 10 BitClout would be used to purchase the coin, and this amount would go to the creator’s wallet.

However:

“Importantly, the founder reward is only paid on “net buys” of their coin. So, if someone were to buy 100 BitClout of the coin, sell, and then buy again, the creator would only have 10 BitClout of their own coin at the end. Thus, the creator can own 10% of the total supply simply by setting their founder reward to 10% while being aligned with increasing the net buys of their coin indefinitely.” – Reads the whitepaper.

This sets up a very powerful marketing campaign where owners of big Twitter accounts popularize the platform by tweeting about it to claim their profiles. It creates a chain reaction, which is why we’re currently seeing a massive hype around the project.

Is BitClout a Scam?

BitClout Pulse is a service that’s officially not affiliated with the BitClout network. However, it pulls data from the public BitClout blockchain, and it offers a dashboard where users can monitor the performance of various profiles.

The BitClout block explorer can be seen here.

As of yet, the project is very young, and it’s objectively impossible to determine whether it is a scam or not. However, there are certain red flags with it that have been pointed out by plenty of prominent members of the cryptocurrency community.

First off, many people speculate that the project is backed by VCs who’ve pre-mined BitClout before it had hit the public market and are already sitting on huge profits. The same goes for creator coins, according to many.

Commenting on a detailed thread explaining the ins and outs of the platform was C0in Alchemist, who said:

“… VC’s and their friends have been buying this up for over a week behind a locked website, and they’re now allowing you to buy it from them for over 100x opening price. Not exaggerating, check the chain.”

He also detailed that “they and their friends have also been pre-mining all of the creator coins they think are most valuable, so you can enjoy paying a much higher price for those as well.”

Discussing some irregularities with the network itself was one of the most popular crypto Twitter accounts, loomdart, who pointed out the following:

loomdartshot_1-min

On top of everything else, CryptoPotato reported on a Billboard entry on March 14th that BitClout has been selling celebrity NFTs without their consent.

In any case, it’s ultimately up to the user to determine whether BitClout is something to put their money into. Doing the necessary research is absolutely imperative. However, there are some red flags around the project that make it rather risky.

None of the above is financial advice. Investing in cryptocurrencies carries a high risk, and you can lose your money. For a full disclaimer, refer to the footer.

Source: Crypto Potato