Bullish BTC signal: More and more Bitcoin investors despite sluggish share price
Bitcoin-Hodler prepare for stormy times
The accusations against BitMEX have torn a deep hole in the stock market reserves, while crypto currencies are gradually finding their way to the cash register. The market update.
The Bitcoin exchange rate (BTC) heralds the new trading week with a plus of 0.8 percent. To editorship conclusion the largest crypto currency notes with 10.681 US Dollar, bends on week view however around 0,7 per cent.
BitMEX mixes up the Bitcoin ecosystem
The indictment of the U.S. Department of Justice and the Commodity Futures Trading Commission (CFTC) against the Bitcoin exchange BitMEX has triggered a quake in the crypto ecosystem. Last week it became known that BitMEX could be an unregistered trading platform. Anti-Money Laundering Guidelines (AML) and Know Your Customer Rules (KYC) are said to have been breached. The report was not without consequences.
Since then, more than 45,000 Bitcoin with a value of almost half a billion US dollars have been withdrawn from the exchange. Meanwhile, reserves have melted down to just under 120,000 Bitcoin, a 27 percent drop. [glassnode-studio_bitcoin-balance-on-exchanges-bitmex]
Most investors packed their bags last Friday. 44,000 Bitcoin left the stock exchange stocks only on this day. As Glassnode writes, 30 percent of this was transferred to the competition, namely Gemini and Binance.
It is questionable whether BitMEX will quickly regain the confidence of investors. Other providers are quickly closing the gap of the (still) top 5 crypto derivatives exchange.
Thanks to Bitcoin a roof over your head
In a study accomplished by the FinTech Blockcard the consumer behavior of crypto investors was examined. The result of the Crypto Spending Report is surprising.
Because the majority of the more than 35,000 participants uses crypto currencies such as Bitcoin for everyday payment functions. The fewest hodln accordingly their Kryptos.
Over 70 per cent of the asked ones indicated finally to have spent in the last 12 months crypto currencies while scarcely 30 per cent left their Kryptos untouched in the Wallet.
Nearly 10 percent buy food with digital currencies, 8 percent each spend crypto currencies for clothing and education and 5 percent pay their rent with crypto currencies. By far the largest percentage in the „More Crypto“ category is not surprising. Over 77 per cent buy with crypto currencies evenly further crypto currencies, keyword: Trading.
With the height of the expenditures there is a large dispersion. A third of the asked ones indicated to have spent between 1.000 and 10.000 US Dollar at crypto currencies in the last 12 months. A quarter spent between 100 and 1,000 US Dollar in Kryptos, with scarcely 15 per cent it was only between 1 and 100 US Dollar. [5.10. 1]
With 76 per cent the clear majority of the participants indicated besides to want to pay also further with crypto currencies. Only 14 percent withhold their cryptos. Nearly 10 per cent are undecided and wait for the next market developments.
On the final question, which must happen, so that more Kryptowährungen flow into more payment procedures, the unanimous demand read: More acceptance places. In addition, the infrastructure had to be expanded and made more user-friendly, i.e. faster transactions and more intuitive user interfaces.
The study shows: Cryptocurrencies such as Bitcoin are being integrated into ever more payment processes. Most crypto owners use virtual currencies for everyday transactions. Only the lack of acceptance prevents „digital currencies from playing a more significant role in retail“. Once this hurdle has been overcome, there is nothing to prevent widespread adaptation:
If we were to see even the slightest mass introduction, we could assume that digital currencies would take up a more significant share of global payment traffic.