Bitcoin price continues to move here and there amid speculations and price manipulation; the largest cryptocurrency is up sharply from the lows seen during the weekend – leading the broader market rally by a wide margin.
Its price climbed as much as 9% in the early trading on Tuesday before retreating later in the session, driven by higher volumes from Japanese markets. Japanese markets account for 51% of the trading volume, while USD represented 22% of the bitcoin trading.
Source Image: coinmarketcap.com
Though no specific report aids the upside trend and higher trading volume, except trader’s strategy of buying on dip and price manipulation.
Traders are using Tether (USDT) for bitcoin buying once again as BTC/USDT (bitcoin-tether exchange rate) trading volume hoped to 7%, the total trading volume stands at $561,152,000.
Price manipulation isn’t difficult in the crypto markets due to their unregulated nature. Regulatory authorities and traders had blamed Tether for artificially lifting Bitcoin price last year; market pundits claimed that tether was responsible for the 48% rally in bitcoin price.
Tether and Bitfinex were subpoenaed by U.S. regulators in December, while higher trading volume from BTC/USDT today raises traders concerns over the price manipulation. Higher overall volume improved bitcoin dominance to 39% – which plunged to almost 35% in early February.
Craig Wright Sued for Stealing $5 billion
Craig Wright, the Australian entrepreneur who claimed to be the creator of bitcoin, was sued for stealing $5 billion of cryptocurrency from his former business partner.
The lawsuit said: “It is unclear whether Craig, Dave, and/or both created bitcoin. It is undeniable, however, that Craig and Dave were involved in bitcoin from its inception, and that they both accumulated a vast wealth of bitcoins from 2009 through 2013.”
Ethereum and Ripple Follows the Rally
Ethereum (ETH) and Ripple (XRP) have also been following the uptrend. ETH and XRP price increased close to 2% today in early trading. Bitcoin Cash (BCH) was trading around $1,278 (up 5% today), supported by significantly higher trading volume- which increased 27% today. Overall, the crypto markets continue to make significant sideways movements on speculations.
Featured Image: Twitter
HSBC (NYSE:HSBC) is gearing up to use blockchain technology in live transactions. On the other end of the spectrum, JP Morgan (NYSE:JPM) joins the financial institutions labeling cryptocurrencies as a risk to their business. Two major banking institutions with two different reactions to cryptocurrency.
HSBC may be close to launching several different pilot programs that will help the banking giant incorporate live blockchain transactions into the business.
The pilot programs will be based on pre-existing proof-of-concept (PoC) projects. HSBC has been conducting trials with blockchain technology for several years now. In August 2016, the financial institution announced that it was testing blockchain technology to potentially take over letters of credit.
Senior innovation manager Joshua Kroeker said:
“Going from that PoC in 2016, we’re at the tipping point of getting our customers involved in live transactions in the coming weeks and months. The technology has come a long way, we’re much more comfortable with its security and scalability.”
Letters of credit will continue to be the first point HSBC focuses on, as this is what many of its clients have the most trouble converting to crypto.
HSBC is in the process of integrating customers into its pilot programs. Although more blockchain research needs to be done, the bank estimates a live launch date of early 2019.
>> Cardano, Stellar, and Litecoin hit with losses today
JP Morgan, however, appears to be leaning in the opposite direction.
The global financial services company indicated that it believes cryptocurrency may pose a threat to its business. In the annual 10-K filing with the SEC, JP Morgan listed the impact of cryptocurrencies as a “risk factor” that could disrupt its operations.
The reasoning behind this, according to the bank, is that:
“New technologies have required and could require JPMorgan Chase to spend more to modify or adapt its products to attract and retain clients and customers or to match products and services offered by its competitors, including technology companies.”
JP Morgan isn’t the first bank to raise its concerns about cryptocurrencies. Both the Bank of America (NYSE:BAC) and Goldman Sachs (NYSE:GS) listed crypto as potential risk factors as well. The reasons have varied; people choosing crypto options over traditional banking, crypto poses risks and the regulatory concerns with it.
>> Is cryptocurrency anonymity aiding criminals? Bill Gates thinks so
Which bank do you agree with? HSBC or JP Morgan?
Featured image: stevepb
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