BTCUSD
made an overdue move up to the 11.5k range after a period of reduced volatility of consolidation. Overall market sentiment is more bearish than the fundamentals warrant in my opinion, with promising improvements to bitcoin transaction handling and fees via lightning network implementation.
- Japanese exchange coincheck was hacked losing some
XEMUSD
&
XRPUSD
. This exchange used a HOT WALLET, with no multi-sig. This is bad practice, and is like leaving your wallet on your doorstep. stupid. Don't leave your balances on exchanges kids! https://www.ccn.com/coinchecks-530-million-cryptocurrency-hack-inevitable/
+ BTC price barely suffered as a result, this gives us confidence that the price discovery is over and we are at very solid levels of support. Now is the time to be going LONG.
+Lightning network is now running in testnet (albeit not in a user friendly way), Widespread adoption is imminent however.
Something has already been bought via lightning tx on mainnet:
https://bitcoinist.com/lightning-network-happening-first-physical-item-purchased-ln/
Note that lightning network has already been tested thoroughly on the bitcoin testnet, and there are ALREADY a handful of nodes running on the mainnet. see Antonopolous video's on youtube about lightning network for more information if you are not yet familiar.
As many lightning network features are dependent on segregated witness , bitcoin cash cannot replicate the full feature set of segwit.
My Feelings on bitcoin:
Having read the whitepaper and Antonopoulos's "Mastering Bitcoin", I believe that Bitcoin isn't a currency. It's a decentralized network of trust (that is trustless, somewhat ironic)! This is why it has massive potential; Individuals and organizations can build their services ontop of the bitcoin network and offer services which would not otherwise be able to exist due to trust issues or the costs of having an intermediary/middleman guarantee a transaction. This lets them settle and send digital assets/data/digital money/Commands without relying on a 3rd party establishment like a bank or another as yet undefined organization (we are in that kind of territory, new ground.)
Having a stake in the very foundation of a new paradigm can have a massive upside; Let's plan for success.
Technical Analysis:
We can expect some mean reversion towards 200MA over the next while, retesting resistances as we go. I expect we retest 11.7k over this weekend sun 28 Jan or similar. Short term the 4 and 8 hour charts are looking quit bullish, but we have yet to post sequential higher daily closes in a row, so it is unclear how long we could be playing out price recovery for bitcoin. It could be summer before we see bitcoin recover back to ~$20k, but we can expect higher highs when the bull run finally happens.