Key facts:
If miners continue to sell their bitcoins en masse, a negative spiral could occur.
There are those who believe that the worst of the “crypto winter” is over, including the CEO of Binance.
In the week that ended yesterday, as CriptoNoticias reported throughout the week, the price of bitcoin (BTC) moved around USD 20,000.
At the time of this publication it can be seen in our Price Calculator that the cryptocurrency created by Satoshi Nakamoto is currently trading at USD 21,333. As it was known, the sales made by the miners (who are practically not obtaining profitability for their activity) are what prevent the price of BTC from rebounding.
These are the most important news:
- Specialists foresee a possible negative spiral for the price of bitcoin. If the miners continued their massive BTC sales, the price of the cryptocurrency could fall even more than it has fallen so far.
Nikolaos Panigirtzoglou, an analyst at the financial firm JP Morgan, is convinced that the downward pressure may continue, so the “floor” would not have been reached. In line with this, several traders say that, since the support of USD 20,000 (maximum price reached in the previous bullish cycle) has been broken, bitcoin is entering unknown territory and figures such as USD 15,000 for the price of the crypto asset would not be impossible.
- Still, there are those who are optimistic that the worst of the “crypto winter” is over. Among them is Changpeng Zhao, founder and CEO of the Binance exchange. As CriptoNoticias reported on June 24, the businessman is convinced that BTC will recover its historical maximum price close to USD 69,000, although he does not know if he will do it in a couple of months or in several years.
- Not only bitcoin and the cryptocurrency ecosystem is going through a bad time. Signs of recession are felt in the world economy. The United States Federal Reserve is aware of this and in the near future could change its strategy by reining in interest rates. There are even those who speculate that a monetary issue policy (like the one that took place in 2020 during the COVID-19 pandemic) could return. According to economist Gael Sánchez-Smith, “When the market finds out what’s coming, bitcoin will go to the fifth moon of Saturn.”
- The National Securities Market Commission (CNMV) of Spain, during the week that ended yesterday, ruled twice on bitcoin and digital assets. The first one was at a conference, in which its president, Rodrigo Buenaventura, described them as “financial bubbles.”
A few days later, the same entity shared a report that shows the degree of knowledge of the Spanish about these financial instruments. According to the CNMV, 3 out of 4 Spaniards know something about BTC. In any case, more than 80% of the population did not invest and would not invest in any cryptocurrency.
If you want to know the meaning of several words of the terminology of the crypto world, you can consult them in the extensive Glossary of CriptoNoticias. Here’s a little sneak peek at the expression “Turing Complete.”
Turing completeness: is any programming language that can simulate a Universal Turing Machine. That is, any system or programming language capable of performing any computational calculation with the appropriate resources.