Bitcoin is Getting Back its Volatility After the Flash Crash
This week, the volatility of Bitcoin (BTC) came back in a big way. It crossed $12,000 kate Saturday night before dropping 12% within a few minutes. Over $1 billion worth of cryptocurrency was liquidated during the crash. Then, Ether fell 25% before rebounding most of those losses in just 10 minutes.
Also, Bitcoin recovered as the week advanced to get near $12,000 again, supporting a move past the $11,500 resistance level.
In addition to that, algorithmic trading and profit-taking about $12,000 might have helped cause the wild price swings. A lot of investors have halted orders built into their accounts, but these stop drives can wipe out and make overleveraged investors go broke if they are not careful enough.
Then, the volume of CME Bitcoin futures market is at a one-year high. And the assets within the management of the Grayscale Bitcoin Trust and Grayscale’s firm as a whole are at an all-time high. Cameron Winklevoss, an outspoken BTC investor and Gemini co-founder, tweeted that not having Bitcoin now is a worse investment decision than not investing in Amazon, Apple, or Google in the early 2000s.
Aside from that, U.S. congressman Tom Emmer joined Bitcoin proponent Anthony Pompliano’s podcast. He said that he expects BTC to be stronger as the world starts to emerge from the coronavirus pandemic. Besides Bitcoin, Emmer has been advocating for blockchain-powered innovation and mentioned the OCC’s recent decision authorizing banks to give cryptocurrency custody as a major step forward.
He noted, “There are things happening that are going to disrupt the centralized nature of our society.”
Emmer added that they are going to blow the whole thing due to the pandemic.
LINE’s LN Token to Trade on BitMax
Meanwhile, crypto exchange BitMax made Japanese messaging app LINE’s token available for trading.
Based on LINE’s notice on August 6, the biggest messaging app in Japan – with 84 million active monthly users – will be making its native LINK (LN) token available for trading via crypto exchange BitMax. With that, it makes LN the sixth crypto asset currently supported by the exchange. And this also includes Bitcoin, Ethereum (ETH), XRP, Bitcoin Cash (BCH), and Litecoin (LTC).
They initially issued the LN token in 2018 for users as part of the rewards program through the messaging app. BITFRONT, LINE’s native exchange covering areas outside Japan, began supporting the token in October 2018.
While LINE’s token’s unabbreviated name is LINK, it definitely has no connection to crypto asset Chainlink (LINK). LINE’s LN token launched in August 2018, nearly a year following the debut of Chainlink.
Maybe in an attempt to differentiate itself from Chainlink, the website of LINE and LN whitepaper no longer refers to the original blockchain name of the LINK chain. Instead, they call it the LINE blockchain.
But a representative from LINE explained that the company has no plans to rebrand or rename the saif cryptocurrency. Recently, the price of the LN token is at $20.99, having risen 31.8%.
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