Top Kryptonews of the week: „Warren Buffett“ Index predicting a drop in the market, Bitcoin price targeting $288K and more

This week Bitcoin has been sluggish. Wall Street has been busier. The medical advances and the Federal Reserve’s announcements regarding inflation targets for this year were received with enthusiasm. But Bitcoin didn’t react in the same way. It’s not the end of the world. The power of the news and the correlation with other markets is often overstated. Bitcoin also has a life of its own. Calm down, people. Fortune rewards patients.

Now, let’s talk about the most read Kryptonews of the week.

The Warren Buffett Index predicts a stock drop: How will Bitcoin react?

Obviously, the stock market is overvalued. Today’s prices don’t correspond to reality. In fact, this dissonance between the price and the underlying has been going on for years. Of course, during the crisis, this disconnection has become more pronounced. The real economy is going one way and the markets are going another. The Buffett indicator is not a precise indicator. It does not tell us the moment of collapse. But it can give us a general idea of the valuations. It is a question of comparing the total value of the market with the Gross Domestic Product. If the value of the market rises a lot in relation to the GDP, we are looking at a bubble.

Well, actually it is not difficult to recognize a bubble. What is difficult is to pinpoint the moment of its collapse. It’s not easy because, as long as we continue to have cheap money, prices will continue to inflate. Fiscal and monetary policy is primarily responsible for this. As long as inflation does not rise, liquidity will continue to fall from the sky. And, in this case, the first beneficiaries are the markets. Bitcoin, included.

Gold Price: What’s really going on with gold right now?

I must confess that the obsession of many bitcoiners with gold has always struck me as curious. Bitcoin and gold are very different assets. However, many insist on presenting them as twin brothers. It’s like a Rorschach test. The psychologist pours the black ink on the paper and the patient suddenly sees what he wants. This is precisely what happens with gold in the crypto community. It’s a mania that refuses to go away. No matter what the data, the history or the reality. Bitcoin and gold are always related.

I speculate that this pathological insistence has political roots. That is, it is inherited from American libertarians obsessed with a return to the gold standard. The cypherpunks and early bitcoiners construct the Bitcoin narrative as „digital gold“ against the evil system. According to this logic, Bitcoin is a safe haven like gold (but better because it’s digital) and oppressed people will accumulate Bitcoin due to the impending collapse of the dollar. So, gold and Bitcoin are brothers in arms, because during the collapse of everything they’ll be safe havens.

Over time, this narrative has become an article of faith. That is, a dogma. However, dogmas are refuted with evidence. Gold is an extremely liquid and stable market. And it is used by countries as an international reserve. It is often used to demonstrate solvency in the bond market. It is considered a safe haven because of its liquidity, stability and state support. It’s not just about being scarce. Bitcoin, on the other hand, is in many ways the opposite of gold. How do we know an asset isn’t safe? Lack of liquidity, immaturity and volatility. Volatility is basically indecision. In other words, there’s no security. But that’s not necessarily a bad thing. Because volatility implies risk, but it also implies higher returns. The beauty of Cryptosoft lies precisely in its insecurity.

Ironically, there’s a supposed correlation between temperamental Bitcoin and boring gold. But often a correlation is mistaken for causality, making the whole thing more absurd. Then, delusions are asserted with this one: Warren Buffett bought shares in a mining company. His purchase will drive up the price of gold. And the rise in gold will drive the price of Bitcoin up to $50K. Even Pixar doesn’t have that much imagination. It’s just ridiculous.

Open rente voor Bitcoin-opties overtreft weer eens $2 Bln, bijna nieuwe all-time-hoogte.

De open rente (OI) in de Bitcoin-opties, die het totale aantal contracten op alle beurzen aangeeft, heeft volgens derivatenleverancier Skew opnieuw de grens van $2 miljard overschreden.

Het ligt nu op schema om de recordhoogte van 30 juli te overtreffen, wat betekent dat er nu meer geld in deze ontluikende marktniche stroomt.

Belangrijke ontwikkelingen in de optiemarkten

Het Nederlandse handelsplatform Deribit blijft een onbetwiste leider als het gaat om Bitcoin-opties met een marktaandeel van maar liefst 80 procent.

Bit.com, de derivatenbeurs gelanceerd door het in Singapore gevestigde Matrixport Technologies, heeft de Bitcoin-opties op 17 augustus uitgerold.

De nieuwkomer neemt nu 2 procent van de totale OI in beslag en komt daarmee dicht in de buurt van het uitrollen van LedgerX (3 procent).

CME en OKEx staan respectievelijk op de tweede en derde plaats. De eerste is nu goed voor een tiende van de ontluikende optiemarkt.

Zoals gebruikelijk is in de hoek van Bakkt niets anders te zien dan tumbleweeds, want de OI en het volume van de Intercontinental Exchange-owned exchange blijft letterlijk op nul staan.

De impliciete volatiliteit van Bitcoin neemt af.

In tegenstelling tot futures geven opties – zoals de naam al suggereert – marktpartijen de mogelijkheid om te wedden op de toekomstige stappen van Bitcoin zonder dat ze verplicht zijn om de handel daadwerkelijk uit te voeren.

Bitcoin’s een maand lang geïmpliceerde volatiliteit, die het niveau van de verwachte schommelingen weerspiegelt, is de afgelopen vier dagen met 10 procent gedaald (van 72 procent op 16 augustus tot 62 procent op 20 augustus).

Na het bereiken van een nieuw jaarlijks hoogtepunt van $12.477, raakte de Bitcoin-rally een pauzeknop. De hoogste cryptocurrency verandert momenteel handen bij $11.815 op de Bitstamp uitwisseling na een licht herstel.

Cameron Winklevoss diz que o dólar americano se tornou um „dinheiro engraçado“ e um endosso de „Bitcoin“. Eis o porquê

Em uma reunião na noite de quinta-feira, a Casa Branca e os Democratas não conseguiram chegar a um consenso em relação a um pacote adequado de estímulo ao coronavírus.

Segundo o co-fundador da Gemini, Cameron Winklevoss, o fracasso das negociações de três horas para produzir um importante acordo de alívio para os Estados Unidos mostra que o dólar se tornou „dinheiro engraçado“ e um endosso do Bitcoin Trader.

„Um endosso do bitcoin“.

A CNN informou em 6 de agosto que as conversações entre altos funcionários da Casa Branca e os líderes democratas haviam chegado a um impasse. Isto porque os dois partidos queriam pacotes de ajuda que variassem em vários trilhões de dólares.

Para o contexto, a CNN citou a Presidente da Câmara Nancy Pelosi dizendo que eles estavam „muito distantes“ no que diz respeito à obtenção de qualquer acordo.

De acordo com Camarões, o fato de que os políticos não parecem concordar com os trilhões de dólares a serem oferecidos como pacote de ajuda só mostra que o dólar se tornou dinheiro engraçado.

Em outras palavras, não foi há muito tempo quando um bilhão era um grande número, mas os políticos estão agora falando de trilhões. „Se isto não é uma chamada de despertar e um endosso de bitcoin eu não sei o que é“, disse Winklevoss em seu tweet.

Coronavirus-Fuelled Rush For Assets With Safe Haven Appeal

Em meio à crise econômica provocada pela pandemia da COVID-19, os bancos centrais vêm imprimindo quantidades insanas de dinheiro para reavivar sua economia.

O balanço do Federal Reserve, por exemplo, está agora em US$ 6,9 trilhões a partir de 7 de agosto. O dinheiro do helicóptero tem vários observadores do mercado preocupados com o impacto a longo prazo sobre o dólar americano.

Embora o dólar tenha enfraquecido, ativos seguros como bitcoin, ouro e prata têm brilhado nos últimos dois meses. A oferta de 21 milhões de bitcoin hard-capped tornou o ativo ainda mais atraente contra o pano de fundo da impressão de dinheiro infinito.

O risco da inflação do dólar levou muitos investidores como o gerente de fundos de Wall Street Paul Tudor Jones a investir em bitcoin para preservar o valor de sua riqueza. Como a ZyCrypto informou anteriormente, a MicroStrategy é a última empresa bilionária cotada na Nasdaq a se voltar para o bitcoin como um hedge contra o dólar em enfraquecimento.