Commodity News

Commodity news, technical and fundamental analysis, market data on precious metals, energies, industrial metals, soft commodities, and Bitcoin


Bitcoin Continues Its Climb amid Mixed Fortunes for Cryptocurrency Market

July 27, 2020 at 15:26 by Matt Jackson

Bitcoin continued its weekend rise and smashed through the $10,000 psychological resistance level that has proven a tough nut to crack in recent weeks. In reaching $10,400, the digital currency has reached its highest price since failing at a similar level on February 13. The economic fallout from the Coronavirus crisis has meant that Bitcoin has taken its time rebounding to this level, but it has shown considerable strength over the past week, and holders will be keeping an eye on $10,500 resistance just ahead. BTC was priced at $9,100 on July 20 and, since then, it has posted six out of seven profitable days to add $1,300, or 14%, to its price.

Although the rest of the top 5 currencies have shown similar, results with the exception of Ripple that is just about breaking even, there are some coins that are showing a sizeable downturn amid mass price corrections. Cardano has shed more than 8% off its price and slipped behind Bitcoin SV in market capitalization once again. Binance Coin has lost more than 4%, but it is ChainLink and Tezos that have seen some of the biggest losses — falling by 9.53% and 9.25% respectively. Stellar has also lost more than 7.5% of its price in the past 24 hours. Of the top 20 coins, it is Bitcoin that has shone, making the greatest gains. The world’s largest cryptocurrency, which was recently ruled as being a currency by US courts, has seen its stock gain 44% since the start of the year, despite plummeting in mid-March.

Recent positive news stories have helped enhance Bitcoin’s reputation. US courts deemed that it was to be treated as a currency, although the effects of this, in legislative terms, have yet to be seen. ESPN also announced that it was launching a cryptocurrency gaming platform that would allow users to deposit and withdraw cryptocurrency directly, and payment processor Visa announced that it would soon be accepting Bitcoin and other cryptocurrency payments.

Twitch is the latest big name to get involved.

The game streaming service, which is owned by Amazon, now offers a 10% discount to users that subscribe and pay with cryptocurrency, presumably hoping to attract Dogecoin holders from Chinese streaming service TikTok. The streaming service has 15 million active daily users, and even a small portion of this userbase buying into the cryptocurrency framework would represent a major shift towards mainstream adoption. Twitch is using Bitpay’s cryptocurrency payment platform, which accepts payments in Bitcoin, Bitcoin Cash, Ethereum, Ripple, and a number of stablecoins.

Meanwhile, US banks have been handed a means of getting in on the cryptocurrency action, too. The Office of the Controller of the Currency penned a letter stating that banks were allowed to hold cryptocurrency on behalf of their clients. The letter also went on to reiterate that banks were entitled to provide their financial services to cryptocurrency businesses, as long as they mitigated for any risk. Whether cryptocurrency holders, who typically favour the decentralized nature of encrypted currencies, will utilise banks’ custodial services remains to be seen, but it could invite institutional investors to partake, giving them a secure means of storing their holdings. It also points to greater acceptance of crypto as a currency and as a viable investment and could be the first step towards greater acceptance.

At 16:00 GMT, Bitcoin (BTC) was up 4.61% and trading at $10,354.12 while Ethereum (ETH) had added 3.98% to its price and is holding firmly above the $300 mark at $321.38. Ripple (XRP) is the only non-Tether coin in the top five to have posted a loss, albeit a minimal one. XRP is down 0.02% and is changing hands at $0.217. Bitcoin Cash (BCH) and Bitcoin SV (BSV) now cost $257.05 and $195.47, having added 3.82% and 3.59% to their respective prices.

If you have any questions and comments on Bitcoin today, use the form below to reply.


Leave a Reply