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Cryptocurrency proponent Andreas Antonopoulos speaks about the fear that Bitcoin invokes around Wall Street. Even though there are burgeoning Bitcoin futures markets, and so a level of interface, there remains a diametrically opposed ideology between the two.

Bitcoin Terrifies Wall Street

In a recent interview, Bitcoin advocate, Andreas Antonopolous spills the beans on Wall Street’s fear of Bitcoin. As well as why any attempt, by Wall Street, to corner the Bitcoin market will only result in skyrocketing prices.

Bitcoin and Wall Street have opposing philosophies

Alex Saunders of Nugget’s News, opened the discussion by highlighting the irreconcilable philosophical differences between Bitcoin and Wall Street. He then raised the point that Wall Street is attempting to “tame the beast” and bring it into the fold. To which Antonopolous replies:

“Let them try…Here’s the interesting thing, the idea of open competition and open markets actually terrifies financial services companies. Financial services companies are absolutely terrified of capitalism.”

Antonopolous then expands on this statement by pointing out an often overlooked detail, that is, regulation is contrary to capitalism, in its truest sense. And that Wall Street has reaped the benefits of decades of favorable governance, until now.

“They have got accustomed to working in this strictly controlled regulatory environment where they don’t get any competition. Unless that competition is approved by regulators, forced to compete at their scale, and follow the same rules. And is therefore defanged and not disruptive. And anyone who doesn’t comply is sued, bought or extinguished until they comply…It’s a cosy parasitic oligopoly, a cartel basically. It doesn’t represent the free market at all.”

Skyrocketing Prices

On that note, Antonopolous remains confident that Bitcoin, the antithesis to all of this, is superior, and will “win” on the grounds of being a better system. And in terms of the threat posed by Wall Street, Antononpolous believes any attempt to buy all of the Bitcoin will result in skyrocketing prices.

“What will happen is, they will try to buy it. I’m not selling, are you selling Alex? So what happens then? The price goes up, and now I’m not selling even more. So now they’re throwing more and more worthless fiat at less and less very, very, very worthy crypto that has limited supply. And all they’re achieving is driving up the price, and not buying up all of the crypto.”

Even so, Antononpolous downplays the effect of manipulation by saying Wall Street risks heavy exposure in manipulating markets. And that this is a practice that cannot present itself all of the time.

“They can manipulate the price some of the time, and some of the places. But not all of the time and all of the places. And in the end, these are very dangerous games for a fragile system. The fragile system is of course the traditional financial system.”

Market Manipulation

All the same, market manipulation remains a fundamental problem with Bitcoin. And while Antonopoulos believes the risk exposure is too great for Wall Street, that doesn’t take away from the fact that other parties, with vested interests, have the motivation and means to also manipulate the Bitcoin price.

Only last week, Bitfinex and Tether filed a motion to dismiss a $1.4 trillion lawsuit on claims of market manipulation. With the worst possible outcome being a collapse of the Bitcoin price, and complete loss of investor confidence.

And as much as Bitcoin is sound money based on a decentralized peer to peer system, that alone is not enough to “win.”

Samuel Wan , 2019-11-20 17:44:18

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NewsBlock © 2019 - 2020 All rights reserved.

NewsBlock © 2019 - 2020. All rights reserved.

While Bitcoin’s price seemingly moves without rhyme or reason — collapsing by dozens of percent and embarking on face-melting rallies on a whim — the cryptocurrency market is filled to the brim with fractals.

Related Reading: Analyst: Bitcoin Price Likely to Fall to Low-$8,000s as Chart Remains Weak

A brief aside: A fractal, in the context of technical analysis and financial markets anyway, is when an asset’s price action is seen during a different time. This form of analysis isn’t that popular, but it has proven to be somewhat valuable in analyzing Bitcoin.

One recent fractal popularized by a well-known cryptocurrency trader is implying that BTC is going to return to the low-$7,000s in the coming days.

Bitcoin Fractal Implies Retracement to Low-$7,000s

A well-known crypto trader going by “Tyler Durden” on Twitter recently posted the chart below, which shows that a Bitcoin price fractal may be playing out. The fractal has four phases: horizontal consolidation marked by one fakeout, a surge above the consolidation phase, a distribution, then a strong drop to fresh lows.

If the fractal plays out in full, BTC could reach the low-$7,000s again, potentially as low as $7,100. This would represent a 20-odd percent collapse from the current price point of $8,800.

It isn’t only a fractal that is hinting Bitcoin has the potential to visit its lows. As we reported on Saturday, Bloomberg believes that if the GTI Vera Convergence Divergence Indicator flips red, a downtrend could push the cryptocurrency back to $7,300.

Related Reading: Stephen Colbert Pokes Fun at Bitcoin in Monologue: Mainstream Gone Wrong?

Can Bulls Step In?

But again, many believe it is irrational to have such bearish interpretations of the cryptocurrency’s chart at the moment. As reported by NewsBTC earlier, Popular crypto trader Mayne recently noted that the “people waiting for $6,000” are irrational. He quipped that Bitcoin retracing and consolidating after its fourth-biggest bull move in history ($7,300 to $10,500, a 42% gain) is perfectly par for the course, but noted that it’s totally possible we can go lower from $8,800.

The medium-term technicals support this.

Trader and CoinTelegraph contributor FilbFilb found that by the end of November or start of December, the 50-week and 100-week moving averages will see a “golden cross,” which he claims is far more significant” for the Bitcoin market that other technical crosses.

Also, a Bitcoin price model created using Facebook Prophet machine learning found that the leading cryptocurrency is likely to end the year at just over $12,000. What’s notable about this model is that it called the price drop to $8,000 months in advance, and forecasted a ~$7,500 price bottom for BTC.

To put a cherry on the cryptocurrency cake, Crypto Thies observed that when Bitcoin bottomed at $7,300, it bounced decisively off the 0.618 Fibonacci Retracement of the move from $3,000 to $14,000, which correlates with the two-week volume-weighted moving average. He added that summer 2019’s consolidation was marked by Bitcoin flipping major resistances into support levels, implying that a bullish reversal and subsequent continuation is likely possible in the coming weeks.

Featured Image from Shutterstock

Nick Chong , 2019-11-10 12:00:38

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