Article By RoboForex.com
The cryptocurrency expectedly responded to the US stock market decline. Yesterday, American policymakers spoke and said that the US Fed’s portfolio would be cut much faster than in the past, as well as announced a possibility of a 50-point rate hike during its meeting on 3-4 May. This news made investors sell assets and indices and, as a natural result, brought the BTC down.
The BTC earlier reached $47,200, and then dropped to today’s level of $45,444. A strong resistance level was formed at $47,800, which the BTC failed to break. The longer the resistance level remains strong, the more chances the asset has for further decline. On the other hand, one should remember that the BTC rate leaped up almost 28% over three months. Taking into account this fact, the asset may afford an opportunity to stay inside the range and fix within the “flat”.
It might be a problem for the BTC to continue growing without support from the stock investors. However, they might use the major cryptocurrency as a “safe haven” asset to fight inflation. It will be interesting to see the unfolding situation.
Tezos: a blockchain update
Tezos announced a major blockchain update that had an impact on algorithms – Ithaca 2, which replaced Emmy with Tenderbake. A new algorithm reduces the time spent on building a block, provides a higher transaction speed, and allows applications to work smoothly and without failures. In addition to that, the update is expected to have a positive influence on network scalability processes and strengthen Tezos’ decentralisation positions.
The Tezos rate didn’t respond to the positive new: it has dropped 12% over three days and is currently heading towards $3.43.
Mining: a new chip from Intel
Intel unveiled a new chip for BTC mining, Blockscale ASIC. The chip is assumed to have higher energy efficiency and better performance. Some mining companies have already taken an interest in the product. The logic is pretty clear: the less energy the chip uses, the lower the expenses.
MacroStrategy is buying the BTC
MicroStrategy’s subsidiary company, MacroStrategy, has bought 4.1K BTCs worth $190.5 million. To do this, the company got a $205-million bitcoin-secured loan. As of now, MacroStrategy owns BTCs worth $5.9 billion, an average purchase price of about $30.7K per BTC.
Article By RoboForex.com
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.