The last day of the workweek ended on a sour note. The Dow Jones Industrial Average (DJIA) dropped 730.05 points (-2.84%) to close at 25,015.55. The NASDAQ Composite also dropped 259.78 points (-2.59%) to close at 9,757.22, and the S&P 500 went down 74.71 points (-2.42%) to close at 3,009.05.
Stocks dropped significantly over concerns of the rising number of confirmed coronavirus cases in the U.S. and the impact this will have on the economic recovery. Governor Greg Abbott of Texas said that he roll back some of reopening measures, while Florida said that would suspend “on premises consumption” of alcohol at bars after reporting a 9,000 surge in new COVID-19 cases.
The U.S. Federal Reserve slapped new restrictions on the U.S. banking industry after its annual stress test found that several banks were dangerously close to minimum capital levels in scenarios that were related to the coronavirus pandemic.
The U.S. Commerce Department reported that spending increased 8.2% last month, a positive sign for the U.S. economy against the backdrop of negative headlines.
As for the news within the crypto sphere, some of U.Today Crypto News’ headlines include Bitcoin (BTC) being subject to ‘intra-day volatility, Ripple’s CTO says that the price of Bitcoin (BTC) won’t decrease, and altcoins may have been given an edge thanks to PayPal listing.
Bitcoin (BTC) Subject to “Intra-Day Volatility”
Michael van de Poppe, a top-notch Dutch analyst and trader, underlined that the futures and options expiration day may bring about intraday volatility for Bitcoin (BTC). In terms of the effect on the price of Bitcoin (BTC) however, there are other much more powerful price catalysts still in play.
Regardless of the futures expiration day, the market structure and price action are of significant importance, and it will more than one catalyst to initiate a price move for Bitcoin (BTC).
In terms of futures trading, van de Poppe believes that the vast majority of traders will let their old positions expire and switch over to new contracts.
Recently, cryptocurrency contracts trading platform Deribit reported the start of the expiration process. According to the product team’s announcement, 53% of Bitcoin (BTC) futures and 43% of Ethereum (ETH) futures have already expired.
As previously covered by U.Today Crypto News, Bitcoin (BTC) futures volume has skyrocketed through the turbulent 2020.
Ripple’s CTO Says Price of Bitcoin (BTC) Won’t Go Down
In a recent interview with Asahi (Japanese media outlet), legendary investor Jim Rogers sees a bleak outlook for Bitcoin (BTC) and other cryptocurrencies.
According to Rogers, Bitcoin (BTC) and altcoins are clearly a bubble, that these institutions are too immature, and their rapid growth is nothing but euphoria.
The legendary investor went on to say that interest in cryptocurrencies is based on the demerits of a modern fiat-based monetary system. Crypto holders will also try to outsmart government regulations but will not succeed as state-backed institutions still have a lot of power to disrupt the cryptocurrency sector with their “guns”.
Ripple’s CTO David Schwartz highlighted that government regulations are not typically effective in this industry. It is unlikely that such regulations will push down the price of Bitcoin (BTC), let alone destroy it completely.
Schwartz went on to remind his followers that regulations or bans do not result in price drops for assets.
Altcoins May Be Top Gainers Thanks to PayPal Listing
In a recent episode of Russia Today’s Boom Bust, American TV host and investigative journalist Ben Swann emphasized the gargantuan size of PayPal’s user base. Its user base even exceeds that of Binance and Coinbase. However, the main issue at hand is which cryptocurrencies may be listed by PayPal.
According to Swann, a set of altcoins is something worth looking at to accompany Bitcoin (BTC) and PayPal wallets. Getting listed by PayPal would definitely be an excellent catalyst for the price of an altcoin.
If you are an altcoin and you manage to get into PayPal platform, it would send you skyrocketing.
In terms of regulatory approval and business development, co-host Christy Ai said that an altcoin listing could be really difficult for the application.
The hosts of the show went on to add that there is a lack of consensus by U.S. regulators on the legal status of Bitcoin (BTC). While some agencies treat it as a currency, others treat it as a property.
Some experts within the cryptocurrency sphere think that such a revolutionary launch, should it happen, will put an end to Coinbase’s leadership in the American segment of the crypto sphere.