Who is stimulating BTC skyrocketing? Iran? still?
At the beginning of the new year, Qassem Soleimani, Iran's No. 2 figure and the supreme leader of the "Quds Force", was killed by the US army on January 3; however, only three days later, it was reported that The market value of USDT increased from approximately US$4.14 billion at 4:49 am on January 7 to approximately US$4.65 billion at 4:54 am, an increase of US$500 million in just five minutes, and the price of Bitcoin also fell short-term. $8,000 to wear. The price rally has once again sparked a long-running debate among investors: Is bitcoin, like gold, a safe-haven asset at a time of heightened geopolitical and economic turmoil?
This Monday (January 6), Bitcoin was trading at about $7,500, but just after US President Donald Trump (Donald Trump) authorized a drone to kill Iran's "Quds Force" Supreme Leader Qassem Bitcoin price rose 10% after Soleimani. U.S. stocks also fell sharply as investors worried that the conflict between the two countries could escalate into a long and destructive war.
For some market analysts and investors, the bitcoin rally has re-emphasized the digital asset's perceived value and potential as a hedge against inflation. You know, from a historical perspective, inflation will break out after every war. Given that Iran is one of the world's major oil producers, the rapid surge in global oil prices following the killing could herald a sharp rise in gasoline prices for U.S. consumers as well.
Greg Cipolaro, co-founder of Digital Asset Research, analyzed the current cryptocurrency market, explaining:
"Violence and war may cause inflation, as past history has proven. Now, the violent conflict between the United States and Iran is intensifying, which may indicate that the market will have higher demand for Bitcoin, and of course once again confirms a The point of view, that is, for Bitcoin, it can be used as a hedge against inflation.”
In traditional investing, a safe-haven asset is usually the one that traders choose when they are worried about increasing risk or facing stock market volatility. Pulling out of riskier investments and moving into "safe" assets like gold or U.S. Treasuries, which are also considered more reliable stores of value.
Has USDT been issued in the end? Can rising market value stimulate Bitcoin to soar?
On Tuesday (January 7th), the price of Bitcoin broke through 8000USDT for a short time, with a 24-hour increase of 8.58% (although there was a slight drop of 0.74% afterwards). Someone discovered that before the price of Bitcoin rose, the market value of USDT displayed by the data provider CoinMarketCap suddenly increased by US$500 million, from about US$4.14 billion at 4:49 a.m. to about US$4.65 billion at 4:54 a.m., so some analysts It is believed that the substantial increase in the market value of USDT may be due to the increase in market demand for digital assets.
Indeed, CoinMarketCap's data likely didn't capture the entire previous supply of USDT in the market, as USDT runs on several different blockchain networks, including Omni, Ethereum, TRON and Liquid.
But then Paolo Ardoino, chief technology officer of Bitfinex and Tether, tweeted that Tether did not issue new USDT today, CoinMarketCap has revised the data, and asked the media that released the relevant news to edit or delete the article. In fact, according to Tether's official data, USDT did not issue an additional $500 million in the early hours of January 7. Jinse Finance understands that CoinMarketCap has adjusted the website data when this article was written, but they have not issued any official response on the matter.
There has been a theory among Bitcoin investors that while Bitcoin has not yet proven itself in the market as gold as a long-term store of value, it has the key property of being difficult to mine and is subject to a strict "hard cap" of 21 million total coins. " constraints. Not only that, but the liquidity of Bitcoin is much better than that of gold. In a turbulent, war-torn or even hyperinflationary world, paying with cryptocurrencies theoretically requires only private data addresses, or “keys” — we haven’t seen anyone pay directly for gold in the real world, after all.
So far, we have not been able to accurately determine the
Find out why Bitcoin jumped this time. While Iran/U.S. tensions have been ongoing since Jan. 3, discussions around Bitcoin's use case as a safe haven asset are dominating various investment avenues. But others have given a different view, because many traditional assets and Bitcoin "competitors" also seem to be doing well during this period, such as:
1. The Dow Jones Industrial Average (DJIA) rose 0.25%;
2. The Standard & Poor's 500 Index (SPX) rose 0.35%;
3. The impact of crude oil (USOIL) was not as severe as expected, and it only fell by 0.35%;
4. Other major cryptocurrencies such as Ethereum and XRP rose sharply by 5.76 and 11.18%, respectively.
Therefore, it seems too early to assert that Bitcoin is a safe-haven asset.
1.7 Today's Quotes
BTC: After Bitcoin pulled back to around 7480 last night, it is unlikely to go down. This morning it pulled up again to around 8000. At present, it should be on the long side from the perspective of trading, so it is safer to buy low, but Around 8000 can be used as an ultra-short-term high throw point. (VX:pzzz393)
ETH: The trend of Ethereum is the same as that of Bitcoin. At present, it should still be on the long side, and the current price of Ethereum is near the node, so it is necessary to relieve the entire pressure here. Short-term callbacks are needed. It is safer to place orders at low prices.
The investment journey is very long, especially when there is no direction. When we are watching the market, we discuss and discuss together, and many directions come out. How lonely it is to walk alone. There will always be so many people, and we will gather together , Deeply cultivating users in the C-end currency circle, covering the money in the pocket, earning money from the market!
