Weekly Crypto Review
What is behind the latest Bitcoin rally?
Negative publicity, which Bitcoin has accompanied since reaching the high of PLN 68,000 on December 2017 to the lows from the level of 19.974 at the end of June 2018 has a chance to pass by the recent upturn, which at the time of writing pushes the Bitcoin price above 30,000 PLN. This means that the price of Bitcoin has increased by 30% over the last 11 days. This caused numerous comments and guesses about the source of increased volatility on the world's most popular cryptocurrency.
Perhaps one of the catalysts for variability in Bitcoin is the US Securities and Exchange Commission (SEC) considering the CBOE (Chicago Board Options Exchange) application regarding the purchase of Bitcoin through ETF (stock exchange funds). A positive decision by the SEC would allow clients with institutional funds to buy Bitcoin for anyone interested in investing in a given fund.
So far, every application for creating an ETF based Bitcoin fund has been rejected. The main reason for negative decisions is the issue of the safety of client deposits of a given fund in the case of BTC theft and, equally important, the issue of the extensive technological infrastructure of ETFs, through which very large market orders can be placed.
It is worth noting here that the CBOE exchange has received permission from the SEC to trade futures contracts on Bitcoin, despite SEC doubts regarding also investor safety. So if CBOE guarantees its reputation for providing the right infrastructure and ensures the security of clients' funds, we can soon expect the first ETF fund for Bitcoin.
Let's now look at the daily chart of the BTC / PLN pair. After breaking on the increased volume from the area of consolidation between the levels 26.332 - 27.875 PLN, the price hit 61% of Fibonacci retracement of the previous downward wave, ie at PLN 29.797. Not only the volume confirms the upswing, but also a strong and positive momentum, which is currently in the upper limit of the overbought area. The nearest level of support for a possible downward adjustment is PLN 28.606.
The hackers tried to use the Etherscan comments section to infiltrate the site.
One of the most popular sites to monitor transactions in the Blockchain network could fall victim to a hacker attack according to the official news posted on Reddit on Monday. The hacker (or hackers) introduced warnings to the comments section provided by Disqus, a hosting service for third-party comments, which resulted in uncontrolled pop-ups. Etherscan identified an offensive comment and removed the threat.
After further research, Etherscan found that there were three attempts to inject a malicious alert called "1337." The organization said the first attempt seemed harmless, while the next two attempts came from an Etherscan-related company, and attempted to inject the Web3 application programming interface (API), although this has been stopped by the block's backs. "Asked whether the funds will be safe, Etherscan replied:" Yes, the funds are safe, then we will provide more detailed information. "
However, another user of the Reddit portal suggested that the attack was a precursor of something potentially more malicious, and the message itself could have been so-called. The penetration test of the Etherscan network, which was only meant to detect its weak points. May he be wrong, because Etherscan is a very popular portal among Ethereum users.
Let us now look at the Ethereum cryptocurrency graph in pair with PLN on a daily basis. This market has repeatedly tested the level of support at PLN 1.560, after which it dynamically rebounded towards the level of PLN 1,850. Despite the dynamic increases in the main cryptocurrency, whose BTCs, the bulls did not manage to break above this level and the price returned to the consolidation area. Nevertheless, the good news is that the price has managed to break above the downward trend line and is ready for further increases.
Will Golem Network replace the classic centralized supercomputers?
Based on the Ethereum blockchain, the project and cryptocurrency Golem (GNT) is to finally become a supercomputer, which will significantly increase the amount of information processing by using decentralized open-source cores. Established by three Poles, Golem aims to revolutionize the way information is processed by current supercomputers, adding the possibility of parallel work on data from many fields of science or various business areas.
The biggest challenge facing the creators of Golem is currently the problem of internet bandwidth. Supercomputers need a minimum of 100GB of connection between the cores so that they can get this noble name. However, Golem has an optimal connection speed of ~ 1GB, and to achieve these speeds, there must be a huge, institutional broadband symmetrical link with gigabyte bandwidth through nodes distant from each other for many miles. In this case, Golem will completely create a "new supercomputer" that will seek to use the unused computing power of computers in the world to create a parallel computing ecosystem, i.e. create a decentralized supercomputer by connecting individual units around the world in peer-to-peer mode.
What was the price of Golem in relation to PLN since its recent debut on BitBay? The chart on the hourly interval shows that the market is currently in horizontal consolidation between levels 1.00 - 1.20. This last level has already been tested several times in the last week, so it is a solid level of technical resistance, the breaking of which may bring a potential rally towards higher price levels at PLN 1.72-1.80.
Investments in cryptocurrencies are connected with the possibility of loss for the Users, even with a small change in the price of the underlying instrument in the form of cryptocurrency. It's not possible to make profit on cryptocurrencies without exposing yourself to the risk of incurring a loss. When making investment decisions, the User should be guided by his own judgment. More information is available in the Declaration of Investment Risk.