The price of Bitcoin surpassed USD 38,000 after Elon Musk said that Tesla could accept it again. Willy Woo said Bitcoin whales comprise 26% of the supply, but the wealthiest whales are barely 3.75% and are declining.

The price of Bitcoin fell below USD 30,000 on July 20^th, a level not seen since June. That coincided with the release of 24,000 BTC for the unlocking of shares in Grayscale Bitcoin Trust.

The next day was positive for Bitcoin as it rallied by 8%, going from USD 29,800 to USD 32,181.

Cathie Wood of Ark Invest, Elon Musk of Tesla and SpaceX, and Jack Dorsey, CEO of Twitter and Square, recently spoke about the pioneering cryptocurrency. Musk said that Tesla could accept Bitcoin again, while Wood highlighted that it is the most efficient vehicle for receiving remittances in emerging countries. Dorsey recalled that Bitcoin is open since its inception and has become a solid Internet standard currency that everyone can use.

The comments from these renowned figures could have caused the increase in the price of BTC. The cryptocurrency is currently trading at around USD 39,090, an appreciation of more than 9.6% since July 19^th.

The Number of Bitcoin Whales Is Dropping

Bitcoin whales, who hold more than 1,000 BTC, comprise 26% of the  supply of the cryptocurrency. However, the wealthiest, who own more than 10,000 BTC, barely have 3.75% and are declining. Analyst Willy Woo provided that information in a recent longitudinal study on Bitcoin supply.

Woo notes that the minnows, who own less than 10 BTC, have 13% of the supply, half of what the whales accumulate. However, he argues that the amount they control also represents small users when including exchanges. That would lead the school of small fish to reach 30%, evidencing a wider distribution of the supply.

The Stock-to-Flow Model Applied to Bitcoin Stumbles

The stock-to-flow model applied to the prediction of the price of Bitcoin began to lose its validity since the correction in mid-April.

The model indicates that the price of BTC should be close to USD 80,000. The model only takes into account the supply of Bitcoin and the issuance of new coins. However, some external factors have a direct impact on the price.

Bullish Metrics Indicate that Bitcoin Outflows Increase

The number of entities receiving BTC on exchanges is on the rise, on-chain data analytics firm Glassnode notes. However, those that predominantly deliver BTC are on the decline.

In a study by this firm, the net flows of Bitcoin on exchanges have reverted to outflows. Those platforms are currently posting net outflows of 36,300 BTC per month, says Glassnode.

The Peak in the Number of Users Increases in the Last Cycle

The number of users on the Bitcoin network has steadily grown in this bullish cycle amid the correction. On-chain data analyst Will Clemente compared user growth between two successive bullish cycles.

The peaks between 2011 and 2013 went from 1,819 to 5,488 users, an increase of 152%. Meanwhile, between 2013 and 2017, there has been a 646% increase in users. Many analysts consider the peak of this cycle has not yet occurred, so Clemente wonders about its future growth.

By Alexander Salazar

As the number of whales decreases, the number of Bitcoin dolphins and sharks increases. The total of owners of small amounts of Bitcoin could be greater than that of the whales.

Super rich Bitcoin (BTC) whales, who own more than 10,000 BTC, are increasingly close to disappearing. According to blockchain data and market analyst Willy Woo, they have around 3.75% of the existing supply of coins.

Woo shared analysis on the distribution of BTC and concluded that the coins are moving towards the masses. In other words, there is a growing number of entities that own less Bitcoin.

The analyst said that the data relies on unique entities rather than addresses, as each individual can have many of them. He added that these addresses are forensically clustered into individual participants to create entities.

The researcher explained that whales usually distribute coins while making a profit on bullish market runs. However, he clarifies that the whales generally tend to decline in the long term.

The Minnows Are Eating the Bitcoin of the Whales

According to the data, there are increasingly few whales while the minnows, who own less than 10 BTC, already accumulate 13.6% of the Bitcoin in circulation. Woo argued that the latter could outperform the whales, who have 1,000 or more BTC, totaling 26% of the supply.

Although the minnows have half of Bitcoin, the picture changes when considering funds on exchanges and mutual funds. Since they are entities that guard the coins of thousands of users, their ownership is also related to small investors. When adding all those coins, there is more than 30% of the supply of Bitcoin.

The minnows seem to have only the crumbs that the whales leave behind. The long-term appreciation of Bitcoin increasingly reduces the averages of BTC per user but increases its equivalence in fiat money.

Another study by Woo indicates that the current average is between 0.25 BTC and 0.69 BTC per head. That is below the average of around 1 BTC from two years ago.

The US dollar figure has not stopped increasing, although the individual holding in Bitcoin has decreased. Taking into account 0.69 BTC per person, the total BTC exceeds USD 20,000. That figure had not exceeded 1 BTC until December 2020.

The Number of Bitcoin Dolphins and Sharks Is Rising

The school of small fish continues to grow, but Woo considered that dolphins and sharks would be the leaders of 2021. Those owners, who have between 100 BTC and 1,000 BTC, have increased in recent times.

The renowned analyst relates this growth to the entry into the market of high net worth individuals, family offices, hedge funds, and smaller corporate treasuries. He notes that these entities absorbed much of the distribution by the whales.

Lost Coins, Saved Coins, and Spent Coins

Woo excluded the coins attributed to Satoshi Nakamoto, the pseudonymous creator of Bitcoin. All those coins equal 5.8% of the BTC supply, so he would be a mega whale if considered.

The market analyst argued that he excluded those coins since Satoshi’s coins are lost coins. No one has moved those coins for more than a decade after its creator mined them. His silence for all these years suggests that those coins will not enter circulation on the network.

Some people consider not only Satoshi’s coins, but also those not moved for more than ten years, are lost. Data from Unchained Capital’s HODL Waves indicate those coins would represent more than 11% of the total Bitcoin out of circulation.

By Alexander Salazar

The bill has already been presented in the Argentine Chamber of Deputies. The author of the project met with President Fernandez and discussed the matter.

The national deputy José Luis Ramón revealed that Alberto Fernández, president of Argentina, “would be supporting the discussion of a project regarding a Bitcoin law.” This news arrived due to the release of this bill that, if approved, will permit the collection of salaries in bitcoin (BTC) and cryptocurrencies in the South American nation.

In a dialogue with the lawyer Camilo Jorajuría de León, a member of the NGO Bitcoin Argentina, through a video call, the deputy said that on Monday, July 19, he met in person with the president and informed him of his bill.

The text, entitled “Regime for the perception of wages in cryptocurrencies,” appeared in Congress at the beginning of July, by the Mendoza politician, from the Unidad y Equidad Federal party.

Ramón said, during the talk, that he thinks that the president would be open-minded and even contribute with improvements and new ideas regarding this law.

He clarified that “it is not the same to be president of the Nation as a legislator” because, as he explained, as a deputy he has “certain freedom to be able to raise these things. In any case, the politician argues that Alberto Fernández completely understands the nature of this project.

The Law Would Help Freelancers and Salaried Employees

The bill mentioned here brings many benefits for two types of workers to receive their payment, totally or partially, in cryptocurrencies: freelancers who export services, and salaried employees.

The politician mentioned, during the talk, that one of the main goals of the law is to stop the cheating behavior between intermediaries during a payment. When someone provides a service abroad, they earn a specific amount but receive much less.

Both freelancers and salaried employees will gain access to keep crypto assets as a store of value. This feature is vital in the South American nation, which suffers from constant inflation and devaluation of its local currency.

Regarding the Argentine financial system, Ramón highlights that banks are generating enormous abuses in many citizens. The decentralized system promises to be a much safer way for citizens to protect their finances. Citizens even find this alternative cheaper than the centralized systems of the Central Bank,  Ramon said.

Argentina is Not the Same as El Salvador

The dialogue between José Luis Ramón and Camilo Jorajuría de León focused for a few minutes on El Salvador. The Central American country recently approved the Bitcoin Law, which sets that cryptocurrency as legal tender.

According to the World Bank, one of the main goals of the Salvadoran Bitcoin Law is to grant the receipt of remittances, which represent 24% of that country’s income.

By: Jenson Nuñez

The artist became an official HODLer right after listening to ‘The B Word’. He also appeared to be interested in investing in Ethereum.

American rapper, songwriter, and music producer Trevor James Smith, Jr., better known as Busta Rhymes, is now a cryptocurrency enthusiast due to the lecture featuring Elon Musk and Jack Dorsey.

A conference called The B-word brought together the most popular leaders of the digital currency ecosystem. They talked about the challenges and what will come for the first cryptocurrency. The event had created great enthusiasm among the community, as it was the first time that the billionaire Musk would speak about Bitcoin during a live chat.

Musk spoke during the second panel of the day and described Bitcoin as a Tool for the Economy to become stronger, alongside two of the most popular Bitcoin executives and enthusiasts: Cathie Wood, CEO of ARK Invest, and Jack Dorsey, CEO of Twitter and Square. Now, it appears that the words of the three executives have inspired people to explore the crypto world.

Busta Rhymes is Now an Official Bitcoin Hodler

Busta Rhymes expressed through a tweet that, after watching the Bitcoin conference live with Jack Dorsey, Elon Musk, and Cathie Wood, he got convinced of Bitcoin.

The famous rapper also revealed to his 3.8 million Twitter followers that he had purchased Bitcoin (BTC) right after listening to the talk and is now studying the spectrum of possibilities that Ethereum (ETH) has to offer. He would possibly invest in that cryptocurrency or venture into its broad ecosystem of decentralized applications soon.

Although Busta Rhymes did not bring further details on how many bitcoins he had purchased, he announced that he had become an official cryptocurrency Hodler. Offici

ally holding Bitcoin. The Grammy Award-nominated musician got related to the Tesla CEO’s reflections on the idea that government is, ultimately, a large corporation.

Musk Inspired him to Enter the Crypto-World

In addition to the reflections that leaders shared on the current challenges facing Bitcoin and the vision for such technology going forward, it is possible that the revelations about the investments made by Musk also encouraged the rapper to become a Hodlr.

One of the topics the CEO of Tesla addressed during the conference was the investments of their companies and their investments in digital currencies. Musk first made it known that his rocket company, SpaceX, also holds Bitcoin in its treasury. Also, the billionaire said that he kept BTC, ETH, and Dogecoin in his wallet.

In February this year, the businessman had reported the purchase of USD 1.5 billion in Bitcoin by his company Tesla. But he had not disclosed about SpaceX’s investment, nor had he discussed his portfolio. While Musk did not specify the amounts of crypto that he and his company own, the news generated great excitement and made big headlines.

During the event, the billionaire also reiterated the possibility of Tesla accepting Bitcoin again among its payment methods.  Musk said that this was on the horizon, and it linked to the increased use of renewable energy within Bitcoin mining.

The comments may have convinced Busta Rhymes, who had already expressed her interest in cryptocurrencies through a tweet earlier this week. At the time, the artist had commented on a post by Mike Tyson asking his followers if they preferred BTC or ETH, saying that he had spent 30 minutes reading the comments. “Mike, I’m with you.”

By: Jenson Nuñez

A representative of the Chinese Foreign Ministry called US senators “ignorant” and invited them to learn more about digital currencies.

China has responded to the request of three US senators to prohibit the country’s athletes from using the digital yuan during the 2022 Winter Olympics which will take place in Beijing.

Earlier this week, US Republican Senators Marsha Blackburn, Cynthia Lummis, and Roger Wicker sent a letter to the US Olympic and Paralympic Committee expressly requesting that national athletes should not use the digital currency of the central bank of China during the Olympic event.

Members of the Senate pointed out that the digital yuan could serve as a surveillance tool for the Chinese government on a wide scale. In this regard, they warned that the use of said currency can represent a threat to the privacy of the athletes who attend the Olympic event.

According to China, the Letter Only Reflects Ignorance

A spokesman for the Chinese Foreign Ministry spoke out at the senators’ letter warning the United States Olympic Committee about the use of China’s central bank digital currency during the upcoming sporting event.

During a press conference on Tuesday, Chinese government department spokesman Zhao Lijian said that recent actions by US politicians only reflected their ignorance about cryptocurrencies. Lijan, who responded to a Reuters reporter who asked about the issue during the press call, also invited senators to learn more about digital currencies.

The representative continued to reject the surveillance arguments about the digital yuan made by the senators in the letter, adding that the United States of America was the leading expert on espionage and digital threat.

 The representative said that The United States of America has been spying on its competitors and its allies through various methods such as cyber theft and wiretapping, these facts are well known to the world.

Likewise, Lijian encouraged US politicians to separate sports from political affairs, adding that they must stop creating problems with digital currency in China.

Yuan Digital to Debut at 2022 Olympics

China has been carrying out multiple efforts to test its Central Bank digital currency, CDBC, the digital yuan, during the past year. The country’s officials have already revealed that they intend to take their testing procedures to the 2022 Olympics.

A  report made by the People’s Bank of China (PBOC)  provided details on the deployment of the digital yuan during the sporting event and highlights that self-service vending machines, supermarkets, clothing, and other services will receive the CBDC. Other devices will appear in an offer to achieve the success of the payments.

Even though the Chinese government assures that users will be able to use the wallets without providing any personal information, various reports have warned, in the same vein as the senators’ letter, about the possible uses of such technology as a control mechanism.

By: Jenson Nuñez