In recent days, the price of the first cryptocurrency has shown a 14.43% advance. The COVID-19 pandemic and the potential economic recession have not stopped BTC from showing positive numbers.

On April 19^th, Bitcoin (BTC) exceeded the USD 8,000 barrier, which could be a sign that the cryptocurrency market is on the rise, a few days before the reduction by half of the issuance of the first crypto asset.

BTC has had a progressive growth for over one and a half months, after the price collapse that occurred on March 12^th. Since then, Bitcoin’s momentum has already exceeded 100%, taking into account that the price fell from USD 4,000. At the time of writing this article, its price is USD 8,674 per unit, according to data from CoinMarketCap.

The analysis of these price increases by time allows observing that BTC has gained 8.78% in just 24 hours. In recent days, the rise has been 14.43%, and in recent weeks, the advance has been 27.12%. All of this has occurred amid an adverse environment due to the expansion of the coronavirus pandemic, forecasts of a global economic recession and the drop in commodity prices.

Bitcoin’s total capitalization is close to USD 150 billion, with a volume of almost USD 40 billion. This has served as fuel for other cryptocurrencies to also show positive numbers.

For instance, Ether (ETH) is trading at USD 209.09, with a gain of 6.54%; Ripple (XRP) at USD 0.220 (5.49%); Bitcoin Cash (BCH) at USD 254.16 (5.16%) and Bitcoin SV (BSV) at USD 202.99 (4.18%), according to data from Messari.

Market Behavior

The Spanish trader whose pseudonym is @inmortalcrypto highlighted that short positions for Bitcoin are suffering a lot. The expert considers that bears are practically bleeding out as they short during the rise of Bitcoin, whose cap never arrives. Furthermore, he said that all of those short positions are constantly closing and automatically turn into purchases.

Another aspect that caught the trader’s attention is that the data that the exchanges show indicate that this rise is due to purchases with money from outside the exchanges. The fact that fiat money is coming in would be very positive for Bitcoin and the rest of the cryptocurrencies.

For @inmortalcrypto, the price will continue to rise because many people waited to buy at lower prices before the halving. However, the quotations that they were expecting have not arrived, so they are buying right now.

Another trader, whose nickname is @CryptoMichNL, also analyzed the existing environment in the cryptocurrency market. He noted that events such as the reduction by half of the issuance of Bitcoin could lead to a higher level of FOMO among people and the media. The operator highlighted that, once people realize that the event does not have a short-term impact, sales pressure will also be strong.

The cryptocurrency trader makes it clear that FOMO (fear of missing out) can arise when there are very strong rises, such as in the case of potential gains.

The Bitcoin halving is an online event, scheduled to occur approximately every four years. It consists of a reduction by half of the incentive that miners receive for their verification and registration work on the blockchain. This event could allow BTC to have a higher price, since it is a finite asset with 21 million coins, as a ceiling.

By Alexander Salazar

People from anywhere in the world can participate. Until now, there is no deadline to register. The course includes a certificate and has a basic and an intermediate level respectively.

The Mayor of Bogota (Colombia) launched an offer of free online courses on blockchain technology under the educational program called “Bogota learns TIC”. This is what the web portal of the Mayor’s Office of Bogota recently reported.

This series of courses is available from April 27^th and covers a wide spectrum of content on new technologies, including Distributed Ledger Technology (DLT).

This free online training program intends to strengthen innovation and develop a path to the future of new technologies in the city. It is a strategy that seeks to enhance the digital talent of citizens and generate digital capabilities in them.

Virtual content covers topics such as cloud computing, immersive experience, big data, Artificial Intelligence (AI), event-based architecture, Internet of Things (IoT), gig economy, and blockchain technology.

Course Levels

As the website of the Bogota City Hall detailed, the virtual content has two levels: the basic and the intermediate ones. In the basic course on blockchain technology, citizens will study what blockchain is, its advantages and disadvantages, the areas in which it works with greater force, the entry of blockchain into the financial market, as well as the use of Bitcoin and the impacts on the processes of transformation in digital companies.

Then, at the intermediate level, students will learn about blockchain operation and application in greater depth. A feature of this course is that participants will remember that blockchain technology “has the potential to be explored”.

In this way, participants are expected to understand that blockchain technology serves as the basis for the work of different industries, but that it still has qualities or advantages that have not been exploited.

Each course lasts approximately four weeks and has no registration deadline. The Mayor of Bogota also informed that the participants will be able to download a certificate. This certificate will be available after the participant meets the minimum approval requirements.

Although the initiative is aimed at people residing in Bogota and over 14 years old, people from any part of the world will also be able to register because the course is completely virtual.

Because many citizens are unable to leave their homes because they are quarantined to prevent the spread of Covid-19, the Bogota Chamber of Commerce also held a free webinar called “Fintech Challenges and Opportunities”. This other course took place on Tuesday, April 28^th, at 10:00 in the morning, Colombia time.

This webinar was going to be a face-to-face conference. However, the organizers had to suspend the seminar and reschedule it as an online meeting. This also occurs because massive events cannot yet take place in the country, as a measure to prevent the spread of Covid-19.

Blockchain-related academic training is also maintained in Argentina. The NGO Bitcoin Argentina continues to conduct free online activities, such as webinars for the community in general, as it reported on its official Twitter account.

Bitcoin Argentina also offers an Introductory Talk to Bitcoin and Blockchain, which was previously held in person. This shows that the pandemic has not stopped training in the blockchain sector.

By María Rodríguez

The fall in world markets has not stopped Europeans from trusting Bitcoin. According to a survey, 1 in 9 Europeans believes that Bitcoin will integrate into society as a currency, according to a survey.

BitFlyer Europe is the European branch of one of the world’s largest exchange houses, in terms of cryptocurrency trading volume. BitFlyer’s team surveyed 10,000 people in 10 European countries. The survey, called “Crypto-Confidence-Index”, has been done annually since March 2019, so this is its second edition. The survey conducted in 2020 shows evidence that Europeans’ confidence in Bitcoin is progressively increasing.

To create the confidence index, BitFlyer surveyed 1,000 people in each of the 10 countries. Belgium, Denmark, France, Germany, Italy, the Netherlands, Norway, Poland, Spain, and the United Kingdom were the countries under study. Each respondent answered the same question: “Do you think Bitcoin will continue to exist in 10 years?”

The answers that respondents could select were the following: yes, in conventional use as currency; yes, but as an investment or security; yes, but it will only have specific uses; yes, but I have no idea how; no, but there will be other forms of encryption; no, something new will take its place; no, cryptocurrencies will not exist.

Confidence Increases Slowly but Steadily

Despite this year’s survey being conducted at the height of the COVID-19 pandemic, BitFlyer notes that Europeans’ confidence in cryptocurrencies has increased by 3%, compared to 2019.

Italy leads the 2020 survey among the most optimistic countries regarding the future of cryptocurrencies. Italy’s confidence last year was 68%, while in 2020 it increased to 72%. BitFlyer highlights that these results were surprising as Italy has been one of the most affected countries due to the pandemic.

BitFlyer Europe COO Andy Bryant is pleased with these results, which indicate a slow but steady progression of cryptocurrencies in the general consciousness. He said that this is an achievement for digital currencies despite the difficult economic times that humanity is facing.

Poland and the Netherlands are in second place among the most optimistic countries, according to the confidence index. According to the study, each of them obtained 67% in 2019, while the current percentage is 70%. Therefore, both countries had an increase of 3%, according to the index.

In the case of Spain, which was in fourth place with 66% in 2019, it is in third place with 68% in 2020. That represents an increase of 2%. On the other hand, Norway and the United Kingdom were the only countries where the confidence index decreased. The former went from 73% to 67%, while the latter fell by 1%.

The survey also revealed that 1 in 9 Europeans believe that Bitcoin will fully integrate into society as a currency in 10 years. However, although a quarter of Europeans believe that cryptocurrencies will continue to exist in 10 years, most do not know how they should use them.

Europe recently broke records in terms of trading volume on LocalBitcoins. Although this is related to COVID-19, BitFlyer’s study shows that adoption on the continent has been increasing despite the pandemic.

By Alexander Salazar

Bitcoin’s price went up from USD 7,700 to USD 9,500 in just 24 hours. Three key factors led to such a big increase in the short term.

According to data from CoinMarketCap, the price of Bitcoin (BTC) rose from USD 7,700 to USD 9,500 overnight, achieving an increase of about 23%.

Bitcoin’s recent rise is due to three main factors: a record-high spot exchange volume, a rise above all-time resistance levels, and a marked increase in institutional demand.

Spot Exchanges Bring Bitcoin to USD 9,500

In the area of ​​cryptocurrencies, the term spot exchange refers to a platform that facilitates crypto-fiat trading. For instance, users can trade Bitcoin with USD or stablecoins like Tether (USDT) without leverage, through Binance and Coinbase.

Leverage and borrowed capital do not help inflate the trading volumes coming from spot exchanges. Typically, spot volumes demonstrate genuine retail demand and often increase during the accumulation phase.

Bitcoin’s recent boom differs from previous rises in that it was led primarily by spot volumes. Binance and Coinbase posted record daily volumes, according to Binance CEO Changpeng Zhao.

Coinbase was unable to manage users’ activity for a while since there was too high a demand from them for Bitcoin.

Meanwhile, the open interest of Bitcoin futures on BitMEX remained below USD 500 million. Bitcoin’s open interest on BitMEX, which refers to the total number of short and long contracts opened in the market, held above USD 1 billion last February.

There was a relatively low trading volume of Bitcoin on futures exchanges and a dominance of spot platforms, which indicates that the rise from USD 7,700 to USD 9,500 was organic.

BTC All-Time Highs are Easily Exceeded

Cryptocurrency trader Benjamin Blunts said that Bitcoin’s price surpassed all major all-time resistance highs when it exceeded USD 8,000.

The 100-day and 200-day daily moving averages (DMA) and the 0.618 Fibonacci retracement level were simultaneously exceeded.

When Bitcoin breaks through major areas of resistance without falling back, it indicates that a stronger upward move is waiting for it. For this reason, when BTC first reached USD 8,000, it quickly rose to USD 9,500.

Institutional Demand Acts as a Safety Net

Compared to the first quarter of 2020, the key narrative around Bitcoin was the accumulation of Bitcoin by institutional investors.

According to Grayscale’s quarterly report, which operates the Grayscale Bitcoin Trust, 88% of investments came from institutions. During the same period, the assets under management (AUM) of the Grayscale Bitcoin Trust reached USD 3 billion, according to its CEO, Barry Silbert.

The investment firm said that 88% of this quarter’s inflows came from institutional investors, the vast majority of which were hedge funds.

Institutions consistently invested in Bitcoin throughout the first quarter, evidenced by the gradual increase in capital inflow into Grayscale’s institutional products since January 2020.

The increase in spot volume, the breakdown of key resistance levels, and the accumulation by institutions are due to a significant increase in the demand for organic retail sales. All of this created a perfect storm for Bitcoin before the halving, thus boosting it above USD 9,000.

By Alexander Salazar

The special code that cryptocurrency exchange houses will have is like a certificate of legality. This measure recognizes crypto-exchanges in Brazil as part of the country’s commercial activity.

The demand for cryptocurrencies in the Brazilian market does not stop. On the contrary, it will have a legal form. Since next May, cryptocurrency exchange houses in Brazil will have their commercial operation code, together with the Brazilian Institute of Geography and Statistics (IBGE).

The National Classification of Economic Activities (CNAE) is a legal way to standardize, through codes, Brazilian economic activities throughout the country. These codes serve to facilitate the framing of a company within its business framework.

The operation of cryptocurrency exchange houses in Brazil is a relatively newer activity. For this reason, this activity does not have a specific classification. Until now, some of the cryptocurrency exchange houses adopted the code referring to the intermediation and administration of services or the business code in general, even other codes used to refer to Internet providers.

This is exactly what will change from May, although there is no specific date for the assignment of these codes until now. The Brazilian Institute of Geography and Statistics (IBGE) will update its system and include the new code for crypto exchanges. The code will be number 6619-3 / 99, called Brokerage and Custody of Crypto Assets.

Requested Code

ABCripto, an entity that brings together companies in the sector, was in charge of directing the request for this measure. “The process is long and bureaucratic, but it is finally having a positive result”, Safiri Felix, President of the association, said.

The request was made by action 08/2019 of the National Strategy to Combat Corruption and Money Laundering (ENCCLA), an organ of the Brazilian National Council of Justice (CNJ). The intention is to provide greater legal certainty to the digital asset exchange sector.

“It is a way to bring security for society since a specific CNAE brings legal security to the citizen who wants to hire a provider of a specific service (and not to any company with a different purpose) as a guide for the public power, thus allowing to monitor the sector”, the Prosecutor of the National Treasury, Ana Bez Batti, said to local media.

Steps Towards Regulation

Different specialists in the world of cryptocurrencies consider this to be an important step in the regulation of the crypto-exchange sector in Brazil.

Ana Paula Rabelo, an accountant specialized in crypto assets, comments: “It is an achievement in the sense of showing the market that exchange houses are legal and have their CNAE. This is a certificate of legality, a very positive path for the entire crypto sector”.

Reinaldo Rabelo, CEO of the exchange house Mercado Bitcoin, considers that the creation of the code is another step in favor of the organization of the sector. “We still need more robust regulations to prevent inconveniences from suffocating the business; something like the fintech banking services companies did when the Central Bank prevented the closure of their bank accounts”.

The founder of the exchange house PagCripto, Carlos Lain, points out that the creation of the CNAE occurs during an excellent time for the market, either to facilitate relations with financial institutions or for compliance reasons.

“This is only a first step so that in the future of our market we can operate effectively with large inflows of institutional capital and avoid scams that could put other clients at risk”, he explains.

By María Rodríguez