With the news of Facebook’s new crypto reaching the masses, some might have missed Google Calendar was down yesterday, bringing timekeeping anarchy to millions. Those affected should be more like the inhabitants of Sommaroy Island in Norway, who are lobbying the government to remove time (zones) altogether. Meanwhile, in celeb news, not enough people wear deodorant and Justin Beiber wants to change that.
Welcome to the new status quo, where another day means another regulator wakes up to Facebook’s Libra potential to positively disrupt global economies and banking ecosystems. Like if Bitcoin didn’t already do that, right? Well, its suffice to say grandparents use Facebook, but not Bitcoin. Anyway, after European regulators, it was time for the US counterparts to voice their concerns.
This won’t change anything concerning our market analysis. Regulators can be misguided, but, at this point, we’re positive no one will mix Libra with Bitcoin. So, having already shared our three original predictions yesterday — with at least one of them proving correct, at least in the short-term, and other being echoed by our favourite thought leaders — it’s time to zuck it up. Or else Zuck will win.
So, what about the original crypto market? Libra’s announcement definitely occupied the cryptosphere’s minds, but traders didn’t follow its gravitational force. Both BTC and ETH are down 0.4% over the past day, even if the average alt appreciated 1.5%. Was this caused by the fact its launch is not yet guaranteed, as Ari David Paul notes? Unlikely, it’s just that BTC couldn’t break $10k easily.
Otherwise, price would have started to wind down. So, it just seems bulls are tired, even if not saturated, from the climb that kicked-off in April. But a pullback seems unlikely, considering that such a scenario seems too easy for all the current short sellers who started betting on a retrace last week. Instead, now that Libra’s weight is out of the scale, can it be that alts are allowed to breathe again while BTC keeps chopping up and down, as Stackin Bits’ scenario suggests?
▪ To mitigate Libra, we applaud Dovey Wan and Pan Zhibiao’s Hard Core Fund, which aims to support Bitcoin developers as independently as possible.
▪ To understand how Algorand just raised $60 million for an implied market cap that’s 85% of Ethereum’s, check Amber AI’s great take about its auction model.
▪ To understand how Facebook’s Libra might be used to speculate on other cryptoassets’ appreciation potential, check Fundstrat’s Tom Lee wild estimation.
▪ To understand how Bitcoin is adopted throughout each market cycle, Philip Swift introduces a new metric: the Golden Ratio Multiplier. Cool charts here.
▪ To understand if Facebook’s Libra “will really empower the unbanked and gain traction in Venezuela”, check Isabel Woodford’s overview. In brief, it depends.
▪ To understand how you can “break out of traditional finance into crypto”, listen to Tony Sheng’slatest “Click Here to Apply” episode featuring Jill Carlson.
▪ Finally, to understand “Libra’s Legal Challenges”, we recommend Misha Guttentag and JP Schnapper-Casteras’s analysis of what its lawyers have to do.
“That Facebook announced Libra during Asia, Africa & European business hours while the Americas is asleep shows you where they think their market is.”
