Daily Market Update- December 3rd, 2020- Cipher Trace Issues Warning for MetaMask Users

Total Market Cap $576.1 BN (+2.04%)

24 Hour Volume $143 BN (-28.71%)

Notable Movers Keep3rV1 (KP3R) (+48.87%)

Bitcoin Dominance 62.3% (-0.16%

UK To Start Distributing COVID Vaccine Next Week

And now begins the distribution of the Pfizer (NYSE:PFE) and BioNTech (NASDAQ:BNTX) vaccine for COVID-19. The rollout begins next week, and it will likely be quite difficult. “Although the NHS is well versed in delivering vaccines (it delivers around 15 million flu vaccines per year as an example), the Pfizer/BioNTech candidate has well flagged characteristics that make it more difficult to deliver,” said Dr. Adam Barker, health analyst at Shore Capital. This is because the vaccine needs to be stored at -70C, a bit colder than your average freezer, and delivered in special delivery containers filled with dry ice, which is frozen carbon dioxide, which sublimates. DHL, will help in the logistics of the delivery throughout the country with its “Medical Express” service. The UK has ordered 40 million doses for 20 million people over the course of this year and next. Batch testing has already been completed for the first 800,000 doses. According to British Prime Minister Boris Johnson, the vaccine will not be mandatory.

Bitcoin Back Above $19,000

Bitcoin (BTC-USD) is back above $19,000, having gained over 11% in the past week. The move higher in the crypto space is coinciding with a strong selloff in the US Dollar (NYSEARCA:UUP), down 4% in the last month. Dominance of the original cryptocurrency compared to the rest the market is now around 62%, slightly down from the peak of 70% hit in 2019 prior to the 2017 run to previous highs just below $20,000.

The $18,500 inflection point, along with the $20K psychological resistance seems to be asserting itself. Even though price technically made an all time high, it does not change the fact that the $20K to $20,200 area is a highly vulnerable location to put on new longs.

Paul Tudor Jones is a HODLER?

Paul Tudor Jones is embracing a “hodl mentality” on Bitcoin (BTC-USD).

The cryptocurrency, which scaled a record high this week, is on a "crazy rocket ship ride” that’s set to go higher, according to the veteran investor and trader.

While Jones doesn't consider himself a cryptocurrency expert "by any stretch," he told Yahoo Finance that he expects the digital coin will be "substantially higher" in 20 years. On Thursday, Bitcoin — which has surged 113% since May — was trading north of $19,300 with a $359.37 billion market cap.

"In a world where you've got $90 trillion worth of equity market cap and God knows how many trillions of fiat currency, etcetera...it's the wrong market cap, for instance, relative to gold, which is $8 or $9 trillion," Jones said in an exclusive interview.

"I'm going to assume that it's the wrong price for the possibilities that it has. And I'm going to assume that the path forward from here is north," he added.

He added that Bitcoin reminds him of internet stocks in 1999 when the internet was in its infancy." No one knew how to value it because of the world of possibility that lay ahead," Jones said.

Back then, few had an idea of how the Internet would play out as some companies crashed and never came back. Others, however, ended up as dominant worldwide players.

"My guess is that's what we're going to sort through— that kind of crazy competition, winners and losers, et cetera in the digital world," Jones said.

The Fastest Horse

In a May investor letter, the Tudor Investment Corp.'s founder and CIO provided a lengthy discussion in an investor memo on how Bitcoin can serve as an inflation hedge, as monetary expansion funds additional debt, which was already sky high before the pandemic hit.

At the time, Jones ranked Bitcoin as No. 4 on his list of inflation hedges, calling it an investable asset that falls into the category of a store of value and is semi-transactional. He noted that his profit-maximizing strategy was "to own the fastest horse" among the cryptocurrencies.

Meanwhile, Jones is certain of is the digitization of money is the future, especially as more central banks move toward their own digital currencies. He predicted that current generations and sovereign governments will eventually use their own versions of crypto.

"They may have their own digital currency, whatever. They'll be very, very, very commonplace at that point in time. Cash may be gone,” he told Yahoo Finance. “And so in that world, where does Bitcoin fit in, as well as some of the other cryptocurrencies?" he asked.

If Jones had to guess, he thinks the future of Bitcoin is "going to be a lot like the metals complex," where you have ‘precious’ digital coin.

Bitcoin is “the first crypto, first-mover in a world that's so compressed. It has that historical integrity within digital currencies that it will always have …And again, because of its finite supply, that might be the precious crypto," he added.

What's more, the future might lend to more transactional cryptocurrencies along with the sovereigns' digital currencies.

"And they may be more like the industrial metals, so where you have gold as a precious metal, and then you've got copper and platinum, palladium, et cetera that are industrial — lead, aluminum, industrial metals. You may have precious crypto, and you may have industrial crypto," he said.

While it's impossible to know what the next 10 or 20 years will look like, Jones said if he had to take a position on it, it's going to be "the brand name," which is Bitcoin.

He also expects that sovereigns will fight back against cryptocurrencies, similar to what happened with gold in the 1930s when the federal government seized it.

"We were all actually on the gold standard because of its neutrality. And then, of course, we came off. They banned it. But it had appeal,” the investor explained.

“It's hard to understand what the future of a currency, any particular currency, is going to be," Jones added.

In the News

Institutions Are Gobbling Up Bitcoin

Institutional demand for the Grayscale Bitcoin Trust is continuing to rise. As Cointelegraph notes, buying one share in this trust is currently 35% more expensive than buying Bitcoin at the current market price. Grayscale owns Bitcoin worth $10.2 billion according to its latest report — buying twice as much BTC as was mined in November. Read more

S&P Dow Jones Indices to Launch Crypto Benchmarks

With institutional interest in digital assets continuing to surge, S&P Dow Jones Indices has announced it is planning to launch a crypto indexing service in 2021. The company says "reliable pricing data" is needed given how investor interest is growing. (I’ve heard that CoinMarketCap is very good.) Decrypt says the move could reduce some of the volatility seen in the crypto markets today. Read more

Sophisticated Phishing Scam Targets MetaMask Users

CipherTrace has issued an alert after receiving reports of a phishing scam targeting the MetaMask wallet. The blockchain intelligence firm says funds have been stolen through a malicious Chrome browser extension masquerading as an official MetaMask product. We’ve put the fake and real MetaMask pages side by side on our blog — can you tell the difference between them?

Is Spotify About to Start Accepting Crypto?!

Speculation is growing that Spotify is about to start accepting crypto. It comes after the music streaming giant advertised a job vacancy for a payments director who has experience in digital assets. The addition of crypto as a payment method would be music to the ears of its subscribers, and could help Spotify break into markets where levels of financial inclusion are low. Read more

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