Another Bart Simpson of a week was triggered by a series of mishaps. With the WTE Mnuchin package laying the backdrop, the CFTC dropped a landmine filing indictments, John McAfee got detained, Trump caught COVID and was also called out on his claim of having paid millions in income taxes… NOT true; all contributing to $BTC pulling away from the elusive $11,000 handle- a level that it has yet to prove it is capable of holding. Yet, the inklings of a completely new segment of demand is starting to emerge as Square deploys $50M into Bitcoin. It’s the second high profile injection in as many weeks (see MicroStrategy) from the fifteen trillion plus global corporate cash stockpile and for Square this may be a mere one percent of the company’s total assets but clearly, this is just the beginning. What’s the alternative for these mind-boggling cash piles stacking up against near zero and increasingly, negative yield bearing deposits?
So there was some reprieve from this joyous news offering a bounce back for $BTC to levels before the dip. Back on the upper end of the Bollinger bands with RSI approaching 65, expect a breather for now.
Rep. David Scheweikert introduced a bill to the House of Representatives that would make digital signatures on the blockchain legally binding and Senator Pat Toomey (Banking Committee member) has taken a somewhat brazen approach as he appeals to the digital currency…
