Bitcoin Price Spikes to $10,000; Will it Stay There? Weekly Crypto Market Update

This week was calm in terms of trading until Bitcoin skyrocketed and boosted overall market confidence along with the price. One of the reasons for the increase is probably the Bakkt trading platform which will launch in the coming days.

This image shows the flow of money into the crypto markets in the past 24 hours:

Source: coinlib.io

Tether continues to be printed, and most of the current volume comes from stablecoins like USDT.

The altcoins continue to lose market share, but their declines have been less steep. However, there are some cryptocurrencies that broke their own price floors, which is not a good sign for their future.

Bitcoin’s dominance index has risen to 70% and seems to be testing resistance:

Source: CoinMarketCap.com

The market correction has continued, and despite Bitcoin’s latest increase, most analysts expect a sharp downturn. Our view on the subject is that just as the sharp rise from $6,000 could not be predicted, it is difficult to predict tomorrow’s market, and it should be remembered that the market does not always behave according to market analysts’ predictions.

Market Data

Market Cap: $271.9B 24h Vol: $64.2B BTC Dominance: 70.4% BTC: $10,683 (+5%) ETH: $181.70 (-2.9%) XRP: $0.26 (-1.6%) BTC Shorts (BFX): 9.6K BTC

BTC Longs (BFX): 26.8K BTC

China to Launch Government-Backed Cryptocurrency in November. China, the world’s second-largest economy, may launch a state-backed cryptocurrency in the coming months. Moreover, the digital currency may be issued to seven institutions and corporate giants such as Tencent and Alibaba for further distribution.

Tether (USDT) Clogging Ethereum’s Network, Leaving No Space For DApps. As the Ethereum network reaches critical levels of utilization, it appears that one of the most heavily transacted tokens is the most popular stablecoin, Tether. The network is currently facing serious issues as it may not be able to provide sufficient room for developers of Decentralized Applications (DApps).

Bitcoin Below $9,500: Don’t Panic, Says John McAfee as His Exile Continues. Veteran entrepreneur and popular Bitcoin commentator John McAfee has urged people not to panic about Bitcoin falling below $9,500. Meanwhile, he continues to be in exile at an unknown location, having admitted to not filing tax returns for at least seven years.

Telegram’s GRAM Launches in a Month: Tone Vays Issues Scam Alert. One of the most popular messaging applications, Telegram, is set to launch its GRAM cryptocurrency in October or November. The app is used by more than 300 million people, but according to popular trader Tone Vays, the cryptocurrency is “a little scammy.”

One-Stop Shop? Binance Acquires Futures Exchange. The world’s largest cryptocurrency exchange by volume, Binance, has acquired a crypto-asset derivatives trading platform and is one step closer to becoming a one-stop solution for cryptocurrency traders and investors. Will this create additional competition for other crypto derivatives trading platforms such as BitMEX?

Craig Wright Challenges Court Order Requiring Him to Pay 500K BTC. The self-proclaimed creator of Bitcoin, Craig Wright, has appealed a recent court order which required him to pay a total of 500,000 BTC to the estate of his former colleague in the Kleiman v. Wright case. Wright’s legal team has requested more time to address the legal validity of the court order.

Trouble Brewing? Vulnerability Reported on the Lightning Network. Rusty Russel, one of the authors of the Lightning Network’s protocol specification, issued a warning that there are vulnerabilities in the protocol which could potentially cause users to lose money. Said vulnerability may be related to an LN-equipped Bitcoin wallet called Eclair.

Charts

This week we’ve analyzed Bitcoin, Ethereum, XRP, Grin, and Wanchain – click here for the full price analysis.