News Updates July 23, 2022
1. Bitcoin dips to $22.6K, risking further losses if it fails to hold above 200-week MA
BTC price slides back below its 200-week moving average as analysts stress the importance of staying above $22,800 for bullish momentum to continue.
The mood across the cryptocurrency ecosystem is noticeably brighter on July 22 after a week of gains helped traders put the events of the past two months behind them and look toward a positive future.
Data from Cointelegraph Markets Pro and TradingView shows that the price of Bitcoin (BTC) has been oscillating around support at $23,000 over the past couple of days and continues to hold slightly above its 200-week moving average (MA), which has been a reliable indicator of bear market bottoms in the past.
As the debate about the market's direction continues to rage, here are the important levels to watch heading into the weekend, according to analysts.
*Bitcoin needs weekly close above $22,800*
The significance of Bitcoin trading above its 200-week MA was noted by independent market analyst Michaël van de Poppe, who posted the following chart highlighting the major support and resistance zones:
According to van de Poppe, Bitcoin is “facing crucial resistance again” at $23,500, and what happens next will determine if its price heads higher or pulls back to support at $21,500. He explained:
If that breaks at $23.8K, I'm assuming we'll continue and then $28K is on the tables, but we also have a clear breakout above the 200-Week MA confirmed.”
The importance of BTC holding above the 200-week MA was further addressed by market analyst Rekt Capital, who highlighted the need for Bitcoin to see a weekly close above $22,800:
*Anticipating a big move*
The recent price action is a sign that “a big move for #BTC is going to happen soon,” according to crypto trader and pseudonymous Twitter user CryptoGodJohn, who provided the following chart outlining two possible paths Bitcoin could take:
Break above and hold $24,200. I think we squeeze to $27K–$28K fairly quickly. If we start accepting back into the range, I am looking for a flush down to $20K. Pretty easy invalidation on both, stay safe.”
*Pro Bitcoin traders are uncomfortable with bullish positions*
The possibility of a move in either direction was also noted by the Twitter user Mayne, who posted the following chart addressing the “potential range break out” for Bitcoin.
They further explained: “Upside could be juicy if we can hold above $22.5k/range high. Lose the range high, this was likely a deviation. The move above range high becomes your risk as you target shorts back into the range.”
2. Technical Analysis - Crypto: Bitcoin Price (BTC/USD) - 23/07/22
Relevance up to 13:00 2022-07-24 UTC+2 Company does not offer investment advice and the analysis performed does not guarantee results. The market analysis posted here is meant to increase your awareness, but not to give instructions to make a trade.
The bullish trend is currently very strong on BITCOIN - BTC/USD. As long as the price remains above the support levels of 22k, 21k, you could try to benefit from the growth.
The first bullish objective is located at the price of 23,085 USD. The bullish momentum would be boosted by a break in this resistance (23,085 USD).
The hourly chart is currently still bullish. At the same time, some stabilization tendencies are visible between 22,217 USD and 24,264 USD
Together with the relatively large distance to the fast-rising 100-day moving average (22,2172 USD), there are some arguments for a relief rally in coming months on the table.
Bitcoin is at highest against the dollar around the spot of 22,2172 USD since two weeks - Bitcoin is inside in upward channel. Since three weeks BTC/USD decreased within an up channel, for that Bitcoin its new highest 22,2172 USD.
Consequently, the first support is set at the level of 22,2172 USD. Hence, the market is likely to show signs of a bullish trend around the area of 22,2172 USD.
Buyers would then use the next resistance located at 23,085 USD as an objective. Crossing it would then enable buyers to target 24,264 USD (the double top - last bullish week).
Be careful, given the powerful bullish rally underway, excesses could lead to a possible correction in the short term.
If this is the case, remember that trading against the trend may be riskier. It would seem more appropriate to wait for a signal indicating reversal of the trend.
Bitcoin price could be awaiting a major upswing if the digital savings manages to slice above a fatal line of the first resistance that sets at the price of 24,264 USD (Horizontal balck line).
The prevailing chart pattern suggests that if the leading cryptocurrency could be expecting to rebound from the levels of 22,2172 USD and 24,264 USD.
BITCOIN - BTC/USD rating 22,475 USD. On the day, this instrument gained about +2% and was traded between 22,217 USD and 24,264 USD over the period. The price is currently at +2% from its lowest and -1% from its highest.
3. Crypto firms could face fallout from SEC insider trading case against former Coinbase employee
* Yesterday, the DOJ and SEC filed parallel complaints against a former Coinbase employee and his associates for alleged insider trading charges.
While the legal process plays out, a number of firms may be caught in the crossfire of the SEC’s complaint.
The US Department of Justice (DOJ) and the Securities and Exchange Commission (SEC) on July 21 brought parallel criminal and civil actions against a former Coinbase employee, his brother and his friend for allegedly running an insider trading scheme. While the legal proceedings play out, a number of firms may be caught in the crossfire.
According to the DOJ's complaint, Ishan Wahi worked on Coinbase's assets listing team, and during his time with the firm, he allegedly tipped his brother Nikhil Wahi and friend Sameer Ramani about new coins that were slated to be listed on Coinbase. The complaint alleges the men made at least $1.5 million in illegal trades from 25 different crypto assets and at least 14 Coinbase listings. Many of those assets, the SEC contends, are securities — a claim that could affect business for firms even if they aren't the object of this enforcement.
*The DOJ approach*
The three now are facing charges of wire fraud from the DOJ. It's applying a case theory it's also using to prosecute former OpenSea product manager Nate Chastain, who allegedly purchased non-fungible tokens (NFTs) ahead of their listing on the NFT platform's home page and sold them for a profit. In both cases, the DOJ is using wire fraud charges to take the alleged perpetrators to task for profiting off of non-public information. Wire fraud alleges fraud took place using the "wires," or in modern terms, the internet. It's a broad statute that prosecutors have used to go after a variety of activities.
The DOJ has not sought the charge of insider trading in either situation. That's because insider trading is a securities violation. Anand Sithian​​, counsel at Crowell & Morning and a former trial attorney in the DOJ's Criminal Division, Asset Forfeiture & Money Laundering Section, noted the DOJ hasn't touched the question of whether the digital assets at hand are securities. If the DOJ brought securities fraud charges, Sithian said, it would have to prove the underlying assets were securities, which is an additional burden rather than just proving some type of fraud occurred using the wires.
4. US Congressman Says SEC Is Overstepping Bounds When It Comes to Regulating Crypto Assets
A US Representative says the U.S. Securities and Exchange Commission (SEC) has become power hungry when it comes to regulating crypto assets.
In a recent Congressional meeting, Representative Tom Emmer of Minnesota says the SEC is unfairly cracking down on crypto firms that are not within its jurisdiction.
The Daily Hodl
US Congressman Says SEC Is Overstepping Bounds When It Comes to Regulating Crypto Assets
Daily Hodl Staff July 21, 2022
A US Representative says the U.S. Securities and Exchange Commission (SEC) has become power hungry when it comes to regulating crypto assets.
In a recent Congressional meeting, Representative Tom Emmer of Minnesota says the SEC is unfairly cracking down on crypto firms that are not within its jurisdiction.
“Chair [Gary] Gensler’s political regime, carried out by its division of enforcement, has been characterized by a focus on using enforcement to expand SEC jurisdiction at the expense of [using] public resources, public investment in our country, and public trust in our markets.
It seems clear to everyone, except maybe those at the Commission, that the SEC is not regulating in good faith. Although many sectors of the industry have grappled with the SEC’s politicization of regulation over the last 14 months, it can be seen most clearly when it comes to the digital asset industry.”
5. FTX’s SBF Seeks Federal Oversight On Crypto After Coinbase Incident.
The U.S. Securities and Exchange Commission (SEC) has been a target of many crypto leaders and experts over its consideration of the nature of a “Token”. However, FTX Chief, Sam Bankman-Fried also expressed his view on this issue.
FTX’s chief take on nature of tokens
SBF was sharing details on how the FTX margin engine works and the structure they are proposing in the US. He mentioned a report on how Germany proposed only allowing futures with the pre deposited margin.
Amid this Twitter thread, Alex, a journalist asked about SBF’s stand on the ‘many tokens actually being security’ query.
To this FTX chief wrote that there are tokens that are securities and tokens that are not. He added that by default SEC will take those used for issuances. While CFTC will take on those that aren’t. However, he is flexible about that.
He concluded by saying that “in the end, He wants Federal oversight of crypto one way or another”.
6. Ukraine Museum Raises $1 Million from NFT to Shield Army.
The first NFTs battle museum in Ukraine collected more than $1 million for the armed forces. With this money, Ukraine has already purchased weapons and front-line vehicles. Additionally, this material was disseminated through the Telegram channel for the Ministry of Digital Transformation.
The Ministry claims that every dollar made from the sale of the previous two NFT collections, was to boost crypto money and to help the armed forces.
Ukraine Releases 3rd Part of NFTs
The third section of the NFTs collections, which indicates that the events occurred between March 15 and March 31, was released by the Meta History Museum of War on July 22.
MetaHistory – Museum of War is releasing the 3rd part of the collection that covers the events between March 15 and March 31.
7. FTX Voyager Joint Offer Gives Customers Chance To Liquidate, Here’s How?
Voyager customers could soon open a new FTX account and have an opening balance as part of a joint offer. According to an announcement made on Friday, the joint offer between FTX and Voyager provides for early liquidity to customers. Voyager had earlier this month filed for bankruptcy earlier this month due to its exposure to beleaguered hedge fund Three Arrows Capital. With over 100,000 creditors, the firm is estimated to have assets of more than $1 billion.
Voyager Customers Could Get Chance To Cash Out
As part of the joint proposal, the Voyager customers would be given a chance to withdraw their cash immediately. Instead, they can also purchase digital assets on the FTX platform, with these options made completely optional for the customers. However, the proposal is not ready for implementation before court approval. Also, FTX made it clear that it would not acquire Voyager’s loans to Three Arrows Capital.
“FTX hopes to close the transaction as promptly as possible, preferably in early August. This is subject to the requirements of the Chapter 11 process and the need for court approval. Neither FTX nor other participants in the joint proposal would be acquiring Voyager’s loans to Three Arrows Capital or related litigation claims.”
However, going forward, any recoveries made from Three Arrows would be directed towards customer returns, it said. This is irrespective of whether or not the Voyager customers open accounts with FTX.
8. USING BITCOIN TO ESTABLISH VPN CONNECTIONS WITHOUT TRUSTED THIRD PARTIES.
A Bitcoin VPN allows two or more parties to discover each other and be able to communicate privately over the public internet without trust.
Bitcoin is undoubtedly the world’s newest form of money. Governed by no central authority and controlled by no one, it represents the financial rescue that the world is looking for. In my opinion, Bitcoin freedom can be extended to escape eavesdroppers that work relentlessly day and night to intercept, monitor or even control our online activities.
TRADITIONAL VPN
Today, if two endpoints want to talk privately to each other, they typically need to do so via a trusted, third-party intermediary. As an example, consider what happens if any two endpoints want to set up a virtual private network (VPN) tunnel between themselves to carry on a private conversation over the public internet. They need to first be able to find out about each other. This is the discovery part.
If the two endpoints can somehow find each other, they may still not be able to directly communicate — for example, if they have private IP addresses or are hidden behind broadband routers or gateways. This is the data communication part.
