Bitcoin dips UNDER $5000 / SEC Targets ICOs

Yo yo what's up everyone and welcome back to Box Mining. So what a crazy two days it's been. So we've got Bitcoin shooting all the way up to 5,300 and now falling back down below 5,000. So today we're going to talk explicitly about what my expectations are, what I've thought about this kind of bullish movement. And we're also going to talk a little bit about the news as well. A lot of focus on what the SEC is doing because I think that really has a long-term implication on the token space. So we're going to look in detail about that and also follow up on some of the latest news and trends. And if you guys like daily news updates, make sure you click that little subscribe button and click the notification bell so you won't miss out on the latest news. Everything covered here is my personal opinion, not financial advice. So looking at this page on CoinMarketCap, we see a complete difference from yesterday. So yesterday I did a live stream with Crypto Omar. I'll put a link up here and we're talking about how crazy crypto prices shot up. Everything was in the green. We saw 10% or 20% increases for some cryptocurrencies. And today we see a lot of red. This pullback is really happening. So for our analysis today, we're going to start off by looking at Bitcoin, the primary example here. So Bitcoin, the spike really happened on April 2nd and we just went all the way crazy. Within an hour, we had Bitcoin shooting prices, shooting up from 4,100 ish to all the way past 5,000. And that initial spike, a lot has been attributed to this mysterious buy order. So the buy order size was a hundred million dollars. It's been reported on returns and on spread between three different exchanges. Now, if you just look at CoinMarketCap, obviously we've been talking about volume for a while and a $20 billion or $10 billion volume, you think, Oh, a hundred million wouldn't matter that much. But what we've been seeing is that there's a lot of fake volume being reported and we shouldn't really look at this as a primary factor, but rather assume that maybe 80%, 90% of the volume is fake, which makes a lot of sense. If we only have a billion dollars of trade volume, a hundred million is a big, big factor. And that would send prices going up or down. So what are some popular TA topics about this? So I just took a look at trading view today and magic poop, Hannah was actually expecting hitting their resistance zone at 4,500 to 6,100 and for prices to go up there before falling back down. Unfortunately, we didn't hit those zones. So it just seems like we're not as bullish as a lot of these TA experts think we are. Goldbug was a little bit more kind of pessimistic. He thought that we're going to kind of target 5,500 before seeking that retracement. So a lot of, there's a lot of talk about retracement because it just went up too high, too fast, too fast, too furious. And we're not entering a bull market as of yet. And I think this is important to remember because sometimes I get desensitized to how much bullish comments there are. Suddenly all those TA experts and all those writers started saying, Oh my God, the bull market's near. Well, what I think that's quite solid is this, the fact that the bears are kind of facing exhaustion, but that doesn't mean an immediate rise of the bull market. That's doesn't mean that immediately everyone's going to FOMO back into Bitcoin. At the end of the day, after looking at this TA, I really, I'm really thankful that I'm solid cost averaging. So just buying small amounts over a large period of time. And after seeing the first bull swing, I'm just starting to collapse the time down a little bit. So I'm going to set a six month DCA instead of a 12 month one. Also something that's coming out of Korea is Andreas Antonopoulos is talking about how we need a system of decentralized applications or Dapp, so to speak, that only takes crypto and that will cause the next wave of crypto adoption. So he's talking about, we need to rapidly exceed and start doing applications that are absolutely impossible with the current centralized system. And that's really important too. The fact that, and he's really identifying this, that we need to have something that centralized systems cannot do. And it's something that I want to explore in this space as well. And one of the ways to do that is through incubation. So something that I have been following in the V-chain space was the cream incubator, where it's always about kind of finding the right talents, finding the right people and the right businesses to combine all those people together to make something that works. And something that I will be following up with the cream method is what they're developing, what their projects that they're looking at to build applications that cannot be done or replicated in a centralized space and how that will bring adoption forward. And in relation to all this market craziness, we did see BitMEX breaking down a little bit. So unfortunately, some of the orders were automatically closed when they shouldn't have been closed and BitMEX is looking to kind of individually talk to users who are affected. So if you were on a leveraged trade or Bitcoin during this whole craze, do make sure you talk to BitMEX. I know like their customer support isn't the easiest to reach to. And personally, I had an account that was locked for six months. So yeah, just make sure you're really proactive on that if you're using BitMEX. So now an update from MT-Doc. So you guys know this is the exchange that was the biggest Bitcoin exchange at that time, and then it closed down, locking up all users' funds, essentially almost destroying our funds. So I was personally affected by MT-Doc. It happened in 2014. So you can think that's like five years ago already. And finally, the courts have kind of decided what who and who not to give money to. That's how long these legal procedures take. For everyone else, it also means that there's going to be less dumping from the MT-Doc trustee. So the story goes, that there were some Bitcoins that were fund and they had to liquidate this at market value into fiat because all the settlements were in fiat according to Japanese law. So at this point, because now whoever is going to receive it or not receive has been listed, that is kind of a confirmation that there's going to be no longer future dumps from MT-Doc. Lastly, SEC. So recently, SEC has announced a framework for investment contract analysis of digital assets. This is really important for Americans because people need to know if token sales are securities, either securities or not, or if there's going to be regulations or fines. Now, this is really quite a long report just defining everything. Even in the first page, it was pretty clear that they didn't want to have one test to test whether something is a security or not. They're basically saying that the Howie test, which is something that a lot of people probably know is one of the tests to see if a asset is a security or not. They really explicitly said that this is not the only test. So just because you pass the Howie test doesn't mean that the SEC doesn't have authority over this coin or token and can't classify it as a security. Now, what this does mean is that it does mean that the SEC is taking some steps forward into defining what is a token or not. And recently as well, this is kind of interesting that there was a no action letter of clearing to a token. So this token turns out to be a turnkey jet, but there were very strong requirements on that, very strong limitations. One of these limitations that the token must remain or will remain at a fixed price to the US dollar. So there's no speculation on that token price. So this really doesn't give a lot of kind of room for future token listings or coin listings. So what I think they're doing is they're doing the safest case first. They're saying, okay, look, this one, because it's not speculative and because it's got immediate use case, they're going to say, okay, look, that's going to be no action. But in the long one, the SEC wanted to preserve as much power and authority as they can, because they're really unsure about what to do with these future token sales. Something that was quite clear as well is that something, one thing that's about regulation is that tokens could be classified under multiple classes. For example, it could be a commodity and a security at the same time. It's not exclusive and it could be governed under two regulatory bodies too. So yikes. And how does that relate to the initial exchange offering scene? We've seen that this is blowing up this year. We saw multiple exchanges announcing their spotlight discovery launchpad platform where they sell tokens, new tokens directly to their customers. Now, this is essentially an ICO, but sign on exchange and adds in additional centralized element, broader retail audience and more potential investors. And that also means that these exchanges are trying to run as far away from the U S as possible. That's why unfortunately, a lot of these, they don't accept U S customers. Now, does the SEC have additional jurisdiction over these token sales, especially if it does pass into the hands of Americans, that's going to be a very, very important question to answer. And we'll see that eventually over the past few months as the SEC starts to react to the IEO scene. And that's it for today's episode. If you haven't watched this already, I had a live stream with Omar crypto. He's really knowledgeable about the crypto space and has a really deep insight. And we did a live stream yesterday. So click on this video for that. And also did it an April trends video, what I expect to see in the crypto space in this month and that videos on this and check that out. So guys, thank you guys so much for watching. Remember to click the little subscribe button. See you in the next video.