Traditional Sunday digest the continuing decline in the price of bitcoin, the transfer of hard forks Constantinople, the problems with Cryptopia exchange and the launch of the network of cryptocurrency Grin.
Lower and lower
For almost the entire week, the price of bitcoin at a moderate pace grew. However, today, 20 January, the trend was interrupted — price rushed down:
BTC/USD four-hour chart for the Bitstamp exchange
It’s hardly a surprise that almost immediately the whole market, with the exception of tablconv, shone red light:
At the time of writing the price of the first cryptocurrency continues to fall. Therefore, it is premature to sum up the weekly totals for capitalization and other market data.
According to the cryptanalyst Galaxy, the price of bitcoin shot down “Bear pennant”:
Still no confirmation but looks like we’re breaking down on this bear pennant.
If so… something like this would be nice. #BTC pic.twitter.com/ETfkCOaxQf
— Galaxy (@galaxybtc) 20 January 2019 R.
A likely target for the downside movement could be the range of $2700-2800. After that, I’m sure Galaxy can dramatically trend reversal, about which he talked earlier.
Transfer hard forks Constantinople in Ethereum
It is not excluded that the decadent mood in the market was aggravated by the transfer of hard forks Constantinople. Activate the update was scheduled for January 17, but a few days before that, the Ethereum developers found a critical vulnerability in one of the improvements.
According to experts ChainSecurity, vulnerability in EIP-1283, called the attack re-entry, allowed hackers to endlessly output of the custom tool.
January 18 during the conference call, the developers have proposed to move to the new software on the unit #7 280 000, which will produce roughly 27 Feb.
Serious loss of Cryptopia exchange
On Tuesday, January 15 NZ crypto currency exchange Cryptopia suspended work, reporting “significant losses”. The official reason was a breach in the security system.
The exchange alerted the authorities about the incident. The investigation involved the New Zealand police and local management on struggle against crimes in high tech field. Trading operations platform suspended until then, until you resolve the problem.
It soon became clear that the missing part of Cryptopia funds was the exchange Binance. According to the head of Binance Campana Zhao, exchange employees easily froze the funds.
The preliminary amount of losses Cryptopia could reach $14 million Users of social networks do not exclude the scenario with the exit Scam. This means an attempt of a manual, or someone from the staff to assign funds.
The complexity of bitcoin mining grows again
Early this week, the difficulty of mining bitcoins has increased by 5%. However, the indicators Hasrat still far from its peak recorded in the second half of last year.
After a maximum of Hasrat was falling steadily. “Bottom” was reached at the turn of the 2018-2019 biennium, followed by a recovery that continues today.
However, against the background of falling Hasrat gradually growing the volume of transactions in the bitcoin network (+63% over the past 10 months). Also demonstrated impressive growth network Lightning Network.
The launch of cryptocurrency Grin
Earlier in the week was launched the main network of cryptocurrency Grin. Its distinctive feature is the Protocol MimbleWimble, aimed at solving problems of scalability and privacy.
Cryptocurrency Grin distinguished by the absence of the notion of addresses, it minimized the space requirements for data storage. Also, this blockchain promises to be fast and decentralized.
The generation of new blocks on the network occurs every minute. Based cryptocurrencies PoW lies-the hash algorithm “Cuckoo Cycle”, resistant to cracking via quantum computing.
In addition, a characteristic Grin to the unlimited emissions. It is not excluded that this was one of the main reasons that the rate of this Aldona during the day subsided by 95%.
It seems $GRIN took just one day to achieve what other projects spent a whole year on.
Yes, I mean -95% decline.
— Tulip Baron (@BitcoinBarons) 17 January 2019 R.
“It looks like Grin took only one day to achieve what others do for a year. Yeah, I mean drawdown of 95%”
Darknet still lives a turbulent life
In a recent report, Chainalysis States that the volume of bitcoin transactions in the darknet last year exceeded $600 million.
Despite enforcement efforts, the General trend in darknet is that the one the authorities closed the site immediately appear other, occupying its place in the market.
However, the peak inflow of bitcoins on the darknet site occurred in 2017. Then the total volume of transactions amounted to nearly $700 million has Not reduced the overall activity and the closure of the popular marketplace AlphaBay.
The volume of cryptocurrency transactions in the darknet is growing steadily, despite the gradual decline of the bitcoin exchange rate and market capitalization.
Binance a new unit
Bitcoin exchange Binance opened a branch on the island of Jersey. The new trading platform focused on Europe and the UK.
The users will be able to trade bitcoin and Ethereum for the Euro and the British pound. However, before you start trading clients of the market should undergo KYC verification to www.binance.je.