Bitcoin infrastructure company Blockstream recently rebranded its Lightning Network implementation from c-lightning to Core Lightning (CLN) in an attempt to highlight the project’s long-term focus on interoperability and specification work. The initial name, which alluded to the C programming language the implementation is built in, didn’t reflect the company’s actual intent with the project. Now, Core Lightning seeks to reflect the Blockstream implementation’s value proposition. “We hope the refreshed name better communicates CLN’s focus on interoperability, specification work, and the ongoing aim to provide a reference implementation with priority on correctness and robustness,” the company said in a statement. WHY ARE THERE DIFFERENT IMPLEMENTATIONS OF THE LIGHTNING NETWORK? The Lightning Network is an abstracted concept of what is, in fact, many different Lightning channels connected together. Lightning payment channels set the basis of the network as two participants lock up an amount of bitcoin on the Bitcoin network base layer to make quick and cheap off-chain payments among themselves. However, by opening more channels with different participants, payments can then be routed in this “mesh network,” from one participant to the next until a final recipient of a Lightning payment is found. Therefore, the abstraction that is “the Lightning Network” requires different participants to communicate with each other so they can route each other’s payments and enable frictionless interaction. This communication happens between nodes who run the Lightning protocol software and are therefore able to send and receive payments, among other things. Whereas in Bitcoin there is currently a de-facto standard node software, Bitcoin Core, there is more than one type of Lightning node software that is currently popular. As a result, there is a need for a set of documents to dictate how these different types of Lightning nodes — aka “implementations” — can talk to each other. The Basis of Lightning Technology (BOLT) documents define the set of specifications that all Lightning node implementations must adhere to in order to be a stable, compliant participant in the Lightning Network. There are currently 11 BOLT documents that describe everything from how to establish a payment channel and fund it with bitcoin to how one should request a Lightning payment. Naturally, the fact that there are different Lightning implementations also means that there are different offerings available to users, and they can pick whichever software to run based on their specific needs. At a high level, there are four major Lightning implementations, LND, Core Lightning, Eclair and LDK, each geared toward specific use cases. CORE LIGHTNING: BUILT FROM BOLT CLN, previously c-lightning, has been in production use on the Bitcoin mainnet since early 2018. Written in the C programming language, which offers developers a high degree of control over the behavior of their code even at a low level, CLN has a focus on efficiency as well as on providing developers and users with a modular, plugin-based implementation of Bitcoin’s Layer 2 scaling protocol. “We aim to be a high-performance, enterprise-grade, spec-compliant implementation,” Lightning developer at Blockstream, Rusty Russel, told Bitcoin Magazine. “That traditionally means we’re more for high-end users, businesses and developers to build on top of.” CLN only works on Linux and MacOS, and requires a local or remote bitcoind version 0.16 or above that is fully caught up with the network that the user is running on and relays transactions from. Pruning is partially supported. As a lightweight implementation, CLN enables a great level of customization as it allows the user to make it their own and add only the features they want or need. Developers can interface with the daemon through custom JSON-RPC methods, allowing them to efficiently customize functionality to their needs through plugins that can access low-level details directly. CLN’s modularity, efficiency and code robustness come with their accompanying downsides, too. Christian Decker, a researcher at Blockstream focused on scaling solutions for Bitcoin, said during the London Bitcoin Devs meetup last month that, by adhering to the UNIX philosophy of doing one thing very well and not forcing decisions on the user, CLN comes in a “bare bones” fashion and requires some dedication from the user to get it working. Notably, Blockstream’s implementation focuses heavily on the specification process and generates a lot of its code out of the BOLT specifications directly, according to Russel. While this ensures a fully spec-compliant implementation, the team is left with less time to market its work and identifies this as the reason it sees less community engagement and node share than other implementations. “We are built from the Lightning BOLT specifications, literally!” Russel told Bitcoin Magazine. “This means we care a great deal (and, as a team, have put a huge amount of effort) into coordinating the architecture of the entire Lightning Network via the BOLT specifications.” The team usually proposes a new specification to the broader development community before adding it to CLN in an attempt to ensure long-term compatibility among different implementations while requesting more eyes to review, test and comment on its code before it is eventually turned into a new BOLT and becomes ready to be adopted by all implementations. “Part of the reason we do the spec-and-review-across-implementations process is that it helps identify better ways of doing things — find bugs, identify future problems,” Lisa Neigut, Lightning protocol engineer at Blockstream, told Bitcoin Magazine. Given its efficiency and lightweight footprint, CLN is likely the best-suited implementation for low-specification devices. Blockstream’s team also has developed a set of new features that extend BOLTs’ current functionality, which are often draft specifications or spec proposals, including collaborative channel openings, liquidity ads and BOLT 12. CLN gives the user the optionality to try out these upcoming specifications. “We rope off draft parts of the Lightning specification under experimental options,” Russel told Bitcoin Magazine. “But if you’re more adventurous, those experimental options give you an insight into what’s coming to the Lightning Network next!” Collaborative channel opens, previously called “dual funding channels,” enable participants to collaboratively open a new channel by jointly funding the channel

  BTC and ETH were once again lower during today’s trading session, as both were trading close to two-week lows. Bitcoin dropped below $43,000 for the first time since March 24, while ETH hit a bottom near $3,100 on Thursday. Bitcoin Bitcoin continued trading lower on Thursday, as the world’s largest cryptocurrency fell below $43,000 for the first time in over two weeks. Following a peak of $45,424.98 on Wednesday, BTC/USD fell to an intraday low of $42,899.91 during today’s session. This is the lowest level BTC has traded since March 24, and bitcoin has seen its price fall close to its long-term support of $45,500. Bitcoin, Ethereum Technical Analysis: ETH, BTC Both Near 2-Week Lows Following Recent Declines BTC/USD – Daily Chart Since hitting this floor, prices have somewhat rebounded, with bulls ramping up pressure in order to keep them above the support. Looking at the chart, the 14-day Relative Strength Index (RSI) has also fallen to its lowest point in over five weeks, however there could be more lows ahead. Should the RSI move below its current floor of 46.60, price strength could drop to as low as 34, as seen in late February. Ethereum ETH also fell to a multi-week low during today’s session, however prices have since rebounded after hitting a recent support point. As of writing, ETH/USD had dropped to a bottom of $3,155.58 during today’s session, which was close to its support of $3,145. However, prices have rallied since hitting this point, and ETH is now trading at $3,250.06, which is still 1.69% below yesterday’s high. Bitcoin, Ethereum Technical Analysis: ETH, BTC Both Near 2-Week Lows Following Recent Declines ETH/USD – Daily Chart Similar to BTC, the 14-day RSI on the ETH chart is now tracking at 53.23, which is its lowest point since March 15, however it is still relatively overbought, as it remains above 50. The moving average of 10-days (red) has also shown some signs of slowing, as it has begun trending sideways, which increases the chance of a future downward cross. Should this happen, prices will likely be trading below the $3,000 level, as momentum would have truly turned bearish at that point.

  Fundamental Labs was the lead investor for a seed funding round in which Binance.US, a cryptocurrency exchange, raised $200 million total. Fundamental Labs invested $20 million based on a $4.5 billion pre-money valuation. Binance plans expansion and new product offerings with the $200 million injection. Fundamental Labs, a blockchain-focused venture capital firm, took the lead in a seed round that saw BinanceUS, one of the largest digital asset exchanges when measured by volume, raise $200 million. Fundamental Labs provided the largest investment, to the tune of $20 million, per a press release sent to Bitcoin Magazine. “We are thrilled to be a key contributor in Binance.US’s ongoing growth story,” said Henry Love, managing partner at Fundamental Labs. “The potential for an innovative and reliable platform like Binance.US to be successful in this market was an attraction, however the steps the company has been taking to be a regulated and compliant platform factored significantly in our investment decision.” Binance hopes to utilize the capital toward expansion, both in personnel and product offerings. Their focus on compliance allows companies like Fundamental Labs to confidently invest with little-to-no downside as the bitcoin ecosystem continues to move up and to the right. Being an early pioneer in the space has allowed Binance the opportunity to solidify a strategy over time that enabled healthy compliance for the entrance of venture capital. “It’s important for us to have an influential and industry-native venture capital firm such as Fundamental Labs participate in our first seed funding round,” said Binance.US CEO, Brian Schroder, per the release. The $200 million seed funding round was based on a pre-money valuation of $4.5 billion, which means this is only the beginning for Binance, and gives favorable terms to the possibility of continued participation from Fundamental Labs. “Henry and his team bring vast industry expertise with a global footprint, and we are thrilled to have them be a part of this journey with us,” said Schroder, according to the release. “The fundraising enables us to accelerate our expansion, add new product offerings and begin to market for the first time.”

  2021 was a rough year for the people of Turkey, as the country experienced rapid devaluation of its currency, the lira. Things haven’t improved in 2022 as the lira has suffered since Russia invaded Ukraine as sanctions and export bans have resulted in soaring commodity prices. According to official government reports, Turks are now suffering from 54.4% year-over-year (YoY) inflation, the highest in 20 years. inflation turkey rate The central bank estimates that inflation will only be 23.2% YoY by year-end, but that estimation was made assuming the price of crude oil would be around $80 per barrel. The outbreak of war has caused the price of oil to spike well above $100 at the time of writing. Soaring commodity prices from the war likely mean the central bank is underestimating year-end inflation. To put things into perspective, Russia and Ukraine supplied 80% of Turkey’s $4 billion grain imports last year. If the price of that one single commodity increases drastically, that alone could cause Turkey’s inflation rate to rise. The purchasing power of the lira is tragically vanishing right before Turkish citizens’ eyes. But the truth is, this currency crisis has been developing for a long time now. Over the last five years, the lira has lost 75.57% of its value against the U.S. dollar. How Did Turkey Get Here? To put it simply, since 2012, Turkey has suffered from taking on a large debt burden coming out of the Great Recession, political instability that led to a failed coup d’état in 2016 and U.S. sanctions and tariffs on its steel and aluminum industries further damaged its economy. Here’s a helpful timeline of events to get a sense of what Turkey’s last decade has been like: All of these events have culminated in what is unfolding today with the collapsing lira. Over the last two years, we’ve witnessed all of the telltale signs of what happens when a currency collapses and how a government and central bank attempt to save it. The Central Bank of the Republic of Turkey (CBRT) and President Tayyip Erdoğan appear desperate in their efforts to try to combat soaring inflation and stabilize the lira. In the past year, we saw them attempt every tactic in the government playbook to fight inflation. Here are eight ways that Turkish authorities have tried to combat inflation so far: 1. Implementing Price Controls El Flaco 🌋🇳🇮⚡ on Twitter: “How Turkey fights consumer price inflation: Authorities go to supermarkets, check prices and threaten fines if prices are ‘too high’” / Twitter One example of this price fixing is with bread and Turkish bakeries. The Chamber of Bakeries fixed the price of bread, but now the bakeries are warning that bankruptcy looms as they are forced to adhere to the government’s price fixing while their sales are down. 2. Pleading With Turkish Citizens To Sell Gold/Dollar Holdings To Support The Lira “I ask my citizens to invest their foreign currencies and gold in various financial institutions and bring those assets into the economy and production.” — President Tayyip Erdoğan, March 24, 2021, in a speech at the Congress of the ruling AKP In a last-ditch effort to stop Turkish citizens from fleeing the lira and finding protection elsewhere, President Erdoğan has tried, on multiple occasions, to encourage them to hold on to their freefalling liras in the name of national pride. The government recently announced a new gold conversion deposit account that promises “risk-free income” in order to encourage people to bring their “under-the-mattress” gold into the banking system. 3. Depleting Foreign Currency Reserves To Prop Up The Lira In mid-January, the Turkish central bank’s foreign currency reserves dropped to their lowest level since 2002, to $7.54 billion dollars. This means that since November 2021, approximately 75% of the central bank’s FX (foriegn exchange) reserves had been sold off to support the lira. Since those January lows, Turkey’s FX reserves have surged back after the central bank made some swap deals with the United Arab Emirates. Goldman Sachs estimates that the nation’s gross FX reserves fell around $20 billion in December 2021 alone due to central bank currency interventions. President Erdoğan has been selling his country’s FX reserves at a rapid pace to prop up the falling lira. 4. Demanding Exporters Convert 25% Of Income To Liras This measure is aimed at boosting Turkey’s currency reserves by forcing companies to keep some of their revenues from their sales abroad in liras. These actions are an attempt to stop companies from selling their liras for stronger foreign currencies. 5. Increasing The Minimum Wage By 50% To ease public discontent, President Erdoğan increased the minimum wage by 50%, the highest raise in the 50 years. Higher wages definitely help those suffering on the ground, but there’s also a risk of higher wages leading to even more inflation, bankruptcies, and unemployment as businesses face increased labor costs. 6. Injecting State Banks With Capital To Boost Lending Turkey’s Sovereign Wealth Fund recently injected $2 billion into two of the largest Turkish banks to help improve their balance sheets and stimulate lending to corporations. It also followed that capital injection with an additional $1.6 billion injection into its largest lender, T.C. Ziratt Bankasi to “strengthen the capital of state banks and improve their lending power.” The government is attempting to keep credit flowing in its banking system by injecting them with cash to make up for the eroding lira on their balance sheets. 7. Providing State-Protected Lira Accounts To combat investors hoarding dollars to protect themselves, the Central Bank of Turkey announced that they would support accounts that converted foreign currencies to liras. Essentially the central bank is offering protection to accounts that are converted to liras by covering any changes in interest rates or exchange rates from when the conversion happens. This strategy has resulted in favorable results for the central bank as Turks have flocked to the protected lira accounts. Funds have steadily flowed into these “FX-protected accounts,” reaching 290 billion

  What is Binance Smart Chain? Since it came on the scene in 2017, Binance has gone from a crypto exchange with an ERC-20 asset to an ecosystem of components housed under the Binance brand name. Binance has produced products and solutions to serve a number of purposes, such as crypto loans and peer-to-peer (P2P) crypto trading.  Included under Binance’s brand umbrella are two separate but parallel blockchains available for building: Binance Chain (BC) and Binance Smart Chain (BSC).  Where do the two networks stack up in terms of Binance Chain versus Binance Smart Chain? In short, Binance Smart Chain launched after Binance Chain as a blockchain hosting greater functionality for developers building solutions. For example, BSC is smart contract compatible, while BC is not.  BSC and BC run parallel to each other. Binance Coin (BNB), Binance’s crypto asset, is used as payment for fees on both blockchains (in addition to playing other roles in Binance’s ecosystem). Moving between BC and BSC requires a bridge called Binance Bridge.  The Binance Bridge intends to make multiple blockchains more interoperable. It allows anyone to exchange their crypto assets into (and back from) Binance Chain and Binance Smart Chain wrapped tokens.  Wrapped tokens allow users to use coins and other blockchains on another chain, like Binance Smart Chain. Binance Bridge, for example, can facilitate the cross-chain conversion of Ethereum ERC-20 to Binance BEP-20, for example, if you move Tether (USDT) from Ethereum to Binance Smart Chain. These wrapped assets are backed by actual money and tokens on public addresses. A world of blockchains The modern crypto world began with Bitcoin’s (BTC) launch in 2009. From this single blockchain came many other blockchains aiming to improve Bitcoin’s model or provide additional capabilities such as multiblockchain interoperability.  The current crypto world now offers many different independent blockchains on which entities can construct digital assets or decentralized applications (DApps). Decentralized applications are essentially digital platforms that provide a service or solution, with the caveat that they run via a backend built on a blockchain rather than on a centralized system.  The Ethereum blockchain, for instance, came on the scene in 2015 and has grown into a dominant blockchain in terms of projects building on its infrastructure. In pursuit of perpetual expansion, however, the crypto industry has continually pushed the limits of blockchain technology to look for improvements or alternate options, potentially in part due to limitations seen in Ethereum’s scaling.  ETH vs BSC Enter BSC — one Ethereum alternative that was structured for speed and low-cost transactions while also touting smart contract capabilities.  BSC network’s history Binance’s asset, BNB, initially existed as an ERC-20 token — a token built on the Ethereum blockchain. Binance launched its own blockchain in 2019 called Binance Chain and transitioned its BNB asset over to that blockchain.  However, Binance built BC in a way that would cater to trading, which placed limitations on BC in terms of capabilities. In addition, Binance launched its decentralized exchange (DEX), Binance DEX, on Binance Chain in 2019. Filling the gaps in BC’s limitations, Binance took BSC live in 2020, complete with smart contracts and Ethereum Virtual Machine (EVM) compatibility. BC and BSC are separate blockchains, yet they are interoperable with each other. Binance Smart Chain blockchain consensus basics Binance Chain operates via delegated proof-of-stake (DPoS), whereas the Binance Smart Chain blockchain runs based on proof-of-staked authority (PoSA) — a consensus algorithm derived from elements of proof-of-stake (PoS) and proof-of-authority models.  The BSC blockchain is powered by 21 community validators that construct and check blocks on the chain, and these validators are compensated in BNB coins for their services. Meanwhile, they must be re-elected daily by staking governance in order to remain in the validator set. Validators staking the largest amounts of BNB make up the list of 21 validators, with that list updated every 24 hours. Staking BNB on BSC results in rewards based on fees paid for transactions on the BSC blockchain.  Is Binance Smart Chain better than Ethereum? Given BSC’s 21 validator system, the BSC blockchain appears somewhat centralized, although it boasts notable scalability with block times around three seconds per block, while also requiring lesser fees than the high gas costs incurred on the Ethereum blockchain during parts of 2021.  However, the Ethereum blockchain is under construction en route to Ethereum 2.0, so an Ethereum/BSC comparison may be subject to change.  Token talk Binance’s BNB coin works on both BC and BSC as the method of fee payment for activity on these blockchains. What tokens are on Binance Smart Chain? Entities can build tokens on both BC and BSC. BEP-2 tokens are built on Binance Chain, for example, while BEP-20 tokens are built on Binance Smart Chain. This is similar to how ERC-20 tokens are one type of asset that is constructible on the Ethereum blockchain.  A Binance Smart Chain wallet holds assets compatible with BSC. While there is a native Binance wallet application for generating a compatible seed phrase, users are also able to use other EVM-compatible wallets such as MetaMask to perform transactions on the network. Since MetaMask is an Ethereum software wallet, it makes sense to ask how to add Binance Smart Chain to MetaMask.  The Ethereum Virtual Machine is basically the Ethereum blockchain’s main foundation. When a blockchain is EVM compatible, it means that it can interact with and understand the Ethereum system.  Since BSC is EVM compatible, one wallet seed phrase controlled by a holder may result in BEP-20 tokens and ERC-20 tokens having the same wallet address, even though the assets are still on their own respective blockchains. Binance has a Binance Smart Chain wallet extension for browser-based wallet usage. Called Binance Wallet, the wallet also works with Ethereum and Binance Chain. The Binance Smart Chain Faucet lets users experiment with BSC in a testnet setting, paying outplay versions of different digital assets.  Wondering how to use Binance Smart Chain? Well, a person might use BSC via trading BEP-20 tokens on a BSC-based DEX. A

  Citing compliance with local jurisdictions, crypto exchange Coinbase announced to soon collect additional information from users based in Canada, Singapore and Japan.  Effective from April 1, Coinbase users from Canada, Singapore and Japan will be required to provide additional information while sending cryptocurrencies to a different (non-Coinbase) platform.  However, while Singaporean and Japanese investors will be required to share additional information about the recipient for every single off-platform transaction, Canadians sending less than $801 (1,000 CAD) will be exempted from this requirement. As shown in the above screenshot, Canadian users will need to share the full name and residential address of the recipient.  Moreover, Canadian users — that suffice the above two conditions — will lawfully require to provide the recipient’s (self) information even while transferring funds between their own crypto wallets. On the other hand, both Japanese and Singaporean regulations will require Coinbase to collect information about the recipients from local investors for every single off-platform transaction with no minimum threshold. Singapore users will not require to provide the recipient’s residential address but will require only the recipient’s name and country of residence. The lack of any required information will bar the user from sending cryptocurrencies out of the Coinbase platform for the jurisdictions in question. Coinbase users that no longer reside in these jurisdictions will need to update their country of registration in order to gain exemption from the soon-to-be-implemented rule. For many jurisdictions, the road to mainstream crypto adoption is paved by stringent regulations under the pretext of investor protection. Starting April 2022, the Thailand Securities and Exchange Commission (SEC) announced a ban on crypto payments throughout the country. Complementing this law, the SEC also proposed a new rule, which if implemented, will require Thai-based crypto businesses — brokers, exchanges and dealers — to disclose service quality and IT usage information. As Cointelegraph reported, a joint study between the Thai SEC and Bank of Thailand (BOT) concluded that: “[Crypto payments] may affect the stability of the financial system and overall economic system including risks to people and businesses.”

  Cowen, a major American independent investment bank, has officially launched a dedicated cryptocurrency and digital asset division. Called Cowen Digital, Cowen’s new business is designed to offer full-service trade execution and custody for cryptocurrencies like Bitcoin (BTC) and other digital assets for institutional investors, the firm announced on Wednesday. In order to launch the new crypto division, Cowen has collaborated with PolySign’s cold storage-focused subsidiary, Standard Custody and Trust Company. The bank is also a client of Digital Prime Technologies, a brokerage solution-focused firm providing business and compliance services, the announcement notes. Cowen initially announced plans to move into the crypto custody business in May 2021, entering a partnership with Standard Custody and Trust Company at the time. The company also invested $25 million in Standard’s parent company PolySign, which was co-founded by Ripple chief technology officer David Schwartz. According to the announcement, Cowen has been working on building the infrastructure and systems necessary to launch Cowen Digital over the past 15 months. Managing about $16 billion in assets as of late 2021, Cowen is a major investment bank in the United States. The company is committed to outperforming its clients by “staying at the forefront of innovation,” Cowen CEO Jeffrey M. Solomon said, adding: “Through Cowen Digital, our clients now have access to the crypto and digital asset markets with our institutional quality and fully integrated end-to-end execution and custody capabilities.” Future functionalities for Cowen Digital will also include derivatives and futures, financing solutions as well as institutional tools for managing decentrlized finance and nonfungible tokens, the announcement notes. The news comes shortly after the American investment bank Goldman Sachs executed its first-ever over-the-counter crypto options trade in partnership with digital asset investment firm Galaxy Digital. Previously, JPMorgan Chase launched a virtual lounge in the Decentraland metaverse in February.

  Bitcoin (BTC) saw a fresh impulse move overnight into March 22 as bulls briefly reclaimed $43,000. RSI hints at underlying strength The action contrasted with the lack of volatility since the weekend and neatly fitted with the more bullish predictions surrounding near-term trajectory. For popular trader Crypto Ed, who had previously given $43,000 as a low-timeframe target, all was going as planned. Fellow analyst Matthew Hyland, meanwhile, eyed a potential breakout scenario for Bitcoin‘s relative strength index (RSI) on the daily chart — a phenomenon that has often preceded price strength. “BTC is a few hundred bucks away from the first higher high we’ve seen in a long time. Will it happen?” crypto market analyst Kevin Svenson added. Bitcoin had already sealed an impressive weekly close on March 20, its highest since early February, and now, macro cues were adding to the positive momentum once again. Trading was brisk for Asian markets on the day, the Hong Kong Hang Seng index up 3.15% at the time of writing. In Europe, however, there was little sign of a knock-on impact, while United States futures were likewise trending down prior to the Wall Street open. The push higher, nonetheless, did manage to squeeze out some short positions across cryptocurrency, as evidenced by data from on-chain monitoring resource Coinglass. Total 24-hour liquidations stood at $168 million at the time of writing. Ethereum returns to $3,000 in altcoin copycat rally On altcoins, the picture likewise turned more rosy overnight. The top ten cryptocurrencies by market cap were led by Cardano (ADA), which was 5.8% up in 24 hours to cap weekly gains nearing 20%. Other major tokens fared almost as well, including Polkadot (DOT) and Ripple (XRP). Ether (ETH), the largest altcoin, tapped $3,000 in step with Bitcoin‘s rally before consolidating immediately under that psychologically significant level.

  Bitcoin (BTC) opened the Wall Street trading session with a spike to over $41,500 on March 21 as last week’s late gains endured. McGlone: Fed is saying “Don’t buy the dip” Amid a buoyant stock market, the largest cryptocurrency showed mixed signs on the lowest timeframes as traders waited to see how long the current trajectory could sustain. For popular trader Crypto Ed, the area around $41,500 was essential as a potential pivot point — a bounce and continuation could occur, providing an opportunity for longs, but a rout would mean a trip below $40,000 support. In his latest YouTube update, he identified $37,000 as a potential bearish target. Analyzing the four-hour chart, meanwhile, trader Pierre called the $40,800–$41,200 zone a “must hold.” “LTF pivot today imo (break it, teleport to 42.0-42.5k),” he concluded in the latest entry in a dedicated Twitter thread about spot price action. Addressing the wider macro picture, meanwhile, Mike McGlone, senior commodity strategist at Bloomberg Intelligence, had some concerning news for those hoping that the stock market revival would last much longer. “So, we have the most extended stock market in 20 years relatively… most expensive stock market in terms of GDP in the history of mankind, most expensive stock market versus real estate and versus global equities ever… and part of that is that’s been driving inflation and the Fed has to push back that inflation,” he told the Wolf of All Streets Podcast Monday. “So, to me, that’s the key puzzle point this year; that if it doesn’t get filled in — i.e., the stock market dropping about one third — then that’s going to be an issue.” As such, bets were in place already for a significant equities correction, with Bitcoin’s positive correlation making losses for hodlers a major liability. Continuing, McGlone pointed to hints by United States Federal Reserve Chair Jerome Powell that more aggressive interest rate hikes to tame inflation could come at further meetings of the Federal Open Market Committee. “That was my warning — people that don’t get it yet — ‘Don’t buy the dip’ — that’s for the people that haven’t learned their lessons,” he said. On Bitcoin specifically, he gave a target of $100,000 years out, but that the market “might easily see $30,000 first.” Germany lays bare inflation dangers More macro news that was difficult to swallow came from Europe prior to the Wall Street opening bell. Related: ‘No more 4-year cycles’ — 5 things to know in Bitcoin this week Despite a recovery in European equities versus the month of war between Russia and Ukraine, inflation figures showed the extent of the headache unfolding for policymakers. On the radar of market commentator Holger Zschaepitz Monday was Germany’s producer price index (PPI). “German PPI jumps 25.9% YoY in Feb. This was the highest increase ever since the start of the stats in 1949. PPI ex-energy rose 12.4% YoY,” he warned. Like BTC, classic safe-haven gold, meanwhile, was also biding its time looking for direction, making up ground lost in its downhill candle on Friday and trading at around $1,934 at the time of writing. On altcoins, flat performance dictated the mood, with none of the top 10 cryptocurrencies by market capitalization advancing by more than 5% on the day.

  On Monday, Sven Henrich, the founder and the lead market strategist for northmantrader.com discussed bitcoin “rallying in the face of this crisis.” The technical analyst and market commentator highlighted four reasons why he believes bitcoin’s value surged — “Fundamental, Sentiment, Technical, [and] Safety trade.” Northmantrader’s Founder Sven Henrich Describes Why He Thinks ‘Bitcoin Is Rallying in the Face of Crisis’ The price of bitcoin (BTC) surged on Monday to a high of $44,256 per unit at 5:35 p.m. (EST). BTC’s price hasn’t been this high in USD value in roughly 39 days, since January 20, 2022. Bitcoin’s price rise sparked a number of conversations on social media and forums during the course of the day. After the price of the leading crypto jumped, gold bug and economist Peter Schiff shared his two cents about the market action on Monday. “Gold and bitcoin are both up today,” Schiff tweeted. “But this move in no way implies a correlation. They’re rising for different reasons. Gold is up as a safe-haven and inflation hedge. Bitcoin is up for the reason ARKK is up. Speculators in risk assets have been conditioned to buy the dips.” Meanwhile, northmantrader.com’s founder and the lead market strategist, Sven Henrich, had an entirely different perspective about bitcoin’s rally on Monday. In a Twitter thread, Henrich described why he thought bitcoin was “rallying in the face of this crisis.” Henrich touched upon four main reasons in the Twitter thread with the first being “Fundamental.” “Fundamental: Adoption [and] acceptance continues to expand, i.e Ebay but also institutional. This path will continue in my view. There is no sign of regression, but continued expansion,” Henrich noted. “Sentiment: The Ukraine crisis highlights how bitcoin can act as a support mechanism to raise funds when traditional avenues are cut off. Blockchain [and] decentralized money to become more relevant.” The market strategist continued: Technical: Bitcoin made a higher low versus equities in February showing a positive divergence [and] defense of a key trend. Start of correlation decoupling process? Safety Trade: Sanctioned money may seek bitcoin as a safe haven (unconfirmed). This also invites risk as it gives excuse to accelerate regulation (long term positive/short term risk). Henrich Says ‘Bitcoin Is Here to Stay’ — Some Claim ‘Bitcoin’s Success Could Be Its Demise’ Henrich further added that the bottom line is that bitcoin “is here to stay” and the fiat monetary system further bolsters the fact. “The rationale for [bitcoin’s] existence finding more validation as the existing fiat world requires ever more intervention to stay afloat,” Henrich stressed in his Twitter thread. One person replied to Henrich’s thread and asked: “If people stop putting money into bitcoin does it stay afloat? It’s almost like it requires constant injections of money.” Another individual responded to the question and said: You just described our fiat monetary system. However, some people responding to Henrich’s tweets were inclined to believe that “BTC’s success will be its demise” and the “double-edged sword is starting to bite.” The individual left a link to an article that discussed Christine Lagarde, president of the European Central Bank (ECB), calling on global lawmakers to approve regulations in order to stop Russia from evading financial sanctions.