7.30am MORNING HEADLINES
Updates below throughout the day….
It’s good news for wallet holders after Pantera Capital founder and Chief Executive Officer Dan Morehead made a bullish call on bitcoin and the cryptocurrency market over the coming month.
Speaking to CNBC Mr Morehead said: “We’re certainly aware that it’s a very speculative market.
“Its volatile on the upside, but it can be volatile on the downside.”
The CEO noted that bitcoin had a tumbled 64 percent from its peak around $20,000 to its recent trough. He claimed that bitcoin has an average bear market of 71 days, and that the current cycle is in its 52nd day, “so it seems like another couple of weeks and everything will be kind of normal and it could start grinding back up”.
Ripple is priced at $1.06 this morning, with Ethereum at $851.
10.15am – UPDATE – Iceland mining costs more than homes
A spokesman for Icelandic energy firm HS Orka has told the BBC that Iceland is facing an “exponential” rise in Bitcoin mining that is gobbling up power resources.
According to Johann Snorri Sigurbergsson, this year, electricity use at Bitcoin mining data centres is likely to exceed that of all Iceland’s homes.
He said many potential customers were keen to get in on the act.
He said: “If all these projects are realised, we won’t have enough energy for it.”
9.26am – UPDATE – The ‘real’ Wolf of Wall Street Jordan Belfort uses the word ‘tulip’ on TV
In the latest episode of ‘experts compare bitcoin to disease-riddled dutch flowers in the 17th-century’, Jordan Belfort gives us his thoughts.
Read the report here.
9.15am – UPDATE – BTC drops
Bitcoin has now lost $449 on the day so far. Apparently, this wasn’t a part of the plan.
8.49am – UPDATE – US Bitcoin buyers not paying their taxes
According to Fortune, despite months of warnings US investors aren’t in a hurry to tell the taxman what they owe in taxes on profits.
New data shows that just 0.04 percent of US tax filers have reported their cryptocurrency gains and losses to the Internal Revenue Service so far this year.
That’s far fewer than the 7 percent of Americans who are estimated to own bitcoin or another cryptocurrency.
Mike Novogratz, a billionaire hedge fund manager, said: “When I talk to the blockchain community, I’m always pushing them—I’m like, ‘Dudes, A), pay your taxes.’ Because nobody in that space pays taxes.
“Listen, the IRS is going to come after people. People are making real money now. So the IRS isn’t stupid.”