Bitcoin

Trump’s Silicon Valley endorsement is a shady Bitcoin move, says Mark Cuban

Published

6 months ago

18 July, 2024

Trump's Silicon Valley endorsement is a shady Bitcoin move, says Mark Cuban

Top line

Donald Trump’s growing support Among the prominent figures in technology is a “bitcoin game,” Billionaire Trump postulated critical Mark Cuban, offering a debatable — and in Cuban’s words, “contrarian” — theory that the potential deterioration of the American economy under the Trump administration will make Silicon Valley’s top bitcoin investors even richer.

Billionaire Mark Cuban believes there’s a deeper reason behind Trump, Silicon Valley… [+] to lean.

Getty Images

Key facts

“You can’t align the stars better for a BTC price acceleration” than a Trump presidency, Cuban wrote in a Wednesday publish in X, arguing that it is not due to Trump flat to regulate less the cryptocurrency industry, but rather the consequences of Trump’s broader economic vision.

Lower taxes and higher tariffs, especially on Chinese imports, will worsen inflation, Cuban predicted, and higher inflation typically prompts investors to shift their money into assets considered more likely to store value, such as commodities like gold or safe-haven currencies, the most famous of which is the U.S. dollar.

But “global uncertainty about the geopolitical role of the U.S.” under Trump could cause “the decline of the dollar as the reserve currency” of choice, Cuban theorized, alluding to the prospect of “hyperinflation,” in which prices skyrocket in the currency issued by a country’s central bank.

A dollar decline would cause the market to flood into the new de facto “global currency,” bitcoin, which is not backed by a central bank and whose proponents have long argued is the ultimate safe haven due to its relative independence from global financial and political systems, causing bitcoin prices to soar due to the digital asset’s scarcity.

That would make the many bitcoin holders, such as Trump supporter Elon Musk (whose companies SpaceX and Tesla hold large portions of the token) or early bitcoin investors and pro-Trump donors Cameron and Tyler Winklevoss, extremely wealthy, Cuban noted.

Get breaking news text alerts from Forbes: We’re launching text message alerts so you’ll always know the biggest stories shaping the day’s headlines. Text “Alerts” to (201) 335-0739 or sign up here.

Against

Unsurprisingly, given that Cuban has admitted that his theory is a “contrarian opinion” and possibly “crazy,” there are plenty of flaws to be found in Cuban’s argument. For one, periods of intense inflation are bad for most industries, since consumers’ diminished purchasing power typically leads to lower profits, similarly causing corporate valuations to decline as earnings potential diminishes. Basically, for someone to truly profit from the scenario Cuban described, in which bitcoin surges while the broader economy collapses, they would already need to have an outsized portfolio exposure to bitcoin and little exposure to cash or U.S. Treasuries. That’s not true for many of Trump’s big tech supporters with large investments in public and private companies, like Musk, who owns over $100 billion in publicly traded Tesla stock, or venture capitalists like Marc Andreessen and Ben Horowitz. In simple math, Tesla sustained 9,720 bitcoins by the end of 2023, worth about $6.3 billion at bitcoin’s roughly $65,000 price on Wednesday. If bitcoin prices were to triple, Tesla would have a stake worth nearly $20 billion, a total equivalent to less than 3% of the company’s $800 billion market capitalization, hardly moving the needle.

Crucial quote

Asked by Forbes about the reasoning behind the apparent dissonance between bitcoin’s rising value amid high inflation and the declining value of all other investments, Cuban explained in an email that corporate stakeholders deal with “execution uncertainty and market forces” and the “incredibly difficult” process of passing legislation that is beneficial to a company’s valuation. However, “with BTC, you just hit the refresh button :),” Cuban wrote.

Main context

Cuban, with a net worth of US$5.4 billion according to According to Forbes estimates, he first became wealthy from the sale of the streaming service Broadcast.com during the dot-com boom of the 1990s and was the majority owner of the NBA’s Dallas Mavericks from 2000 to 2023. Both Cuban of “Shark Tank” and Trump (worth $6.1 billion) of “The Apprentice” became famous for their reality television business shows, but Cuban, a burning Biden supporter has no plans to enter politics despite rumors of a presidential run, he counted Forbes in 2020.

Tangent

Historically On the left, several notable Silicon Valley products have expressed support for Trump in the past week, including Musk on Saturday and Andreessen and Horowitz on Monday. Horowitz and Andreessen have told employees at their influential Silicon Valley investment firm that they intend to donate to political action committees that support Trump’s election. Horowitz explained Trump is the “right choice” for tech due to the Biden administration’s regulation of sectors like artificial intelligence and cryptocurrencies.

What to watch for in the markets

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Photo: Andrew Harnik (Getty Images)

After witnessing one of the largest global IT outages on record, affecting the travel, finance and healthcare sectors worldwideThis week is set to see more political drama, events, and earnings reports from tech giants.

Donald Trump’s ‘Lovefest’ Sets Jamie Dimon Up for Consideration for Treasury Secretary Job

Let’s take a look at what awaits us:

Major companies will release their earnings reports

Major tech companies and others will release their earnings reports this week, paving the way for what the second half of 2024 will look like.

Monday

Verizon will report earnings before the start of operations.

Tuesday

Coca-Cola, Comcast and UPS are all set to report earnings before the market opens.
Tesla will report earnings in the morning, while General Motors will report earnings in the evening.
Alphabet and Visa will report results after the market closes.

Wednesday

AT&T will release its report before the market opens.
Ford and Chipotle will report earnings after the market closes.

Thursday

Earnings reports from AstraZeneca, American Airlines and Southwest Airlines will be released before the market opens.

Trump to speak at Bitcoin conference

Presumptive Republican presidential nominee Donald Trump will speak at the next Bitcoin Conference in Nashville, Tennesseewhich is scheduled for July 25-27. While this is the first time a presidential candidate will attend the conference, it has sparked a debate over whether the crypto-friendly Trump will receive support from the crypto community in the upcoming election.

In addition to Trump, independent presidential candidate Robert F. Kennedy Jr. will also discuss crypto during the conference. Crypto advocates such as ARK Investment’s Cathie Wood, MicroStrategy’s Michael Saylor, and whistleblower Edward Snowden are among some prominent names who will be participating in the conference.

Ether ETFs are on the way

New Ether Spot ETFs are set to begin trading on Tuesday, July 23. Much like the spot Bitcoin ETFs, these ETFs will allow investors to buy the second most popular cryptocurrency like stocks. BlackRock, Ark Invest/21Shares, VanEck, Grayscale, Fidelity, Bitwise, Franklin Templeton, and Invesco/Galaxy Digital are all set to offer Ether ETFs. Crypto asset manager Bitwise predict that trading in the Ether ETF will drive the price of Ether higher, potentially surpassing $5,000.

Fuente

Bitcoin

Cryptocurrency’s Biggest Winners and Losers in a Second Trump Presidency

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Cryptocurrency’s Biggest Winners and Losers in a Second Trump Presidency

Bitcoin miners and cryptocurrency companies that have been blocked from going public in the U.S. could ultimately be the biggest winners in the digital asset world under a second Donald Trump presidency. Foreign companies at risk of losing market share could end up being the biggest losers.

That’s the view that’s taking hold among market participants and observers in the wake of the former president’s growing embrace of cryptocurrency as his chances of election grow. survey released Thursday by CBS News showed Trump with the majority — 52 percent — of likely voters in his likely November rematch with President Joe Biden.

Fuente

Bitcoin

Bitcoin, Ethereum, Solana and Cryptocurrency Markets Look Ready to ‘Send’ as Stars Align, According to Investor Chris Burniske

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Bitcoin, Ethereum, Solana and Cryptocurrency Markets Look Ready to ‘Send’ as Stars Align, According to Investor Chris Burniske

Cryptocurrency investor Chris Burniske says Bitcoin (BTC), Ethereum (ETH), Solana (SUN) and the cryptocurrency market in general seem poised for a run.

Former Head of Cryptocurrency at ARK Invest account his 292,200 followers on social media platform X that several catalysts are aligning, suggesting that digital asset markets are on the verge of a bull run.

According to Burniske, a partner at venture capital firm Placeholder, the highly anticipated launch of Ethereum-based exchange-traded funds (ETFs), Republican presidential candidate Donald Trump speaking at an upcoming Bitcoin event, and the current state of the BTC, ETH, and SOL charts all suggest significant optimism for the cryptocurrency markets.

“With ETH ETFs set to go live, Trump speaking at The Bitcoin Conference, and BTC, ETH, and SOL charts looking [they do] (while stocks are weak), it’s hard to imagine a world where we don’t ship next week.”

Reuters recently reported that preliminary approval for ETH ETFs has been granted as the Bitcoin Conference is scheduled to take place from July 25-27.

BTC, ETH, and SOL are trading at $67,333, $3,528, and $174 at the time of writing, respectively.

The venture capitalist too provides an update on his prediction that the total crypto market cap will eventually hit $10 trillion. According to his chart, the path to $10 trillion is currently “23%” complete, as it sits around $2.2 trillion.

Source: Chris BurniskeX

Earlier this month, Burniske he said in an interview with Real Vision CEO Raoul Paul that he has his eye on the Move ecosystem, which was originally built by social media giant Meta and then used to develop layer 1 blockchains Sui (IUE) and Apts (APT).

Don’t miss a beat – Subscribe to receive email alerts directly to your inbox

To check Price action

Surf Hodl’s Daily Mix

&nbsp

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be aware that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Image generated: DALLE3

Fuente

Bitcoin

Here’s the next target for BTC before bulls can hold out for $70K

Published

6 months ago

21 July, 2024

SatoshiTimes Staff

Here’s the next target for BTC before bulls can hold out for $70K

Bitcoin’s recovery is going well, and the market is seemingly poised to create a new all-time high in the near term.

Technical analysis

Per NegotiationRage

The daily chart

As the daily chart shows, the price of Bitcoin has been rising since it broke above the 200-day moving average.

The market has also reclaimed the $60K and $65K levels and is moving towards the $68K resistance zone, which could be the last hurdle before creating a new all-time high. With the RSI also indicating that the price has clear bullish momentum, it could be just a matter of time.

Source: TradingView

The 4-hour chart

Looking at the 4-hour chart, it is evident that the price has been rising rapidly since breaking the downtrend line to the upside. The market also broke the $65K resistance level with momentum, turning it into a support.

While almost everything points to a new record high in the coming weeks, there is one worrying sign. The RSI is showing a clear bearish divergence between recent price highs, which could indicate a correction or even a reversal in the near term.

Source: TradingView SPECIAL OFFER (Sponsored)
Binance Free $600 (CryptoPotato Exclusive): Use this link to register a new account and receive an exclusive $600 welcome offer on Binance (Full details).

LIMITED OFFER 2024 on BYDFi Exchange: Welcome Reward Up to $2,888, use this link to register and open a 100 USDT-M position for free!

Disclaimer: The information found on CryptoPotato is that of the writers quoted. It does not represent the opinions of CryptoPotato about buying, selling, or holding any investments. It is advised that you conduct your own research before making any investment decisions. Use the information provided at your own risk. See Disclaimer for more information.

Cryptocurrency Charts by TradingView.

Fuente