New on-chain data suggests that demand for Bitcoin (BTC) from new investors is growing. Specifically, the number of new BTC addresses is nearing 2017 levels when the price hit $20,000.

Brock Connelly, the CEO of RoundBlock Capital, said:

“Has anyone noticed, daily active addresses (Bitcoin) is back above June 2019 levels, and approaching high of 1.29mm in December 2017. BTC market feels much different now.”

Various on-chain metrics hint at a continuation of the Bitcoin uptrend, despite the digital asset’s 28% increase in the past three weeks.

Buyers show renewed interest as new BTC addresses rise

After the Aug. 2 Bitcoin flash crash, both BTC and Ether (ETH) have steadily increased in price. At the time, more than $1 billion worth of futures liquidations in one hour sent the market plunging for a brief period of time.

Since then, major cryptocurrencies have stabilized, seeing less volatile price movements. The stability of BTC and ETH could also indicate the start of an accumulation phase.

While this week’s BTC price action has been strong, the digital asset has many technical reasons to see a rejection from the $11,700 to $12,000 range. Historically, $12,000 has served as a strong resistance level and every attempt to close a weekly candle above it in the last two years led to prolonged corrections.

With that said, the price of Bitcoin is steadily increasing as metrics like new BTC addresses continue to rise. The data suggests that many investors appear to be gradually accumulating BTC…CLICK for complete article

Trust is a fickle thing. It’s there until it isn’t. This is especially true with paper currencies. Their value is based on trust that the sovereign issuer will act faithfully and responsibly. The standards for a reserve currency are even higher given their status in global trade and finance. Throughout history, there have been many reserve currencies and they have all failed, eventually. Every one.

The average shelf life of a reserve currency is approximately 100 years. Can anyone today recall the importance of the French Livre or the Dutch Guider in world trade? They were the “U.S. dollar” of their day. At their height, no one questioned their durability much the same as, until recently, most didn’t question the durability of the U.S. dollar. But for a few keen observers, the writing has been on the wall for several decades.

It first caught my attention in the late 1990s. I started to see a change in behaviour by the Federal Reserve under Alan Greenspan. He was coming to the rescue of markets under the guise of protecting the financial system with increasing frequency. First it was the bail out caused by the demise of the hedge fund Long Term Capital Management in 1998. During this same period, Greenspan — with the assistance of the media — helped fuel the dot com bubble which finally burst in 2000. By the time the 9/11 terrorist attacks occurred in September 2001, the Fed, under Greenspan, began its policy of keeping interest rates “accommodative“ permanently and also showing blatant disregard of its independence from federal government policy.   Full Article