Square Posts Record BTC Sales (Again) as Bitcoin Goes For Gold

Twitter co-founder Jack Dorsey’s pro-Bitcoin stance appears to be rubbing off on his other company Square and its users. Cryptoasset investment firm Grayscale amped up the marketing drive to help investors better understand Bitcoin. Over in the regulatory space, the chairman of the CFTC had a lot to say, particularly in relation to cryptocurrency derivatives.

Bitcoin (BTC) continued its recovery after last week’s sharp sell-off prompted by the Bitfinex and Tether news. It is currently trading at $5,449.44 (+1.42%). As for ether (ETH), it fared slightly worse, finishing in the red at $162.03 (-0.22%). The MVIS CryptoCompare Digital Assets 10 Index , enjoyed a 2.6% rise for the day and is at 2,778.11 at the time of writing.

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Bitcoin Sales Soar on Square’s Cash App

Twitter CEO Jack Dorsey’s payments company Square posted a record $65.5 million in bitcoin sales for the first quarter of 2019, a near-doubling compared to the equivalent quarter of 2018. Square’s reported bitcoin sales for all of 2018 totalled more than $166 million. The buying and selling of bitcoin is facilitated through Square’s peer-to-peer mobile payment app, Cash App.

Grayscale Launches Pro-Bitcoin #DropGold Campaign

Cryptoasset management firm Grayscale launched an anti-gold, pro-bitcoin mass marketing campaign, #DropGold. Accompanied by a 42-second commercial, the campaign is aimed at accentuating the store-of-value properties of Bitcoin’s by highlighting the absurdity of gold.

CFTC Chair: ‘Explosion of Interest’ in Crypto May Spawn New Clearinghouses

Testifying before the U.S. House Agriculture Committee on Wednesday, Christopher Giancarlo, chairman of the Commodity Futures Trading Commission (CFTC), revealed “the Commission anticipates new applications for clearinghouse registration” due to the “explosion of interest in cryptocurrencies.” Clearinghouses (i.e., financial institutions that facilitate transactions between parties) have “become critical single points of risk in the global financial system,” Giancarlo added. Currently, LedgerX is the only crypto derivatives exchange registered by the CTFC as a derivatives clearing organization (DCO).

Bitcoin Over $7100 As Investors Start to See 'Light at the End of the Tunnel'

Siamak Masnavi

President Trump and the White House Coronavirus Task Force's uplifting daily press briefing on Sunday (April 5) plus declining COVID-19 related mortality rates in various regions around the world seem to have increased investors' appetite for risk, with both U.S. stock futures and Bitcoin currently up around 4%.

So, what are the reasons for investors in stocks and cryptocurrencies to be more optimistic?

Well, let's start with this past weekend's press briefings at the White House.

At Satuday's briefing, Dr. Deborah Birx, the White House coronavirus response coordinator, said that she expeceds counties in New York, Detroit and New Orleans to see a peak in COVID-19 cases in the next few days. 

And at Sunday's briefing, President Trump referred to New York State's first drop in the number of coronavirus-related deaths as a "good sign", and said that he and the task force could see "light at the end of the tunnel." As for Dr. Birx, she also seemed optimistic:

"We're very hopeful that over the next week... we'll see a stabilisation of cases across these large metropolitan areas where the outbreak began several weeks ago."

Later at the same briefing, she went into more detail about why the task force was hopeful:

"We are hopeful because last time I was here I wasn't able to really tell you that Italy and Spain were coming across their apex and coming down the other side...

"To me, that's extraordinarily hopeful. They just completed four weeks of really strong mitigation, and I think that our word to the American people is we can look like that...

"So, that's what the promise is. The promise is if we do this, we could potentially be better."

On Sunday, we also heard from New York State Governor Andrew Cuomo, who said during his daily press briefing that coronavirus-related deaths, ICU admissions, and daily intubations had all gone down, while the  hospital discharge rate had gone "way up."

Also, this week, there is a good chance that Saudi Arabia and the Russian Federation will agree to end their oil price war, which would benefit the U.S. oil industry, therefore helping to drive up both the Dow and the S&P 500.

At the time of writing (09:30 UTC on April 6), premarket trading data shows the Dow, S&P 500, and Nasdaq futures up 3.64%, 3.69%, and 4.00% respectively

As for cryptocurrencies, even though several major central banks have already launched massive quantitative easing programs in a bid to fight the economic threat posed by COVID-19, the growing realization that much more "money printing" will probably be needed in the future to stop the global economy from going into a depression could be enough to convince at least some investors to look at hard assets such as Bitcoin and gold. 

Michael Novogratz, a former Goldman Sachs partner, as well as Founder, Chairman, and CEO of crypto-focused merchant bank Galaxy Digital, talked about his high hopes for both Bitcoin and gold in a tweet he sent out on March 24:

According to data from CryptoCompare, Bitcoin, which has been having a pretty close correlation with the S&P 500 during the COVID-19 crisis, is currently trading at $7,129, up 4.59% in the past 24-hour period:

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