Simon Peters, analyst, eToro

The bitcoin (BITCOMP) price broke above $61,000 over the weekend, rebounding once again following the unveiling of the $1.9trn stimulus in the US.

Having pulled back below $50,000 briefly in the early part of the month, the price has picked up momentum once more, with last week’s stimulus announcement helping to power it into new territory on Saturday.

Having breached this key level, prices have retreated marginally overnight, currently trading around $57,500 this morning as investors review their positions following these latest gains.

David Derhy, analyst, eToro

Ethereum miners fight back against network changes

Ethereum miners are threatening to halt mining activities in protest over planned changes to the network which will see their fees reduced.

Under the proposed changes, planned to take place later this year, users will send a base transactional fee to the network, rather than to the miners directly. However, miners are angry about the overhaul, with major mining group Spark signallng its opposition on Twitter.

Whilst it’s not clear whether this threat to cease mining will come to fruition, the proposed changes have been welcomed by investors, with prices rocketing back above $1,700 in the hours following the announcement, and holding this level.

Simon Peters, analyst, eToro

Bitcoin outperforms all other USD assets in last decade

Bitcoin has outperformed all other dollar-denominated asset classes by a minimum of ten times over the last decade, new research has shown.

According to data from Compound Capital Advisors, Bitcoin has produced an annualized return of 230% on average — more than 10 times higher than the next best asset class.

In comparison gold has made just 1.5% per year since 2011, with five out of the past 11 years producing a loss for the asset, while the US bond market has delivered 3.3%. Cash has returned an annual amount of just 0.5% amid this era of record low rates.

Simon Peters, analyst, eToro

What a difference a year makes for bitcoin

Last week marked the anniversary of Black Thursday, which saw bitcoin futures tumble more that 50% in a day, due to technical failure on the Bitcoin Mercantile Exchange (Bitmex).

Just 12 months on and bitcoin has gone from strength to strength since falling to a low of $3,800 that day – with prices rising over 1,400%.

The case for holding bitcoin has increased over the period, with institutional investors now holding the cryptoasset, as they look to alternatives to fiat currencies. With big corporations also lending their support, the future has never looked brighter for cryptoassets. 

David Derhy, analyst, eToro

World’s first digital NFT based artwork sells for $69 million

MakersPlace and Christie’s have made history by selling Beeple’s 5,000-day art collection for over $60 million. One of the highest art auction sales ever, 353 people submitted bids for the collection, which consisted of 5,000 pieces of digital art produced by Beeple every single day for 14 years.

The sale comes after the Kings of Leon’s decision to release their latest album as an NFT. While this technology is still emerging, the trend is starting to take off, with the potential to revolutionize industries such as property and art, as well as countless others.