Bitcoin News Summary – April 5th, 2018

Bitcoin price has fallen below the mark of $7,000 amidst the scare of a global trade battle between China and the United States. It’s not just the stocks but also the cryptocurrencies that have taken a hit. Bitcoin price is now hovering in the region above $6,500 but below $7,000 according to Coinbase.

Despite the current bearish trend, many experts still believe that Bitcoin will see another rise in the price later in 2018. BRD’s co-founder Aaron Laser said “The game isn’t over, Digital scarcity is a major innovation in money and value, and we’re in the initial stages of a multi-decade trend towards tokenization of assets.” Twitter’s and nVidia’s CEOs also backed the oldest cryptocurrencies.

In other news, after Chinese government’s ban on local bitcoin exchanges, some people have decided to travel to other countries to buy bitcoin and then sell it in China for a premium mark up. This practice has gained so much popularity in last few weeks that profit margins for “mules” (bitcoin smugglers) have radically fallen.

Pietro Grigerio, a dealer principal in California working at a Lamborghini dealership, said in an interview with CNBC that Lamborghini sales have risen from 1 or 2 a month to more than 10 a month because of bitcoin millionaires’ fondness for super cars.

The former CEO of unfortunate cryptocurrency exchange Mt.Gox showed up on Reddit to apologize once again and said he doesn’t want to bankrupt bitcoin exchanges. Karpeles wrote:

“I don’t want this. I don’t want this billion dollars. From day one I never expected to receive anything from this bankruptcy. The fact that today this is a possibility is an aberration and I believe it is my responsibility to make sure it doesn’t happen. I never imagined things would end this way and I am forever sorry for everything that’s taken place and all the effect it had on everyone involved.”

It should be noted that early in March, many news sources reported that approximately $400 million in Bitcoin and Bitcoin cash had been dumped into the market in the last few months by the Mt.Gox’s trustee, Nobuaki Kobayashi.

In what can only be considered as a great news for bitcoin blockchain, it was reported that with better coin selection bitcoin will cut the costs of transaction fees. Bitcoin Core contributor Andrew Chow, when talking to Coindesk, said:

“Bitcoin Core’s original coin selection algorithm actually needs a lot of reworking, especially with regards to transaction fees. It’s inefficient and it ends up doing a weird loop to try to guess the amount of transaction fees that are needed.”

This will help bitcoin which has received a lot of flak for having high transaction charges.

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