Coinbase Disables New Credit Cards For U.S. Customers
On February 13th, 2018, Coinbase announced on their blog, that U.S. customers will no longer be able to add new credit cards as a form of payment.
“At the moment, Coinbase cannot ensure customers will have a positive purchasing experience with a credit card. As a result, we have disabled adding new credit cards as a payment method for US customers. Debit cards remain unaffected by this change.”
This decision follows the news that four U.S. banks have barred their credit cards from being used for any cryptocurrency transactions. While Coinbase acknowledges that many customers prefer credit cards as their primary payment method.
They went on to say:
“We did not make this decision lightly. We are actively working with card networks and card issuers to find a long term solution. For customers in the UK, EU, Canada, Australia and Singapore, we are collecting feedback and evaluating similar changes”
For users that already have their credit cards linked to the platform, you may continue to use them as long as your bank honors the transactions.
The banks that have disabled credit card transactions are
- JPMorgan Chase
- Bank of America
- Capital One
- Commonwealth Bank
- Lloyds Banking Group (several of its subsidiary banks)
Bitcoin Pullback Wipes $200 Billion Off Cryptocurrency Market
Bitcoin, the largest cryptocurrency, fell over 12% from a day earlier to $32,576, according to Coin Metrics data. It earlier sank to an intraday low of $30,863. Ether, the second-largest cryptocurrency, was down 23% to $1,005. It briefly tumbled below $1,000, hitting an intraday low of $945.
The sell-off in cryptocurrencies comes after a huge rally and perhaps signals some profit-taking from investors. Bitcoin is still up over 300% in the last 12 months and last week hit an all-time high just below $42,000.
“The correction we saw was expected as we believe the BTC price surge recently from under $20,000 to $40,000 in the past four weeks will induce sell pressure,” said Simons Chen, executive director of investment and trading at cryptocurrency financial services firm Babel Finance.
The $40,000 mark could have been a trigger for profit-taking, Chen said.
Bitcoin’s resurgence has been attributed to a number of factors including more buying from large institutional investors.
But some bitcoin critics — such as David Rosenberg, economist and strategist at Rosenberg Research — have called bitcoin a bubble.
Long-term bullishness around bitcoin remains however.
Jehan Chu, founder of cryptocurrency-focused venture capital and trading firm Kenetic Capital, said the pullback in bitcoin could be a buying opportunity for new investors.
“This short term correction is both natural and needed, and is a great entry point for long-term investors as we quickly reach $50k this quarter and $100k by year’s end,” Chu told CNBC.
Last week, Social Capital’s Chamath Palihapitiya said bitcoin could go above six digits.
“It’s probably going to $100,000, then $150,000, then $200,000,” Palihapitiya told CNBC’s “Halftime Report.” “In what period? I don’t know. [Maybe] five or 10 years, but it’s going there.”
BITCOIN PRICE SHOOTS TO $34,000!
Bitcoin’s price just shot to $34,000 despite plunging as low as $30,000 earlier today. The leading cryptocurrency trades for $33,950 as of this article’s writing and is up over 15% in the past 24 hours.
After peaking at $33,000 in the morning, BTC plunged from $33,000 to $30,000 in the span of two hours.
Altcoins are continuing to outperform BTC. Ethereum is up 8.5% in the past 24 hours while most other altcoins have gained only a handful of percent.
Bitcoin Price Rallies 13% to Break Through $11,000
Within the last hour Bitcoin (BTC) price pushed through the $11,000 level in a high volume surge which saw the price reach a new 2020 high at $11,394.
At the time of publishing the price has pulled back slightly to the $11,150 range but purchasing volume continues to rise on the 1-hour timeframe. This suggests that the top-ranked digital asset on CoinMarketCap may have another go at the daily high.
Crypto market weekly price chart. Source: Coin360
As reported earlier by Cointelegraph, on-chain activity registered a significant spike in exchange inflow as Bitcoin price rallied above $10,000 and Bloomberg analysts now estimate that Bitcoin price will rise above $12,000 this year.
Ether price (ETH) also surged above its previous high by rallying to $333.52 but at the time of writing the top altcoin has pulled back below $330.
Bitcoin daily price chart. Source: Coin360
According to CoinMarketCap, the overall cryptocurrency market cap now stands at $326.7 billion. Bitcoin’s dominance index currently at 63.1%.
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