Are we in a crypto bear market? Bitcoin, Cardano, Harmony ONE, + more // Crypto Over Coffee ep.67

Summary

In the latest episode of 'Crypto Over Coffee', the host discusses the volatile cryptocurrency market, addressing whether it's a bear market and if it's the right time to buy Bitcoin. The show also covers Cardano's progress, the impact of new U.S. Treasury regulations on crypto transactions, and the recent mishap at BlockFi. Additionally, the host explores Harmony One's blockchain network, its compatibility with Ethereum, and its potential in the crypto space.

Takeaways

• 📉 The current crypto market is experiencing a downturn with Bitcoin down about 50% from its all-time highs, sparking debates on whether we are in a bear market.
• 🤔 The concept of market timing is questioned, with the suggestion of using dollar-cost averaging as a strategy to mitigate risks associated with market volatility.
• 💡 The host advocates for a long-term view on Bitcoin, considering it a potentially good buying opportunity at current price levels compared to all-time highs.
• 📈 Profit-taking strategies are discussed, with a preference for moving profits to stable coins like USDC and earning yield through platforms like Ledn.
• 🚫 Warnings are given about potential scams in the comment sections of platforms where the podcast is hosted, advising viewers to be cautious and report any suspicious activity.
• 💰 The importance of having a financial plan in place for market events is emphasized, including decisions on whether to cut losses or hold for potential future gains.
• 🔄 Cardano's development and delays are discussed, with its founder, Charles Hoskinson, addressing the challenges and the upcoming Alonzo hard fork.
• 🧐 The segment '404 Logic Not Found' highlights notable tech-related fails or questionable decisions, including BlockFi's error in sending Bitcoin rewards to incorrect accounts.
• 🇨🇳 Discussion on China's potential ban on Bitcoin mining, with the host arguing that the market's reaction is based on fear, uncertainty, and doubt (FUD) rather than factual information.
• 🌐 The host shares initial thoughts on Harmony One, a high-throughput blockchain network compatible with Ethereum applications, and its efforts to integrate Ethereum's tooling and community.

Q & A

What is the main theme of the podcast episode?

The main theme of the podcast episode is discussing the latest news and hottest topics in the world of technology and cryptocurrency, with a focus on the current state of crypto markets, whether it's a bear market, and updates on specific projects like Cardano and Harmony One.

What is the host's stance on buying Bitcoin during a potential bear market?

The host advocates for the dollar cost averaging strategy, suggesting that one should continue their investment plan regardless of market fluctuations, and not try to time the market. He mentions that now might be a good buying opportunity due to the current price compared to all-time highs, but emphasizes that the decision depends on one's specific situation and long-term view of Bitcoin.

How does the host recommend taking profits in cryptocurrency investments?

The host recommends taking profits according to a scaled plan based on percentages. When he hits an all-time high, he takes out a certain percentage of his holdings and moves them to stable coins, specifically USDC, where they can earn yield in platforms like Ledger.

What is the '404 Logic Not Found' segment about?

The '404 Logic Not Found' segment highlights notable tech-related fails or otherwise illogical moves in the world that need attention. In this episode, it discusses BlockFi's mistake of sending Bitcoin rewards to the wrong people and China's potential ban on Bitcoin mining.

What is the host's opinion on the recent news of China banning Bitcoin mining?

The host believes that the news has been misinterpreted and that the reported ban is specifically targeting coal-powered mining, which is a positive step towards cleaner and less centralized mining. He advises against panicking and waiting for more information.

What is the significance of the Harmony One project mentioned in the podcast?

Harmony One is a high-throughput blockchain network compatible with Ethereum applications and tooling, offering an alternative for users and developers looking for a solution to Ethereum's high fees and congestion. It uses state sharding and parallelism to improve throughput and has a bridge with Ethereum and Binance Chain for interoperability.

How does the host address the issue of scams in the comments section of the podcast platform?

The host warns the audience to be aware of scammers posing as him in the comments. He clarifies that he does not have a WhatsApp and will not contact anyone on Twitter asking to be contacted. He advises viewers to report any such comments if they come across them.

What is the host's advice on dealing with the current volatility in the crypto market?

The host advises having a plan in place for such market conditions, emphasizing the importance of not panicking and staying the course with one's investment strategy. He also suggests considering the dollar cost averaging strategy and not overextending oneself.

What is the significance of the Ethereum bridge mentioned in the podcast?

The Ethereum bridge mentioned in the podcast is significant as it allows for interoperability between Harmony One and Ethereum, as well as Binance Chain. This bridge is important for the host as he sees interoperability as a key aspect of the future of blockchain technology.

How does the host engage with the audience to address their interests in specific projects?

The host actively engages with the audience by taking their project recommendations and conducting research on them, as seen with his initial exploration of Harmony One. He encourages the audience to share their interests and informs them that he listens to their suggestions.

What is the host's perspective on the future of Bitcoin?

The host remains optimistic about the future of Bitcoin, stating that he believes the current market situation will pass and that Bitcoin will see a new all-time high in 2021. However, he also acknowledges the unpredictability of the market and advises investors to make their own choices based on their situation.