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Cryptocurrency: BTC tackles $40,000 as Biden unveils new $6 trillion federal spending budget

(Asian News Hub) – Bitcoin (BTC) may get a boost to finally clear $40,000 at the expense of the U.S. dollar as United States President Joe Biden’s new $6 trillion federal spending budget proposal is unveiled.

On May 28, the United States president will announce the massive fiscal policy, the largest since the Second World War, to ensure investments in major infrastructure, education and healthcare projects, reported The New York Times on May 27.

Biden reportedly wants the federal government to spend $6 trillion in 2022. He also plans to raise the total spending to $8.2 trillion by 2031.

Biden had earlier proposed significant tax hikes on America’s richest companies and individuals to fund his massive spending program. But it would take the government at least until 2030 to shrink its budget deficits, the Times reported. That means the United States would face a monumental debt burden as it borrows money to finance Biden’s record proposal.

The scenario, per recent history, serves as an ideal bullish backstop for Bitcoin. The decentralized cryptocurrency rallied 1,582% from its $3,858 low in March 2020 as the U.S. government ramped up spending to unprecedented levels to combat the coronavirus pandemic.

On the other hand, the U.S. dollar strength index (DXY), which measures the greenback’s strength against a basket of top foreign currencies, crashed by up to 13.38% after topping out in March 2020 amid the global market crash.

Meanwhile, Anthony “Pomp” Pompliano, a well-renowned Bitcoin lobbyist and founder of Pomp Investments, predicts further declines in dollar bids.

“The government is proposing to push our country further into debt while simultaneously destroying the value of our currency,” Pompliano said. “Historians will write that the government accelerated the destruction of the world reserve currency as the citizens cheered them on.”

Other analysts also jumped in to propose Bitcoin — with its fixed supply — as a remedy against a steepening U.S. debt curve.

Bitcoin reclaims $40,000

The New York Times’ coverage caused jitters during the early morning U.S. trading session, with the DXY falling by a modest 0.01% at the New York opening bell while Bitcoin reclaimed $40,000.

The BTC/USD exchange rate tested its 200-day simple moving average (the orange wave in the chart above) — which sits at around $40,756 — for a breakout move to the upside.

If achieved, the pair would eye a close above its 20-day exponential moving average (the green wave) — near $43,655 — to confirm its short-term bullish bias.

COIN TELEGRAPH

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Bitcoin to get major facelift after four years in November

The upgrade would take about five months as it requires a lot of testing before being fully integrated into the system.

(Asian News Hub) – Bitcoin’s new upgrade ‘Taproot’ has received overwhelming support from miners around the world and is set to take effect from November, CNBC reported.

The new upgrade would mean greater transaction privacy and efficiency which would enable smart contracts, a feature of the blockchain technology which eliminates the need for middlemen.

Taproot is the first and the most anticipated update since the last one ‘Segregated Witness (SegWit)’ in 2017. While the main focus of SegWit was scaling the Bitcoin protocol, Taproot will equip Bitcoin with a new signature scheme known as Schnorr signatures.

Currently, Bitcoin uses the “Elliptic Curve Digital Signature Algorithm,” which is created from the private key that secures the Bitcoin wallet and ensures that it is only used by its owner.

On the other hand, Taproot will switch to Schnorr signatures which is multi-signature transactions unreadable, the report said citing Alejandro De La Torre, Vice President at Hong Kong-headquartered major mining pool Poolin.

“You can kind of hide who you are a little bit better, which is good,”  Brandon Arvanaghi, previously a security engineer at crypto exchange Gemini told the publication.

This would allow greater anonymity for an individual bitcoin address on the public blockchain, but it will make simple transactions indistinguishable from those that are more complex and comprised of multiple signatures, the report added.

The new upgrade will also allow smart contracts cheaper along with taking up lesser space on the blockchain.

“The most important thing for Taproot is…smart contracts,” said Fred Thiel, CEO of cryptocurrency mining specialist Marathon Digital Holdings.

“It’s already the primary driver of innovation on the ethereum network. Smart contracts essentially give you the opportunity to really build applications and businesses on the blockchain.”

The upgrade would take about five months as it requires a lot of testing before being fully integrated into the system.

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Gondola service resumes partially in Gulmarg

Services resumed on trial basis, situation being monitored closely: Dir Tourism Itoo

Jahangir Sofi

(Asian News Hub) – With the graph of Covid-19 positive cases in the valley showing the decreasing trend, the Tourism department Kashmir, has partially resumed the Gulmarg Gondola service on trial basis.

Director Tourism Kashmir, Dr. G. N. Itoo said that the Gondola services have been partially resumed as the Covid situation is evolving which is being monitored closely.

“The Gondola services will be limited only as it has been started on a trial basis. If there are more modalities to be discussed with respect to Covid situation that will be also taken care of,” Itoo said.

“We are ensuring everything is being taken care of from our side, and whenever the Government takes a call, we should be ready to welcome tourists,” he said.

After the tourism was opened in June 2020, the tourism arrival in the valley had gained a reasonably good momentum and the hoteliers and houseboat owners had pre bookings till May end of this year.

However, with the onset of the second wave of Covid-19 which also engulfed the valley along with the other parts of the country, a complete Corona lockdown was imposed in Jammu and Kashmir, resulting in the cancellation of the all the pre bookings giving a deserted look to hotels and houseboats in the valley.

KNO

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Cryptocurrencies: Elon Musk Changes Twitter DP to ‘Triggered’ Crypto Woman

(Asian News Hub) – Elon Musk has changed his Twitter display picture (DP), otherwise known as a profile photo, a character from a Japanese site wearing a Bitcoin dress and posed on the foreground of a $BTC logo.

The character has “Triggered” eyes. Currently, there are no explanations as to why the CEO did it. Still, speculations point out to Musk targeting Bitcoin fans that blame his tweets for the leading cryptocurrency plummet.

Musk’s Tweets Causes Bitcoin Drop

Recently, Bitcoin has dropped in market price and performance despite seeing a rise in its trends, particularly as it is on the road to recovery, following the drastic changes it suffered in the past months. The drop in performance of the leading cryptocurrency was due to Elon Musk’s tweet about it, saying that Tesla has dropped Bitcoin use due to coal energy dependence.

Tesla is known to be a clean energy company, and that Musk is also an advocate for the environment, so dropping Bitcoin was a way to adhere to their beliefs and not something personal against Bitcoin. However, recent developments have pushed Bitcoin purists to think of Musk as the villain, especially with his increased support for Dogecoin.

What Does This Mean?

Musk is always fond of trolling people on the internet, and doing things without explanation even though people would either go crazy about it or have them develop theories as to his next move. However, one speculation is that the CEO was about the “triggered” Bitcoin fans who were affected by the price drop in the market, as brought by his latest tweet.

The CEO did not mean for the prices to go down, but his meme photo tweet still had a massive effect on the cryptocurrency, and in doing so, has triggered the downfall of Bitcoin in the market today.

Currently, Wazirx still lists Bitcoin as the top and leading cryptocurrency, with a $37,500 market price and a 4.33 percent downward trend in the past 24 hours.

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