Cryptocurrency market update: Bitcoin punctures $12,000, Walmart’s crypto and Facebook’s Libra

The cryptocurrency market is in the middle of a recovery phase from the extreme volatility in July. The total market capitalization is back above $300 billion. In fact, it is standing only $1 billion lower from $311 billion recorded on Monday.

Bitcoin remains the market leader in terms of dominance on the market. BTC dominance currently stands at 68.2% (the highest level since April 2017). According to Binance Research Global Markets, July saw Bitcoin pivot around $10,000 while altcoins continued with the lagging. The report cites “both lower volumes on mid and small-cap altcoins and the Bitcoin dominance waiting at high historical levels.”

Bitcoin price update

Bitcoin price pushed above $12,000 as already covered by FXStreet. The price hit $12,323.77 highs on Tuesday before diving under $12,000. At press time Bitcoin is teetering at $11,743 amid the rush by the bulls to defend $12,500 support. On the brighter side, the 4-hour moving averages are still below Bitcoin’s market value while playing catch-up.

Walmart’s crypto likely to face mild regulatory scrutiny compared to Libra

As reported Walmart Inc. filed a patent for a digital asset that does not resemble Facebook Inc.’s Libra. After Facebook's gruesome experience with the regulators and lawmakers, it very likely that Walmart’s crypto will face less political heat.

The proposed Retailer’s coin would in the form of a stored-value card that is linked to the US dollar. Unlike other rechargeable gift cards, consumers would get send cash to Walmart and, in turn, get an equal value of the cash in Walmart’s coin. The coin would then be used to buy goods at the store.

According to an article on Bloomberg:

“If Walmart were to proceed with a digital offering, it could be seen as a threat to small banks and credit unions and is unlikely to be given a free pass from Congress.”