Cryptocurrency This Week: Silk Road Founder Predicts Bitcoin To Hit $100K, BitClub Network Scam And More

In the last two years, Bitcoin has clearly not been able to gain the momentum it had picked up in 2017. Once trading at $19.5K, Bitcoin is currently struggling at $7K, but it could soon be flying high if Silk Road founder is to be believed.

Interestingly, Bitcoin ‘Hodl’ whales, despite the cryptocurrency having declined by 65%% in the last two years, still believe in holding the cryptocurrency, as 59% of Bitcoin’s circulating supply still hasn’t moved in at least one year, according to research firm Delphi Digital.

Like India in 2017-2018 when income tax officials and the Enforcement Directorate had sent notices to around 1 lakh crypto investors, Denmark’s tax authority has now reportedly sent out notices to around 20K crypto traders. The authority has asked these traders to share the complete details of their crypto transactions and file their tax returns accordingly.

The $722 Mn BitClub Network Scam

Five people have so far been charged in the $722 Mn Bitcoin scam being operated under the name BitClub Network.

An indictment unsealed in US District Court in Newark charged Matthew Goettsche, Jobadiah Weeks, and Silviu Balaci, who was arrested in Germany, with conspiracy to commit wire fraud and conspiracy to offer and sell unregistered securities, reported the New York Times. Joseph Abel was charged with conspiracy to offer and sell unregistered securities. Fifth person’s name has not been disclosed.

Like the tall claims of Amit Bhardwaj at his yacht parties, BitClub Network claimed itself as “the most transparent company in the history of the world” and that it is “too big to fail.”

In its videos, it says, “You’re not going to go start digging holes — the gold miners dig up the gold, they just give you your gold every single day…This is the same kind of thing.”

Bitcoin To Hit $100K, Predicts Silk Road Founder From The Prison

World’s most famous dark web marketplace founder Ross Ulbricht who is currently serving a double life sentence in a US prison has now predicted that Bitcoin might hit $100K in 2020. In a series of letters written from the prison, founder of the now-defunct Silk Road has applied Elliott Wave Theory to predict new all-time highs for Bitcoin.

Ralph Nelson Eliott, in his Eliott Wave Theory, had proposed that swings in mass psychology always shows up in the same recurring fractal patterns, or “waves,” in financial markets.

Ulbricht was arrested in October 2013, The FBI had seized around 144K Bitcoins from Silk Road and Ulbricht.

Bitcoin Trust Beats Microsoft, Netflix

Grayscale Investments Bitcoin Trust, a publicly tradable Bitcoin and cryptocurrency investment vehicle is among the top five equity holdings for Millennials, next to technology giants Amazon, Apple, Tesla and Facebook — and ahead of investor darlings Netflix and Microsoft.

According to a Forbes’ report, the Grayscale Investments Bitcoin Trust was found to be held by 1.84% of Millennials surveyed by Charles Schwab, with Netflix at 1.58% and Microsoft at 1.53%. However, Grayscale is far behind Amazon (7.87%), Apple (6.18%) and Tesla (3.22%)