Bitcoin to Go Obsolete if It Fails to Pivot to PoS System: Anatoly Yakovenko
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Yakovenko boasted, in a recent interview with CNBC, that one of the advantages Solana holds over Bitcoin is the energy efficiency of the former. The computer engineer explained:
“If you look at Solana’s energy report, a single Solana transaction is about two Google searches worth of energy. I think that even among proof-of-stake networks, [it] is one of the most efficient ones.”
The Solana founding member further explained that he sees a future where most people would opt for blockchain networks running on a proof-of-stake (PoS) validation method, which would make Bitcoin obsolete if it does not pivot. He noted:
“If [Bitcoin] eventually doesn’t switch to proof-of-stake nobody is going to use it.”
This would not be the first time Bitcoin would get criticized for its energy usage due to its consensus mechanism. Since the introduction of PoS validation methods in newer blockchains, the two largest blockchains, Bitcoin and Ethereum, have come under fire for their outdated mining systems. Already, Ethereum is set to pivot to a more efficient PoS system in a few months.
Key Bitcoin Levels to Watch — May 1
Bitcoin’s bearish momentum continued over the weekend as the broader crypto market lost tens of billions of dollars. As mentioned in my previous analysis, the bearish momentum could persist towards $37K.
Yesterday, the benchmark cryptocurrency bottomed at the $37.5K low, its lowest point since early March, as the bearish sentiment persists.
The aggressive bearish momentum came as traders priced in a 50 basis points (bps) rate hike from the US Fed in its upcoming FOMC meeting and a possible 75 bps hike in June. That said, a release of the inflation data on Wednesday could prompt a sharp rebound for the crypto market, considering the downside has already been priced-in.
In the meantime, I expect BTC to maintain a bearish outlook under $40K until May 4.
Meanwhile, my resistance levels are at $38,500, $39,000, and $40,000, and my key support levels are at $37,000, $36,000, and $35,000.
Total Market Capitalization: $1.71 trillion
Bitcoin Market Capitalization: $723.1 billion
Bitcoin Dominance: 42.2%
Market Rank: #1
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