Bitcoin Magazine

28 Oct 2023 09:33

💰 Bitcoin dominance hits multi-year high as altcoins underperform

Bitcoin dominance has reached a multi-year high, according to The Block's data dashboard. The digital asset's market share has risen to 51.5% of the entire cryptocurrency sector, the highest level since April 2021. Bitcoin has posted more than two weeks of continuous rally, making gains of over 18% in the past week alone. It was changing hands for $33,909 at 1:30 p.m. ET, according to CoinGecko. In comparison, ether's weekly performance lags behind BTC, with a 13% increase in the past seven days.

The latest surge in the bitcoin's dominance can be attributed to a year-long rally, with the cryptocurrency's price increasing by around 100% since the start of 2023. Institutional investors have been taking notice, as bitcoin's price has outperformed most equities and fixed-income securities. In a recent research note sent to The Block, CoinShares Head of Research James Butterfill described how the growth of bitcoin's dominance in the crypto market highlights that the spot ETF narrative is the driving force behind the price movement. "Investors have logically attempted to enter before the actual announcement, which seems increasingly likely," he added.

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Bitcoin Magazine

22 Oct 2023 23:12

💰 Bitfinex's Ardoino expects 'quantum leap' in Bitcoin scaling solution adoption

Bitfinex CTO Paolo Ardoino said he expects a "quantum leap" in Bitcoin scaling adoption over the next few years during a wide-ranging interview with The Block that covered the future of Bitcoin scalability and Lightning Network integration. Bitfinex was one of the early pioneers in Lightning adoption, and the first crypto exchange to integrate with the network. Many in the community have questioned why it has taken so long for other major exchanges to follow suit.

Embracing the challenge at Bitfinex, Ardoino said the integration led to substantial reductions in transaction costs and processing times for its users, giving it a competitive edge and opening up strategic partnerships as advocates for Lightning Network adoption. "These collaborative efforts have played a pivotal role in strengthening the ecosystem for Lightning transactions, bolstering network liquidity, and solidifying the protocol's legitimacy," Ardoino said. "Today, Bitfinex proudly operates and manages two of the largest and most liquid nodes on the Lightning Network." The Lightning Network operates as a network of bi-directional payment channels on top of the Bitcoin blockchain, designed to enable fast and cost-effective micropayments.

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Bitcoin Magazine

20 Oct 2023 08:37

💰 Bitcoin price could rise to $56,000 if BlackRock ETF approved: Matrixport

The price of bitcoin could rise to between $42,000 and $56,000 if BlackRock's spot bitcoin ETF is approved by the Securities and Exchange Commission, according to digital assets financial services platform Matrixport. Utilizing its analysis of 15,000 U.S. registered investment advisors, Matrixport projected some $12 billion to $24 billion worth of inflows could come into such an ETF. RIAs oversee around $5 trillion, according to Matrixport, arguing a modest 1% allocation recommendation.

RIAs oversee around $5 trillion, according to Matrixport, arguing a modest 1% allocation recommendation from the group could produce the up to $50 billion of inflows. “Drawing a parallel with precious metals ETFs, estimated at approximately $120 billion in market cap, and assuming that between 10-20% of precious metal ETF investors look at a bitcoin ETF to diversify their monetary debasement and inflation hedges, we could witness a sizeable $12-24 billion worth of inflows into the bitcoin ETF,” it said. A wild trading day on Monday saw bitcoin's price spike 5% to almost $30,000 after a false report regarding approval of BlackRock's spot ETF circulated on social media before being debunked.Earlier this month, former BlackRock executive Martin Bednall said the SEC.

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Bitcoin Magazine

17 Oct 2023 13:13

💰 Grayscale 'GBTC Discount' Narrows to Near 2-Year Low as SEC Misses ETF Appeal Window

The widely tracked crypto market indicator "GBTC discount" narrowed to its lowest in 22 months on Friday, signaling increased optimism that Grayscale will be able to convert its close-ended bitcoin trust into an open-ended spot-based exchange-traded fund (ETF). Grayscale Bitcoin Trust (GBTC) traded at a discount of 15.87% to the trust's net asset value, reaching the level last seen in December 2021, according to YCharts. The discount has been steadily narrowing since reaching a record low of nearly 50% during the height of the bear market in December last year.

The latest improvement came as the U.S. Securities and Exchange Commission (SEC) decided not to appeal against the D.C. Circuit Court of Appeals' August verdict to set aside the regulator's decision to reject Grayscale's attempts to convert its trust into an ETF. The SEC had until Friday midnight to challenge the decision. "As far as I know, the SEC did not appeal, which means it now has to reconsider its ruling. It could deny again for different reasons - but the agency is reportedly engaging with other potential issuers, which is unusual. It is starting to feel like it is getting ready to let them list," Noelle Acheson, author of the popular Crypto Is Macro Now newsletter, said in the weekend edition. That said, the probability appears low, considering the regulator has been actively engaging with other spot-ETF applications.

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Bitcoin Magazine

14 Oct 2023 20:15

💰 Grayscale's Bitcoin Trust Discount to NAV Narrows Sharply to a 16.59% Gap

The largest bitcoin (BTC) trust known as GBTC has seen a significant improvement in terms of its previous discount to NAV. Essentially, net asset value (NAV) serves as a financial barometer, indicating the per-share value of a fund’s underlying assets. In the context of GBTC, the NAV represents the value of BTC it holds, adjusted for liabilities, and divided by its outstanding shares. Simply put, it’s a measure of what each GBTC share should theoretically be worth based on bitcoin’s market value. GBTC’s market price can deviate from its NAV, leading to either a discount or premium status.

GBTC trades at a higher price than its NAV, it’s at a premium. Conversely, if it trades lower than its NAV, it’s at a discount. This percentage difference provides insights into market perceptions and investor sentiment around GBTC. Since the end of February 2021, GBTC has traded at a discount to its NAV. Unlike traditional stocks, GBTC doesn’t offer an easy way to redeem shares for actual bitcoin, and shares are traded over-the-counter (OTC). This structure can cause its market price to diverge from the underlying BTC value. External factors, such as investor sentiment, market speculation, regulatory news, and liquidity considerations, can further influence this price disparity. A 48.31% discount in January 2023 meant GBTC shares were trading significantly below the value of the bitcoin they represented. Investors could have been acquiring bitcoin exposure via GBTC at a bargain.

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Bitcoin Magazine

12 Oct 2023 08:06

💰 Bitcoin Mining Industry Is at a ‘Crucible Moment,’ JPMorgan Says

The bitcoin (BTC) mining industry is at a crucible moment, as the approval of a spot BTC exchange-traded-fund (ETF) could catalyze a rally against a backdrop of record hashrates and the impending block reward halving that threaten the industry's revenues and profitability, JPMorgan (JPM) said in a research report Wednesday. The bank favors mining operators that offer the best relative value in light of their “existing hashrate, operational efficiency, power contracts, funded growth plans and liquidity,” analysts Reginald Smith and Charles Pearce wrote.

JPMorgan initiates coverage of CleanSpark (CLSK) with an overweight rating and a price target of $5.50; Marathon Digital (MARA) at underweight with a $5 target; Riot Platforms (RIOT) at underweight with a $6.50 target, and Cipher Mining (CIFR) at neutral. The bank also upgraded Iris Energy (IREN) to overweight from neutral. The U.S. Securities and Exchange Commission (SEC) has delayed its decision on whether or not to approve a spot bitcoin ETF until this month. The crypto market is hopeful that any approval will trigger a flood of mainstream money into the sector. The analysts said that Marathon is the largest mining operator but has the highest energy costs and lowest margins. Meanwhile, Riot has relatively low power costs and liquidity but is the most expensive stock in their coverage universe.

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Bitcoin Magazine

09 Oct 2023 16:58

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Bitcoin Magazine

08 Oct 2023 14:41

💰 Decade-Old Bitcoin Wallets Awaken, Moving Over $50 Million in Vintage BTC

Though Bitcoin’s value has risen from its position last month, September saw a surge in dormant Bitcoin transfers from long-inactive BTC wallets. This trend hasn’t slowed; in the initial week of October, several 2014 wallets came alive, moving 860 BTC — valued at over $24 million — in 86 separate transactions on October 4, 2023. Additionally, a wallet from 2013 sprung into action, transferring 500 BTC in just one transaction on the same day. Moreover, another 426 BTC from a 2012 wallet was shifted this week.

One of the week’s most captivating transactions involved a staggering 860 BTC — valued slightly above $24 million at current exchange rates — split amongst 86 distinct wallets. All these wallets, curiously, sprung to life nine years after their creation on January 3, 2014. Each one made a 10 BTC transfer on October 4, 2023, scattered across varied block heights. There’s an undeniable certainty that these wallets, dormant for nearly a decade, belong to a single individual, given the identical wallet creation and transaction dates. Intriguingly, all 86 wallets, each holding 10 BTC, employed the “send everything” feature to “sweep” funds to their subsequent addresses. Originally established as legacy addresses, they now reside within P2SH (Pay to Script Hash) addresses.

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Bitcoin Magazine

06 Oct 2023 08:30

🇸🇻 Firms launch El Salvador’s first Bitcoin mining pool tapping geothermal energy

Salvadoran renewable energy and mining firm Volcano Energy and Bitcoin mining software provider Luxor Technology have launched "Lava Pool." This is the first crypto mining pool based in El Salvador that aims to tap into the country’s rich geothermal energy to mine bitcoin. Volcano Energy will mine bitcoin exclusively via the pool and contribute 23% of its net income to the El Salvador government as part of a public-private partnership initiative, according to a statement.

Volcano Energy is co-led by Josue Lopez, a 23-year-old Bitcoin advocate from El Salvador who serves as the CEO, and Max Keiser, who serves as chairman and is an advisor to El Salvador President Nayib Bukele. El Salvador hit the headlines in 2021, becoming the first country to give bitcoin legal tender status. It first started mining bitcoin using geothermal energy from its volcanoes the same year and also announced plans to issue “bitcoin bonds” in 2022. "Lava Pool is another example of El Salvador’s first mover advantage as a nation-state in the Bitcoin ecosystem,” Volcano Energy CSO Gerson Martinez said. “Our vision is to create a vertically integrated energy and Bitcoin mining company whose value is accretive to investors and to all Salvadoran citizens.”

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Bitcoin Magazine

04 Oct 2023 10:22

💰 Bitcoin's rise in September bodes well for October price action: Bitfinex analysts

The crypto market closed September in the green, which historically leads to a bullish October, according to a report. "Crucially, we've closed September in the green, a rare occurrence," Bitfinex analysts said in a note sent to The Block. Data from TradingView confirms this, showing the combined cryptocurrency market cap at around $1.029 trillion at the start of September, but finishing the month up 6.1%, at $1.092 trillion.

According to this week's Bitfinex Alpha report, futures market metrics support a forecast for a bullish month ahead. "Historically, a positive September ushers in a bullish October, and the volatility as well as the futures market metrics all point towards increased volatility and some upside, at least on the higher time frames," the analysts added. The report added that the cryptocurrency options market has started signaling this increased market volatility. "Potential price swings in bitcoin became evident when implied volatility exceeded historical volatility, which is often a reliable indicator that traders are expecting much higher volatility in the near future,"

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Bitcoin Magazine

01 Oct 2023 10:07

🇺🇸 SEC continues filing frenzy, delaying bitcoin ETFs from Fidelity, VanEck and WisdomTree

The Securities and Exchange Commission continued a filing frenzy ahead of a possible government shutdown, moving to delay decisions on proposed spot bitcoin ETFs from VanEck, WisdomTree and Fidelity. The regulator said it was instituting additional proceedings to determine whether the proposed ETFs should be approved or disapproved. It asked for input from commentators, who have 21 days to submit written data, views and arguments. There's another 35-day rebuttal period, which suggests the approval process will drag on for at least a few more months.

"Institution of proceedings does not indicate that the Commission has reached any conclusions with respect to any of the issues involved," it wrote in the WisdomTree filing. "Do commenters agree with the Exchange that the Chicago Mercantile Exchange, on which CME bitcoin futures trade, represents a regulated market of significant size related to spot bitcoin?" the SEC continued, adding that it wants fresh views about a proposed surveillance-sharing agreement with crypto exchange Coinbase. The regulator earlier this week made similar filings for proposed funds from BlackRock, Invesco, Valkyrie and Bitwise. It's now delayed all pending applications for the spot bitcoin funds, placing them on similar timelines. The SEC first delayed the wave of bitcoin ETF proposals last month.

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Bitcoin Magazine

28 Sep 2023 07:52

💰 Marathon Digital mines invalid Bitcoin block in transaction ordering error

Bitcoin miner Marathon Digital mined an invalid block at height 809478 on the Bitcoin mainnet yesterday due to a transaction ordering issue, according to pseudonymous Bitcoin developer and Spiral grant recipient 0xB10C. Spiral is a subsidiary of Jack Dorsey’s Block. BitMEX Research confirmed the transaction ordering error, as did Casa co-founder and CTO Jameson Lopp, who added, “Bitcoin is an impenetrable fortress of validation. No double spending allowed!”

“It seems like MARAPool had a transaction ordering issue,” 0xB10C posted on X (formerly Twitter) today. “66dfefcdc3eeec2745c11f511f6068d62f34c34c767ba0feed47f63f01ccc2d8 is the 6th tx in the invalid block. It spends from 7d18f0eefce0497b5d0c9b61fdf816b7744587c7e5e57acc53de71d1dae59725, which is the 1454th tx in the block.” The invalid block was, therefore, rejected by the rest of the Bitcoin network as it was trying to spend funds from a transaction that hadn’t been processed yet, against the rules of the network. The valid Bitcoin block 809478 was mined by the Foundry USA pool. Marathon Digital did not immediately respond to a request for comment from The Block.

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Bitcoin Magazine

25 Sep 2023 08:11

💰 Arkham Identifies Coinbase's $25B in BTC; Rivals Nakamoto's Legacy Coins

On Friday, Arkham Intelligence, a crypto analytics and data tracking firm, revealed that its platform now prominently displays Coinbase’s bitcoin (BTC) reserves. Taking to social media platform X, the firm announced, “Arkham has now identified $25B of Coinbase bitcoin reserves (1M [bitcoin]) on chain.” Data from Friday shows Coinbase’s coffers holding a formidable 948,383 BTC, which, at the moment, boasts a value of $25.16 billion. But that’s not all. Arkham’s list showcases other assets under Coinbase’s belt, pushing the company’s cumulative worth on Arkham to $29.09 billion.

The crypto firm also holds about 222.832 million USDC and assets worth $193.93 million, or 921,875 BNB. The San Francisco-based crypto marketplace is also the custodian of 854.137 million GRT, valued at around $74 million, and a notable 12.1 million UNI tokens, estimated to be worth about $51.1 million. While Coinbase boasts assets around the $29.09 billion mark, as highlighted by Arkham’s explorer, Binance dwarfs this with a staggering $64.83 billion in crypto holdings. Stacked against Coinbase, Binance’s BTC reserve sits at a more modest 658,256 BTC, valued at an estimated $17.50 billion. Interestingly, Binance’s most dominant asset is tether (USDT), with Arkham indicating that the exchange possesses a significant 21.18 billion USDT.

Source

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Bitcoin Magazine

23 Sep 2023 19:11

💰 12 Leading Bitcoin ETFs Hold Over 100,000 BTC – A Glimpse Into Crypto’s Bright Future

With research from Coingecko revealing that the world’s 12 largest Bitcoin ETFs now collectively hold a staggering 102,619 BTC. Although this represents less than 0.5% of the total Bitcoin supply, it signifies a growing institutional interest in the leading cryptocurrency. Among these 12 prominent Bitcoin ETFs, the ProShares Bitcoin Strategy ETF stands out as the largest, currently holding a substantial 35,890 BTC. This pioneering fund is not only the oldest but also the largest in the field. Notably, ProShares offers two of the top 12 Bitcoin ETFs.

While the ETF market currently features futures-based Bitcoin offerings, the long-anticipated approval of a spot Bitcoin ETF by the U.S. Securities and Exchange Commission (SEC) could have profound implications for both Bitcoin and the broader crypto market. Mainstream Exposure: A spot Bitcoin ETF’s approval would open doors for tens of millions of new investors, granting them easy access to Bitcoin through retirement and brokerage accounts, ushering in a new era of mainstream crypto adoption. Increased Legitimacy: SEC approval would bestow legitimacy upon Bitcoin, erasing lingering stigmas and positioning it as a credible asset class suitable for institutional investors and financial advisors.

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Bitcoin Magazine

19 Sep 2023 13:27

💰 69.2% Long-Term Bitcoin Holders Over 155 Days Are Profitable

Bitcoin’s potential for a price inversion fund is gaining traction as current price levels suggest future growth. According to data from Glassnode, Long-Term Holders now control a whopping 70% of the total Bitcoin supply, amounting to 14,787,265 BTC, and this figure continues to reach new heights. Notably, 69.2% of these long-term holders find themselves in a profitable position, having held their BTC for an average of more than 155 days. Recent data from TradingView reveals that BTC’s price performance has been stabilizing, with the cryptocurrency hitting a monthly high of $26,800 just two days ago.

The FOMC meeting takes center stage this week, with Federal Reserve officials set to decide the course of interest rates. Powell faces a challenging task, as recent data on the US consumer price index (CPI) showed slight increases in headline and core inflation. Nevertheless, core inflation remains below its peak in July 2022. However, the path to recovery is still in its early stages, with market observers closely eyeing the Federal Open Market Committee (FOMC) meeting scheduled for September 20. While most market participants anticipate the Federal Reserve maintaining the status quo on interest rates, potential surprises may emerge during Fed Chair Jerome Powell‘s subsequent press conference. Bitcoin displays a mild bearish tendency, hovering around the $26,800 resistance level, just above the $26,500 support.

Source

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Bitcoin Magazine

26 Oct 2023 19:41

💰 Bitcoin Spot ETFs Could See Inflows of $14.4B in First Year, Galaxy Says

Spot bitcoin (BTC) exchange-traded funds (ETFs) could attract at least $14.4 billion of inflows in the first year of issuance, crypto fund Galaxy Digital said in a research note on Tuesday. An ETF could be a better investment vehicle for investors compared to currently offered products, such as trusts and futures, which hold over $21 billion in value, the fund said. The inflows could ramp up by $27 billion by the second year and $39 billion by the third year, it added.

Bitcoin spot ETF products could enable investors to obtain bitcoin exposure through a highly regulated list of partners, mainly traditional funds and banks with a history of strong customer protection and investment offerings. And the demand is arguably outsized: A rumor last week sent bitcoin prices rocketing 10% within hours, while the discovery of the ticker BlackRock’s (BLK) proposed bitcoin ETF caused gains of 12% on Monday. Galaxy said current investment products come with significant drawbacks for investors – such as high fees, low liquidity, and tracking error, these products are inaccessible to a wide investor population representing a significant portion of wealth. A spot ETF, however, could be suited for any investor who wants direct exposure to bitcoin without having to own and manage the bitcoin through self-custody.

Source

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Bitcoin Magazine

21 Oct 2023 17:38

💰 Taproot Assets can help usher in the 'Bitcoin Renaissance,' says Lightning Labs co-founder

Lightning Labs CEO and co-founder Elizabeth Stark told The Block Taproot Assets can help usher in the “Bitcoin Renaissance,” making Lightning a multi-asset network and potentially “cementing Bitcoin's place as the internet of money.”. Taproot Assets v0.3 was released on mainnet alpha on Wednesday, paving the way for issuing stablecoins and other assets on Bitcoin. The release currently supports on-chain functionality, with Lightning support coming soon, according to Lightning Labs.

“Since the launch, we've been blown away by the level of developer activity with over 18,000 distinct assets minted on mainnet,” Stark said. “Mints can either create a single asset or a batch of assets of the same type — for instance, a mint could issue a certain asset with a supply of 21 million.”. In terms of the estimated timeline for Lightning support, “It's always a challenge to give exact timelines when it comes to protocol development, but the team says it's hard at work to get this out to the world as soon as possible,” Stark added. “We recently shipped v0.17 of our Lightning implementation LND with Taproot channel support, which was an important prerequisite for Taproot Assets on the Lightning Network.

Source

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Bitcoin Magazine

19 Oct 2023 08:17

💰 Galaxy Digital CEO Novogratz Says SEC Will Approve Bitcoin ETF In 2023

Mike Novogratz, the CEO of Galaxy Digital, anticipates that the U.S. Securities and Exchange Commission (SEC) will grant approval for a Bitcoin exchange-traded fund (ETF) this year, as per his recent remarks. In an interview with CNBC, Galaxy Digital CEO Novogratz expressed his confidence in the approval of a Bitcoin spot ETF in 2023, stating, “It’s gonna get approved.” He emphasized the significance of the SEC’s decision not to appeal the ruling in favor of Grayscale Investments LLC in August. This move was considered a pivotal moment in the ETF approval process.

He noted that the constructive dialogue between Bitcoin ETF issuers and the SEC signals a favorable outlook for a spot Bitcoin ETF. Galaxy Digital CEO Novogratz also mentioned that Galaxy Digital is collaborating with Invesco on an application for a Bitcoin ETF. The journey toward a Bitcoin ETF has seen promising developments, with BlackRock, the largest asset manager, and its CEO Larry Fink expressing their commitment to making it happen, following numerous inquiries from clients. Galaxy Digital CEO Novogratz believes that the American public’s demand for a Bitcoin ETF, coupled with the positive discussions between the SEC and ETF issuers, suggests that approval is a matter of “when, not if.”. The cryptocurrency community and investors eagerly await this landmark decision.

Source

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Bitcoin Magazine

16 Oct 2023 00:24

🇺🇸 SEC doesn't plan to appeal court ruling on Grayscale spot bitcoin ETF: Reuters

The Securities and Exchange Commission does not plan to appeal a high profile ruling involving Grayscale Investments' attempt to convert its flagship fund into a spot bitcoin ETF. The agency made the decision to not appeal ahead of a midnight deadline to do so, Reuters reported, citing a source familiar with the matter. SEC Chair Gary Gensler earlier in the day was mum about a potential appeal of the ruling, declining to comment on the matter when asked by journalists at a press conference.

A three-judge panel in the U.S. Court of Appeals for the D.C. Circuit ruled in August that the SEC has to re-review Grayscale's bid for a spot bitcoin ETF after the asset management firm sued the agency last year following its rejection of the plan for the conversion of its flagship GBTC fund. "It doesn't mean that that approval is coming quickly and it's still not a certainty given that the SEC could re-review and deny on different grounds and basically start this legal fight all over again," Jennifer Schulp, director of financial regulation studies at the libertarian think tank Cato Institute, said earlier in the day. Bitcoin rose 0.8% to $26,939 at 5:23 p.m. ET, according to CoinGecko.

Source

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Bitcoin Magazine

13 Oct 2023 08:04

💰 Bitcoin’s 300% Surge From Early 2019 in Focus as Fed Officials Favor Rate Pause

Since early 2022, the Fed has raised interest rates by 525 basis points to tame inflation. The so-called liquidity tightening cycle has been one of the major sources of pain for risk assets, including bitcoin. This week, the Fed policymakers have offered a dovish respite. On Tuesday, Atlanta Fed Bank President Raphael Bostic and Minneapolis Fed President Neel Kashkari said the central bank may not need to raise rates further. Dallas Fed President Lorie Logan and Fed Governor Christopher Waller argued that rising Treasury yields have done the Fed's job, preventing any urgent need for another rate hike, according to Reuters.

The Fed's previous rate cycle, which ran for three years, saw rates peak at 2.5% in December 2018, following which the central bank adopted a wait-and-watch mode for seven months. Bitcoin bottomed out in December 2018 and rose to $13,880 by the end of June 2019. Another interesting parallel is that the latest pause in the Fed tightening cycle comes several months ahead of the supposedly-bullish Bitcoin blockchain's mining reward halving, just as it did four years ago. "Reflecting back on 2019, the Fed concluded its rate-hiking cycle and entered a seven-month pause. During this period, Bitcoin experienced a dramatic price rally, surging by an impressive 325%," Markus Thielen, head of research and strategy, said in a note to clients last week. "In line with our outlook, it’s highly likely that the Fed concluded its rate-hiking cycle in July 2023."

Source

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Bitcoin Magazine

10 Oct 2023 12:01

💰 Bitcoin Is Better Than Digital Gold: Matrixport

The connection between gold and bitcoin (BTC) as stores of value is obvious, and the demand for BTC as a digital store of value was a big reason why the cryptocurrency grew in popularity, crypto services provider Matrixport said in a report Monday. This is why potential approval by the Securities and Exchange Commission (SEC) of a U.S.-listed spot bitcoin ETF could result in inflows of $20 - $30 billion, potentially triggering a large rally in the cryptocurrency, the report said.

The SEC has dragged its heels on approving a spot bitcoin ETF, and in August said it was delaying its decision on all new applications until October. The crypto market is hopeful that such an approval will trigger a flood of mainstream money into the sector. “Even today, storing assets in the form of gold has not only become unfashionable in the digital age, but comes with significant restrictions when crossing borders,” wrote Markus Thielen, head of research at Matrixport, adding that “bitcoin offers a solution to this dilemma, enabling the swift and relatively inconspicuous movement of value across borders.” “Therefore, considering the current state of technological developments, bitcoin’s primary roles are likely as a store of value akin to gold and a speculative financial asset,” the report added.

Source

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Bitcoin Magazine

09 Oct 2023 07:53

🪙 Bitcoin Can Become A Universal Currency, Says Joe Rogan

In the most recent episode of the Joe Rogan Experience podcast, Rogan says he is optimistic about Bitcoin and believes it has the potential to become a global medium of exchange. He believes that Bitcoin is the most intriguing cryptocurrency and has the best possibility of becoming widely adopted. While speaking to Sam Altman, the creator of OpenAI, Rogan states, “That’s the one that has the most likely possibility of becoming a universal viable currency.” According to Rogan, the fact that there is a cap of 21 million and people can mine it is what intrigues him the most.

He also mentioned Greek software entrepreneur Andreas Antonopoulos, who used Bitcoin daily. He remarked, “When he talks about it, he’s living it. Everything he pays for is in Bitcoin, he pays his rent in Bitcoin, everything he does in Bitcoin.” Over the last decade, BTC has been the most profitable asset. While speaking to Sam Altman, the creator of OpenAI, Rogan states, “That’s the one that has the most likely possibility of becoming a universal viable currency.” According to Rogan, the fact that there is a cap of 21 million and people can mine it is what intrigues him the most. Joe Rogan also made a deal where he spent $100,000 in Bitcoin a few years ago. He also called Bitcoin a ‘viable form of currency’ last year.

Source

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Bitcoin Magazine

07 Oct 2023 11:19

💰 Iris Energy Acquires 7,000 Bitmain S21 Miners To Increase Self-Mining Capacity

Iris Energy has partnered with Bitmain to acquire 7,000 latest-generation Bitmain S21 miners. Shipping is scheduled for early 2024, increasing the Company’s self-mining capacity from 5.6 EH/s to 7.0 EH/s. Iris Energy Limited is set to increase its self-mining capacity by a whopping 25%, up from 5.6 exahashes per second (EH/s) to 7.0 EH/s by acquiring 1.4 EH/s of the latest-generation Bitmain S21 miners, a strategic partnership with Bitmain Technologies Delaware Limited. This increased efficiency not only enhances fleet resilience post-halving but also improves the capital efficiency of data centers.

The total purchase price for this expansion is $19.6 million, with $16.7 million to be paid before shipment and the remaining $2.9 million deferred for one year post-shipment. Iris Energy plans to fund this acquisition through various sources, including existing capital reserves and operating cash flow. The Bitmain S21 miners are known for their industry-leading efficiency, operating at an impressive 17.5 joules per terahash (J/TH). This increased efficiency not only enhances fleet resilience post-halving but also improves the capital efficiency of data centers. Furthermore, Energy remains on track with its 80MW expansion at Childress, Texas, and is even eyeing a near-term expansion potential of up to 9.4 EH/s. The firm is clearly making strategic moves to establish a strong presence in the crypto-mining industry.

Source

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Bitcoin Magazine

05 Oct 2023 11:12

💰 Bitcoin Miners Brace for Increased Challenge as Network Difficulty Hits New High of 57.32 Trillion

On October 3, 2023, at block height 810,432, the Bitcoin network experienced its second consecutive difficulty increase since September 19. The challenge of uncovering block rewards escalated as the difficulty reached a new pinnacle, rising by 0.35% to 57.32 trillion on Tuesday. For the subsequent fortnight, Bitcoin miners confront a heightened level of difficulty following Tuesday’s 0.35% rise at block height 810,432. The metric climbed from 57.11 trillion to its present value of 57.32 trillion.

A difficulty rating of 57.32 trillion implies an elevated degree of effort needed to generate new blocks on the network. The difficulty undergoes adjustments every 2,016 blocks or approximately every two weeks. If a greater number of miners enter the network and contribute computing power, leading to the mining of 2,016 blocks in less than two weeks, the difficulty will rise. Conversely, should miners exit the network and the same number of blocks take longer than two weeks to mine, the difficulty will decrease. The most recent adjustment (+0.35%) was an increase, as was the change (+5.48%) that transpired on September 19. A difficulty level of 57.32 trillion creates a significant obstacle for miners seeking to discover blocks.

Source

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Bitcoin Magazine

02 Oct 2023 21:56

💰 Bitcoin shows bearish signs as ETF approvals get delayed

Bitcoin [BTC] ETFs have been a topic of discussion for quite some time now. Now, it has been revealed that BTC ETFs might get delayed further. This news put a dampener on BTC, which failed to breach the $27,000 mark. Notably, the king coin meandered around the $26,500 – $27,000 mark over the last week. As reported earlier, the United States Securities and Exchange Commission (SEC) has once again moved to delay its decision on spot Bitcoin ETFs. The latest decision came a day after SEC Chairman Gary Gensler was grilled at a US Congressional hearing.

This episode definitely had a negative impact on BTC’s performance, which was evident from the slight drop in its weighted sentiment over the last few days. However, Bitcoin’s social volume remained relatively high, reflecting its popularity in the crypto market. Not only on the social front, but the episode had also affected buying sentiment, as CryptoQuant’s data revealed that BTC’s aSORP was in the red at press time. This meant that more investors were selling their holdings, which could indicate a market top. Its taker buy/sell ratio was also in the red, meaning that selling sentiment was dominant in the market. However, the exchange reserve looked optimistic as the metric registered a drop. At the time of writing, it is trading at $26,952.5 with a market capitalization of over $525 billion.

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Bitcoin Magazine

29 Sep 2023 08:06

💰 Gary Gensler Bitcoin Stance Remains Stable: It’s Not A Security

Securities and Exchange Commission (SEC) Chair Gary Gensler reiterated Bitcoin’s status as a commodity rather than a security during a recent testimony before the House Financial Services Committee. This distinction holds significant implications for the regulation of cryptocurrencies and digital assets in the United States. Gensler’s statement affirmed the SEC’s long-standing stance that most cryptocurrencies and digital assets should be categorized as securities under U.S. law.

Gensler Bitcoin stance hasn’t come without controversy, as the Republican Committee on Financial Services in the U.S. House of Representatives accused him of disregarding Congress during his term. They argue that Gensler has not adequately considered rulemaking or responded to lawmakers’ oversight requests, vowing to hold the SEC accountable for its responsibilities. Notably, during the hearing, an individual seated behind Gensler displayed a “Stand With Crypto” NFT on a mobile device. This emblem symbolizes unity within the crypto community, advocating for sensible cryptocurrency policies. The SEC defines securities broadly, encompassing any investment contract involving money invested in a common enterprise with the expectation of profits solely from others’ efforts.

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Bitcoin Magazine

27 Sep 2023 08:01

💰 Bitcoin miners seen exploring ways to diversify revenue streams

Bitcoin miners are exploring ways to diversify their business models as they anticipate digital asset volatility ahead of next year's halving, according to an analyst. Compass Mining analyst Anthony Power noted that multiple headwinds are causing some miners to explore the option of repurposing part of their operations to run data centers. The pivot is a strategic move aimed at tapping into the expanding market driven by the increasing demand for GPU processing power.

"Bitcoin mining operators, like Hut8, Hive Digital and Iris Energy are diversifying their revenue by purchasing GPUs or repurposing redundant GPUs that were used for mining ether when it was proof of work," he added, stating that bitcoin mining operations have all the fundamental infrastructure to run efficient data centers such as cooling systems, security and access to cheap energy. Average electricity costs needed to mine a single bitcoin, meanwhile, is rising in certain regions, squeezing margins even more. Miners are also looking ahead to the bitcoin halving, estimated to occur in April next year, which will slash block rewards from 6.25 bitcoin per block, to 3.125 bitcoin per block.

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Bitcoin Magazine

24 Sep 2023 20:38

💰 Bitcoin volatility may rise as options worth $3 billion expire at end of month

Crypto price volatility is expected in the coming week, with about $3 billion of bitcoin options and $1.8 billion in ether options set to expire on Sept. 29. The date is especially notable, as it's the end of both the month, and the quarter. Deribit Chief Commercial Officer Luuk Strijers highlighted similarities between the cryptocurrency market and traditional finance as they approach options expiry dates, particularly quarterly expiries, which he noted "can result in massive trading volumes and volatility."

While the Bitcoin Volatility Index, which tracks the view on volatility over the next 30 days held by bitcoin option traders, is hovering near all-time lows, it has ticked up over the past month, according to The Block's Data Dashboard. "Market maker movements can lead to amplified market volatility, particularly during the time leading up to the expiry of the options," Strijers told The Block, adding that "market makers adjust their hedges to align with changes in the price of the underlying asset." Bitcoin's price was mostly flat on Friday, rising 0.1% to $26,544, according to CoinGecko. The world's largest cryptocurrency by market cap has been flat over the past month, declining 0.4%.

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Bitcoin Magazine

21 Sep 2023 07:52

💰 Bitcoin logs over 700K transactions in single day after almost 2 years: Data

Bitcoin has witnessed an extraordinary surge in transaction volume in the past week, logging over 700,000 transactions in a single day, a new data has shown. According to the data presented by the analytics firm IntoTheBlock, the number of reported Bitcoin transactions increased to nearly 703,000, representing not only the highest number recorded in 2023, but also the highest transaction volume seen in nearly two years. "Historic Milestone: Bitcoin processed a record-breaking 703K transactions on Friday," the firm posted on X.

According to the data from Bitinforcharts, the number of daily active addresses reached a multi-month high on September 15, rising from 754,000 two years ago to a whopping 1.08 million. In April, Bitcoin trading volume sank by almost $700 billion, historically seen as one of the strongest months for Bitcoin and other cryptocurrencies, bringing the biggest average monthly returns. Although Bitcoin topped over $30,400 on April 18, reaching the highest level since early June, its monthly gain was only 3 per cent, way down from 21 per cent in March and much less than gains usually seen in the fourth month of the year, according to data by BitcoinCasinos.com.

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Bitcoin Magazine

18 Sep 2023 22:31

💰 Dormant 2012 ‘Sleeping Bitcoin’ Addresses Spring to Life, Moving $8.6M in Vintage Coins

Bitcoin News recently highlighted the staggering $958 million in dormant bitcoin transactions in 2023. Shortly after, around 325.19 bitcoins from January 2012 addresses were mobilized. The initial two transfers (1 & 2) originated from wallets set up over 11 years ago on January 11, 2012. The first address shifted 145.53 BTC, while the subsequent one dispatched 21.97 BTC. Both of these transactions secured confirmation at block height 807,852 and were discovered by btcparser.com.

In quick succession, the address labeled “1HNnG” executed a transfer of 157.69 BTC, receiving confirmation at block height 807,853. Intriguingly, all three transactions, as per Blockchair’s privacy gauge, lacked advanced privacy measures, rendering them susceptible to transaction scrutiny. Overlapping addresses were pinpointed in these three shifts, indicating repeated address usage. Diving deeper into clustering heuristics and onchain insights, it’s evident that these three transactions likely stemmed from a singular owner. This revelation implies that in 2023 alone, 43 dormant bitcoin addresses from 2012 have been reactivated, moving their vintage coins.

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