Markets

Money to Be Made: A Mid-Year Crypto Market Update | 06/07/2024 | Investment News

Published

8 months ago

7 June, 2024

Money to be made: A mid-year crypto market update

Although crypto’s total market capitalization surpassed $3.63 trillion earlier this year — the U.S. stock market, for comparison, stands at just over $50 trillion — it can be difficult to understand how it managed to achieve such a small but a significant allocation in more than half a billion investment portfolios and telling.

We can divide the momentum behind crypto enthusiasm into two factions:

Speculators, who invest in crypto projects due to their exponential returns, as highlighted by Bitcoin’s over 22,000 percent return since 2015, hope to benefit from a similar boost.
Active investors, who perform due diligence on crypto projects and the many uses of blockchain technology – including decentralized finance and software development – and make informed predictions about the best investments in terms of undervaluation and future performance.

These warring factions, one driven by price and the other by value, have increased the value of the global crypto market by 58.5% year-to-date, up from $2.29 trillion on January 1, thanks to several catalysts. and despite ongoing setbacks it reveals actionable insights that any crypto investor should know.

The Triumph of Bitcoin ETFs in Spot

Since the US Security and Exchange Commission (SEC) approved spot Bitcoin ETFs for trading in January, 11 issuers accumulated combined Bitcoin holdings in excess of $61 billion, marked by consistent inflows, with Black stone, Shades of gray It is Fidelity leader in assets under management.

This influx increased the hundreds of millions across the world who held Bitcoin directly or through exchanges prior to the launch of ETFs, reinforcing the cryptocurrency’s C$1.9 trillion market cap and its value proposition as a decentralized currency and investment vehicle.

Bitcoin has added 67.67% year-to-date and more than 720% since 2019. It trades at C$98,092.05 per coin at the time of this writing, but with numerous updates to the platform on the horizon, including yield and smart contracts, broad upward pressure on prices appears ripe for exploitation.

Actionable insight: Examine these main Bitcoin-related stocks to maximize your operating leverage for cryptocurrency performance.

The Tangible Appeal of Ethereum ETFs in Spot

Eighth place Ethereum ETF are awaiting final trading approval from the SEC – including Fidelity, BlackRock, Grayscale, Bitwise, VanEck, ARK 21Shares, Invesco Galaxy and Franklin – following the organization’s surprise approval of applications from Nasdaq, NYSE and CBOE to offer trading in products based on Ethereum in May.

As the second-largest cryptocurrency after Bitcoin, with a market capitalization of over C$627 billion, Ethereum represents a significant opportunity to unlock value in the US market, where investors can currently purchase the asset only on exchanges. dedicated encryption, which have a spotty security and fiduciary record at best.

Ethereum is a decentralized blockchain network that operates through smart contracts, which are agreements that are self-executing when certain pre-determined requirements are met. This contract functionality, along with an internal token issuance system called ERC-20has enabled Ethereum to flourish into one of today’s most important digital economies, hosting thousands of applications in finance, gaming, digital real estate, cloud computing, NFTs and more.

After reaching a registry for active users in the first quarter of 2024 and surpassing the main crypto generators of network feesEthereum is keeping an eye on growing network activity and fee income through a new modular architecture adopted in March 2024, supported by an abundance of use cases beyond facilitating Bitcoin payments, creating investors with tangible prospects for extraordinary returns.

The Ethereum network’s native cryptocurrency, ETH, last traded at C$5,278.69 per coin. The asset has added 116.80 percent year-over-year, 1,357.47 percent over the past five years and 33,514.72 percent since 2016.

Actionable insight: You can now buy Ethereum through Canadian ETFs such as ETHX, ETH It is FETHgranting you a potentially more attractive entry point compared to US investors.

Continued regulatory pressure

The SEC’s multibillion-dollar fraud case against Binancethe world’s largest crypto exchange, continues to develop, as do its conflictual relationships with Robinhood (NDAQ: HOOD) and leading scholarship Coinbase (NDAQ:COIN)with the latter recently accusing him of plotting to destroy the crypto industry.

These high-profile cases, plus the successful conviction and sentencing of Sam Bankman-Fried, the former CEO of fallen cryptocurrency exchange FTXovershadows a number of smaller ones – such as a doozy in Salt Lake City from earlier this week – which typify the government agency’s relentless attitude towards this emerging asset class, posing an unignorable threat to crypto’s long-term viability.

Earlier this month, in an interview with CNBC, SEC Chairman Gary Gensler described cryptography as “an outsized piece of the scams, fraud and problems in our markets,” where “much of the field is not in compliance with the protections of our securities laws.”

Meanwhile in CanadaCrypto companies have benefited from specific legislative interpretations, which have helped them stay on the right side of the law and allowed the overall industry to prosper, with 10 percent of Canadians owning crypto by 2023, according to the Ontario Securities Commissionabove 3.2 percent in 2016.

Actionable insight: As crypto regulations are likely headed for a tumultuous near-term future in the United States, which accounts for about half of global stock market capitalization, it is important to remember that cryptocurrencies are immune to government intervention by the very nature of cryptocurrencies. blockchain technology. Investors should then try to capitalize on this discrepancy, building your own conviction in the asset class regardless of regulatory concerns, allowing them to buy into sentiment-induced dips and increase the potential for long-term returns.

Crypto’s Enduring Use Case

Regardless of short-term headwinds, cryptocurrencies’ market capitalization is a testament to the long-term appeal of their core use case, which allows people to use their money and do business with each other while cutting out middlemen. that charge fees. This financial and business freedom has led to:

The first country, El Salvador, to adopt Bitcoin as its national currency. The president behind the country’s adoption was elected to a second term in February.
Far away delayed efficiencies in countless industries plagued by archaic operational processes, from real estate to healthcare to cybersecurity.
Hundreds of blockchain-based business creating value for stakeholders through innovation.

As more intermediaries exit the scene, or adapt and adopt blockchain technology, it is no exaggeration to say that the crypto industry has outlived its Wild West reputation, although how exactly it will operate within a decade is anyone’s guess.

Join the discussion: Find out what everyone is saying about crypto stocks on Cryptocurrency Bulletin Boardand check out the rest Stockhouse Stock Forums and Message Boards.

The material provided in this article is for informational purposes only and should not be treated as investment advice. For complete disclaimer information, click here.

(Top image, AI-generated: Adobe Stock)

Source

Markets

Crypto Markets Rebound as Spot Bitcoin ETFs Attract Massive Inflows

Published

6 months ago

17 July, 2024

FinCrypt Staff

Crypto Markets Rebound Ahead of Early Ethereum ETF Approval

This week saw $722 million worth of Bitcoin spot ETF inflows, including the largest daily inflow in a month.

Cryptocurrency markets rallied on Wednesday, driven by inflows into spot Bitcoin exchange-traded funds (ETFs).

The price of Bitcoin (BTC) is up 3% over the past 24 hours to last change hands at $65,200, according to CoinGecko. Ethereum (ETH) is up 2% and is trading at $3,471. Solana (SUN) and Polkadot (POINT) increased by 4%.

Bitcoin spot ETFs saw $422 million in daily inflows on Tuesday, the highest in the past 30 days, according to Far side data, . The all-time record for a single day was $1.05 billion on March 12.

Among Tuesday’s top contributors, BlackRock’s IBIT led with $260 million in inflows, followed by Fidelity’s FBTC with $61 million. This week has already seen more than $722 million in inflows.

Among the top 100 cryptocurrencies by market cap, Worldcoin (WLD) led with a 28% increase, followed by Helium (HNT) with 20% and Lido DAO (LDO) with 15%.

Worldcoin, a decentralized identity project led by OpenAI CEO Sam Altman, announced is extending the lockups for early investors and team members. This means that tokens will be gradually released through 2029, instead of the original 2027 plan. Token unlocks are generally seen as a negative because they increase supply and early investors can sell their tokens for profit.

Meanwhile, XRP, the token of the XRP Ledger network, jumped 8% after the CME and CF benchmarks introduced new indices and reference rates for XRP.

U.S. stocks faced a downturn on Wednesday. The S&P 500 fell 1%, while the Nasdaq Composite and Dow Jones Industrial Average both fell 2%.

Source

Markets

Altcoins on the cusp of a major breakout – WLD, AR, and INJ prices could surge by 20% in the coming days

Published

6 months ago

17 July, 2024

FinCrypt Staff

Altcoins on the cusp of a major breakout – WLD, AR, and INJ prices could surge by 20% in the coming days

Crypto markets appear to have been taken over by the bulls as major tokens have surged above their crucial resistance zone. Bitcoin surged above $65,000 while Ethereum was above $3,500, and XRP, which had remained passive for quite some time, surged over 40% in the past few days to hit $0.6. The uptrend has been captured in most altcoins, with Worldcoin (WLD), Arweave (AR), and Injective (INJ) leading the rally. Here’s what to expect for these tokens in the coming days.

Worldcoin (WLD) Price Analysis

O Worldcoin Price has been trading inside a descending wedge since it marked a new ATH near $12 in the final days of Q1 2024. The recent price action helped the price break out of the upper resistance of the wedge, breaking above the crucial resistance zone between $2.21 and $2.39. Market sentiments have changed, but technicals suggest that the bulls may remain passive for a while, which could offer some room for a bearish pullback.

The price broke out of the wedge with a significant increase in volume, but the current volume suggests that the bulls have taken a step back. Meanwhile, the RSI is about to reach the upper boundary, which could attract bearish forces. Additionally, the DMI has undergone a bullish crossover, but the decline in the ADX suggests that the rally may remain consolidated above the gains. Therefore, the WLD price is expected to maintain a horizontal consolidation between $3 and $3.3 and trigger a fresh rally to $4.4 during the next bullish rally.

Arweave (AR) Price Analysis

Arweave formed a strong base around $25, which helped the rally trigger a recovery during the bearish attack. Mt. Gox and German terror forced the price to fall below $20. However, the recent price action has brought the altcoin within the bullish range and raised expectations of maintaining a decent uptrend for a few more days.

AR price has hit one of the major resistances around $30 to $31.5, which could act as a strong base once overcome. The buying volume is slowly increasing, which could keep the bullish hopes for the rally high. Moreover, the supertrend has just flashed a buy signal, indicating a clean reversal of the trend. Therefore, AR price seems primed to maintain a healthy uptrend and rally above $40. However, if the bulls maintain a similar trend, making new highs above $50 may not be a tedious task for the bulls.

Price Analysis of Injective (INJ)

Injective price has been showing sharp strength since the beginning of the year and hence, the recent turnaround is expected to revive a good uptrend going forward. The bears engulfed the rally to a large extent, but the recent price action suggests that the bulls have regained their dominance. Therefore, INJ price is expected to maintain a strong uptrend with a bearish interference on the way down.

INJ price has surged above the lower support zone and has registered consecutive bullish candles. Although the volume is below the required levels, the OBV is maintaining a sharp uptrend. Furthermore, the Ichimoku cloud lead span B is heading towards the lead span A and a healthy crossover indicates the start of a new uptrend. However, INJ price may be out of the bears’ reach once it secures the resistance zone between $30.77 and $32.12, which seems to be on the horizon.

Source

Markets

Ethereum at $3.5K, Exchange Supply Hits 34-Month High

Published

6 months ago

17 July, 2024

FinCrypt Staff

Ethereum at $3.5K, Exchange Supply Hits 34-Month High

Ethereum (ETH) supply on exchanges has hit a 34-month high as the asset’s price surpassed the $3,500 mark.

ETH has risen 2.3% over the past 24 hours and is trading at $3,490 at the time of writing. The second-largest cryptocurrency — with a market cap of $419 billion — briefly touched an intraday high of $3,517 earlier today.

ETH Price, Whale Activity, RSI, and Exchange Supply – July 17 | Source: Santiment

Ethereum’s daily trading volume also increased by 7.6% to reach $19.8 billion.

According to data provided by Santiment, the supply of Ethereum on exchanges has reached $19.52 million ETH. This level was last seen in September 2021, when the asset was trading around the same price.

On the other hand, data from the market intelligence platform shows that the number of whale transactions has fallen by 12% in the last day — falling from 8,730 to 7,629 unique transactions per day.

The move shows that the supply of Ethereum on exchanges has been increasing with small deposits rather than large transactions from whales.

Additionally, the ETH Relative Strength Index (RSI) is currently hovering at the 60-mark, per Santiment. The indicator shows that Ethereum is slightly overbought at this price point, but it may not be in a critical position due to its large market cap.

One of the main drivers of Ethereum price increase is ETH spot expectations ETFs in the US Investment products are scheduled to start trading on July 23rd.

Source

Markets

Bits + Beeps: How to Play the ‘Trump Trade’ in Cryptocurrencies After the Assassination Attempt

Published

6 months ago

17 July, 2024

FinCrypt Staff

Bits + Bips: How to Play the ‘Trump Trade’ in Crypto After the Assassination Attempt

Also, how much will the Fed cut rates (and when)? What will be the inflows into ETH ETFs? And what is the near future for Bitcoin?

Posted on July 17, 2024 at 12:00 PM EST.

Listen to the episode at Apple Podcasts, Spotify, Capsules, Source, Podcast Addict, Pocket molds, Amazon Musicor on your favorite podcast platform.

In this episode of Bits + Bips, hosts James Seyffart, Alex Kruger and Joe McCann, joined by guest Jack Platts, dive into the market reaction to the recent assassination attempt on former President Donald Trump, analyzing how this event will influence the 2024 US presidential election and the cryptocurrency markets.

They also cover potential rate cuts: Could there be a cut in July? How big could the September rate cut be? Could the decision be influenced by the upcoming election?

They also give their predictions on what percentage of BTC ETF inflows the ETH ETFs will reach, and James talks about what he expects for Grayscale’s ETHE (hint: his outlook would be positive for ETH).

Finally, they delve into what’s next for Bitcoin as the German government runs out of BTC and Mt. Gox distributions begin. Just now?

Program Highlights:

Whether Trump’s shooting decided the election and whether the event caused a “flight to safety”
How election markets are becoming a place to watch election probabilities and whether cryptocurrencies “lean right”
Whether rate cuts will occur in July or September and by how much they will cut: 25 bps or 50 bps
How Joe sees the relationship between global liquidity cycles, rate cuts, and the potential rise of Bitcoin
What are the new updates about Ethereum ETFs and their expected launch?
Why Solana Hasn’t Performed Significantly Better Since Trump News
What Market Breadth Indicates About the Current Market Rally and the Impact of Rates on Small Caps
Everyone’s predictions on ETH ETF inflows and how much outflow we’ll see on Grayscale’s ETHE
What’s Next for BTC After German Government Exits Bitcoin and Mt. Gox Giveaways Starting This Week