Aurelia Butler

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    in Cryptocurrency

    Bitcoin price: Is this the last dip buying opportunity?

    At the time of writing, Bitcoin price is trading at $64,354, marking a 4.6% decrease over the past 24 hours. Despite this short-term volatility, Bitcoin has shot higher by more than 50% year-to-date.Analysts attribute Bitcoin’s dip from its all-time high above $73,000 to around $63,000 as a fleeting opportunity for investors to acquire the cryptocurrency at a more favorable price.The Bitcoin network is set for its next halving event, expected to occur every 210,000 blocks, or roughly every four years. Historically, traders closely watch the event due to its direct influence on Bitcoin (BTC) and its market dynamics. This event will reduce the mining reward from 6.25 BTC to 3.125 BTC per block, although miners will continue to receive transaction fees for their efforts. Initially, miners received 50 Bitcoin as a reward for each block added to the blockchain at Bitcoin’s inception. However, during the first halving, this reward was reduced to 25 Bitcoin, with subsequent halvings in 2016 and 2020 further decreasing the reward to 12.5 and 6.25 BTC, respectively. This reduction in supply directly impacts Bitcoin’s market supply and, consequently, its price dynamics within the broader cryptocurrency market.According to analysts at Bernstein, Bitcoin’s recent $10,000 retreat from all-time highs of over $73,000 to around $63,000 presents a buying opportunity.“We believe the current phase of Bitcoin consolidation is temporary and offers a dip buying opportunity prior to Bitcoin halving,” Bernstein analysts said.In a note to clients, Bernstein described the current phase of consolidation in Bitcoin as temporary, which offers a chance for traders to reposition their risk before the halving event. The analysts maintain a bullish outlook on Bitcoin and the entire crypto ecosystem, viewing the next 18 months as an opportunity for growth.Bernstein previously argued that public miner stocks are the best equity proxy to Bitcoin’s price trajectory, especially as it heads towards their 2024-2025 cycle target. They also predicted a threefold surge in the overall crypto market cap to $7.5 trillion by the end of 2025.The influence of U.S. spot Bitcoin ETFs, such as Grayscale’s GBTC, remains a pivotal factor in the market dynamics. GBTC experienced record daily outflows of $642.5 million, culminating in a net outflow of $154.4 million for the first time since March 1.Despite the current price adjustments, analysts maintain a positive long-term outlook for Bitcoin, predicting a cycle high of $150,000 by 2025. This optimistic projection reflects the belief that the recent price corrections are a natural part of the market’s ebb and flow, offering strategic buying opportunities for those looking towards the future.Overall, Bitcoin is in a phase of retracement, shedding some of its recent gains. This situation is perceived by some investors as a chance to build or expand their Bitcoin bets. More

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    in Economy

    McDonald’s CEO Kempczinski to assume role of board chairman

    The retirement of Hernandez, who has been on McDonald’s (NYSE:MCD) board for 28 years and was elected as the non-executive chairman in 2016, is effective as of the date of the company’s 2024 annual shareholders’ meeting.McDonald’s did not disclose the date of the meeting, but the company usually holds it in May every year.Hernandez has served alongside eight CEOs at McDonald’s. During his tenure, the company said it has more than doubled its restaurant count, including expanding into over 100 markets.It also nominated Mike Hsu, chairman and CEO of Kimberly-Clark (NYSE:KMB), as an independent director on the board.Shares of McDonald’s were up nearly 2%. The stock had gained 12.5% in 2023.The announcements come at a time when McDonald’s is planning to open about 10,000 restaurants globally by 2027, in what could be the company’s fastest period of growth in its history. It also looks to double sales from its loyalty program to $45 billion and increase the user base to 250 million customers by 2027.McDonald’s, however, reported its first quarterly sales miss in nearly four years in February, due to weak sales growth at its international business division, partly due to the conflict in the Middle East.The fast-food chain is also witnessing signs of a slowdown in its U.S. business, mainly as low-income consumers reduce order sizes or trade down to cheaper alternatives. More

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    in Cryptocurrency

    Analysts ‘not surprised’ to see a Bitcoin price correction ahead of halving

    With Bitcoin firmly establishing itself as a crucial institutional asset, the emergence of new Bitcoin Exchange Traded Funds (ETFs) marked a significant milestone. “Bitcoin is now an important institutional asset unlike ever before,” analysts at Decimal Digital Currency said in a note. These ETFs are not only witnessing substantial weekly net inflows, but they also collectively hold a staggering amount of Bitcoin, surpassing the 1 million mark when considering entities like MicroStrategy.This accumulation trend is already exerting its influence on Bitcoin’s price trajectory, with the impending halving set to reduce monthly new BTC supply by approximately $800 million at current prices. Decimal Digital Currency analysts foresee this dynamic fueling further ascent towards new all-time highs throughout 2024. Still cryptocurrency investors often find themselves vulnerable to significant losses when market sentiment undergoes a reversal.“We are not surprised to see this correction ahead of the halving, liquidating the more extreme bullish bets before an upward continuation, and would definitely call something like this a ‘buy the dip’ opportunity,” they said. Analysts anticipate a period of extreme bullish activity, punctuated by occasional dramatic sell-offs, as market participants navigate their pre- and post-bitcoin halving strategies. While investors rush to accumulate Bitcoin, analysts warn that “price action takes time to follow local supply and demand.”“We may see exuberant bullish action, dramatic sell offs, or both, before and after the halving as market participants roll into and out of their halving bets,” analysts at Decimal Digital Currency further noted. More

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    in Cryptocurrency

    Bernstein says Ethereum and Solana are next as Bitcoin dominates financial markets

    In a recent research report, Bernstein said that Ethereum’s native cryptocurrency, Ether (ETH), stands a big chance of receiving spot ETF approval, becoming the second digital asset to achieve this milestone after Bitcoin.According to Bernstein, the probability of Ether spot ETF approval by May is about 50%, with a near-certain chance within the next 12 months. This optimistic forecast is buoyed by interest from financial heavyweights like Franklin Templeton, BlackRock (NYSE:BLK), and Fidelity, which have already seen Bitcoin ETFs approved and are now applying for Ether counterparts.Furthermore, Bernstein’s report suggests that other leading blockchain ecosystems like Solana, BNB Chain, Avalanche, Aptos, and SUI could collectively fetch a $1.4 trillion valuation. Solana, in particular, is expected to lead in developing consumer-driven applications such as stablecoin payments and gaming.”We expect Solana to lead the charge of fast throughput blockchains, which offer a more optimum design and user experience for more consumer driven applications i.e stablecoin payments and consumer gaming,” the report reads.Bernstein analysts also highlighted Ethereum’s appeal to mainstream institutional adoption, citing its staking yield dynamics, environmentally friendly design, and the network’s capacity to develop new financial markets. The report suggests that the growth of Ether yield markets could lead to fresh ETF designs that incorporate staking yields.The report further underlines Ethereum’s utility beyond merely serving as an asset for ETFs. Institutions are keen on using the Ethereum network to create more transparent and open tokenized financial markets, indicating the broad use cases the coin offers beyond asset gathering.Ethereum’s newest Dencun upgrade was highlighted for its success in reducing transaction costs by 50%-90. Bernstein projects the Ethereum ecosystem to reach a valuation of $1.8 trillion, including the Ethereum network, staking infrastructure, layer 2 chains, and Ethereum-based DeFi apps.According to analysts at Bernstein, Bitcoin’s recent $10,000 retreat from all-time highs of over $73,000 to around $63,000 presents a dip buying opportunity ahead of the upcoming halving in April.In a note to clients, Bernstein described the current phase of consolidation in Bitcoin as temporary, which offers a chance for traders to reposition their risk before the halving event. The analysts maintain a bullish outlook on Bitcoin and the entire crypto ecosystem, viewing the next 18 months as an opportunity for growth.Bernstein previously argued that public miner stocks are the best equity proxy to Bitcoin’s price trajectory, especially as it heads towards their 2024-2025 cycle target. They also predicted a threefold surge in the overall crypto market cap to $7.5 trillion by the end of 2025. More

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    in Cryptocurrency

    MicroStrategy strengthens Bitcoin position with $623M purchase

    On Monday the company completed its previously announced offering of 0.875% convertible senior notes due 2031, raising an aggregate principal amount of $603.75 million. This offering, which included an additional $78.75 million from an option exercised by initial purchasers, was completed through a private offering to qualified institutional buyers under Rule 144A of the Securities Act.The net proceeds from this offering, totaling approximately $592.3 million, were swiftly deployed by MicroStrategy for its ongoing Bitcoin acquisition strategy. With a keen eye on bolstering its already impressive Bitcoin reserves, MicroStrategy wasted no time in using these funds to purchase additional Bitcoin.MicroStrategy’s relentless pursuit of Bitcoin accumulation has seen them acquire an additional 9,245 BTC, worth a staggering $623 million. This latest acquisition further solidifies MicroStrategy’s position as one of the largest corporate holders of Bitcoin in the world with a total holding of 214,246 BTC.Former CEO Michael Saylor, a vocal advocate for Bitcoin, took to X (formerly Twitter) to announce the acquisition of these newly minted digital assets. Saylor highlighted that the purchase was made using proceeds from the convertible notes offering, along with excess cash on hand. The average price per Bitcoin for this acquisition was $67,382, bringing the total value of MicroStrategy’s Bitcoin holdings to over $7.5 billion.MicroStrategy’s aggressive Bitcoin acquisition strategy is part of its broader vision to position itself at the forefront of the digital asset revolution. The company views Bitcoin not only as a treasury reserve asset but also as a strategic investment for long-term value creation. By leveraging its operating structure, financial resources, and technology innovation capabilities, MicroStrategy continues to cement its status as a pioneer in the convergence of traditional finance and the burgeoning cryptocurrency market. Bitcoin is currently trading at $63,646.As Bitcoin continues to capture mainstream attention and adoption, MicroStrategy’s unwavering commitment to the digital currency underscores its confidence in the future of decentralized finance. With each strategic acquisition, MicroStrategy reinforces its position as a dominant player in the evolving landscape of digital assets, setting the stage for continued growth and innovation in the years to come. More

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    MANTRA Completes $11M Round Led by Shorooq Partners to Accelerate RWA Tokenization

    MANTRA ($OM), the Layer 1 blockchain for Real World Assets (RWA), has announced the completion of a new funding round. Top venture and technology investor in the MENA region, Shorooq Partners, led the $11M investment round. Additionally, a diverse range of strategic investors such as Three Point Capital, Forte Securities, Virtuzone, Hex Trust, GameFi Ventures, Caladan, Token Bay Capital, BlackPine, Mapleblock, Fuse Capital, 280 Capital and others, joined the funding.The fresh capital injection will enhance MANTRA’s goal of enabling RWA tokenization that can operate at scale. Funds will be used to achieve three critical objectives: building regulatory-compliant infrastructure that adheres to global standards, empowering developers with the tools needed to create RWA-focused protocols on MANTRA Chain, and expanding the tokenization of real-world assets while spotlighting market opportunities between the Middle East and North Africa (MENA) as well as Asia.MANTRA ($OM) aims to make investing more accessible in the Middle East and Asia by boosting market liquidity and fostering growth. This will stimulate economic activity and development in these regions, which have previously faced barriers to entering financial markets. Simplifying the process of buying and selling assets will create new investment avenues, promote entrepreneurship, and attract global investors. This aligns with the goals of both regions to lead in financial innovation, driving economic growth and prosperity in the region.MANTRA ($OM) is on a mission to accelerate the adoption of tokenized RWAs by enabling billions of dollars in institutional capital to move onchain. MANTRA Chain provides a compliant framework for the creation and trading of RWAs, empowering TradFi companies to tap into the many benefits afforded by blockchain technology. By offering a tangible, secure, and stable application of blockchain technology, MANTRA is well-positioned to capitalize on the growing interest in digital assets and blockchain solutions.The $11M funding round coincides with the release of Hongbai, MANTRA Chain’s incentivized testnet. Its name a portmanteau of Hong Kong and Dubai, Hongbai signals MANTRA’s intent to focus its onboarding efforts in these two financial hotspots. The launch of the MANTRA Chain testnet will aspire to build bridges, both literal and metaphorical, between the Middle East and Asia. In doing so, it will set a new benchmark for RWA tokenization and encourage cross-border economic collaboration. This will facilitate the exchange of ideas, resources, and investment opportunities, enhancing the economic landscape of both regions.Learn more: https://www.mantrachain.io/####About MANTRA MANTRA is the first RWA L1 blockchain capable of adherence and enforcement of real world regulatory requirements. By accelerating the adoption of tokenized RWAs, MANTRA has the potential to unlock the $16 trillion RWA economy with a regulatory-ready blockchain. Through MANTRA Chain’s compliant framework, TradFi companies can easily switch to and leverage asset tokenization and blockchain solutions, boosting global RWA growth.MANTRA addresses key industry challenges, including liquidity fragmentation and cross-chain interoperability, setting the foundation for a secure, scalable infrastructure. MANTRA will also offer a DEX that provides users with a diversified product suite built around easy access to tokenized real world assets. About Shorooq Partners Founded in 2017, Shorooq Partners is the leading tech investor across MENA and Asia. The firm has backed market-leading disruptors, including Pure Harvest Smart Farms, Nymcard, Tamara, Sarwa, Lean Technologies, TruKKer, Mozn and Lendo.Shorooq Partners has invested in 60+ companies alongside global top-tier funds supporting the creation of regional powerhouses. Shorooq Partners is headquartered in Abu Dhabi, UAE and has offices across the UAE, KSA, Egypt, and Korea.Shorooq Partners refers to a group of companies that are affiliates of each other and which operate under this business name, of which Shorooq Partners Ltd (regulated by the ADGM Financial Services Regulatory Authority FSRA Registration No 190004) is a member. ContactMarketing LeadChristoph [email protected] article was originally published on Chainwire More

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    in Economy

    Top US congressional Republican, Democrat say deal reached on spending

    The last sticking point was funding for the Department of Homeland Security, as a surge in migrants at the U.S.-Mexico border has become a major issue in the election rematch between Democratic President Joe Biden and his Republican predecessor Donald Trump.Republican House Speaker Mike Johnson and Democratic Senate Majority Leader Chuck Schumer revealed the agreement in a pair of statements on Tuesday morning.The actual legislative text of the agreement, which must be finalized before lawmakers can vote on it, is still being completed. Current House rules require that lawmakers have three days to consider legislation before bringing it to the floor.The package was expected to cover about three-quarters of discretionary government spending, due to come in at about $1.66 trillion for the fiscal year ending Sept. 30. It contains funding for functions including the U.S. military, transportation, housing and food safety.But more fights lie ahead as the nation’s $34.5 trillion national debt continues to grow. Biden and House Republicans earlier this month laid out proposed budgets for the next fiscal year, which begins in October, that offered sharply contrasting priorities.Johnson so far has also refused to bring up for a vote a $95 billion foreign security aid package that includes money that advocates say is urgently needed for Ukraine in its war against Russia. The measure has been approved by the Senate with bipartisan support and is thought to have significant backing in the House if members were given a chance to vote. Democrats and Republicans in Congress have been fighting since early last year on funding levels amid a push by hardline House Republicans to cut more spending than had been agreed to in a bipartisan deal enacted into law last June. More

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    in Economy

    Analysis-Negative rates era unlikely to be revisited soon

    (Reuters) – Eighteen months after Europe ended its decade-long experiment with negative interest rates, the Bank of Japan has done the same with its first rate hike in 17 years. It marks the end of an era few expect to see again.Brought in after the late 2000s global recession and debt crisis, negative rates turned money orthodoxy on its head by charging banks to park deposits with their central bank rather than paying them interest for doing so.The aim was to encourage enough bank lending to kick-start growth in moribund post-crisis economies and ward off the threat of deflation. Most policymakers now conclude they didn’t work as well as planned and that, in any case, things have moved on. “The days of ultra-low rates are over,” Agustin Carstens, general manager of the Basel-based Bank for International Settlements, said this week in a wide-ranging policy speech.”Inflation will partly depend on factors that are not under central banks’ control,” he said, citing rising trade tensions, ageing populations and climate change among global factors that could keep prices – and thus borrowing costs – higher.In the early 2010s, the world’s big three central banks – the BOJ, European Central Bank and U.S. Federal Reserve – all cut rates to rock-bottom. The Fed went no further, partly because its policymakers doubted U.S. law would permit a negative rates policy. The others, fearful that deflation – which prompts consumers to defer purchases so as to secure lower prices later – might trap their economies in recession, decided to go below zero. The Swiss National Bank, Swedish Riksbank and Denmark’s Nationalbank did likewise, prompting accusations from commercial bank chiefs that central banks were undermining the banking sector’s business model.One Danish bank even offered a negative mortgage rate to attract business, effectively paying home-buyers to lend them money. The act of saving earned little reward, prompting tabloid campaigns against negative rates in Germany and Switzerland.Yet it became clear the policies were not having the desired effect.     FISCAL FLATTERYWhile ECB studies suggest negative rates did add about 0.7 percentage points to growth in loans each year, that wasn’t ever enough to bring euro zone inflation up to the central bank’s target of around 2%.Some critics of negative rates argue that lack of access to credit was never the main reason for Europe’s sluggish recovery and that deeper problems – such as lack of competitiveness and public investment – were outside the domain of monetary policy.”It’s a bit like when you have a hammer and everything looks like a nail,” said Dirk Schumacher, head of European macro research at Natixis. “There’s only so much central banks in the end can do to spur growth, and they clearly ran into the limit here.”The Fed, which held rates above but close to zero, similarly found its efforts to cure roughly a decade of below-target inflation yielded only slow and often unsatisfactory results. Ultimately, the world was bounced out of the low-inflation era by supply chain snags created by the COVID-19 pandemic, compounded by the massive fiscal stimulus programmes of rich nations and energy shocks linked to the Ukraine war.The Bank of Japan remains far behind other central banks, which have hiked rates at unprecedented speed to stifle these new inflationary pressures and only now are starting to think a cautious easing might be possible.But policymakers are still dealing with the distortions created by negative rates, not least a financial system awash with trillions of dollars of cheap money and excess funds which banks can simply park with the central bank for an easy profit.Just as worrying has been the impact on fiscal policy across the world, encouraging governments to amass record debts – borrowing that was initially cheap but which has become more expensive as interest rates rose to more normal levels.”The post-GFC (global financial crisis) low interest rate environment flattered fiscal accounts,” said BIS’s Carstens.”Fiscal authorities have a narrow window in which to get their house in order before the public’s trust in their commitments starts to fray.” More