Cryptocurrency

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In reaction, BTC prices rose to a new multi-year high, reaching $49,102. The market then fell 18% over the weekend, reaching fresh year-to-date lows of $40,236.As with any important event, holders of Bitcoins enjoy debating whether it was priced in or not.In this regard, Julio Moreno, the head of research at CryptoQuant, debunks the widely circulated narrative that the Bitcoin price drop was caused by Grayscale’s GBTC selling Bitcoin.Before being converted to an ETF from a trust, Grayscale Bitcoin Trust (GBTC) was one of the only options for stock traders in the United States to obtain exposure to Bitcoin price swings without having to purchase the actual cryptocurrency.While GBTC has seen remarkable outflows after its uplisting into an ETF, a chunk of these have been from investors moving to lower-fee ETFs.Moreno highlighted that, while GBTC sold approximately 60,000 Bitcoins, other Bitcoin ETFs net purchased roughly 72,000 Bitcoins, thus offsetting the sales of BTC from Grayscale’s GBTC.He attributes the volatility in Bitcoin’s price to selling by Bitcoin holders (short-term traders and whales) who took profits following last year’s surge, noting that the ETF approval might just be the “sell-the-news” event.However, several metrics in both the on-chain and derivatives domains suggest that a non-trivial portion of Bitcoin investors did treat the ETF approval as a sell-the-news event.While there are other key driving factors behind the interim volatility, both futures and options markets have seen a meaningful uptick in open interest (OI) since mid-October, according to Glassnode.Open interest in both markets remains around multi-year highs, showing that leverage is rising and becoming a more dominant force in markets.At the time of writing, BTC was up 0.58% in the last 24 hours to $41,543, per CoinMarketCap data.This article was originally published on U.Today More

He elaborated on why the company has been offering 1.5% fees, while the other issuers of spot-based Bitcoin exchange-traded products are keeping their fees under 0.5%.When the Securities and Exchange Commission issued approval to 11 spot Bitcoin ETFs coming from different issuers, many of them, including BlackRock (NYSE:BLK), Fidelity and VanEck, started charging zero or close to zero fees for a certain amount of time after the product’s launch.The majority of Bitcoin ETF1issuing firms keep the fees at 0.2%-0.4%. But not Grayscale – for their Bitcoin ETF Trust the company charges a massive 1.5% management fee.Sonnenshein stated that Grayscale has a massive track record of 10 years and is the largest Bitcoin fund. Since the other issuers did not manage Bitcoin ETFs before, they are trying to attract new customers by lowering their fees significantly. As for Grayscale, per Sonnenshein, their long track record proves their long-term commitment to Bitcoin.card Still, over the past week, Grayscale’s Bitcoin Trust has seen an astounding outflow of approximately $2.2 billion as investors have been withdrawing their Bitcoin using the “window,” while the time for which they had locked their BTC in the Trust is over now.As for overall inflows into spot Bitcoin ETFs over these past five days, they have surpassed $1.2 billion, according to Bloomberg data shared today.This article was originally published on U.Today More

In a recent X post he captioned “XRP Crash Update,” Keiser calls XRP “a centralized garbage that is mathematically guaranteed to trade at virtual zero against Bitcoin.”Keiser posted a screenshot of the XRP chart showing its price decline. At the time of writing, XRP was down 5.68% in the last 24 hours to $0.498. Bitcoin fell 5.25% in the same time frame, trading at $38,750, mirroring the market’s poor performance.Bitcoin (BTC) fell below $39,000 in Tuesday’s market crash, wiping out virtually all of the previous two months’ gains ahead of spot exchange-traded fund (ETF) approvals in the United States.XRP began to surge against Bitcoin on Jan. 9 after hitting a bottom that marked multiyear lows in its pairing. This trend sustained for a while until XRP began mirroring the BTC price trend, subsequently entering into range-trading in its BTC pairing.However, Keiser’s predictions have not always been correct, as Ripple won a significant victory in the SEC litigation after the judge ruled that XRP was not a security. The SEC also dropped its accusations against Ripple executives Brad Garlinghouse and Chris Larsen.XRP has also demonstrated resilience, maintaining its position among the top 10 cryptocurrencies by market capitalization despite legal woes and market uncertainty. XRP is now the sixth-largest cryptocurrency by market capitalization, valued at more than $27 billion.That said, whether XRP will crash to virtual zero in its Bitcoin pairing or rise to new heights remains yet to be seen.This article was originally published on U.Today More

This article was originally published on U.Today More

Back then, Buterin had responded to a question about the possibility of building Ethereum on top of Bitcoin, expressing concerns about potential conflicts with Bitcoin’s development team. He cited fears that protocol rules might change, making it difficult for him to build on a base protocol at odds with his vision.Fast forward to January 2024, and Wright seized the opportunity to comment on Buterin’s past remarks. He argued that Ethereum only exists due to centralized development teams that have the power to alter the protocol. Wright mused about the hypothetical scenario of having everything built on Bitcoin, envisioning a more streamlined and less fragmented system.While Ethereum has achieved considerable success as a platform for smart contracts and applications, Wright argues for the stability and originality of Bitcoin’s protocol.Moreover, it revives the centralization debate in both cryptocurrency ecosystems. On the one side is OFAC’s censorship of ETH transactions; on the other side is the enormous concentration of BTC in the hands of whales and miners.This article was originally published on U.Today More

Single-client setups, mentioned in the post criticizing Coinbase (NASDAQ:COIN)’s staking methods, can be more vulnerable to network-wide outages or consensus bugs. If most network participants are using the same client and a bug is discovered in that client, it could lead to a large portion of the network going offline or agreeing to incorrect state transitions. This happened in November 2020 with Ethereum’s Geth client, where a bug led to a chain split. A multi-client approach, where the network is supported by different software clients, is considered a best practice as it helps to prevent any single point of failure.This article was originally published on U.Today More

Drawing on this, he forecasts a 30% correction from the spot Bitcoin Exchange Traded Fund (ETF) high of $48,000. If this projection comes to pass, then he foresees Bitcoin dropping to the $30,000 and $35,000 price range.Bitcoin has been in a freefall since the United States Securities and Exchange Commission (SEC) greenlighted the 11 spot BTC ETFs that now trade in the market. At the time of writing, Bitcoin has dropped by a milder 0.64% in the past 24 hours to $40,042.44. This is an impressive figure that shows recovery, seeing as the coin fell as low as $39,105.51 in the past 24 hours.Known for his big bold predictions, Arthur Hayes believes there might be some forms of relief introduced by the Federal Reserve to support growth; nonetheless, he is convinced crypto is primed to play a key role as a hedge against inflation as mainstream banks are on the verge of collapsing.Hayes is a big promoter of the Solana ecosystem, and the sell-off showcases that more of a downward spiral might still be underway for this asset that has lost 12.3% of its value in the past week amid an intense sell-off.Hayes, however, noted that should Bitcoin fall below $35,000, he will begin to load up on Dogwifhat (WIF), attesting to the potential of the meme coin to outperform when the market finally enters the recovery phase.This article was originally published on U.Today More