2023-12-20 09:18

Bitcoin has historically rallied after its halving event – which automatically decreases the supply of new coins in the open market – and traders are likely pricing in the event that’s next scheduled for April 2024. A slurry of catalysts and historical behavior could catapult bitcoin (BTC) to as high as $160,000 in a widely expected bull market that analysts say could be underway in 2024. Expected demand for bitcoin from several spot exchange-traded funds (ETF) in the U.S., the upcoming halving and growth in broader stock markets on the back of rates cut could buoy bitcoin prices to at least $50,000 in the short-term, on-chain analysis firm CryptoQuant said in a Wednesday report shared with CoinDesk. “We argue that bitcoin and crypto markets could have a positive year in 2024 mostly amid the effects from: 1. The market valuation cycle, 2. Network activity, 3. The bitcoin halving, 4. The macroeconomic perspective, 5. Bitcoin spot ETF approval and 6. Growing stablecoin liquidity,” analysts at CryptoQuant said. “On-chain valuation and network metrics signal bitcoin remains well inside a bull market and may be targeting $54,000 in the medium term and $160,000 as this cycle price top,” they said. Bitcoin has historically rallied after its halving event – which automatically decreases the supply of new coins in the open market – and traders are likely pricing in the event that’s next scheduled for April 2024. Meanwhile, over seven major traditional finance players, such as BlackRock (BLK) and VanEck, are in talks with the U.S. Securities and Exchange Commission (SEC) for spot bitcoin ETFs – and a constant back-and-forth is likely signaling the talks are proceeding positively. Prominent bitcoin holders say the development is likely one of the biggest developments in Wall Street in “30 years.” “It’s not unreasonable to suggest that this might be the biggest development on Wall Street in 30 years," said Michael Saylor in a CNBC interview on Tuesday, suggesting the last comparable new product was the S&P 500 ETF, which allowed investors one-click exposure to that widely-followed index. Saylor’s business software company MicroStrategy is the largest public holder of bitcoin, with over $8 billion worth of the asset in its treasury. Traders also expect the U.S. Federal Reserve to lower interest rates in 2024 as inflation has continued to decline – and lower rates have historically been conducive to large bets on riskier assets such as technology stocks and cryptocurrencies. However, prices could still slide in the short term as recent investors sit on large unrealized gains, CrytpoQuant warned in its report. “There are some risks of a price correction given that short-term bitcoin holders are experiencing high unrealized profit margins, which historically have preceded price corrections,” the analysts said. Bitcoin has rallied over 180% on a year-to-date basis – which could create a possible bearish scenario ahead of the New Year. https://www.coindesk.com/markets/2023/12/20/bitcoin-could-reach-160k-in-2024-on-the-back-of-halving-spot-etf-hype-analysts/

2023-12-20 08:30

A pittance punted on COQ shortly after its issuance has yielded a massive return for one on-chain trader. Multifold gains on Solana-based meme coins have apparently led traders to hunt for small-cap plays on other networks – with some lucky enough to flip a tiny initial capital to a life-changing figure. And while dog-themed tokens have usually created outsized gains for meme coin traders, Avalanche’s Coq Inu (COQ), a hen-themed token, is leading the narrative on the blockchain. Data shows the token was issued on Dec.8 and has since surged to a $230 million capitalization as of Wednesday, creating wild profits for early buyers. The token is “for entertainment purposes only,” a fact the developers aren’t shying away from: “$COQ is a meme coin with no intrinsic value or expectation of financial return. There is no formal team or roadmap,” the site reads. “The coin is completely useless and for entertainment purposes only.” A single trader apparently acquired just over $450 worth of COQ shortly after its issuance and the amount has since ballooned to over $2.5 million, on-chain data cited by Lookonchain shows. The wallet has seemingly sold over $1.5 million worth of COQ so far and sits on over $800,000 in unrealized gains. Meme tokens derive their appeal from the virality of a popular existing meme or the attention their communities generate in online circles. Most of these tokens fail, but the ones that stick may turn into billion-dollar projects, after which their developers may introduce more fundamental utility to support further growth. Anyone can call a smart contract and issue tokens on a blockchain, such as Ethereum or others, for a few cents, and the presence of decentralized exchanges means tokens can instantly be issued, supplied with liquidity and traded soon after. COQ has been Avalanche’s shining star in recent weeks. Data shows the tokens have over 30,000 unique holders as of Tuesday, and saw $30 million in trading volumes in the past 24 hours. https://www.coindesk.com/markets/2023/12/20/trader-turns-450-into-2m-betting-on-avalanche-meme-coin-coq-inu/

2023-12-20 05:40

This is the second meeting in a month between the parties about rule changes required to list the bitcoin ETF. Representatives from BlackRock (BLK), Nasdaq, and the Securities and Exchange Commission (SEC) met for the second time in a month to discuss rule changes that are necessary to list the bitcoin (BTC) exchange-traded fund (ETF), according to a published memo. “The discussion concerned The NASDAQ Stock Market LLC’s proposed rule change to list and trade shares of the iShares Bitcoin Trust under Nasdaq Rule 5711(d),” the memo reads. Nasdaq Rule 5711(d) establishes specific criteria and regulatory guidelines for the listing and trading of Commodity-Based Trust Shares on the Nasdaq Exchange, and detailing the requirements for initial and continued listing, along with surveillance and compliance measures to ensure market integrity and protection against fraudulent activities. As CoinDesk previously reported, the inclusion of a surveillance-sharing agreement aims to mitigate market manipulation risks associated with crypto trading – something that the SEC is very concerned about. The groups also met in November to discuss the same topic, according to a published memo. At this November meeting, BlackRock provided a presentation that detailed two models, in-kind and in-cash redemption, for supporting their proposed ETF. Recently, BlackRock revised its spot bitcoin ETF proposal to include cash redemptions, aiming to meet SEC preferences. MicroStrategy's Michael Saylor said on a Bloomberg TV appearance this week that the potential bitcoin ETFs might be the biggest Wall Street development in 30 years, possibly triggering a significant bull run for bitcoin in 2024 due to increased demand and a supply shock. https://www.coindesk.com/markets/2023/12/20/blackrock-nasdaq-sec-met-regarding-bitcoin-etf/

2023-12-19 19:36

A large increase in demand coupled with lower supply should set the stage for higher prices in 2024, he predicted. Markets shouldn't underestimate the significance of the coming spot bitcoin (BTC) ETFs, said MicroStrategy (MSTR) Executive Chairman Michael Saylor in a Bloomberg TV appearance on Tuesday. "It's not unreasonable to suggest that this might be the biggest development on Wall Street in 30 years," said Saylor, suggesting the last comparable new product was the S&P 500 ETF, which allowed investors one-click exposure to that widely-followed index. Mainstream investors – whether at the individual or institutional level – to date have not had a "high bandwidth" compliant channel for putting money into bitcoin, said Saylor, and that's all about to change with the spot ETF. This new vehicle, argued Saylor, is going to drive a demand shock for bitcoin which will soon be followed by a supply shock in the form of April's halving event – at which point there will be just 450 bitcoin produced each day versus the current 900. It all adds up to a major bull run for bitcoin next year, said Saylor, though declining to speculate on how far the price may go. Addressing the oft-asked question about whether an actual spot ETF might draw investor demand away from MicroStrategy – which is often thought of as a bitcoin ETF proxty – Saylor noted that MSTR is an operating company that can use its cash flow or "intelligent leverage" to boost its stack. He also reminded, unlike with ETFs, there is no fee to own MSTR. https://www.coindesk.com/markets/2023/12/19/bitcoin-spot-etf-biggest-development-on-wall-street-in-last-30-years-says-michael-saylor/

2023-12-19 17:51

2024 promises to be a year of continued expansion for Bitcoin, says Cory Klippsten, CEO of Swan. As usual, the price of Bitcoin was a big story, and in 2023 it was good news. Bitcoin is once again the best-performing asset class, beating stocks, bonds, and gold by a wide margin. As of today, the price is up more than 150% since the beginning of the year. This post is part of CoinDesk's "Crypto 2024" predictions package. 2023 marked a tremendous surge in institutional interest, highlighted by BlackRock’s application for an ETF in June. There are currently as many as 12 open applications, including those from Invesco, ARK, Fidelity, VanEck, and Franklin Templeton. Although the SEC refused GBTC’s application, a court ruled that the SEC’s reasoning for doing so was invalid. Even just a rumor of approval in October sent Bitcoin’s price skyrocketing. The energy used to mine and secure Bitcoin also saw significant growth, with the mining hashrate up 100% from 240 exahash to 482 exahash year-to-date. The hashrate is the measure of how many calculations per second are required to add another block of transactions to Bitcoin’s ledger an average of once every ten minutes. Bitcoin continues to leap ahead as the most secure and reliable digital system in the world. Network uptime was 100% for the 14th straight year. 2023 also saw much more widespread recognition that Bitcoin’s relationship to energy and the environment is overwhelmingly positive, contributing to electrical grid stabilization and creating economic incentives to mitigate carbon emissions. Looking forward to 2024, one thing that’s certain to happen is the next “halving,” when the new issuance of Bitcoin will be cut in half at block 840,000, which is expected to be mined in late April. Despite growing demand for Bitcoin, the supply added per block will nevertheless be reduced by 50%. This will be the fourth halving in Bitcoin’s history. Historically, a bull market has followed halvings. Whether causation or anomaly, it's true until it's not, and we plan Swan's strategy incorporating a high probability of a bull market in 2024 and 2025. In addition, it is almost certain that we will see the approval of one or more spot Bitcoin ETFs. This would open up floodgates of capital currently in traditional investment channels. The consensus is that this is most likely to happen in January. Bitcoin's technology trends in 2023 included the continued impact of the Taproot upgrade, enhancing transaction efficiency and privacy. The Lightning Network's maturation underscored Bitcoin's ability to scale by adding layers on top of the Bitcoin protocol to facilitate faster, more economical transactions. Lightning infrastructure has come a long way, with scores of lightning-enabled wallets, on-demand Lightning nodes, and facilitating an estimated 200,000 transactions per day. It will be interesting to watch what this more mature Lightning Network will do in the sustained high-fee environment of another bull market. In 2024, amid global financial uncertainty, Bitcoin's stability could attract attention from individuals, institutions, and governments seeking to reduce chaos. Bitcoin is reaching record values against weak currencies, gaining support from global politicians, and being used more by people and businesses worldwide. Bitcoin's growth is natural, without central control, and driven by millions of people worldwide who recognize its benefits. Bitcoin safeguards global monetary integrity, and sound money is a fundamental human right. https://www.coindesk.com/consensus-magazine/2023/12/19/etfs-halving-upgrades-what-to-expect-with-bitcoin-next-year/

2023-12-19 17:45

The team is working with internet domain player D3 to apply for and win the “.shib” internet domain as part of a broader push toward a decentralized identity project. Shiba Inu developers are working with internet domain player D3 to introduce a “.shib” internet and top-level domain to the market as part of a push toward identity-focused projects. Representatives for the Shiba Inu network told CoinDesk in a Telegram chat that they are working with D3 on the application for the .shib top-level domain and plan to apply through ICANN, a global database for internet domains, during the next application window. Every internet domain application is passed and vetted by ICANN, giving its owners the right to sell all of the domains within a specific suffix, such as ".xyz" or ".app." While crypto domains attempt to take this a step further – tying a wallet’s owner to a domain name that can be used as proof of identity on blockchain applications – they do not work across the internet through browsers, email, or mobile devices. By applying for the real .shib top level domain, Shiba Inu expects to become one of the first Web3 networks with its own DNS namespace. “Our partnership with D3 allows us to scale outside of the existing ShibArmy and give over 5 billion Internet users direct access to the SHIB ecosystem,” said Shytoshi Kusama, Lead Developer of Shiba Inu. “Bringing real domains to SHIB is a big deal, expanding our vision for digital identities within our decentralized ecosystem while driving long-term revenue generation within the ecosystem.” Shiba Inu’s existing Shib Name Service (SNS) will transition to D3's infrastructure. SNS is a product released in November that serves as a means to introduce digital identity verification for all products built on Shiba Inu blockchain and Shibarium, a layer 2 network. https://www.coindesk.com/tech/2023/12/19/shiba-inu-could-soon-offer-shib-holders-a-shib-internet-domain/