Binance reveals crypto trends for 2024
Welcome to the Daily Tribune on Wednesday, January 17, 2024 ☕️
Hello Cointribe! 🚀
Today is Wednesday, January 17, 2024, and like every day from Tuesday to Saturday, we summarize the news of the last 24 hours that you shouldn't miss!
But first…
✍️ Cartoon of the day:
A quick look at the market…
🌡️ Temperature:
Partly sunny 🌤️
24-hour crypto summary ! ⏱️
🚀 BlackRock and Bitcoin: A dramatic turnaround
In 2017, Larry Fink, CEO of BlackRock, had a very critical view of Bitcoin and even referred to it as a \"money laundering index.\" This perspective reflected that of many traditional financial leaders, who were skeptical of this new emerging asset class. However, in 2024, a major turnaround is taking place. Fink now sees Bitcoin ETFs as the first step towards a technological revolution in finance.
With the approval of Bitcoin ETFs in the United States, attention is turning to Ether and other cryptocurrencies. Fink envisions the tokenization of real assets, such as gold, as the next major advancement. This tokenization promises to transform existing financial systems by creating decentralized and transparent registries, potentially capable of eliminating corruption and improving efficiency in the world of finance.
BlackRock's turnaround can be seen as a key indicator of the ongoing digital transformation in the financial sector. This approach suggests an increasing recognition of blockchain technology as a disruptive tool capable of redefining traditional financial mechanisms. It could signal the beginning of an era where digital assets are integrated into mainstream financial strategies, reflecting an evolution towards a more digitized and interconnected finance.
🏦 Coinbase and Bitcoin ETFs: Centralization on the horizon?
Coinbase, the famous cryptocurrency exchange, is at the heart of the deployment of Bitcoin ETFs following the approval of multiple Bitcoin ETF requests by the U.S. SEC. Leading investment firms such as BlackRock and Franklin Templeton rely on Coinbase for essential services such as custody, trading, and lending of cryptocurrencies. The majority of Bitcoin ETF issuers have chosen Coinbase as a custodian, including Bitwise Bitcoin ETF, Grayscale Bitcoin Trust, Wisdom Tree Bitcoin Fund, and iShares Bitcoin Trust.
However, Coinbase's dominant position in this field raises concerns about possible centralization and conflicts of interest. Some issuers are concerned that Coinbase may have to reduce certain services it provides as a crypto exchange. Dave Abner highlighted the concentration risk due to the large number of companies using Coinbase as a custodian. To alleviate these concerns, Alesia Haas, CFO of Coinbase, assured that the company was working to avoid conflicts of interest. A spokesperson also stated that Coinbase's custody business was not at issue in its dealings with the SEC.
Coinbase's central position in the deployment of Bitcoin ETFs highlights the tension between market growth and maturity and the fundamental principles of decentralization.
🌊 TUSD: The downfall of a stablecoin
On January 15, the TUSD stablecoin, associated with Justin Sun, experienced a dramatic drop, losing its peg to the U.S. dollar and falling to $0.984. This sudden decline was exacerbated by massive sell-offs on the Binance crypto exchange, where over $330 million of TUSD was sold in 24 hours. This massive sell-off led to a net capital outflow of $42.3 million, increasing downward pressure on TUSD.
The reasons for this sudden collapse of TUSD are multiple. Reports in early January pointed to difficulties for TUSD to provide real-time certifications of its reserves, raising concerns about a possible lack of collateralization in dollars. Moreover, TUSD was not included in Binance's recent rewards campaign, which may have also triggered a massive sell-off. Withdrawal issues on platforms like Poloniex also fueled panic among holders.
The fall of TUSD offers a critical case study on the reliability of cryptocurrency stabilization mechanisms. It raises questions about the sustainability of stablecoin business models and their ability to maintain parity with underlying assets in volatile market conditions.
🔮 Binance predicts crypto trends for 2024
Binance Research, the research branch of the Binance crypto exchange, has released a report detailing the crypto trends that are expected to shape the year 2024. The report places Bitcoin (BTC) at the center of these trends, highlighting its growing role as a \"legitimate asset.\" Developments around Bitcoin, such as NFT Ordinals, BRC-20 tokens, and the upcoming halving, are highlighted. Binance predicts that the momentum around Bitcoin, reinforced by the recent approval of Bitcoin Spot ETFs, will continue throughout the year.
In addition to Bitcoin, the Binance Research report identifies several other promising crypto segments. Institutional adoption of crypto is expected to accelerate, especially with the entry of traditional financial giants like BlackRock and Fidelity into the crypto space. The integration of artificial intelligence (AI) into crypto, the tokenization of real-world assets (RWA), and the on-chain liquidity segment are also cited as areas with high potential for growth. Other areas such as decentralized physical network infrastructure (DePin) and decentralized social media, as well as account abstraction, are expected to continue to develop, simplifying and improving the user experience of blockchain technology.
Binance's predictions for 2024 can be seen as a mirror of the expectations and challenges in the crypto sector. They reflect an anticipation of a deeper integration of crypto into economic and technological systems, while highlighting the challenges of institutional adoption, regulation, and technological innovation.
Crypto of the day: Blur (BLUR)
Blur (BLUR) is a cryptocurrency that operates on the Ethereum platform, bringing innovation to the collectibles and NFTs (Non-Fungible Tokens) field. With a total supply of 3 billion tokens and approximately 1.24 billion in circulation, BLUR positions itself as a key player in the NFT ecosystem.
The main utility of BLUR lies in its role within the NFT ecosystem, offering a new avenue for collectors and digital art enthusiasts.
The distribution of BLUR has been designed to favor active participants in this space, rewarding users engaged in the NFT ecosystem. BLUR holders benefit from advantages such as access to exclusive features or rewards within the NFT ecosystem, thereby enhancing user engagement and loyalty.
Recent performance of BLUR
Current price: Approximately €0.62
Price change in the last 24 hours: BLUR has experienced a decrease of approximately -3.76%.
Market capitalization: The market capitalization of BLUR is €770 million.
Rank on CoinMarketCap: BLUR is currently ranked 81st.
Crypto analysis of the day: Binance Coin (BNB)
Today, together we will analyze the recent performance of Binance Coin (BNB)!
BNB ended the year 2023 on a very positive note, with an increase of over 40%. This is a strong signal for all traders and investors. After breaking through significant levels like $260-$270 and $300, BNB reached the resistance at $337. Currently, it is trading around $310, well above its 50-day and 200-day moving averages. What is interesting is that these averages have formed a bullish crossover, indicating that the medium and long-term trend of BNB could be upward. This is a key indicator to watch for traders.
The recent increases in BNB have coincided with an increase in its open interest, revealing growing buyer interest. This is a crucial point to understand market dynamics. The $300 level appears to be an important support level for BNB, as shown by the recent price rebound and the increase in open interest. The liquidations heatmap shows that BNB is oscillating between two major liquidation zones, at $388 and $325. These zones are key points of interest for investors as they could trigger massive orders and increase volatility.
If BNB surpasses $337 again, we could expect a continuation of the bullish trend, potentially up to $380 or even $400. If this trend continues, the next major resistance would be around $500. On the other hand, if BNB fails to break above $337, we could consider a return to around $290 or even $260.
In conclusion, BNB shows signs of strength, but as always in crypto, stay cautious and informed. Remember, these analyses are based on technical criteria, and the crypto market can evolve rapidly depending on other factors.