Bitcoin fall, Buterin criticizes economists 📉💬
Welcome to the Daily Tribune Wednesday, May 29, 2024 ☕️
Hello Cointribe! 🚀
Today is Wednesday, May 29, 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 🌤️
24h crypto recap! ⏱
Bitcoin falls, altcoins in trouble 📉
The cryptocurrency market is experiencing a tumultuous day with a significant price drop. Bitcoin fell to $68,000, after almost reaching $70,000 the day before, while Ethereum dropped below $3,900. Only a few altcoins like Solana and memecoins such as Shiba Inu, BONK, and FLOKI are performing well. The total cryptocurrency market capitalization has decreased by 0.58%, but the 24-hour trading volume has increased by 43.08%, indicating increased activity despite the price drop. 🔗Read the full article here.
Vitalik Buterin accuses economists of distorting inflation 💬
Vitalik Buterin, co-founder of Ethereum, harshly criticizes economists, accusing them of distorting the definition of inflation. He argues that the crypto community should redefine this term to include the increase in the money supply, rather than just the rise in prices of goods and services. This position highlights the divergences between traditional economic perspectives and those of the crypto world. Buterin also calls for better financial education to combat misinformation. 🔗Read the full article here.
Swiss university launches Bitcoin courses for businessmen 🎓
The Zurich University of Applied Sciences (HWZ) is introducing a training program on Bitcoin for professionals, scheduled for March 2025. This intensive 16-day course, costing 9,950 Swiss francs (around $11,000), aims to deepen participants' knowledge of Bitcoin, its impact on traditional finance, blockchain technologies, and regulatory aspects. In addition to comparing Bitcoin with other cryptocurrencies, the program explores the new business opportunities offered by this virtual currency. This initiative marks a significant step in the academic recognition of cryptocurrencies. 🔗Read the full article here.
Solana validators seize priority fees 💰
Solana validators have approved the SIMD-0096 proposal, redistributing 100% of priority fees directly to validators, instead of the previous 50%. This change, while aiming to strengthen network security and efficiency by increasing financial incentives, has sparked criticism, with some validators believing that the proposal should have been accompanied by another measure for a fairer distribution of fees. Concerns are also raised about a possible increase in SOL crypto inflation. 🔗Read the full article here.
Crypto of the day: Rarible (RARI)
Rarible is a decentralized platform based on the Ethereum blockchain, innovating in the field of NFTs (non-fungible tokens). It allows users to create, buy, and sell NFTs, offering great added value through simplicity and accessibility of digital asset transactions.
The native crypto RARI is primarily used for governance, enabling holders to vote on platform decisions. RARI was initially distributed to platform users through airdrops and rewards for activity on the site. Holders enjoy benefits such as voting rights and discounts on transaction fees and can use RARI to influence the future of the platform.
Recent Performance
Current price: €2.69
Percentage increase/decrease: -1.99% (1-day decrease)
Market capitalization: €64,451,568
Rank on CoinMarketCap: 559
Does the money supply influence Bitcoin?
An econometric study reveals a significant correlation between the money supply (M2) and the price of Bitcoin (BTC). By examining data from 2015 to 2024, it was found that 72% of the variability in the price of Bitcoin could be explained by the money supply. This relationship is reminiscent of that between the money supply and the S&P 500, where studies have shown a correlation of over 90%. This connection is partly due to the short-term liquidity effect and the long-term impact of the money supply on economic conditions, thus influencing the stock and cryptocurrency markets.
According to the analyzed data, Bitcoin peaks are often aligned with increases in the money supply. However, Bitcoin, being more volatile, experiences bullish and bearish cycles around this trend. This theoretical model suggests that Bitcoin is highly dependent on the money supply for its bullish potential. Although this dependence may seem paradoxical for a cryptocurrency created to escape traditional money, it can be explained by the fact that an increase in the money supply leads to the devaluation of other assets, thereby benefiting Bitcoin.
🔗 Read the full article on Cointribune