🚀 Bitcoin reaches new heights: The $69,000 barrier shattered!
Welcome to the Daily Tribune, Wednesday, March 06, 2024 ☕️
Hello Cointribe! 🚀
Today is Wednesday, March 06, 2024, and like every day from Tuesday to Saturday, we summarize the news of the past 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 ! ⏱️
🚀 Bitcoin surpasses the mythical $69,000 mark
In a rapid and symbolic surge, Bitcoin crossed the $69,000 threshold again yesterday, an historic level not reached since November 2021. This new high confirms Bitcoin's status as a safe haven amid the instability of traditional financial markets, in the context of massive institutional investor interest. Financial giants such as BlackRock, JPMorgan, and BNY Mellon have heavily invested in cryptocurrency, seeing it as a safe haven in a turbulent economic environment. This wave of institutional investment has allowed Bitcoin to spectacularly recover from its 2022 low, thanks to the strength of its protocol and the prospect of high returns despite negative real interest rates.
The upcoming halving in April 2024, which will halve miner rewards, could lead to a new speculative boom. The rapid rise of cryptocurrencies is attracting the attention of global regulators, who are increasingly concerned about the risks of fraud and market manipulation.
The recent breakthrough of Bitcoin beyond the $69,000 mark not only illustrates the resilience of cryptocurrency in the face of volatile macroeconomic conditions but also underscores the growing importance of institutional players in the crypto market. This dynamic reflects a shift in investor profile, transitioning from a majority of individuals to a strong institutional participation. This could indicate a maturing stage for Bitcoin, which is now recognized as a viable investment asset. However, the significant entry of institutions carries the risk of increased volatility due to sophisticated trading strategies and potential concentration of ownership, which could exacerbate speculative movements and significantly influence the future direction of the market.
🌍 BRICS unveil a revolutionary payment system based on Blockchain
The BRICS, a consortium of major emerging economies, are taking a giant step in the financial world by introducing an innovative payment system based on blockchain technology and integrating cryptocurrencies. This system aims to challenge the dominance of the US dollar by offering a solid and independent alternative to traditional payment systems. This initiative, announced as a major turning point, reflects the BRICS' ambition to minimize their dependency on the dollar and establish a new global economic order that promotes inclusivity, security, and speed of financial transactions.
The incorporation of cryptocurrencies into the BRICS payment system not only highlights their recognition of the robustness of digital currencies, but also encourages their global adoption. This approach could redefine banking and financial practices by standardizing the speed, transparency, and security of crypto transactions. It could also trigger an era of monetary decentralization and directly challenge the dominance of fiat currencies, particularly the US dollar, while promoting greater global economic equity by facilitating the access of developing countries to international markets.
The BRICS' initiative to develop a payment system based on blockchain and cryptocurrencies represents a potential turning point in the decoupling of global trade from the US dollar. By establishing a financial infrastructure independent of the US dollar, the BRICS could not only increase their economic sovereignty but also promote the use of cryptocurrencies in international transactions. This move could accelerate the global adoption of blockchain as a trusted technology for cross-border payments.
💥 Memecoins: A $52 billion market capitalization shaking up the crypto market
The crypto market is witnessing remarkable excitement, with memecoins reaching a staggering market capitalization of $52 billion. This surge highlights an unprecedented enthusiasm for these cryptocurrencies, often regarded as playful or speculative. The growing interest from individual investors, amplified by social media buzz and the increasing acceptance of cryptocurrencies, has played a crucial role in this ascent. Moreover, the ease of access to memecoin trading on popular platforms has contributed to their growing popularity, attracting both experienced and novice investors.
Despite concerns about their highly speculative nature and volatility, memecoins are considered by some as vehicles for financial inclusion. They offer an attractive and entertaining entry point into the digital economy. While critics warn of the risks associated with these investments, market figures such as Andrew Kang, co-founder of Mechanism Capital, see significant outperformance potential of memecoins compared to other digital assets in the current bull market cycle.
The rapid rise of memecoins, with a market capitalization of $52 billion, demonstrates the increasing influence of internet culture and social media on financial markets. This trend highlights an often underestimated facet of the cryptosphere: the impact of narratives and online communities on asset values. Although memecoins are generally regarded with skepticism due to their speculative nature, their undeniable popularity suggests a shift in investor perception, where sentiment and community can equally, if not more, influence value than traditional fundamentals.
📈 Countdown to the Ethereum ETF: A key date to watch
The US Securities and Exchange Commission (SEC) has once again postponed its decision on the approval of the Ethereum ETF proposed by BlackRock, marking the second delay since the approval of Bitcoin ETFs. The deadline for VanEck's Ethereum ETF application, set for May 23, now becomes crucial. ETF analyst James Seyffart at Bloomberg considers it "the only date that matters." Any decision before this date is likely to be a mere postponement.
Meanwhile, ETF applications treat Ethereum as a "commodity," although SEC Chairman Gary Gensler has refused to categorize Ethereum as such, limiting approval to ETFs backed by commodities such as Bitcoin. Jake Chervinsky, General Counsel at Variant, expresses doubts about the approval of the ETH ETF this year, believing that the SEC may require legal pressure to move forward. Despite the delay, the price of Ethereum remains stable, illustrating the market's resilience in the face of regulatory uncertainties.
The SEC's postponement of the decision on approving an Ethereum ETF reflects a fundamental tension between the increasing institutional adoption of cryptocurrencies and regulatory concerns surrounding security, fraud, and market manipulation. The focus on Ethereum, in particular, highlights the ongoing debate about the classification of cryptocurrencies as commodities or securities, a crucial issue for their future regulation.
Crypto of the day: Aptos (APT)
Aptos is a layer 1 blockchain operating with a Proof-of-Stake (PoS) consensus mechanism that incorporates the Move smart contract programming language, independently designed by the engineers of the Meta (formerly Facebook) Diem blockchain. This innovation allows Aptos to target widespread adoption in the web3 universe and support a decentralized applications (DApps) ecosystem that solves real user problems. With parallel execution, this blockchain can theoretically handle over 150,000 transactions per second (tps), promising unprecedented scalability and efficiency.
The native cryptocurrency of Aptos, APT, plays a central role in the ecosystem for transactions, payment of gas fees, and participation in platform governance. The distribution of APT began with the launch of the main network in October 2022, after several funding rounds led by major industry names such as Andreessen Horowitz (a16z), Binance Labs, and others. For holders, APT offers advantages such as network security participation through staking, influence on governance decisions, and potentially, staking rewards.
Recent Performance
Current price: Approximately €13.22
Percentage Increase/Decrease: 17.89% (increase in 1 day)
Market capitalization: Approximately €5,290,626,699
Rank on CoinMarketCap: #23
Crypto analysis of the day: Ethereum (ETH)
Last week, Ethereum experienced a spectacular surge of over 16%, surpassing the impressive threshold of $3,500 to trade around $3,850. This remarkable performance leads us to take a closer look at ETH's future prospects and decipher what it means for our market.
Ethereum continues on its path to new highs. By surpassing the 61.8% Fibonacci retracement level from its all-time high, ETH demonstrates its resilience and ability to test new supports, now aiming for the 78.6% level just below $4,000. This ascent is not without reminding us of the inherent volatility in our market; the significant deviation of ETH from its 50-day moving average signals a period of high volatility, potentially foreshadowing a correction. However, Ethereum's bullish momentum, supported by oscillators, indicates an overbought period.
Regarding derivatives, the open interest of ETH/USDT perpetual contracts gives us insights into volatility and uncertainty among speculators. Ethereum's recent decline, accompanied by a decrease in open interest and liquidation of long positions, reveals a temporary withdrawal of buyers. Nevertheless, the partial reopening of these positions and the subsequent rise of ETH indicate renewed interest in the crypto.
In conclusion, Ethereum teaches us about resilience and opportunity. ETH's ability to bounce back and reach new highs, despite corrections, highlights the importance of closely monitoring key levels to confirm our assumptions about its future movement.