Bitcoin soars again, Binance still under pressure! 🌪️
Welcome to the Daily Tribune of Wednesday, December 20, 2023 ☕️
Hello Cointribe! 🚀
Today is Wednesday, December 20, 2023, 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:
Sunny ☀️
24-hour crypto summary ! ⏱️
🚀 Bitcoin: The dizzying rise and its consequences
The recent rise in the price of Bitcoin has led to a massive liquidation of $700 million, once again highlighting the volatility and risks associated with investing in cryptos. Traders, especially those who had bet against Bitcoin by short selling, found themselves in a precarious situation when the price reached the critical threshold of $43,800. This increase was anticipated by analysts like Crypto Rover, who predicted a continuation of the upward trend, with even higher potential price targets.
Michaël van de Poppe, a respected analyst in the ecosystem, believes that Bitcoin could test the range of $47,000 to $50,000, despite the recent correction. The possible introduction of a Bitcoin Exchange-Traded Fund (ETF) could also positively influence the price.
The recent rise of Bitcoin and the subsequent liquidation of $700 million demonstrates a still limited market maturity, where price fluctuations can have disproportionate consequences.
🤔 Binance at a crossroads
Binance has recently reached agreements with U.S. regulatory authorities, including the Department of Justice (DOJ) and the Commodity Futures Trading Commission (CFTC). These agreements, involving fines totaling several billion dollars, are the result of investigations into the company's activities and its former CEO, Changpeng Zhao. Binance has been sanctioned for violating U.S. laws by launching derivative products, which has resulted in significant fines and restitutions.
Although the company remains a leader in the cryptocurrency exchange market, these fines could affect its financial stability and market share. Competitors like Coinbase could potentially benefit from this situation.
The fines imposed on Binance could encourage cryptocurrency platforms to adopt more transparent and regulated practices, but they also raise questions about the industry's ability to maintain its spirit of innovation and autonomy.
EU strengthens sanctions against Russia in the crypto field
The European Union has intensified its sanctions against Russia in response to the invasion of Ukraine, specifically targeting activities related to cryptocurrencies. These new measures prohibit Russian nationals and residents from owning or controlling cryptocurrency service providers.
These restrictions follow a previous ban imposed by the EU in 2022, which limited the use of crypto wallets by Russian citizens within the EU, and are part of a broader strategy to restrict Russian financial activities.
The expansion of EU sanctions in the cryptocurrency sector against Russia is a sign of the recognition of these assets as significant financial instruments. This demonstrates the ability of cryptocurrencies to serve as alternative financial channels and challenge traditional control mechanisms.
📉 Financial literacy in France: A long way to go
A recent OECD survey revealed that, although France has made slight progress in financial literacy, it still lags behind countries like Germany. The adoption of cryptocurrencies in France is increasing, with an individual ownership rate of 9%, but this does not necessarily translate into a better overall financial understanding. The Bank of France has published figures showing that the French have average financial knowledge, with a score of 12.45 out of 20.
The survey assessed the financial knowledge, attitudes, and behaviors of the French. Although there has been slight improvement in these areas, there are still gaps, particularly in understanding interest rates and long-term financial planning. Germany, on the other hand, is leading the way in terms of financial literacy, which coincides with its institutional adoption of cryptocurrencies.
The low level of financial literacy in France, despite the growing adoption of cryptocurrencies, reveals a significant gap between enthusiasm for emerging financial technologies and a deep understanding of their underlying principles. It becomes imperative to integrate financial education into school programs. This would provide younger generations with the essential skills to navigate effectively in an increasingly digitized and complex financial landscape.
Crypto of the day: Hedera (HBAR)
Hedera Hashgraph stands out in the blockchain universe with its unique approach based on Directed Acyclic Graph (DAG), offering an alternative to traditional blockchains. This technology allows Hedera to achieve high-speed transactions with low latency, while maintaining a high level of security and decentralization. Hedera's added value lies in its ability to support large-scale enterprise applications while being energy-efficient.
Hedera's native cryptocurrency, HBAR, serves as both fuel for transactions and services on the network and as a mechanism for protection against cyberattacks. HBAR was initially distributed through a public sale and allocations to early investors, developers, and other stakeholders. HBAR holders benefit from the ability to participate in network governance and pay for transaction and storage services. HBAR can also be staked to support the network and earn rewards.
Recent performances
Current price: $0.08667182 USD (about 0.0807 EUR)
Percentage increase/decrease: +8.95% (1-day increase)
Market capitalization: $2,911,831,764 USD (about 2,710,000,000 EUR)
Rank on CoinMarketCap: 28
Please note that this information is provided for informational purposes only and does not constitute investment advice. Always do your own research before making a financial decision.
Crypto analysis of the day: Ethereum (ETH)
Ethereum has seen better days. After flirting with highs at $2,400, it took a little cold spell, falling nearly 10%. But make no mistake, Ethereum is not the type to easily get discouraged. Currently, it is trading around $2,200, above its 50 and 200-day moving averages. It's a good sign! It indicates that, despite the turbulence, the medium and long-term trend remains bullish. But be careful, a divergence is emerging, suggesting a possible consolidation or correction. In other words, ETH could take a step back to jump higher.
Let's take a look at ETH derivatives. After failing to break through $2,400, open interest has dropped by about 19%, or nearly $960 million in ETH contracts. This means that traders are a little less engaged, which could be an opportunity to review your strategy. The liquidation heatmap shows that the area around $2,000 is attracting a lot of traders' attention. If the market approaches this level, expect an increase in volatility. In short, it's an area to watch closely!
So, what does the future hold for ETH? If Ethereum holds above $2,140, we could see a rise towards $2,300, or even $2,400 or $2,500. But if it doesn't hold, we could fall back to $2,000, or even $1,900. The next support would then be around $1,800. Keep in mind that these scenarios are based on technical analysis, but the crypto world is full of surprises. Stay vigilant, "fake outs" and market squeezes are always possible. And don't forget, fundamentals can also influence the price of ETH.