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- Bitcoin's road to $80,000
Bitcoin's road to $80,000
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Spot Ethereum ETFs record weekly inflows of $84.6M
Key points:
Weekly figures of almost $85M were the highest recorded in over a month.
Spot Bitcoin ETFs still retain significantly more confidence from investors.
News - After weeks of consistent outflows, the past week finally saw inflows in the Spot Ethereum ETF market. Figures for the same amounted to around $84.6M - Its highest level in over a month.
Here, it’s worth noting that similar figures haven’t been seen since 9 August. Also, while the previous week did register the aforementioned figures, only three out of five working days saw positive inflows.
Bitcoin still leads the charge - In comparison, Spot Bitcoin ETFs have consistently recorded higher inflows over the last few weeks and months. For example, while ETH ETFs saw inflows of almost $85M, BTC ETFs’ figures were as high as $1.11 billion.
In fact, there has been considerable disparity between the performances of both lately. Consider this - In the weeks immediately after the launch of Spot ETH ETFs, they saw outflows of over $500M. All while BTC ETFs saw net inflows of $5 billion.
Bitcoin has a key first-mover advantage on this front. Spot BTC ETFs were approved back in January, which is why the performances of both offerings have been so different.
Also, there’s a significant value difference between the two assets, with BTC alone having a market share of over 50%.
Is a dump coming? - While Spot ETH ETFs finally noted some inflows, a wallet linked to Ethereum co-founder Vitalik Buterin made news after it dumped 649 ETH on Paxos on 29 September. This wallet made similar transactions in the days prior, with the total amounting to 1,300 ETH or $3.35M.
This series of transactions didn’t quite have a bearish impact on the market. And yet, at press time, the crypto’s Long/Short ratio suggested that bearish sentiment was dominant among traders.
Bitcoin to $80,000 remains likely despite recent price dip
Key points:
The world’s largest cryptocurrency fell by almost 2% in 24 hours to trade at $63,950 at press time.
Probability of a new ATH in Q4 of 2024 remains high.
News - Bitcoin failed to sustain its movement above $65,000 on the back of a bearish divergence appearing on the charts.
Despite BTC falling below $64,000, the cryptocurrency still has many bullish signs that will likely work out in its favour. In fact, the scale of its latent bullishness is such that several analysts believe that a hike to $80,000 is very likely.
How high can it really go? - Despite the aforementioned dip, the cryptocurrency tested and closed above its bull market support band for the second consecutive week. This, on the back of a bullish September which saw BTC appreciate by 8% on the charts.
Historically, Bitcoin’s strongest-ever Q4s have followed bullish Septembers.
According to the Pi Cycle Top indicator, the cryptocurrency is also holding its position well above the potential market bottom of $61,000. Similarly, while BTC’s Rainbow Chart put the price in the ‘BUY’ zone, the crypto is also being moved off exchanges into cold wallets.
What this means is that traders and investors are increasingly optimistic about the chances of Bitcoin rallying significantly in the near term. This assertion can be backed up by the fact that at press time, there were more long positions in the market than short positions.
Solana-based MOODENG, WIF see opposing fortunes
Key points:
WIF has been one of the market’s biggest gainers over the last 7 days.
MOODENG fell off significantly after peaking at $0.33 a few days ago.
News - Moo Deng, the Thailand-based pygmy hippopotamus, has won hearts and minds everywhere over the last few weeks. As expected though, Mood Deng’s popularity spurred a race to launch a crypto in the hippo’s likeness.
The resulting memecoin - MOODENG - was among the market’s biggest gainers since mid-September. However, the last few days have seen the crypto fall dramatically from its ATH on 27 September.
What’s going on? Like all memecoins, MOODENG was subject to intense volatility within days of its launch. Initially, it climbed to an ATH of $0.33 with a market cap of over $338M. Soon after, however, the altcoin fell by close to 20% in 24 hours to trade at $0.19 at press time.
This fall corresponded with a trader cashing in on his MOODENG holdings and making a return of over 7000x on an initial investment of just over $1,300.
WIF holds steady - With one Solana-based memecoin falling off the cliff, the more-established one continued to hold its form on the price charts.
Dogwifhat [WIF], at press time, was up by over 44% on the weekly charts, with the altcoin trading at $2.57. According to analysts, a descending channel upside breakout has been confirmed on WIF’s charts, with the same accompanied by a hike in the memecoin’s Open Interest.
Ohio State Senator introduces bill to accept cryptos as tax payments
Key points:
Bill introduced by Republican State Senator Niraj Antani.
Ohio currently at the forefront of several crypto-centric bills.
News - Ohio has been one of the United States’ foremost crypto-friendly states over the last few years. A State Senator’s introduction of a recent bill is a case in point.
Tabled by Republican Niraj Antani, the bill, if passed, will require the State to accept cryptocurrencies as payment for state taxes and fees. Under the same, state-level institutions like universities and pension funds will also be able to invest in this asset class.
More details - If it goes through, the bill will require the state’s tax commissioner to notify which cryptos will be accepted.
Here, it’s worth pointing out that under the definition of cryptocurrency in this bill, CBDCs or Central Bank Digital Currencies, will be excluded.
According to the State Senator,
“Cryptocurrency is not just the future, it’s the present.”
Not Ohio’s first rodeo - The state attempted something similar back in 2018. At the time, however, the State Board of Deposits failed to approve the use of cryptos for tax payments.
Since then, Ohio has passed a number of crypto-friendly bills. These include a bill that legally protects the cryptocurrency mining sector in the state.
More stories from the crypto ecosystem
Did you know?
Bitcoin is the official currency of Liberland, a micronation proclaimed on 13 April 2015 by Czech politician Vít Jedlička. In fact, Liberland advertised itself as a ‘crypto-friendly sovereign state’ that runs fully on chain.
In April 2018, Cory Fields, a Bitcoin Core developer since 2013, discovered a potentially critical flaw in the Bitcoin Cash code. He privately alerted the Bitcoin Cash developers about this issue, which, if exploited, could have led to a chain split within the Bitcoin Cash network. Instead of claiming the $100,000 bug bounty reward offered, Fields requested that it be donated to charity.
Back in 2021, SpaceChain launched the first Ethereum node in space. According to the project, this experiment is intended to enhance the security and resilience of Ethereum’s blockchain, while reducing its reliance on centralized infrastructure.
Top 3 coins of the day
Fantom (FTM)
Key points:
At press time, FTM was trading at $0.74.
Altcoin has appreciated by over 10% in just under a week.
What you should know - Fantom has been one of the market’s best-performing cryptos this week, with the altcoin hiking by double digits on the charts. These gains came on the back of a month-long uptrend, with FTM recovering from its lows in early August. However, as Bitcoin recovered, so did FTM. The scale of the crypto’s bullishness was underlined by the findings of its indicators. For example, the Parabolic SAR’s dotted markers were well under the price candles - A bullish sign. Worth pointing out, however, that the MACD Line was nearing a bearish crossover at press time.
XRP
Key points:
XRP was trading at $0.63, at the time of writing.
XRP hiked by over 10% in just 4 days, before declining and losing half its recent gains.
What you should know - The market’s sixth-largest cryptocurrency, XRP’s price action over the last few months has been very inconsistent. On the price charts, its movement has seen many highs and many lows, with no steady trend in either direction. At press time, for instance, the altcoin had already lost almost half of its recent gains. This was underlined by the fairly neutral observations of the crypto’s findings. The Moving Average was just under the price candles, but could cross over if the losses continue. Similarly, the Bollinger Bands were closing in and pointed to declining market volatility.
dogwifhat (WIF)
Key points:
WIF’s recent uptrend has been very steep, with buying pressure climbing too.
At press time, WIF was close to breaching the levels it hit in July.
What you should know - Solana-based memecoin WIF has been on a great run lately, with the altcoin on a steep uptrend since mid-September. In fact, such has been its scale of appreciation that WIF is now close to hitting its mid-July levels. In just over a week, for instance, the memecoin registered gains of close to 50% on the charts. A market correction might be in the offing soon though. This, according to the Relative Strength Index, with the indicator heavily overbought at press time.
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