U.S. Bitcoin ETFs rival gold

Reading time: 5 minutes

News | Crypto Converter | Profit Calculator

U.S. Bitcoin ETFs milestone: Over 50% of gold's holdings accumulated

Key points:

• In just 10 months, spot Bitcoin ETFs have gathered assets surpassing 50% of those held by gold ETFs, which have been established for two decades.

• This shift underscores the growing appeal of Bitcoin as an alternative investment to gold.

News - In a remarkable achievement, Bitcoin ETFs have amassed significant assets in less than a year, capturing over 50% of the total net assets held by U.S.-listed gold ETFs, which currently stand at $137.3 billion, according to the World Gold Council. This rapid accumulation highlights a shift in investor sentiment as Bitcoin gains recognition as a viable alternative to traditional commodities.

Shifting investor priorities - The swift growth of Bitcoin ETFs reflects a broader trend where investors increasingly favor digital assets over established commodities like gold. The growing institutional interest and the potential for higher returns are drawing more capital into Bitcoin funds.

Implications for the market - The impressive performance of Bitcoin ETFs indicates a fundamental shift in how investors perceive digital currencies. As Bitcoin competes for investor dollars alongside gold, it could lead to increased market volatility. Furthermore, this trend may encourage the development of more Bitcoin-focused financial products, further integrating cryptocurrencies into mainstream investment strategies.

Tether reports historic $2.5 billion profit in Q3, signaling strong USDT demand

Key points:

• Tether reached a financial milestone of $2.5 billion in Q3 2024, elevating its yearly earnings to $7.7 billion.

• Total assets surged to $134.4 billion, with USDT’s circulating value nearing $120 billion.

News - In Q3 2024, Tether reported a record profit of $2.5 billion, contributing to a total of $7.7 billion in consolidated earnings for the year. The company's total assets rose to $134.4 billion, with the circulating value of its USDT token approaching $120 billion, indicating a significant increase in demand.

Market dynamics - The surge in Tether's profits correlates with a broader increase in cryptocurrency trading activity, as investors flock to USDT for its stability and liquidity. This demand is particularly pronounced during periods of market volatility, where investors seek a safe haven in stablecoins.

Future outlook - As Tether continues to expand its market presence, its record profits may lead to further investments in infrastructure and product development. With USDT becoming an increasingly integral part of the crypto economy, Tether's success could reinforce the growing trend of using stablecoins in various financial applications, from trading to remittances.

DeFi takes center stage in Eastern Europe as crypto market expands

Key points:

• Emerging as the fourth-largest cryptocurrency market worldwide, Eastern Europe now accounts for over 11% of the total crypto value received globally.

• The region has seen a remarkable rise in decentralized finance (DeFi) transactions, which now make up 33% of all crypto activity, totaling over $165 billion.

News - According to the latest Chainalysis crypto adoption report, Eastern Europe received more than $499 billion in cryptocurrency from July 2023 to June 2024. Notably, DeFi transactions represented a significant portion, illustrating the region's pivot towards decentralized finance as a key driver of growth.

Regional dynamics - The report highlights that Russia and Ukraine dominate the crypto transaction landscape in Eastern Europe. Despite the challenges posed by ongoing conflicts and international sanctions against Russia, both countries have seen sustained interest in cryptocurrency.

In Ukraine, the market's expansion is largely fueled by institutional transfers, with substantial transactions exceeding $10 million and numerous mid-sized transfers ranging from $1 million to $10 million occurring throughout 2024.

Implications for the market - The notable increase in DeFi activities in Eastern Europe signals a growing trend towards decentralized financial systems, providing viable alternatives to conventional banking. This evolution may not only reshape local financial practices but also influence global crypto adoption trends and lead to further regulatory discussions.

M2 crypto exchange restores $13M after cyberattack

Key points:

• Centralized cryptocurrency exchange (CEX) M2 experienced a cyberattack resulting in the theft of $13.7 million in Bitcoin (BTC), Ether (ETH), and Solana (SOL).

• The exchange promptly restored all affected user funds and implemented enhanced security measures.

News - On 31 October 2024, M2 reported a security breach leading to the unauthorized transfer of $13.7 million worth of cryptocurrencies from its hot wallets. The stolen assets included Bitcoin, Ether, and Solana. In response, M2 swiftly restored all affected user funds and announced the implementation of additional security protocols to prevent future incidents.

Industry impact - This incident highlights the ongoing challenges in securing digital assets within the cryptocurrency sector. Despite advancements in security technologies, exchanges remain prime targets for cybercriminals. The rapid restoration of funds by M2 demonstrates a commitment to user security and sets a positive precedent for the industry.

Regulatory considerations - The breach underscores the necessity for robust regulatory frameworks to ensure the security and integrity of cryptocurrency exchanges. Stakeholders are calling for standardized security protocols and greater transparency to protect users and maintain trust in the crypto ecosystem.

More stories from the crypto ecosystem

• sUSD hits $10M deposits as Solana ‘overtakes’ Ethereum – Details inside!

• Bitcoin predictions for November 2024 – A move to $84K is likely if…

• Ethereum tops in active addresses: Will this spark a move beyond $2800?

• High stakes for LUNC as token burn approaches: Here’s everything to know!

• Bitcoin Futures Interest hits record high – Here’s Why

Did you know?

• Smart contracts, self-executing contracts with terms coded directly into the blockchain, were first proposed by Nick Szabo in 1994, paving the way for decentralized applications.

• In 2021, over $1.3 billion was lost to hacks in the decentralized finance (DeFi) sector, underscoring the need for better security measures.

• Over 14,000 cryptocurrencies are classified as "dead," indicating they lack active development or trading, highlighting the high volatility in the crypto space.

Top 3 coins of the day

Popcat (POP)

Key points:

• At press time, POP was trading at $1.55.

• It experienced an increase of 1.24% during the trading session, reflecting a continued positive trend.

What you should know:

The daily chart revealed that POP faced several key Fibonacci retracement levels. The primary resistance was at $1.78 (the 1.0 level), serving as a significant barrier for further upward movement. Additional resistance levels included $1.46 (0.786 level) and $1.21 (0.618 level). Support levels were established at $1.04 (0.5 level) and $0.86 (0.382 level), crucial for maintaining bullish momentum. The recent price action indicated that POP has been gaining momentum as it approached these resistance levels, which may lead to potential breakouts. The Relative Strength Index (RSI) at 60.53 suggested that POP was nearing overbought territory, signaling that a pullback could occur if buying pressure weakens. To sustain its upward trend, POP must overcome the $1.78 resistance level.

THORChain (RUNE)

Key points:

• At press time, RUNE was trading at $5.61.

• It experienced a minor decrease of 0.09% during the trading session, following a period of upward movement.

What you should know:

The daily chart indicated that RUNE had been in an upward trend, with price action recently approaching the upper Bollinger Band. This positioning suggested that RUNE was nearing overbought territory, indicating potential resistance ahead​. The significant trading volume pointed to strong investor interest, contributing to the recent price fluctuations. Additionally, the Chaikin Money Flow (CMF) at 0.10 suggested slight accumulation, indicating that buying interest was gradually increasing​. To maintain its upward trajectory, RUNE needs to break through any resistance at the upper Bollinger Band and sustain trading above this level. Conversely, if the price falls significantly, it might test lower support levels.

Mog Coin (MOG)

Key points:

• At press time, MOG was trading at $0.0000019892.

• It experienced a minor increase of 0.09% during the trading session, alongside a notable rise of approximately 14.78% over the past 24 hours

What you should know:

On the daily time frame, MOG was trading above its 50-day Simple Moving Average (SMA), which was positioned at $0.0000015955. This suggested a bullish trend, as the price above the SMA typically indicates upward momentum​. Key support levels were identified at $0.0000019381 and $0.0000013868, while a notable resistance level was observed at $0.0000021711. The Awesome Oscillator (AO) displayed increasing momentum with green bars, indicating strengthening bullish momentum​. Additionally, the volume shown on the chart pointed to significant trading activity, indicating strong investor interest. For MOG to continue its upward trajectory, it should maintain trading above the $0.0000015955 SMA and monitor the key support levels. Conversely, if the price drops below the support level of $0.0000013868, it may indicate a potential pullback and test lower levels.