CRYPTO NEWS DIGEST 21 FEB 24
BlackRock’s iShares Bitcoin Trust (IBIT) exchange-traded fund (ETF) has achieved a milestone by amassing over 100,000 BTC, making it the first spot Bitcoin ETF in the US to hit this mark within 22 days of its launch, standing out among the other nine spot Bitcoin ETFs, excluding the Grayscale Bitcoin Trust ETF (GBTC).
MicroStrategy, the largest corporate Bitcoin holder, is nearing eligibility for the S&P 500 index, signaling the potential for Bitcoin companies to feature in numerous portfolios. Despite needing to meet stringent criteria and achieve a significant market cap increase, the company recently advanced to 535th in the rankings of the largest publicly listed US companies, after its stock price surged 46% over an eight-day period.
Coinbase Global’s shares neared a two-year high, surging 14% to $189.28 and increasing its market value by over $5 billion, following the crypto exchange’s first quarterly profit since 2021. This upturn was driven by a spike in trading volumes ahead of the approval of spot bitcoin ETFs, with trading fees benefiting from heightened investor interest in cryptocurrencies like Bitcoin, particularly since the latter half of 2023.
Worldcoin, a cryptocurrency project co-founded by OpenAI CEO Sam Altman, saw its native token surge over 140% in the past week, reaching over one million daily users. This milestone was announced in an X post on Monday, highlighting the growth of the crypto wallet application, dubbed “World App,” from just 100,000 daily active users in November 2023 to over a million.
South Korea’s ruling People Power Party is advocating for a two-year postponement of cryptocurrency gains taxes, aligning with its campaign promises for the April general election. According to reports, the party favors the establishment of a comprehensive crypto framework before implementing taxation, arguing that taxes on crypto gains should be deferred until such a framework is in place.
Technical Overview (BTC)
Bitcoin’s value has surged by 23% since early February, holding steady above $50,000 amidst market volatility. The total market capitalization of cryptocurrencies is nearing the $2 trillion threshold. The decrease in Bitcoin’s market dominance below 54%, coupled with the rising value of altcoins, signals growing momentum across the wider crypto market. The anticipated Bitcoin halving event is approximately two months away, with Bitcoin now reaching levels last seen in November 2021.
Breaking past the January high of $49,000 showcased significant bullish momentum, marking a continuation of the upward trend. The market is now testing resistance at $53,000, matching last week’s high and aligning with the peak of December 2021. Overcoming this resistance, along with maintaining levels above $50,000 during any pullbacks, sets the stage for an advance towards the all-time high of $69,000. Yet, the journey towards this milestone views the $60,000 level as a crucial psychological barrier.
RSI readings exceeding 70 indicate an overbought market following the rapid increase since late January, suggesting a potential correction as the market adjusts to the recent surge. In the short-term Bitcoin is consolidating between $50,500 and $53,000, maintaining bullish momentum while the price remains above $50,500. Falling below this level may lead to a short-term trend reversal, possibly triggering a correction down to the previous week’s low of $48,000..
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