Bitcoin Nears All-Time High

Meanwhile, memecoins and real-world assets are thriving.

View or listen in browser April 8, 2024 Bitcoin Nears All-Time High Dear Subscriber, By Marija Matic The cryptocurrency market is experiencing a resurgence of enthusiasm after last week’s mixed headlines, which included ...  Terraform Labs and Do Kwon being found liable for fraud in their trial against the U.S. Securities and Exchange Commission. The FTX estate's over-the-counter sale of their Solana (SOL, “B+”) coins, which in turn fueled demand for SOL by large funds. The release of a Solana promotional video that was supposed to entice developers away from the Ethereum (ETH, “B+”) network and onto Solana but instead sparked conflict between the two communities. Ripple’s (XRP, “B-”) announcement of its own USD-backed stablecoin that will launch on both the Ethereum and XRP Ledger networks while Ethena Labs revealed additional BTC backing for their growing USDe stablecoin. Bitcoin Cash (BCH, “C”) completing its second block reward halving, but despite a recent 63% surge, the coin remains far below its all-time high and struggles with low adoption. But regardless of all this noise, inflows into the spot Bitcoin (BTC, “A”) ETFs continues, with BlackRock and others still accumulating the digital asset.  In fact, the ETFs have added another 4,153 BTC — or over $298 million in value — today. In total, these investment vehicles added a combined $607 million worth of Bitcoin, proving institutional interest even during periods of volatility. Driven by renewed buying pressure and the anticipation of the upcoming Bitcoin halving, the total crypto market capitalization has surged over 4%.  Bitcoin itself has climbed above $72,000, while many coins are currently attempting breakouts from bullish technical patterns, suggesting further potential upside. Here’s a better look at Bitcoin’s attempt at a breakout from its bullish pennant pattern: Click here to see full-sized image. If successful, we’ll likely see a new all-time high reached very soon. Following behind, Ethereum is also attempting to break its significant resistance of $3,660: Click here to see full-sized image. We take time to look at Bitcoin and Ethereum in each issue because they are the best indicators for broad market performance at this time. And indeed, if they confidently break through overhead resistance, we’ll  see the rest of the market follow. But don’t misinterpret this focus to mean they are the only crypto projects worth looking at.  While our market leaders ­— and some other notable large-cap cryptos — are eying breakouts that could be reached with the modest daily moves, projects on other networks are experiencing significant growth, especially if they are in a particularly appealing sector.  Just take Base network, for example. This is another Ethereum Layer-2 solution. And while memecoins definitely have been the talk of the market so far this bull, memecoins built on Base are averaging a 27% gain today.  Click here to see full-sized image. Another sector that’s thriving while our market leaders eye their next step higher is real-world assets, or RWAs.  These are cryptos that represent digital ownership of a physical asset, thus deriving their value from that asset’s existence outside of the blockchain. Boson Protocol (BOSON, Not Yet Rated), a leader in this space, saw its token value surge by 28% today. Its platform facilitates the tokenization and trade of physical assets as redeemable NFTs, with the aim to revolutionize e-commerce.  And again, we see evidence of institutional interest. This sector’s recent success follows BlackRock’s decision to tokenize its fund, signaling its strong investor interest. And where BlackRock goes. That’s bullish for the broad market.  Notable News, Notes & Xeets Since their inception, Bitcoin ETFs have brought in an average of $213 million per day. The community of the largest perpetuals decentralized exchange, dYdX, votes to stake $60 million from the treasury to boost security. Binance executive Tigran Gambaryan pleads not guilty as the judge sends him to Nigerian prison.  Terraform Labs and its founder Do Kwon have been found liable for civil fraud in an SEC trial. What’s Next Digital asset investment products continue to see inflows even after a recent market pullback, sending a clear message that institutional interest is still strong. Last week, $646 million entered the space and pushed the year-to-date inflows to a record-breaking $13.8 billion.  Underlying trends in the macroeconomy are also contributing to a more positive outlook for cryptocurrencies. Declining inflation and a stable job market are creating a more favorable environment for riskier assets like crypto.  Additionally, the upcoming election cycle might be fostering policies that prioritize economic stability, potentially benefiting crypto markets. With Bitcoin's block reward halving just twelve days away, significant market volatility is anticipated though.  Investors should be prepared for price fluctuations as the market reacts to this highly anticipated event. That means leaving the FUD — fear, uncertainty and doubt — and FOMO — fear of missing out — at the door and letting only data and fact guide your financial decision making.  The last thing you want to do when investing is make an emotional snap decision. It also means keeping up to date with everything crypto as things heat up. And you can keep doing that with your Weiss Crypto Daily updates, so look to your inbox tomorrow for our next edition. Best, Marija Matić Follow us:   11780 US Highway 1, Palm Beach Gardens, FL 33408-3080, USA Would you like to edit your e-mail notification preferences or unsubscribe from our mailing list? Copyright © 2024 Weiss Ratings. All rights reserved.