Bitcoin is currently trading sideways at around $40k at the time of writing after a day of relative inactivity. The largest cryptocurrency by market cap spent much of the day around this key level yesterday as the bears took a short breather. Altcoins, on the other hand, posted slight losses during this time, with a few exceptions. More on that later.
In other news, recent research from Glassnode shows that roughly 3/4 of BTC addresses are still making a profit despite the recent price drop from the 2022 high near $48k. More on that later.
The NBA’s premier basketball team, the Golden State Warriors, has unveiled a new NFT collection to commemorate their important preparation for the 2022 playoffs. The San Francisco-based team aims to embrace the NFT industry and connect with users of this industry looking for basketball collectibles. .
The third richest Mexican has warned of high US dollar inflation in the near future. He suggested people who have a lot of dollars to buy Bitcoin to save their skin. Ricardo Salinas Pliego, who has a net worth of $13 billion, recently told his story of living with hyperinflation in the Central American country decades ago. While Mexicans generally view the dollar as a safe haven, he cautions against it, believing the dollar will also depreciate significantly.
The entire stablecoin economy is growing at a rapid rate. It is just $10 billion away from a massive $200 billion market capitalization and is expected to reach this level in the near future. USD Tether (USDT) alone is now worth around $83 billion with all coins in circulation, and others are rapidly catching up as well.
Major blockchain network Celsius has announced that it will only award rewards to US-based accredited investors. The decision comes after the lender came under new government regulations in the US. Only US customers can earn interest through from the DeFi platform lending program, which can seriously hamper your progress.
Crypto mixers are increasingly being targeted by governments around the world. Mixers introduce anonymity to BTC transactions by taking different transactions and mixing them with others’ coins, creating a result that is much harder to trace. Mixers were recognized as a major threat early on. They are now subject to the Anti-Money Laundering (AML) Regulations.
The inflation-hit US dollar again shows that the US consumer price index (CPI) rose to 8.5%. This is the highest inflation rate in the country in the last 41 years. Bitcoin is touted as a real alternative to holding cash and that sentiment persists.
The lack of financial services, especially for the unbanked, is accelerating the adoption of cryptocurrencies in Nigeria. KuCoin’s Crypotverse report shows that citizens have started using digital currencies as a viable alternative to store and transfer assets.
Indian exchange volumes have witnessed a sharp 30% drop as the 30% crypto tax came into effect. The government recently introduced this unfair crypto tax on users to visibly put pressure on the industry.
Bitcoin price stable at $40k
Bitcoin spent most of yesterday trying to hold the $40k resistance and has largely succeeded. However, the future could lead to more bearish pressures.
The last 24 hours started with the BTC rate at around $39.7k. It traded sideways for a while before starting to climb at 7am. At one point it recorded a 24-hour high of $40.8K, before falling to just below $40K. Tonight, the price has slowly risen again to just above $40,000. No large price movements were reported during this period.
Bitcoin is currently in a bearish pattern that has reduced its value from around $48,000 less than 11 days ago to $40,000 now. The price is expected to face more downward pressure. The bulls appear to be in deep disarray.
The total market capitalization of Bitcoin was approximately $750 billion and its share of the crypto market was 41.5%.
Losing Altcoin Books
Other cryptocurrencies, also known as altcoins, have seen some losses in the last 24 hours, with a few exceptions. Terra (LUNA, -3.5%), Dogecoin (DOGE, -2%) and Polkadot (DOT, -2%) posted the biggest losses. Shiba Inu (SHIB, 10%) won thanks to its listing on Robin Hood.
In other news….
More than 3/4 of Bitcoin addresses still make a profit
Despite the recent downturn in the market, the number of Bitcoin addresses still making a profit is more than 3/4 of the total. This shows the long-term nature of Bitcoin buyers and their tendency not to sell off prematurely.
More than 60% of the trading volume is in the so-called profit domain region. This means that the operations have benefited from having the crypto. This shows the strong reputation of the crypto market as a whole.