In a strategic move to address its financial obligations, the insolvent cryptocurrency lending entity Genesis reportedly disposed of roughly 36 million shares in the Grayscale Bitcoin Trust (GBTC), aiming to bolster its Bitcoin holdings to facilitate debt settlements with its creditors.
A Bloomberg article recently highlighted this significant transaction, noting the liquidation of these shares on April 2, which at the time were valued at around $58.50 each.
This disposal came after a notable increase in share value, approximately 50% since Genesis sought approval from a bankruptcy court in the United States to sell the GBTC shares on February 2, when their price stood at $38.50.
The aggregate sales proceeds amounted to $2.1 billion, enabling Genesis to acquire 32,041 Bitcoin at a price point of $65,685 each on the same day.
The firm intends to utilize this Bitcoin cache in its ongoing efforts to repay its creditors.
At the time this information was disclosed, the acquired Bitcoin stash was valued at $2.18 billion.
In light of these developments, Coinbase, a leading cryptocurrency exchange, reassured the market that this substantial sell-off was unlikely to destabilize the broader crypto market.
“Our view is that much of these funds will likely remain within the crypto ecosystem, contributing to a neutral overall effect in the market,” Coinbase remarked.
READ MORE: Anthropic AI Unveils Game-Changing ‘Tool Use’ Beta for Claude, Empowering Real-Time Data Integration
They elaborated that the bankruptcy plan’s provisions permitted Genesis to either directly convert the GBTC shares into Bitcoin for creditors or sell the shares and distribute the proceeds in cash.
This move follows assertions from the Digital Currency Group (DCG), which contended that its subsidiary, Genesis, had proposed compensating its customers beyond what they were actually entitled to.
Cointelegraph, on February 6, reported DCG’s statement that Genesis’s proposed plan would result in lenders receiving “hundreds of millions of dollars more than the full amount of their petition date claims.”
Genesis’s strategic financial maneuvering comes after its Chapter 11 bankruptcy filing in January 2023, marking a critical phase in its efforts to stabilize its operations and fulfill its financial commitments to creditors.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
As the crypto community turns its gaze toward the upcoming Bitcoin halving event, many anticipate it to be a pivotal moment for a potential surge in Bitcoin’s price.
Nevertheless, Coinbase, a leading cryptocurrency exchange, suggests that the timing of this event might pose challenges.
In its market commentary report dated April 5, Coinbase emphasized the need for the crypto market to identify a new narrative to sustain price increases across various cryptocurrencies.
The exchange pointed out, “The BTC halving, currently due April 20 or 21, could be a catalyst for higher prices, but it will have to contend with what is typically a weak time of year for crypto markets and other risk assets.”
Historically, the period from June to September has yielded an average monthly return of about 2.7% for Bitcoin since 2011.
This is significantly lower compared to the average return of 19.3% observed in the other eight months of the year, as per data from Brave New Coin.
Furthermore, Coinbase has observed a slowdown in overall crypto volumes, indicating a market in search of a compelling story to drive its next growth phase.
Over the past day, total crypto volumes saw a 33.25% decline, totaling $61.78 billion, based on CoinMarketCap data.
READ MORE: Crypto Trader Skyrockets Investment from $13,000 to $2 Million with Novel Memecoin on Base
Despite these challenges, Coinbase sees potential for an influx of new investors into the crypto market, particularly due to Bitcoin’s growing reputation as “digital gold.”
This could foster demand from a new investor demographic, enhancing Bitcoin’s dominance, which stands at 50.6% of the total crypto market capitalization, according to CoinStats.
Coinbase also suggests that future market dips may be more aggressively bought up by investors than in previous cycles, owing to an increased investor base and continued market volatility.
Historically, Bitcoin halving events have been precursors to significant price increases. Following the last halving in May 2020, Bitcoin’s value saw a dramatic rise from $8,787 to nearly $69,000 by November 2021.
In legal developments, Coinbase scored a victory on April 6 when the United States Court of Appeals for the Second Circuit ruled in its favor, stating that the exchange’s secondary sales of cryptocurrencies did not breach the Securities Exchange Act.
The ruling was a significant win for Coinbase, which argued against the applicability of securities regulations to secondary crypto asset sales, despite allegations of selling unregistered securities and violating securities laws.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
The increasing frequency with which Bitcoin attains higher support levels combined with a lack of significant speculation in the derivatives markets implies a slim chance of its price dropping to $50,000 in the near future, says Dylan LeClair, a senior analyst at UTXO Management.
In his analysis dated April 7, LeClair posits that a rise in Bitcoin’s price to the $70,000-$75,000 bracket could exert substantial pressure on short sellers.
LeClair observes, “As we’ve consolidated, an increasing amount of short liquidations are building from 70-75k.”
Data from CoinGlass suggests that a surge to $70,000 could trigger liquidations worth approximately $174.17 million.
Should Bitcoin reach $75,000, it would lead to the liquidation of about $830 million in short positions, indicating a potential price increase of 7.8% from its present $69,344.
This forecast mirrors a similar 7.5% decline on March 15, which resulted in $525.2 million of liquidations.
Despite the possibility of a significant drop in Bitcoin’s price to $50,000 triggering massive liquidations of long positions, LeClair deems such a scenario unlikely given the pattern of higher lows and the current stability of the derivatives market.
READ MORE: SEC Enforcement Director Defends Crypto Regulation Approach Amid Industry Criticism
He acknowledges the possibility but considers it improbable, citing Bitcoin’s last fall below $50,000 on February 13 to $49,725, after touching $50,000 the day prior—a milestone not seen since December 2021.
Supporting his analysis, LeClair refers to recent developments like BlackRock’s update to its Bitcoin ETF prospectus on April 5, which now includes five prominent Wall Street firms as new authorized participants, including ABN AMRO Clearing, Citadel Securities, Citigroup Global Markets, Goldman Sachs, and UBS Securities.
The crypto community is also closely watching Bitcoin’s price as it approaches the halving event scheduled for April 20, which reduces miner block rewards by 50%.
Historical data indicates a 658% price surge since the 2020 halving. Should trends follow suit, Bitcoin could potentially reach $434,280 by the 2028 halving.
Rekt Capital, a noted crypto trader, optimistically suggests to his 443,000 followers that the market is in the early stages of a bull phase, hinting at substantial room for upward movement in the short term.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
With the Bitcoin “halving” event drawing near, the cryptocurrency community is abuzz with predictions, some even suggesting a surge to the $100,000 mark.
Bitcoin‘s price has recently seen a slight increase, reaching $69,395.
This halving, which is expected to happen this April, will reduce mining rewards by half, from 6.25 to 3.125 bitcoins.
Such events, occurring every four years, aim to limit Bitcoin supply and have historically led to price volatility.
Analysts at Steno Research speculate this occasion might follow a “buy the rumor, sell the news” pattern, similar to what was observed in the 2016 halving.
The anticipation builds as the market awaits to see the effect of reduced supply against the backdrop of stable demand.
Coinbase recently celebrated a legal victory that could enhance investor confidence, potentially influencing Bitcoin’s market performance.
The U.S. Court of Appeals for the Second Circuit ruled that Coinbase’s secondary cryptocurrency sales do not contravene the Securities Exchange Act.
This decision is significant for the cryptocurrency exchange and its users, possibly encouraging more trading activity.
Ethereum also remains a focal point in the digital currency sphere.
READ MORE: SEC Enforcement Director Defends Crypto Regulation Approach Amid Industry Criticism
Despite being 20% below its peak, Ethereum leads the decentralized finance (DeFi) sector, commanding over 60% of its market value.
Its recent Denchun update promises enhanced functionality and reduced transaction fees on Layer 2, solidifying its position in the DeFi space.
Such developments not only boost Ethereum’s appeal but may also impact Bitcoin positively by fostering trust in cryptocurrencies.
In a bold move, Genesis acquired $2.1 billion in Bitcoin, trading off 36 million GBTC shares.
This purchase, executed amid a Chapter 11 bankruptcy filing, aims to settle debts and enhance Genesis’s Bitcoin reserves.
Despite potential market concerns, Coinbase anticipates that this influx of capital will remain within the crypto ecosystem, likely pushing Bitcoin’s demand and price upward.
Bitcoin’s technical indicators show a bullish sentiment, with the Relative Strength Index at 61 and the 50-day Exponential Moving Average supporting an optimistic outlook.
The market seems primed for an upward trajectory, provided it stays above a critical support level.
On a lighter note, the crypto world is set to welcome Slothana ($SLOTH), a meme coin leveraging Solana’s blockchain efficiency.
Its presale offers an early investment opportunity in what could be the next meme coin sensation, drawing lessons from previous successes in the space.
This event underscores the diverse and ever-evolving nature of the cryptocurrency market, offering various avenues for investment and speculation.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
In a significant move to address its financial obligations, the bankrupt cryptocurrency lending firm Genesis has converted roughly 36 million shares of the Grayscale Bitcoin Trust (GBTC) into Bitcoin, gearing up to settle its debts with creditors.
This conversion was executed on April 2, with the GBTC shares valued at approximately $58.50 each at the time of liquidation, according to Bloomberg.
This decision comes after the GBTC share price witnessed a substantial 50% increase since Genesis initially received approval from the U.S. bankruptcy court for the share sale back in early February when shares were valued at $38.50.
The liquidation of GBTC shares culminated in a $2.1 billion revenue for Genesis, which it used to purchase 32,041 Bitcoin at $65,685 per Bitcoin on the same day.
This purchase is aimed at fulfilling the firm’s obligations towards its creditors, with the acquired Bitcoin currently valued at around $2.18 billion.
The cryptocurrency community has been closely monitoring this large-scale transaction, concerned about its potential impact on the market.
Coinbase, however, has offered reassurances, suggesting that the move is likely to have a neutral effect on the market as the funds remain within the cryptocurrency ecosystem.
This is part of Genesis’s bankruptcy plan, which permits the firm to either directly convert the GBTC shares into Bitcoin for creditors or sell them and distribute the proceeds.
READ MORE: DogWifHood (WIF) Braces for Explosive Price Rally After Binance Tweet Sparks Listing Speculation
This development follows an assertion by the Digital Currency Group that its subsidiary, Genesis, is committed to repaying its customers beyond their due entitlements.
Furthermore, Genesis recently announced a settlement agreement with the SEC, agreeing to a $21 million payment to resolve a civil lawsuit related to its operations, including the temporary suspension of withdrawals from Gemini Earn following the FTX bankruptcy, citing market turmoil and liquidity challenges.
Genesis’s financial troubles became more pronounced after the SEC’s lawsuit led to its bankruptcy filing earlier last year.
Additionally, a recent court ruling has allowed the SEC’s lawsuit against Gemini and Genesis to proceed, dismissing motions by both companies to dismiss the lawsuit, which involves allegations of selling unregistered securities through the Gemini Earn program.
This legal development underscores the ongoing challenges and regulatory scrutiny facing the cryptocurrency industry.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
In the first quarter of 2024, Pantera Capital’s Liquid Token Fund delivered an impressive 66% return, buoyed by strategic investments in various crypto tokens, including the notable Solana (SOL).
A shareholder letter obtained by Bloomberg reveals that the fund’s stellar performance from January through March also benefited from investments in Ribbon Finance (RBN) and Stacks, even as it scaled back on Bitcoin and Ether exposures.
Cosmo Jiang, the portfolio manager, shared with Bloomberg the fund’s strategic shift away from Bitcoin, noting a significant reduction in Bitcoin holdings since the year’s start.
Jiang emphasized the deliberate reduction in Bitcoin exposure, stating, “We’d been pretty heavy in Bitcoin until the start of the year, and I really like each month we’ve decreased that Bitcoin position meaningfully.”
Market data indicates the success of this strategy, with the RBN token surging by 400.43% year-to-date, and SOL’s gains registering at 69.88%.
READ MORE: SEC Enforcement Director Defends Crypto Regulation Approach Amid Industry Criticism
These figures markedly outpace Bitcoin’s 62.59% appreciation within the same timeframe.
Founded in November 2017, the Pantera Liquid Token Fund is tailored for accredited investors, offering a portfolio of 10–20 liquid tokens with a focus on decentralized finance (DeFi).
This investment vehicle demands a minimum commitment of $100,000 from its participants.
Pantera Capital, managing assets worth $5.2 billion, is a pioneer in the cryptocurrency investment space.
The firm recently acquired SOL tokens formerly owned by the defunct crypto exchange FTX, investing approximately $250 million for tokens valued at $64 each, which is roughly 60% below their current market value.
The surge in SOL’s price is largely credited to its growing dominance in the blockchain market and the burgeoning popularity of memecoins.
Memecoins like Dogwifhat and Bonk, along with new entrants such as Cat in the Dogs World and Book of Meme, have seen rising interest.
CoinShares reports reveal that institutional investors contributed almost $25 million to SOL-based investment funds in March, further bolstering the token’s value in the market.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Bitcoin‘s rising appeal as a safe haven asset amid global financial uncertainties is notably highlighted by Cathie Wood, CEO of ARK Invest, in a recent CNBC interview.
Wood articulates the unique dual nature of Bitcoin (BTC) as both a risk-on and risk-off investment, indicating its complex role in the current financial landscape.
The introduction of new exchange-traded funds (ETFs) in the United States has certainly contributed to the growing mainstream acceptance of Bitcoin in 2024.
However, Wood suggests there’s a deeper narrative unfolding beyond the institutional engagement with BTC.
She points out the significant opportunities BTC presents to ordinary citizens worldwide, especially against the backdrop of currency devaluation in various countries.
Wood specifically mentions the severe depreciation of currencies like the Nigerian naira and Egyptian pound against the U.S. dollar, attributing these downturns to deliberate government actions rather than market dynamics.
She interprets this trend as a clear move towards Bitcoin as a “flight to safety” and a protective measure against the erosion of wealth and purchasing power.
READ MORE: Bitcoin Cash Surges Ahead of Second Halving Event, Reaches Record Open Interest in Futures
The discussion further delves into how Bitcoin’s appeal has been bolstered by recent financial crises, including the U.S. regional banking crisis last year and the Greek financial crisis in 2013.
Wood views Bitcoin as a form of insurance against the consequences of poor fiscal and monetary policies globally.
Despite ARK’s ETF facing competition from leading asset managers and experiencing unusual net outflows of nearly $90 million recently, Wood’s conviction in Bitcoin remains strong.
These outflows, she suggests, might relate to routine financial operations like quarterly rebalancing, as noted by the trader Daan Crypto Trades on the social platform X.
Furthermore, Wood’s bullish outlook on Bitcoin’s future is underscored by her prediction of a $1 million price tag before 2030, driven by a surge in institutional investment.
She believes that the full potential of the market has yet to be realized, signaling her ongoing support for Bitcoin amidst fluctuating market dynamics and ARK’s recent fund performance challenges.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
Over the past 14 years since Bitcoin’s inception on January 3, 2009, investors have found nearly every day to be profitable, with only six days not yielding returns, according to an analysis.
This remarkable statistic underscores Bitcoin’s success, with 99.92% of all days proving profitable for those holding the digital currency.
Recently, Bitcoin reached a record price of $73,600 in mid-March, a boon for all BTC holders as their investments increased in value.
The cryptocurrency has since stabilized in the $68,000–$70,000 range, showcasing its enduring appeal and resilience against market volatility.
Despite the general profitability, a small fraction of Bitcoin transactions made during specific periods in March are currently at a loss, reflecting the inherent risks and fluctuations in the cryptocurrency market.
These unprofitable transactions account for just 0.16% of the 3,732 tradable days, emphasizing the rarity of loss-making investments in Bitcoin.
The distribution of Bitcoin holdings among wallets offers insights into the investment patterns and financial commitment of the community.
The majority of Bitcoin wallets, 86.28%, contain up to $1,000, demonstrating widespread participation with smaller amounts.
READ MORE: Bitcoin Cash Surges Ahead of Second Halving Event, Reaches Record Open Interest in Futures
A smaller percentage of wallets hold higher values, with 13.03% between $1,000 and $10,000 and just 0.69% holding over $100,000, highlighting the varying levels of investment within the Bitcoin ecosystem.
Bitcoin’s resilience through bear markets and its ability to consistently recover enhances not only investor confidence but also the mining community’s prospects.
These dynamics bolster the network’s security and contribute to a vibrant ecosystem.
The anticipation around the fourth Bitcoin halving event, expected on April 20, 2024, is generating excitement and strategic accumulation of BTC by both institutions and private investors, expecting a significant impact on Bitcoin’s value.
Amid these developments, the mining sector is preparing for the post-halving era, which will see mining rewards halved to 3.125 BTC.
Canadian firm Bitfarms, for instance, is investing nearly $240 million in upgrading its mining equipment to stay competitive.
Jeffrey Lucas, CFO of Bitfarms, highlighted the strategic importance of this upgrade, noting it will substantially increase the company’s scale, profitability, and efficiency in the face of halving rewards, positioning Bitfarms favorably within the mining industry.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
BlackRock, a leading global asset manager, recently revised its Bitcoin ETF (Exchange-Traded Fund) prospectus, introducing five prominent Wall Street firms as authorized participants.
This amendment, filed with the U.S. Securities and Exchange Commission on April 5, highlights the inclusion of ABN AMRO Clearing, Citadel Securities, Citigroup Global Markets, Goldman Sachs, and UBS Securities.
These firms join the ranks of existing participants such as JPMorgan Securities, Jane Street Capital, Macquarie Capital, and Virtu Americas, playing a vital role in the ETF’s operational framework by facilitating the creation and redemption of shares.
Authorized participants are instrumental to the ETF’s function, having the ability to exchange ETF shares for a basket of securities that mirrors the fund’s holdings or for cash.
This structure is critical for maintaining the ETF’s liquidity and aligning its share price with the underlying Bitcoin market value.
The addition of these new participants was seen positively by Eric Balchunas, a Bloomberg analyst, who interpreted it as a sign of growing interest from major financial institutions in the Bitcoin ETF space.
He remarked that these “big-time firms now want a piece of action and/or are now OK being publicly associated with this.”
In response to concerns over market manipulation, the Securities and Exchange Commission (SEC) has advocated for a cash creation and redemption mechanism for Bitcoin ETFs.
This model, differing from the traditional in-kind exchange, requires that ETF shares be created or redeemed through cash transactions.
This strategy aims to prevent potential intraday price manipulation by ensuring transactions are settled in cash, following the guidelines laid out by asset managers including Hashdex.
READ MORE: How to Earn with Toncoin On its Popularity Peak?
Leading asset managers like BlackRock, ARK Invest, and Grayscale have since adopted this mechanism in their filings, reflecting a sector-wide shift towards enhanced regulatory compliance.
March saw a notable increase in Bitcoin ETF trading volumes, with figures reaching $111 billion. However, some analyses suggest a cooling demand for these products.
Despite this, BlackRock’s iShares Bitcoin Trust (IBIT) remains at the forefront of the market in terms of trading volume and assets under management.
As of April 1, IBIT’s assets were reported at $17.6 billion, outpacing competitors such as Grayscale and Fidelity according to BitMEX Research.
This ongoing evolution of the Bitcoin ETF landscape marks a significant milestone in the integration of cryptocurrency investments within the traditional financial ecosystem.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.
On April 5, Bitcoin displayed resilience in the face of United States inflation indicators, buoyed by the anticipation of increased institutional investment.
Despite broader market anxieties, Bitcoin (BTC) found robust support, propelling its value to $68,630 post-Wall Street’s opening bell, as evidenced by data from Cointelegraph Markets Pro and TradingView.
Hovering around $68,000, the cryptocurrency’s uptick seemed to align with announcements that BlackRock, the globe’s premier asset manager, was integrating top U.S. banks into its Bitcoin exchange-traded fund (ETF) initiative, signaling a significant move towards mainstream financial acceptance.
The ETF’s inclusion list, revealed in an online document, boasted industry giants such as Goldman Sachs, Citadel, UBS, and Citigroup.
Eric Balchunas, Bloomberg Intelligence’s senior ETF analyst, commented on the development, stating, “Takeaway: big time firms now want piece of action and/or are now OK being publicly associated w this.”
He attributed the burgeoning interest in Bitcoin to the success and substantial inflows witnessed by the ETFs.
Indeed, the landscape of Bitcoin investment has dramatically evolved, with nine recent products cumulatively managing over 500,000 BTC as of April 4, excluding assets in the newly converted ETF, the Grayscale Bitcoin Trust.
This growing institutional foothold has notably shielded Bitcoin from adverse market reactions to U.S. inflation trends, particularly following unexpectedly robust employment data which hinted at a prolonged period of elevated interest rates by the Federal Reserve.
The CME Group’s FedWatch Tool further underscored this sentiment by dialing back expectations for a rate cut within the year.
Market analysis from Daan Crypto Trades highlighted a significant interaction with sell-side liquidity at market open.
CoinGlass data also pointed to a buildup of sell orders past the $69,000 mark, marking a critical juncture for Bitcoin’s immediate price trajectory.
Jelle, another trader, underscored the cryptocurrency’s ability to establish a higher low on hourly charts, suggesting a potential for continued upward momentum.
“Break $69,000 and all bets are off,” he remarked, reflecting a cautiously optimistic outlook for Bitcoin’s near-term price movement.
To submit a crypto press release (PR), send an email to sales@cryptointelligence.co.uk.