Robinhood, the popular commission-free trading platform, has unveiled its plans to expand into Europe in the near future, with a focus on establishing brokerage operations in the United Kingdom.
This announcement was made on November 7th, coinciding with the release of the company’s third-quarter financial results, which revealed a revenue miss.
The decline in transaction-based revenue was attributed to reduced cryptocurrency trading volumes on the platform.
In the third quarter, Robinhood reported a net revenue of $467 million, slightly below the average analyst estimate of $478.9 million.
Despite this, the company still achieved a substantial 29% year-on-year growth compared to the same period last year.
Transaction-based revenues saw an 11% decrease, amounting to $185 million, primarily due to a significant 55% drop in cryptocurrency notional volumes over the past year, as stated in Robinhood’s Tuesday announcement.
Interestingly, despite the decline in cryptocurrency trading activity, Robinhood has ambitious plans for its crypto services.
READ MORE: US Lawmaker Proposes Cutting SEC Chair’s Salary to $1
The company recently revealed its intentions to expand its services to the state of Nevada and added support for the meme cryptocurrency Shiba Inu just last month.
When questioned about the expansion into the European Union, Cointelegraph attempted to reach out to Robinhood for more details but has yet to receive a response.
This expansion move comes at a time when some cryptocurrency firms have suspended serving U.K. customers due to new regulations that require crypto firms to provide clear risk labels and implement system changes, which took effect on October 8th.
It’s worth noting that back in June, Robinhood ceased support for cryptocurrencies that were involved in lawsuits with the United States Securities and Exchange Commission, including those related to Binance and Coinbase.
These included assets like Cardano, Polygon, and Solana. Presently, Robinhood offers trading support for 15 different cryptocurrencies, including popular ones like Bitcoin, Ether, Dogecoin, and Avalanche.
Robinhood’s decision to expand into Europe demonstrates its commitment to further globalize its platform and services, despite challenges in the cryptocurrency market and regulatory changes in different regions.
By venturing into the U.K. and potentially other European markets, Robinhood aims to continue its growth and offer its user-friendly trading platform to a broader international audience while adhering to regulatory standards.
Athena Bitcoin, the company overseeing a network of crypto ATMs in El Salvador, has unveiled ambitious plans to incorporate the Lightning Network technology into 100 of these machines over the next few months.
This development comes as Athena Bitcoin Global and Genesis Coin, in a joint effort, have successfully integrated Lightning Network technology into their infrastructure.
Initially, this integration will take place in El Salvador, followed by a broader expansion across Latin America.
The Lightning Network stands as a layer-2 payment protocol designed to enhance transaction efficiency by facilitating faster withdrawals and reducing associated fees.
Moreover, it circumvents the necessity of recording transaction data on the primary network. Remarkably, only a mere 3.7% of the world’s crypto ATMs currently support this cutting-edge technology, as per data from Coin ATM Radar.
Although Athena Bitcoin has yet to provide an official statement in response to inquiries from Cointelegraph, their strategic timeline for Lightning Network adoption is clear.
READ MORE: VARA’s Innovative Crypto Regulations Catapult Dubai into the Global Spotlight
By December 2023, Athena aims to transition 100 of the state-owned Chivo ATMs in El Salvador to Lightning support.
Subsequently, the remaining kiosks, including those bearing the Athena brand, will follow suit in the first quarter of 2024. As it stands, there are presently 215 crypto teller machines situated throughout El Salvador.
Notably, El Salvador’s leader, Nayib Bukele, who played a pivotal role in establishing Bitcoin as legal tender in the country in 2021, has announced his intention to seek re-election as president in 2024. In a recent speech delivered to thousands of Salvadorans,
Bukele declared, “Five more [years], five more and not one step back.” In April 2023, Bukele initiated a bold move to abolish all taxes on technology innovations, a policy shift poised to attract more entrepreneurs and foreign capital to invest in the nation.
Experts such as Gabor Gurbacs, a strategy adviser at investment management firm VanEck, envision the possibility of El Salvador following in Singapore’s footsteps to become a prominent financial center within the Americas.
This integration of the Lightning Network into a significant portion of the country’s crypto ATMs is poised to further enhance El Salvador’s position in the rapidly evolving cryptocurrency landscape, potentially attracting further attention from both investors and innovators alike.
Over the past two weeks, Bitcoin has maintained a relatively tight trading range, fluctuating within a 4.5% margin around the $34,700 mark. Despite this apparent consolidation, the cryptocurrency has experienced notable gains of 24.2% since October 7.
These gains have ignited optimism among investors, driven by the anticipation of the 2024 Bitcoin halving and the possible approval of a spot Bitcoin exchange-traded fund (ETF) in the United States.
However, concerns about a bearish global economic outlook have cast a shadow over the financial markets.
Some experts are apprehensive about macroeconomic data indicating a global economic slowdown, as the U.S. Federal Reserve keeps its interest rate above 5.25% to combat inflation.
Recent data, such as the 6.4% contraction in Chinese exports in October and a 1.4% drop in Germany’s October industrial production, have fueled these concerns.
The global economic uncertainty has also affected other markets, causing WTI oil prices to dip below $78 for the first time since July, despite the potential for supply cuts from major oil producers.
Neel Kashkari, President of the U.S. Federal Reserve Bank of Minneapolis, expressed bearish sentiments about inflation, prompting investors to seek refuge in U.S. Treasurys and driving the 10-year note yield down to 4.55%, its lowest level in six weeks.
Interestingly, the S&P 500 stock market index has defied expectations by reaching 4,383 points, its highest level in nearly seven weeks, amid the global economic slowdown.
READ MORE: Monero Community Crowdfunding Wallet Hacked, Loses Nearly $460,000 in Devastating Attack
This phenomenon can be attributed to the significant cash reserves held by firms within the S&P 500, offering protection in a high-interest rate environment and aligning with investor preferences during uncertain times.
In the cryptocurrency market, Bitcoin’s futures open interest has surged to $16.3 billion, the highest level since April 2022, highlighting growing demand for Bitcoin options and futures.
This increased interest is fueled by the potential approval of a spot Bitcoin ETF and the upcoming Bitcoin halving in 2024.
To gauge market health, analysts are closely monitoring the Bitcoin futures premium, which has reached its highest level in over a year at 11%.
This indicates strong demand for Bitcoin futures, particularly from leveraged long positions. Additionally, the demand for Bitcoin call (buy) options has outweighed put (sell) options, reflecting a 40% bias towards bullish sentiment.
Bitcoin options open interest has also surged by 51% in the past month, reaching $15.6 billion, with growth predominantly driven by bullish instruments.
Despite some skepticism and hedging, Bitcoin’s derivatives market remains robust, with no signs of excessive optimism. This aligns with the prevailing bullish outlook, which targets Bitcoin prices exceeding $40,000 by year-end.
Bitcoin (BTC) experienced its trademark price volatility as a “short squeeze” pushed the market close to the $36,000 mark on November 7th.
Market data from Cointelegraph Markets Pro and TradingView closely tracked BTC/USD as it reacted to significantly elevated open interest (OI) on various cryptocurrency exchanges.
Earlier reports had indicated that the more than $15 billion in OI could trigger a fresh round of market volatility. There was uncertainty regarding whether Bitcoin’s price would decline or rise in response.
Ultimately, short sellers found themselves in a tough spot as Bitcoin rapidly gained ground, reaching just below $35,900.
Prior to this move, popular trader Skew and others had predicted the event. Skew had suggested that momentum would increase rapidly if Bitcoin’s price returned to $34,800—a prediction that came true.
Skew explained, “Open interest is still building up, and it appears that shorts have a larger position in the OI. $34,800 is a key price level for a squeeze.”
READ MORE:Monero Community Crowdfunding Wallet Hacked, Loses Nearly $460,000 in Devastating Attack
On-chain monitoring resource Material Indicators also suggested that $36,000 would likely remain out of reach for the week based on their proprietary trading indicators.
Another trader, Daan Crypto Trades, observed an interesting shift in derivatives composition.
He noted that traders on the largest crypto exchange, Binance, were positioning themselves in a bearish manner compared to those on the exchange Bybit.
However, it was uncertain whether a “long squeeze” would occur.
By comparing the BTC/USDT perpetual swap pairs on both exchanges, he highlighted that Binance was trading at a lower level after the short squeeze.
He concluded, “It will be very interesting to see how this resolves. One thing is clear—Bybit traders are more bullish than Binance traders.”
Financial commentator Tedtalksmacro illustrated the impact of the squeeze on Binance, where short open interest had disappeared.
At the time of writing on November 8th, BTC/USD was trading at $35,300, with open interest still exceeding $15 billion, according to data from on-chain monitoring resource CoinGlass.
The cryptocurrency market remained dynamic and full of surprises, with traders closely monitoring various indicators to make informed decisions.
On November 7th, Bitcoin experienced a dip, falling toward the $34,500 mark, catching the attention of analysts who were closely monitoring the growing open interest (OI) in the cryptocurrency markets.
Data from Cointelegraph Markets Pro and TradingView revealed that Bitcoin was struggling to regain the $35,000 support level.
Amidst the uncertainty in the market, there was a consensus among market participants that volatility was poised to make a return.
The main driver behind this anticipation was the significant surge in open interest within the derivatives markets.
On November 7th, financial commentator Tedtalksmacro noted that almost 10,000 BTC, equivalent to approximately $350 million USD, had been added to the open interest that day, suggesting that fireworks could be on the horizon.
This increase in open interest has historically coincided with periods of heightened volatility in recent months.
At the time of writing, the total open interest had reached nearly $15.5 billion, as reported by CoinGlass. James Van Straten, a research and data analyst at CryptoSlate, highlighted that both the CME exchange, favored by institutional investors, and Binance had recorded substantial open interest figures, with CME setting a new record of 105,380 BTC contracts open, valued at $3.68 billion.
READ MORE: Bitcoin Mining Firm Luxor Technology to Launch Innovative Hash Rate-Backed Investment Product
Van Straten indicated that this trend might signify growing participation in Bitcoin futures, implying either a positive shift in market sentiment or a move by investors towards protective strategies.
J. A. Maartunn, a contributor to the on-chain analytics platform CryptoQuant, voiced concerns over the uncertainty surrounding the impact of increasing open interest.
He pointed out that historically, when this metric surpassed $12.2 billion, it often led to a minimum 20% decline in Bitcoin’s price, warranting significant attention.
Popular trader Skew highlighted the significance of current price levels on shorter timeframes, emphasizing that being on the wrong side of the market direction could lead to challenges and potentially trigger a volatile price reaction.
Looking ahead, the monitoring resource Material Indicators concluded that $36,000 would likely remain a formidable resistance level in the near term.
While it didn’t rule out the possibility of Bitcoin surpassing $36,000 later in the year, the analysis suggested that, at least for the current week, breaching that threshold might be challenging.
It also noted that failure to validate a bullish breakout in the near future could make the previous range low of $25,000 to $28,500 a critical level to watch.
Luxor Technology, a Bitcoin mining firm, is gearing up to launch a unique hash rate-backed product, promising investors returns ranging from 10% to 13%.
This offering distinguishes itself from previous cryptocurrency lending and borrowing platforms like BlockFi and Celsius, which have faced controversy and skepticism.
In a recent episode of the What Bitcoin Did podcast, Luxor’s product was scrutinized for its potential risks.
However, Luxor’s Head of Derivatives, Matt Williams, clarified that their product stands apart due to its foundation in actual proof-of-work and tangible economic activity.
He emphasized that the returns come from miners willingly sharing a portion of their mining margins with investors who finance their operations, not from dubious schemes or rehypothecation.
The process revolves around investors providing Bitcoin as collateral to Luxor, which, in turn, lends it to other miners for their operations.
Profits are generated by acquiring hash rate from Bitcoin miners at a discounted rate and subsequently selling it at a higher price.
Luxor estimates that investors can expect returns between 10% and 13% through this mechanism, facilitated by Luxor’s upcoming hash rate marketplace.
READ MORE: FTX Advisers Share Customer Data with FBI Amid Bankruptcy Proceedings
Importantly, Luxor operates as an intermediary between investors and mining firms, avoiding direct involvement in mining activities.
This structure allows miners to access capital without selling their mined Bitcoin holdings, offering them a more sustainable financial option.
Joe Kelly, the CEO of Bitcoin lending firm Unchained, advised caution for those considering investing or borrowing with Bitcoin.
He emphasized the need for diligent scrutiny and vigilance due to the nascent nature of Bitcoin lending and borrowing markets, referencing previous failures with platforms like BlockFi and Celsius.
Williams emphasized that Luxor’s hash rate-backed product will be available exclusively to individuals who pass the firm’s rigorous due diligence checks.
Luxor acknowledges the inherent apprehension stemming from past failures in the cryptocurrency lending space and plans to mitigate risks by collaborating only with reputable miners and possibly mandating insurance coverage.
While Luxor did not specify a release date for its product, it aims to provide a novel and more secure way for investors to leverage their Bitcoin holdings while supporting the mining industry’s growth.
The anticipation surrounding the potential approval of a Bitcoin exchange-traded fund (ETF) is not only driving up Bitcoin prices but also fueling a renewed enthusiasm for blockchain-based games, according to Animoca Brands founder Yat Siu.
Speaking during Hong Kong Fintech Week, Siu emphasized that the recent price surges in various cryptocurrencies have rekindled investor confidence in the Web3 gaming sector, resulting in increased on-chain activity.
Siu highlighted that token values play a crucial role in instilling confidence among users and providing utility beyond mere monetary gains.
He stressed that confidence in what one owns is just as essential as the financial aspect of investments.
Siu pointed out that when an industry or a country fails to grow despite high prices, people can lose faith in it.
Measuring investor confidence is not a straightforward task, but Siu argued that assessing growth and conviction in the GameFi sector is best achieved by examining on-chain activity closely.
Instead of relying solely on token prices to gauge success, he urged investors to consider various factors, similar to assessing a country’s economy through multiple indicators.
READ MORE: BTC Digital Expands Bitcoin Mining Fleet with 220 New Units
Recent data backs Siu’s assertions. Over the past month, Axie Infinity, the most popular blockchain-based game in Animoca’s portfolio, witnessed a 50% increase in transaction activity and a 14% rise in trading volume, as reported by DappRadar.
Siu emphasized that the entire crypto ecosystem remains heavily reliant on Bitcoin’s growth for its overall success, even as many crypto industry players view their offerings as distinct and separate from the broader market.
He described Bitcoin as the reserve currency of Web3, stating that how it’s used, stored, and owned underpins much of the crypto market’s value.
Siu expressed confidence that the approval of a spot Bitcoin ETF would significantly benefit the entire industry by adding legitimacy and attracting new investments from traditional financial institutions.
He predicted that the crypto sector would eventually outgrow its dependence on Bitcoin, similar to how the global economy moved away from the gold standard.
As populations and economies continue to expand, Siu believes that the crypto industry will evolve into more natural and efficient systems.
However, he acknowledged that despite its substantial $1 trillion size, Web3 engagement remains limited to a relatively small global population.
On November 3, BTC Digital, a China-based company, announced a significant expansion of its Bitcoin mining operations by acquiring 220 new Bitcoin mining units.
This strategic move has boosted their total machine count to 2,174, with a formidable computing power of over 230 petahashes per second (PH/s).
These newly acquired mining units are expected to be fully operational by the end of the month.
The acquisition was executed through agreements with “two unaffiliated third parties,” involving the procurement of Bitmain Antminer S19j Pro units.
In exchange for these mining units, BTC Digital issued 276,572 shares of its ordinary company stock, with a total valuation of $968,800.
It’s worth noting that BTC Digital underwent a name change in August, transitioning from Meten EdtechX Education Group to better align with its current business operations.
BTC Digital is described on the Nasdaq-listed company’s website as a prominent provider of general English language training services in China.
The company boasts a network of learning centers across the nation and offers both online and metaverse-based training programs.
READ MORE: Solana Ecosystem Bounces Back Stronger After FTX Collapse
However, there have been indications, such as a Reddit thread that emerged on November 11, 2022, suggesting that the company abruptly halted its teaching operations.
In late 2021, BTC Digital ventured into Bitcoin mining by deploying 1,482 miners, as mentioned in an undated profile on its website.
These mining farms were situated in the American states of Pennsylvania and Tennessee and operated by third-party entities. CEO Alan Peng expressed his outlook on the recent expansion, stating, “With the recent purchases and our plan to further increase the number of mining machines, we aim to continue improving our financial conditions as well as maximizing value for our shareholders.”
BTC Digital’s market capitalization stood at $3.1 million as of September 28, following a low point of $1.79 per share on September 26.
After rebranding from METX to BTCT on September 28, the company experienced increased trading activity, with shares currently valued at $3.66 at the time of this writing.
It’s worth noting that China initiated a crackdown on domestic Bitcoin mining activities in the latter half of 2021, although the efficacy of these efforts remained partially uncertain.
On November 4th, Bitcoin was on a quest to surpass the $35,000 mark as weekend trading activities continued to exhibit upward consolidation trends.
Market data from Cointelegraph Markets Pro and TradingView indicated that BTC’s price support remained resilient even after the closure of Wall Street trading.
Despite experiencing intraday lows the previous day, Bitcoin managed to maintain its short-term price floor at $34,000, effectively passing the test.
This performance had traders eagerly anticipating potential upward movements, making Bitcoin a preferred choice among investors.
In a recent video update, the well-known trader Credible Crypto highlighted the likelihood of Bitcoin surpassing the $35,000 threshold as the next logical step.
Credible Crypto employed Elliott Wave analysis and identified three crucial price levels to monitor: $34,314, $34,714, and $35,119, representing the lower limit, midrange point, and upper limit of the expected range.
Credible Crypto emphasized the importance of successfully reclaiming the midrange level, indicating a shift from a recovery based on range lows to one based on midrange levels.
READ MORE NIST and Department of Commerce Launch AI Safety Institute Consortium
This approach was bolstered by robust trading volume, which Credible Crypto described as a “significant event,” along with a general reluctance to sell at the current price levels.
As traders contemplated the weekend and the upcoming weekly close, Daan Crypto Trades drew attention to the proximity of the CME Bitcoin futures closing price on November 3rd.
CME futures “gaps” had historically been closed in line with BTC’s spot price, with a notable exception near $20,000. This anomaly contributed to bearish predictions of a potential return to that price level in the months ahead.
Additionally, another trader named Jelle highlighted the significance of the 200-period exponential moving average (EMA) as a critical support line on 1-hour timeframes.
Crypto Tony, on the other hand, shared his strategy with subscribers, indicating that he would consider a hedge short position if Bitcoin dropped below $34,100, while still maintaining his long position as long as Bitcoin held above $33,000.
In summary, Bitcoin was aiming to surpass the $35,000 mark, with traders closely monitoring key price levels and indicators to determine the cryptocurrency’s future trajectory amidst the ongoing market consolidation.
Marathon Digital has embarked on a groundbreaking initiative to mine Bitcoin using eco-friendly power generated from methane gas harvested from a landfill site.
This off-grid pilot project, boasting a 280-kilowatt (kW) capacity, is currently operational in the state of Utah.
Collaborating closely with Nodal Power, a company established in November 2022, Marathon has taken the lead in harnessing energy from landfill gas across the southeastern United States and Texas.
Notably, Nodal Power successfully secured $13 million in funding during an August seed round to manage two prominent sites, one of which houses a cutting-edge data center.
Marathon’s visionary mission extends beyond this pioneering project, as the company aims to validate its ability to capture methane emissions from landfills, convert these emissions into electricity, and subsequently employ this electricity to power Bitcoin mining operations.
Marathon’s CEO, Fred Thiel, expressed his optimism regarding the venture, stating, “Should the results of the pilot project meet our expectations, we look forward to expanding our footprint in this area and helping landfill operators and others meet their environmental targets.”
This endeavor aligns with a growing trend in the Bitcoin mining industry, where green energy solutions are highly sought after.
READ MORE: Turkey Takes Aim at Crypto Regulation to Escape FATF Grey List
For instance, Genesis Digital Assets Limited established an 8-megawatt facility in Sweden in August that relies on hydropower, further highlighting the industry’s commitment to sustainability.
Marathon’s commitment to sustainability doesn’t stop at landfill projects. In late October, the company inaugurated a state-of-the-art 200-MW immersion-cooled facility in Masdar City, Abu Dhabi, a model of sustainable living.
Additionally, a report released by Marathon in the same month emphasized the practicality and advantages of crypto mining at landfill sites, not only for miners and landfill owners but also for the environment.
This initiative gains significant importance considering that methane emissions, as per the United Nations, have a far more detrimental impact on the environment than carbon dioxide emissions.
Despite reporting second-quarter earnings that fell short of expectations, Marathon achieved a milestone by mining a record 2,926 Bitcoins in the same period.
Their Q2 revenue also surged, with a year-on-year increase of 228% to reach $132.8 million.
Marathon Digital’s commitment to sustainable and environmentally conscious Bitcoin mining marks a promising step towards a greener and more responsible future for the cryptocurrency industry.