Tag: Bitcoin News

The Tesla CEO shared the reason he supports DOGE over BTC in the presence of hundreds of people. 

Tech billionaire and Tesla CEO Elon Musk has revealed why he supports Dogecoin (DOGE) over the leading cryptocurrency, Bitcoin (BTC). 

Musk is known for his outspoken support of crypto assets and his ability to move markets with his tweets. Musk recently spoke at the ‘WE ARE GIGA’ event in Berlin, Germany, where he openly expressed his love for Dogecoin.

He spoke on a stage in the presence of hundreds of people and called “Dogecoin to the moon” as the crowd roared and cheered.   

Why Musk Supports Dogecoin

In the event, the billionaire stressed that the reason he supports the memecoins is because a lot of “regular” people at his companies wanted him to support it. 

“Many people don’t know why I support Dogecoin. While I was walking around the factory in Tesla, a lot of regular guys said, ‘Hey, can you support DOGE?’ Even at SpaceX, people working at factories, regular guys said ‘Please support DOGE’,” he explained. 

Musk said he then decided to support the memecoin since it is the currency of the poor people.

“…I was like, you know what, DOGE is people’s crypto. I will support it. A lot of rich people support Bitcoin, but I will support Dogecoin. You know what, Dogecoin is for you (the regular people), and I will support it,” he continued. 

Tesla to Accept DOGE?

During the event, an attendee asked the billionaire when DOGE could be used as a payment method for Tesla; the billionaire replied it could soon but he did not give a specific date for it.  

“When can you buy a Tesla with Dogecoin? At some point, I think we should enable that,” Musk said.

Meanwhile, the tech billionaire announced in late 2021 that Tesla would accept DOGE as a payment method.

Despite Musk supporting Dogecoin over Bitcoin, his companies Tesla and SpaceX are BTC holders, with the electric car manufacturer holding the largest bag. CryptocurrenciesToWatch previously reported that Tesla currently holds 11.5k BTC ($780M) across 68 addresses, and SpaceX holds approximately 8.29k BTC ($560M) across 28 addresses.

It remains unclear how the wallet owner acquired the bitcoins, but crypto community members believe the assets were mined in a single block.

A Bitcoin address holding 50 bitcoins (BTC) worth $3.67 million at current prices has woken up from a 13.9-year slumber.

BTC Address Awakes From 13.9-Year Slumber

According to a tweet from Whale Alert, the wallet owner has moved 20.99 BTC worth $1.46 million from their holdings to the largest American crypto exchange, Coinbase. 

It remains unclear how the wallet owner acquired the bitcoins, but members of the crypto community believe the assets were mined in a single block, and the Bitcoiner may have recently regained access to their account.

At the time the bitcoins were created in 2010, the leading digital asset was worth less than $0.20, and the wallet owner’s stash was valued at $10. BTC eventually closed the year at $0.30. 

Thirteen years down the line, BTC has increased by more than 114 million percent to over $70,000, pushing the Bitcoiner’s stash to roughly $3.7 million, giving the crypto user a massive return on investment.

Bitcoin After 13 Years

Over the last decade, bitcoin has experienced remarkable growth and development within its ecosystem and in the real world. Bitcoin has evolved into a network encompassing BRC-20 tokens and non-fungible tokens (NFTs) following the launch of the Ordinals protocol.

Most recently, the leading digital ecosystem unlocked a level of institutional adoption after the United States Securities and Exchange Commission approved the launch of several spot Bitcoin exchange-traded funds (ETFs), which track the price of BTC in real time. Even the world’s largest asset manager, BlackRock, and other prominent investment firms, including Ark Invest, Fidelity, Galaxy Digital, Grayscale, and 21Shares, are among the issuers of the spot Bitcoin products.

As of March 13, the spot Bitcoin ETFs had accumulated more than 800,000 BTC worth $56 billion at current prices and recorded net inflows surpassing $11 billion. The exchange-traded products witnessed inflows of $1 billion on March 12 alone.

Meanwhile, Bitcoin is set to undergo its fourth halving event in mid-April. The halving will slash its block rewards by 50% from 6.25 BTC to 3.125 BTC, significantly reducing the rate at which bitcoins are produced daily. The event will also play a major role in reducing the asset’s inflation rate.

Spot Bitcoin Exchange-Traded Funds (ETFs) in the United States have reached new heights after achieving an astonishing $1.05 billion daily inflow this week.

According to SoSo Value data, the daily net inflow increased to approximately 56% compared to the net inflow of $673 million on February 28. Some viewers on the X platform expressed excitement for the new milestone, while others argue it is only the beginning.

According to SoSoValue data, on March 12, the total net inflow into Bitcoin spot ETFs reached $1.05 billion, setting a new record for the highest single-day net inflow since the first trading day of the ETF, representing an increase of approximately 56% compared to the net inflow… pic.twitter.com/om83JbhG0r

— Wu Blockchain (@WuBlockchain) March 13, 2024

Increaseing Inflows on Spot ETFs

On January 11, 2024, the U.S. Securities and Exchange Commission (SEC) approved the first wave of spot Bitcoin ETFs, which consisted of 11 ETF applications, after several months of close meetings with the applicants.

Spot Bitcoin ETFs are designed to track bitcoin’s price movements directly, thus providing investors with exposure to the world’s leading cryptocurrency without the complexities of holding and managing the digital asset.

According to recent data, BlackRock’s IBIT has recorded an inflow of $849 million. At the same time, ARK 21Shares Bitcoin ETF (ARK), VanEck Bitcoin Trust ETF (HOLD), and Fidelity Advantage Bitcoin ETF (FBTC) accounted for relatively modest contributions of $93 million, $82.9 million, and $51.6 million, respectively.

Bitcoin to $300k?

Commenting on the milestone, on-chain crypto analyst Willy Woo noted that Spot ETs are opening the inflow “pipes” on the Bitcoin network. 

“Daily inflows of capital being stored by the Bitcoin network just hit $2b per day; that’s the level we hit in the last full-blown bull regime. This time, it should climb much higher,” he said.

Meanwhile, bitcoin’s recent price rally, surpassing previous all-time highs, has further sparked interest in the crypto market, with more investors flocking in. Some experts believe the digital asset could reach as high as $150,000 before the end of the bull market. 

Grayscale intends to charge a management fee lower than that of GBTC and fair enough to compete with other products.

Grayscale Investments, one of the leading asset management firms in the United States, has submitted an application to the country’s Securities and Exchange Commission (SEC) to launch a mini spot Bitcoin exchange-traded fund (ETF).

According to a tweet announcing the filing, the Grayscale Bitcoin Mini Trust, with the ticker symbol $BTC, will have a lower fee and come from a spinoff from the Grayscale Bitcoin Trust (GBTC).

Grayscale is one of the issuers of the ten spot Bitcoin ETFs currently in the market. The asset manager initially launched GBTC in 2013 as a trust fund available only in over-the-counter markets after the SEC rejected its proposal to release the product as an ETF.

Grayscale Unveils Mini Bitcoin ETF

Following GBTC’s conversion into an ETF in January, Grayscale has charged a management fee of 1.5%, much higher than other funds, including BlackRock’s IBIT and Fidelity’s FBTC. The high fees propelled the mass exodus of investors from GBTC, resulting in outflows exceeding $11 billion and BTC holdings falling 30%.

Although Grayscale is yet to disclose the management fee of the new mini spot Bitcoin ETF, the firm intends to charge an amount lower than that of GBTC and fair enough to compete with other products. Upon regulatory approval, a to-be-determined amount of the BTC backing GBTC shares would be used to seed the new fund.

“Pending approval, we plan for this new ETF to launch with a materially lower fee. This would be net-positive for existing GBTC investors, who would benefit from a lower blended fee with the same exposure to Bitcoin, spanning ownership of shares of both $GBTC and $BTC,” the asset manager stated.

Helping Long-term GBTC Holders

Bloomberg analyst James Seyffart believes the spinoff mechanism would help long-term GBTC holders, especially the taxable ones who were stuck with potential capital gains tax. He sees $BTC as “a nice middle ground” between Grayscale trying not to diminish their revenue and helping GBTC users.

As for the $BTC ticker, Seyffart revealed Grayscale gained ownership of the symbol when the company acquired an equity stake in ClearShares, an investment advisory firm that once changed their bond ETF symbol to the ticker.

Meanwhile, Grayscale’s proposal to launch $BTC comes as bitcoin smashed its all-time high to record a new peak of $73,000.

Analysts from Bernstein have shared some of the reasons why they think BTC will reach $150,000. 

Following the spot Bitcoin Exchange-Traded Funds (ETF) approvals about two months ago by the United Stares Securities and Exchange Commission (SEC), private wealth management firm Bernstein has expressed positivity in bitcoin (BTC) price, predicting that the digital asset would trade at $150,000.

According to a report from CNBC late last year, Bernstein predicted that the bitcoin price would go up to around $150,000 if bitcoin ETFs were approved. Although the company earlier in 2018 ruled off bitcoin as an investment asset, the private wealth manager has expressed confidence in bitcoin regaining and increasing in value beating its all-time high. 

After BTC reached a new all-time high of $72,400 on Monday, Bernstein expressed stronger conviction in its BTC prediction to jump to more than double its current market price. 

What Will Push BTC to $150k?

Bernstein analysts, Gautam Chhugani and Mahika Sapra, emphasized the impact of the spot bitcoin ETF approval.

“We estimated $10 billion inflows for 2024 and another $60 billion for 2025. In the last 40 trading days since ETF launch on Jan 10, Bitcoin ETF inflows have crossed $9.5 billion already,” they said.

Considering the inflow of money into spot bitcoin ETFs, confidence levels in BTC price increase keep rising.

Bernstein also noted that the upcoming bitcoin halving event set to happen next month will strongly contribute to BTC achieving the $150,000 target.

Chhugani and Sapra further highlighted in a Monday note that these are just the early stages of what is expected of the leading digital asset. 

Additionally, the analysts expressed belief in Bitcoin mining as another profitable means of investing in BTC.

“We believe bitcoin miners are still largely retail-traded stocks and institutions have largely stayed away from bitcoin proxies, as traditional investors remain skeptical and still approach crypto with a rear-view bias,” the duo said.

Further, the wealth manager stated that private banks and some other financial institutions have not gotten complete exposure to spot bitcoin ETFs. So, once they do, there’ll be more bitcoin investors and a jump in price, the firm said.

Bitcoin Hits New ATH

Meanwhile, following the US Consumer Price Index (CPI) announcement this afternoon, BTC reached a new all-time high of $73,000 and continues bullish as many investors realize its potential and continue to acquire more bitcoins.   

Following the bitcoin (BTC) jump to over $72,000 to create a new all-time high earlier today, MicroStrategy has announced its purchase of an additional 12,000 BTC to increase its bitcoin portfolio.

MicroStrategy’s Bitcoin Latest Bitcoin Purchase

Announcing the purchase on X, MicroStrategy’s Executive chairman, Michael Saylor, said the company had spent an extra $821.7m to acquire more 12,000 bitcoins at an average price of $68,477 per BTC. The purchase started on 26th February, same the day the company announced its last purchase of about 3,000 BTC for $155 million. And It lasted for 13 days till 10th March.

Before the bitcoin purchase, Saylor announced that MicroStrategy had raised an extra $800 million through convertible notes to invest in Bitcoins. These notes bear an interest of 0.625% per annum which can be paid in arrears on March 15 or September 15 each year till 2030 when the notes will mature. As part of the agreement, the notes can also be bought back before the maturity date. 

MicroStrategy’s Current Bitcoin Holdings Value

Currently, MicroStrategy now has 205,000 bitcoins acquired for $6.91 billion at $33,706 for per coin. By current market price, the company’s bitcoin portfolio is worth around $14.76 billion. This is 113.6% unrealized profits of about $7.85 billion. Notably, MicroStrategy now holds 0.98 percent of bitcoin’s total supply. 

Following the latest purchase announcement, Saylor was interviewed by CNBC, where he argued that Bitcoin is going to eat Gold. He further noted that the crypto asset has all the great attributes of Gold and none of the bullion’s defects.

Saylor explained that Bitcoin is a digital property that is superior to Equity or real estate because it is digital, available, global, ethical, and useful to millions of companies and billions of people.

With bitcoin price going up to about $72,000, it is now trading at above $1.4 trillion market capitalization, trades solidly now as the 13th largest currency in the world, and continues to exhibit bullish signs just some days before the bitcoin halving event set to happen next month.

Bitcoin reached a new all-time high (ATH) of $72,242.51 on Monday, March 11. 

The world’s largest cryptocurrency Bitcoin (BTC) has breached the $72,000 mark, marking a significant milestone in its price history. 

The crypto asset, which was trading at around $62,000 just a week ago, increased by over 17% within 24 hours, bringing its price and market capitalization to new heights. 

Bitcoin Takes Crypto to New Highs

Speaking on the latest feat, market strategist Nick Cawley noted that BTC started the new week with a price surge, pulling the entire crypto industry to new highs. 

He added that BTC production rate would get tighter by April when the fourth halving event occurs. Recall that the Bitcoin protocol goes through a halving event every four years to reduce the rate of new coin production by half. In other words, bitcoin miners will receive 50% less reward for the next four years. 

Investors Bet on $70,000 BTC

Meanwhile, Bitcoin recorded an ATH barely three months after the first wave of spot Bitcoin exchange-traded funds (ETFs) were approved in the United States. Following the approval of  the ETFs, the market’s reaction mixed, leading to fluctuations in bitcoin’s value. Analysts anticipate a significant price surge in the long run, with some predicting the price of BTC could surpass the $100,00 mark. 

These forecasts hinge on factors such as investor adoption rates, regulatory clarity, and overall market conditions. While the approval of spot Bitcoin ETFs marks a significant milestone, it is crucial for investors to stay mindful of the volatility. 

An earlier report revealed that investors are bullish on bitcoin while betting on the asset to smash the $70,000 mark sooner than later.

It is worth noting that despite the significant price increase since the start of the year, bitcoin’s price remains highly volatile, as regulatory bodies caution investors. The crypto market is known for its swift fluctuations; prices can experience sudden corrections at any time. Nonetheless, investors have maintained an optimistic view about the future of the crypto asset.   

According to weekly data from the U.S. Commodity Futures Trading Commission, asset managers currently hold the biggest bullish position in BTC futures on record. Early this month, the net long position held by asset managers, usually seen as indicative of institutional investors like mutual funds and pension funds, rose to 15,531 lots, valued at $5.5 billion based on bitcoin’s current price.   

According to recent findings, bitcoin investors and traders are highly confident in the digital asset’s potential to hit above the $70,000 mark and beyond. 

The cryptocurrency, known for its volatile nature, has gained significant attention from investors globally. Many are setting sights on substantial profits amid ongoing market fluctuation.  

Investors are focusing beyond bitcoin’s 2021 price record, and even before it has been broken. However, according to data from Deribit and Amberdata, there are growing expectations for a run to hit as high as $70,000, $75,000, and $80,000 by the end of March. 

Moreso, bitcoin rose as much as 5.7% to $66,460 on Monday, placing it within striking distance of its all-time high mark. Furthermore, the broader acceptance of Bitcoin and other crypto assets as conventional investment options has increased adoption and demand. 

Analysts highlight several causes that could boost bitcoin beyond the $70,000 mark in forthcoming weeks and months, which include growing adoption by institutional investors and favourable regulatory developments. 

At the time of writing, bitcoin was trading at $66,894, fluctuating back and forth. Bitcoin is designed to have a fixed supply cap of 21 million coins. This scarcity is deliberate, emulating the scarcity of precious metals like gold and designed to prevent inflation by ensuring that the supply cannot be increased at will​​​​. 

Despite the bullish sentiment surrounding the digital asset, analysts warn about bitcoin’s vulnerability to abrupt price fluctuations and market volatility. Additionally, analysts pointed out factors that could impact Bitcoin’s price in the short term, including geopolitical tension. 

Notably, while traders are bracing for a potential rally to record a new all-time high, the crypto community is advised to stay vigilant. With Bitcoin taking the lead, the crypto asset ecosystem stands poised for further expansion and innovation. 

According to market data provider Kaiko, Bitcoin’s trading volume hit $46 billion, considered its highest since 2021. Leading crypto exchange accounted for roughly 50% of the total trading volume, which reached $23.84 billion. 

The $46 billion figure represents a notable surge of 650% compared to the $6.616 billion BTC spot trading volume recorded at the start of the year. Earlier this month, the volume stood at $16.46 billion; on March 4, it reached $30.72 billion.

For the first time in two weeks, Changpeng Zhao (CZ), the founder and former CEO of the popular cryptocurrency exchange Binance, published a tweet, reminding everyone that Bitcoin (BTC) is back.

CZ Breaks Silence

Since CZ stepped down as CEO of Binance in November 2023, he has been almost silent on X with only a few posts unrelated to bitcoin. But, observing the pump in bitcoin price over the past few days as it attempts to beat its previous all-time high he has broken the silence.

In a tweet earlier today, the Binance founder simply quoted an older tweet of his from September 2022. Following the bitcoin fall below $19k in September 2022, there was a Bloomberg post saying that bitcoin looks like a faded fad. CZ, who has always been bullish on BTC, takes a screenshot and saves the post for future reference. Amidst the bitcoin pump this week, he has just referred to that post. The current jump in bitcoin price speaks against the content of that post.

In connection to the same tweet, he referenced another post from a Bloomberg article posted in December 2018 referring to bitcoin as a bubble that has popped due to its crash in price by around 80%. The post countered bitcoin, mentioning that it has various limitations including volatility which makes it an unreal asset to invest in. 

Analyzing losses encountered by various investors who bought at the top, the post says “There is no obvious reason why it made sense for the world to believe that bitcoin was the currency of the future.” CZ referred to the post to remind haters what they have said years back and prove that he still believes in bitcoin as a good long-term store of value. 

Bitcoin Continues Bullish Trend

When CZ shared the tweet, bitcoin was trading at about $68,000 with a market cap of over $1.3 trillion which is higher than many fiat currencies and popular world companies. 

Currently, the bullish trend continues as bitcoin still trades between $67,000 and $68,000. BTC is just less than $1k away from its previous all-time high of $69,000 and creating a new high in its history.    

Earlier today, the world’s first cryptocurrency Bitcoin rose above $67,000 for the first time since November 2021 and is just $2K away from its previous all-time high. The Swiss Franc CHF, on the other hand, rose a little after the release of a slightly stronger-than-expected CPI report.

However, the pump by the Swiss CHF didn’t last for long as the inflation percentage still lay below what the Swiss National Bank targets. Thus, the currency still lies weak. According to information from Fiat Market Cap, CHF currently has a market capitalization of 19,285,015 BTC, which is 359,535 BTC below bitcoin, which currently trades at 19,644,550 BTC market cap.

Amidst the uptrend in price and market cap, bitcoin is the only cryptocurrency to rank among the world’s 15 largest currencies competing with and beating many fiat currencies including the Swiss franc CHF today to rank 13th with the Taiwan Dollar ahead of it in the 12th position. 

Why Is Bitcoin Pumping?

Earlier this year, the U.S. Securities and Exchange Commission (SEC) approved the first batch of  Spot Bitcoin exchage-traded funds (ETFs). With the approval, many investors have the opportunity to acquire bitcoins without having to understand the blockchain technology or pass through the stress of cryptocurrency exchanges. This has introduced many investors into the bitcoin market. 

Additionally, Bitcoin Halving is set to take place next month in April 2024. Bitcoin halving is an event that reduces the supply of bitcoin mined per block by 50%. After the halving in April, the bitcoin block reward should reduce to 3.125 bitcoins per block. Many investors are currently in the market to acquire enough BTC as the halving increases the scarcity of the asset. This may have contributed to the recent pumps in bitcoin price. 

Meanwhile, it is impossible to determine how high bitcoin will go or whether there will be a significant price correction before the halving event occurs.