El Salvador’s Bitcoin Investment Has Netted $85 Million In Profits Thanks To BTC Price Record Highs

By Brenda Ngari – March 12, 2024

Salvadoran President Nayib Bukele’s decision to purchase Bitcoin (BTC), the world’s oldest and largest cryptocurrency, has certainly paid off. BTC’s latest rally to new all-time highs has thrust the Central American nation’s BTC portfolio into the black by $85 million, data indicates.

BTC Profits Hit $85 Million

Bitcoin was first adopted as legal tender in El Salvador in 2021, and since then, the country’s stockpile has gone from crypto winter rags to record riches. Since President Nayib Bukele announced that his government would start buying 1 BTC per day, it has accumulated roughly 2,861 BTC — according to the NayibTracker website — acquired at an average cost of $42,600. At Bitcoin’s new all-time high of $72,710 on March 11, this was worth over $207 million. He spent over $122 million on the cryptocurrency, meaning he’s up over $85 million.

El Salvador’s embrace of the benchmark cryptocurrency has proved contentious both at home and abroad, with the passing of the historic “Bitcoin Law” welcomed by protests, while everyone from university professors to the World Bank and U.S. lawmakers slagging off Bukele’s “careless gamble.”

However, the pro-Bitcoin president, who in February was reelected in a landslide presidential election victory — has been unfazed by the criticism, forging ahead with the tiny Latin American nation’s plans for a Bitcoin City — a tax-free city powered by a volcano and financed by BTC-backed bonds.

Bukele indicated in a March 12 post that El Salvador is accruing even more BTC in the form of revenue from other avenues. This entails revenue from the “freedom visa” passport program, which converts Bitcoin to United States dollars for local businesses, BTC mining, and revenue from government services.

El Salvador announced the visa program in December, offering foreigners a passport and residency if they invest $1 million in Bitcoin or Tether’s USDT. Months before that, in October, the nation launched its first local BTC mining pool in collaboration with Volcano Energy and Luxor Technology.

Venture capitalist Tim Draper recently suggested that El Salvador will be able to fully pay off its IMF debt if Bitcoin hits $100,000 and thereafter become financially independent.

DISCLAIMER: None Of The Information You Read On ZyCrypto Should Be Regarded As Investment Advice. Cryptocurrencies Are Highly Volatile, Conduct Your Own Research Before Making Any Investment Decisions.

The original article written by Brenda Ngari and posted on ZyCrypto.com.

Article reposted on Markethive by Jeffrey Sloe

** Loans, secure funding for business projects in the USA and around the world. Learn more about USA & International Financing at Commercial Funding International. **

Tim Moseley

Bitcoin Breaks Past $71,000 For First Time Ever, Overtaking Silver’s Market Cap

By Brenda Ngari – March 11, 2024

Bitcoin has registered a significant milestone, eclipsing the market capitalization of silver as it topped $71,000 for the first time ever.

The world’s largest and oldest crypto has been on a steady uptrend since the landmark approval of the spot BTC exchange-traded funds (ETFs) in the US. BTC jumped past the $70,000 threshold for the first time in history on March 8. The Bitcoin price hit a high above $70K then, followed by a swift correction to the mid-$68,000 zone. Days later, BTC has burst above $71K, logging a fresh all-time high.

Bitcoin Breaches $71,000

Bitcoin was trading for $71,733 at press time, a 2.9% jump over the last 24 hours. According to CoinGecko data, the alpha crypto has gained roughly 10.4% over the past week and 53.1% during the last month.

Following the new record high, Bitcoin has become the eighth-largest asset in the world after its market capitalization surpassed the $1.383 trillion market cap of silver, the second-biggest precious metal in the world.

Bitcoin boasts a market value of $1.409 trillion, trailing behind Microsoft, Apple, Nvidia, Saudi Aramco, Amazon, and Google parent company Alphabet. Gold has long held the top spot with its $14.685 trillion market cap.

The bullish BTC rally comes on the back of a very successful week for spot ETFs. As per data from BitMEX Research, these products witnessed more than $2.2 billion in inflows last week. As of last Friday, BlackRock’s IBIT spot ETF had amassed approximately $13.6 billion in assets under management.

Since their debut, the ETFs have absorbed 4.06% of the current Bitcoin supply, as observed by Dune. At this rate, ETFs are projected to suck up 8.65% of the BTC supply annually.

Another factor boosting the price of Bitcoin is the approaching halving event, in which the amount of BTC given as a reward to Bitcoin miners for processing new blocks on the network will be slashed in half. This April halving will see the reward lowered to 2.125 BTC from 6.25 BTC, subsequently reducing the amount of Bitcoin issued every day by circa 900 BTC, worth roughly $73 million.

Meanwhile, other major cryptos, including ether (ETH), have also seen substantial gains, with the second-largest jumping above the $4,000 milestone. Ether has some bullish news of its own as a catalyst this week. In just two days, the Dencun upgrade will go live. Dencun is expected to dramatically enhance network scalability and reduce transaction fees for Layer 2 blockchains.

DISCLAIMER

The views expressed in the article are wholly those of the author and do not represent those of, nor should they be attributed to, ZyCrypto. This article is not meant to give financial advice. Please carry out your own research before investing in any of the various cryptocurrencies available.

The original article written by Brenda Ngari and posted on ZyCrypto.com.

Article reposted on Markethive by Jeffrey Sloe

** Loans, secure funding for business projects in the USA and around the world. Learn more about USA & International Financing at Commercial Funding International. **

Tim Moseley

Here Are The Most Bullish Bitcoin Predictions For 2024

By Olivia Brooke – March 10, 2024

The most valued cryptocurrency by market capitalization has maintained its position above $60,000 for over ten days. With a continued increase in price value, market participants are making bold long-term and short-term predictions for the asset. The bullish sentiments are mostly backed by a handful of fundamental factors that key players expect to drive prices to new highs.

Making a bullish price forecast, on-chain analyst Willy Woo is convinced that Bitcoin can go above $100,000 within the next 22 months. As such, Woo expects Bitcoin to maintain stability above its current levels for the rest of 2024.

He cites BlackRock and Fidelity as factors that could propel this price upswing.

As he explained in a post shared with X, formerly Twitter,

“BTC price will go past $125k minimum before the end of 2025 just from Blackrock and Fidelity clients if they rotate 3% exposure to Bitcoin. These are their most optimistic portfolio allocation recommendations: Blackrock ($9.1T): 84.9% and Fidelity ($4.2T): 3%.”

Responding in affirmation to comments from an X user, who insisted that the prediction was rather conservative, the on-chain analyst noted that the prediction was modest as it is only $13.3 trillion of the $500 trillion global wealth.

Peter Brandt increases his Bitcoin price prediction to $200,000

Bernstein analysts recently made another bold price prediction led by Gautam Chhugani. The analysts observed that Bitcoin is on an 18-month path to $150,000. They credited the price upsurge to the unprecedented institutional adoption.

Peter Brandt, the CEO of global trading firm Factor LLC, has recently emerged as one of the most bullish crypto proponents.

The veteran crypto trader made an even more bullish prediction after Bitcoin surpassed $57,000, following the approval of 11 Bitcoin Spot ETFs. Brandt raised his initial price prediction by $80,000.

"With the thrust above the upper boundary of the 15-month channel, the target for the current bull market cycle scheduled to end in Aug/Sep 2025 is being raised from $120,000 to $200,000 … A close below last week’s low will nullify this interpretation.” Peter Brandt wrote.

As demand for ETFs intensifies, market players firmly hold on to their bullish take. The upcoming halving scheduled for April is another factor that could boost price value.

Bitcoin was trading for $69,385 at this time while the market continued in an upward direction. Analysts are calling $80,000 a near-term price point for Bitcoin.

DISCLAIMER: None Of The Information You Read On ZyCrypto Should Be Regarded As Investment Advice. Cryptocurrencies Are Highly Volatile, Conduct Your Own Research Before Making Any Investment Decisions.

The original article written by Olivia Brooke and posted on ZyCrypto.com.

Article reposted on Markethive by Jeffrey Sloe

** Loans, secure funding for business projects in the USA and around the world. Learn more about USA & International Financing at Commercial Funding International. **

Tim Moseley

Bitcoin Explosion To $300,000 Looms, Tether Co-Founder Opines. Here’s Why This Bull Rally Could Be The ‘Biggest’ One Yet

By Brenda Ngari – March 8, 2024

After Bitcoin (BTC) recently hit a new all-time high above $70,000, analysts and investors are looking out for the next potential milestone for the maiden cryptocurrency.

Tether pioneer William Quigley suggests the ongoing bull run could outshine all previous ones, and there is room for BTC to surge to as high as $300,000.

Bitcoin On Track For $300,000?

This current Bitcoin bull run stands out in several ways. For one, as Tether co-founder William Quigley explained in a recent interview with CNBC, the market is in “better shape” fundamentally than it was before the May halving in May 2020. He cited the shiny new spot Bitcoin exchange-traded funds (ETFs) and the high derivative volumes.

Bitcoin’s upswing in recent weeks has coincided with the accelerating inflows into the spot ETFs. Notably, these products have amassed more than $53 billion in assets under management as of March 7 since their debut in January.

Quigley noted that the upcoming block subsidy halving typically drives the price of Bitcoin higher. In his view, should history repeat itself with a successful breakout higher, BTC price will be targeting prices north of $300,000 — a 350% growth from its current price level.

“I’m not predicting this, I’m just saying if you apply historical patterns, it would suggest Bitcoin being in excess of $300,000 at the peak of this next bull market,” Quigley clarified.

Bitcoin investors have historically welcomed the quadrennial halving event, which cuts the rewards earned by miners by half. The next halving is anticipated in mid-April, a countdown clock indicates.

“Bitcoin is maybe the only globally traded asset that I know of whose demand is purely based on sentiment,” the Tether co-founder posited.

“There’s not a Bitcoin company, there’s not a Bitcoin price-to-earnings ratio, it’s just a sentiment-driven token. And what you can say about that is sentiment has no limits. You can always be more optimistic, and so this rally may be the biggest we’ve seen.”

Concerns Over BTC Price Pullback Remain

While halving is considered a bullish tailwind for BTC prices, not everyone is feeling hopeful about what the coming months hold.

Venturefounder, a contributor to blockchain analytics provider CryptoQuant, postulated that both Bitcoin and the largest altcoin, Ethereum (ETH), must make a more decisive break of current all-time highs. He referenced the impending decision over whether or not to greenlight U.S.-based spot ETH ETFs.

“If BTC and $ETH fail to make a definitive new ATH breakout in March, I think it’s more likely we see more downside in April/May leading to the halving and ETH ETF approval,” he predicted.

According to Venturefounder, “March is probably the most important month of this cycle following such bullish February month.”

Moreover, JPMorgan analysts have previously suggested in a research report that the halving will hurt miners’ profitability, given the slashed rewards and higher production expenses, which ultimately could lead to Bitcoin falling to $42,000 “once Bitcoin-halving-induced euphoria subsides after April”.

DISCLAIMER

The views expressed in the article are wholly those of the author and do not represent those of, nor should they be attributed to, ZyCrypto. This article is not meant to give financial advice. Please carry out your own research before investing in any of the various cryptocurrencies available.

The original article written by Brenda Ngari and posted on Zycrypto.com.

Article reposted on Markethive by Jeffrey Sloe

** Loans, secure funding for business projects in the USA and around the world. Learn more about USA & International Financing at Commercial Funding International. **

Tim Moseley

Satoshi’s Prophecy: Another Bank Plummets While Bitcoin Soars

By Bary Rahma
7 March 2024, 00:30 GMT+0000

In brief

NYCB's stock value plummeted over 40% amidst financial health concerns, while Bitcoin soared to a new high of $69,000.

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The bank's struggles, including a $2.4 billion loss and leadership changes, contrast starkly with Bitcoin's robust growth.

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Bitcoin's demand surges as shown by record-high accumulation addresses and ETF holdings, despite potential corrections.

In a dramatic turn of events that echoes the prescient warnings of Satoshi Nakamoto, the creator of Bitcoin, the financial system witnessed another stark contrast between the faltering traditional banking sector and the growing cryptocurrency market.

The spotlight shone brightly on New York Community Bank (NYCB), which experienced a precipitous decline in its stock value. It plunged over 40% in the wake of alarming revelations about its financial health and management disruption. This turbulence occurred against Bitcoin’s 58% year-to-date ascent to a fresh all-time high of $69,000.

NYCB Goes Bust While Bitcoin Hits Record Highs

The plight of NYCB, a regional lender based in Hicksville, New York, became public knowledge when it disclosed a “material weakness” in its internal controls. This led to a staggering $2.4 billion loss for shareholders last quarter.

A leadership reshuffle compounded the bank’s woes. Alessandro DiNello assumed the roles of president and CEO while a series of credit rating downgrades pushed NYCB’s debt into junk territory.

This series of misfortunes mirrored the earlier collapse of First Republic Bank. Therefore, it hinted at a potential systemic issue within the regional banking sector. Still, NYCB grappled with its internal turmoil and secured a major cash infusion amid the possible erosion of depositor confidence.

“In evaluating this investment, we were mindful of the Bank’s credit risk profile. With the over $1 billion of capital invested in the Bank, we believe we now have sufficient capital should reserves need to be increased in the future to be consistent with or above the coverage ratio of NYCB’s large bank peers,” Former United States Secretary of the Treasury Steven Mnuchin said.

NYCB Price Performance. Source: TradingView

This financial distress starkly contrasted with the flourishing crypto market. Unprecedented investment and accumulation of Bitcoin have signaled a robust vote of confidence from both new and veteran investors.

Significant inflows into accumulation addresses underpin Bitcoin’s resilience and growth. Likewise, growing exchange-traded fund (ETF) holdings reflect an increasing Bitcoin demand that contrasts with the instability plaguing the traditional banking industry.

This divergence reflects a broader shift in investor sentiment, seeking refuge in what many perceive as a more decentralized and secure financial future.

“The total Bitcoin holdings of accumulation addresses also reached record-high levels. The total holdings at these addresses are now 1.5 million Bitcoin. These addresses denote investors that only accumulate Bitcoin and have never sell, so the accelerating growth in their Bitcoin holdings is a sign of strong demand,” analysts at CryptoQuant told BeInCrypto.

Bitcoin Accumulation Addresses. Source: CryptoQuant

However, it is not all smooth sailing for Bitcoin. Despite the growing demand and reaching new price heights, other indicators suggest Bitcoin might be entering an overheated phase. These metrics reveal a complex time where rapid gains could precipitate equally swift retractions.

 

“A short-term pause/correction may be brewing as prices have increased too fast in relation to key on-chain metrics… Moreover, traders’ unrealized profit margins are now above extreme levels, which can anticipate selling pressure from these market participants,” analysts at CryptoQuant added.

As Bitcoin continues to chart its course, the fate of traditional banks may serve as cautionary tales for an industry at a crossroads, navigating the challenging waters of modern finance in the shadow of Satoshi Nakamoto’s remarks.

“Banks must be trusted to hold our money and transfer it electronically, but they lend it out in waves of credit bubbles with barely a fraction in reserve. We have to trust them with our privacy, trust them not to let identity thieves drain our accounts,” Satoshi Nakamoto wrote.

Disclaimer

All the information contained on our website is published in good faith and for general information purposes only. Any action the reader takes upon the information found on our website is strictly at their own risk.

Original article posted on the BeInCrypto.com site and written by Bary Rahma.

Article re-posted on Markethive by Jeffrey Sloe

** Get secure funding for business projects in the USA and around the world. Learn more about USA & International Financing at Commercial Funding International. **

Tim Moseley