🔴 Bitcoin is in the top 10.
ETF trading volume is surging, Bitcoin is in the top 10, and Binance is facing a $10 billion fine in Nigeria. Or maybe it is? This week we bring you these stories and more in cryptocurrency.
Cryptocurrency volatility is back
A sudden influx of short-term options buyers after Bitcoin’s price surged 20% has pushed Bitcoin’s volatility to its highest since last year, which could lead to rapid and significant swings. Leverage has also reemerged in various cryptocurrency sectors, including NFTs, mining, and DeFi. Bitcoin derivatives open interest has increased 90% since October.
Bitcoin Enters Top 10 Assets
The massive rebound brought the total cryptocurrency market capitalization to over $2 trillion. Driven by positive market sentiment and continued inflows into spot Bitcoin ETFs, the cryptocurrency market has now surpassed the market capitalization of Amazon and Google parent company Alphabet. With a market capitalization exceeding $1 trillion, Bitcoin has joined the list of the world’s top 10 assets.
Bitcoin ETF Breaks Record
Seven weeks after SEC approval, the spot Bitcoin ETF now has assets under management of 344,000 BTC, worth more than $21 billion. BlackRock’s Bitcoin ETF, IBIT, experienced a record $612 million in inflows in one day, with trading volume for the asset class hitting $7.7 billion. This is further evidence that the success of the much-hyped ETF is no longer in doubt.
Vanguard Reconsiders Bitcoin Position
Vanguard CEO Tim Buckley’s sudden resignation after 33 years has sparked speculation about the company’s possible entry into the Bitcoin ETF market. Despite previously labeling Bitcoin an “immature asset class,” competitors like BlackRock and Fidelity, which have embraced ETFs, are reaping significant gains, raising questions about what Vanguard, which manages $7 trillion, will do next. It’s being raised.
Bitcoin HODLing Pays Off
The recent surge in Bitcoin’s price has put a spotlight on the impressive unrealized profits of some of the industry’s biggest names. Although the value of MicroStrategy’s holdings has doubled since the spot Bitcoin ETF was approved, Chairman Michael Saylor has repeatedly reaffirmed that the company has no intention of selling. El Salvador’s President Nayib Bukele also defended the country’s Bitcoin strategy, which said unrealized profits exceeded $173 million.
Binance faces $10 billion fine
The BBC reported that Nigeria is seeking nearly $10 billion in fines from Binance, accusing the cryptocurrency giant of manipulating exchange rates through currency speculation and currency fixing, a Nigerian government spokesperson concluded, adding: Denied accuracy. Misquoting a government announcement. He insisted that no firm decision had been made yet and that a fine was only a possibility. Nigeria is facing a currency devaluation crisis with the value of the naira falling 70%, which has led to a surge in interest in cryptocurrencies.
Gemini faces heavy fines
Gemini, the cryptocurrency exchange owned by the Winklevoss twins, will return at least $1.1 billion to customers through a settlement with the New York Department of Financial Services. The exchange was also fined $37 million for “significant failures” in its Gemini Earn program during the cryptocurrency crash in November 2022.
The Costly Fat Finger Error
A Bitcoin Ordinals trader faced a costly mistake when he thought he paid $1300 for an NFT that was actually listed for $13,000. Feeling embarrassed, the trader shared the incident with X and urged other Ordinals traders to be cautious. Surprisingly, NFT seller Dan Anderson saw the post and offered to buy the NFT back, effectively returning the funds.
This is what happened in the cryptocurrency market this week. I will see you next week.
