Since the Hong Kong spot bitcoin exchange-traded funds (ETFs) began trading, their performance has been underwhelming, with three ETFs accumulating around 8 million in net assets. Inconsistent Inflows and Outflows Mark Hong Kong Bitcoin ETFs’ First Weeks On Thursday, the spot bitcoin ETFs in Hong Kong experienced net negative outflows of approximately 104.79 BTC, valued […]
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Glassnode Report Highlights Diverging Performance Between Bitcoin and Ethereum
The onchain analytics firm Glassnode has released a new report detailing the contrasting performance of bitcoin and ethereum during the 2023-24 cycle. The report highlights bitcoin’s resilience and ethereum’s comparative lag in speculative interest and price performance. Bitcoin’s Post-Halving Resilience Contrasts With Ethereum’s Struggles, Says Glassnode Glassnode researchers noted a significant divergence in performance between […]
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Plan B Predicts Repeat Performance Post-Bitcoin Halving Amid Mixed Analyst Forecasts
At block height 839,856, the Bitcoin blockchain stands a mere 144 blocks short of the forthcoming reward halving at block height 840,000. Historically, bitcoin’s price has seen substantial increases following prior halving events. However, there are speculations that this occurrence might not follow the previous pattern. This week, the creator of the stock-to-flow (S2F) price […]
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Crypto.com CEO: Bitcoin Price Dip Likely After Halving but ‘Great Performance’ Within 6 Months
The chief executive of Crypto.com has warned of some selling coming up as we approach the Bitcoin halving, citing the “buy the rumor, sell the news” strategy. Noting that what’s happening in the bitcoin market currently resembles previous cycles, he stressed: “I personally expect great performance within the next six months.” ‘There May Be Some […]
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ApeCoin Q1 2024 Performance: Market Cap And Token Price Skyrocket – Key Findings Inside
ApeCoin (APE), the ERC-20 token governing the ApeCoin Decentralized Autonomous Organization (DAO), showed notable growth in the first quarter (Q1) of 2024.
Key metrics showed significant progress, driving APE’s market capitalization, token price, and trading volume quarter-over-quarter (QoQ), demonstrating consecutive quarters of growth.
ApeCoin Regains Unicorn Status
As noted in a recent report by Messari, APE’s rebound was particularly noteworthy compared to the broader cryptocurrency market, which grew 53% quarter over quarter, and Bitcoin’s market cap, which grew 63% quarter over quarter.
After briefly dipping below billion in Q2 2023, APE’s market cap regained unicorn status, ending Q1 2024 at .3 billion, representing 31% growth. According to the report, this market value increase was partly driven by a 21% QoQ rise in APE’s token price.
The report also highlighted the unlock of 46.8 million APE tokens from the circulating supply, contributing to the market cap growth. However, this unlocks, and the .5 million allocated to governance expenditures potentially created sell pressure on the asset throughout the quarter.
Another 46.8 million APE tokens were unlocked in Q1 2024, with 22 million APE going to the DAO Treasury and 24.8 million APE distributed to non-DAO entities. The DAO plans to issue or sell APE to fund approved proposals, while non-DAO entities are free to sell once their funds are unlocked.
Despite the additional sell pressure resulting from unlocking and committing 8.3 million APE tokens, the price of APE still saw a substantial 21% QoQ increase. This surge in price indicated a higher volume of buy orders, exerting upward pressure on the asset.
The report also analyzed trading activity, highlighting the dominance of large-volume traders (whales and sharks), who accounted for 63% of the trade volume in Q1. The average decentralized exchange (DEX) swap size increased by 28% QoQ, reflecting the heightened activity among larger-volume traders.
Furthermore, the transfer volume of APE tokens grew by 12% QoQ, potentially driven by significant transactions following the approval of various governance proposals throughout the quarter.
APE’s Journey Forward
Looking ahead, APE’s utility is set to expand by implementing recently passed governance proposals. AIP-381 aims to build game-focused DAOs and vaults accessible exclusively to APE holders, allowing them to participate in governance and access specific ecosystem assets.
Additionally, the ApeChain proposal selected Horizen Labs to build a blockchain that utilizes APE as a gas token and potentially supports other asset-related applications.
However, while APE continued to attract new holders, the growth rate of new APE holders did not accelerate despite two consecutive quarters of price increases, according to Messari.
To address this, ApeCoin DAO formed a branding partnership with a Formula One racing team, among other initiatives, to attract new holders in the future.
On the other hand, the ApeCoin DAO has been actively voting on new governance proposals, approving the building of ApeChain on the Arbitrum technology stack and expanding the utility of the APE token to GameFi DAOs and vaults.
The average votes per proposal increased by 19% QoQ, indicating growing community engagement. ApeCoin DAO plans to move the voting process on-chain more, promoting decentralization and participation in governance.
Despite the overall growth witnessed by APE in Q1, the token has recently experienced a significant downturn, aligning with the downward trend in the overall market. APE has suffered a notable decline of over 41% in the past month, leading to its current trading price of .148.
Featured image from Shutterstock, chart from TradingView.com
What to expect after the Bitcoin Halving: a look at post-halving performance
The Bitcoin Halving is almost here, bringing about the most significant event in the Cryptocurrency market ever. Each event has had a dramatic impact on supply, demand, and price appreciation post-halving. But with Bitcoin price already setting a new all-time high before the halving for the first time ever, how might this change post-halving performance? Let’s take a closer look.
What is the Bitcoin Halving?
The Bitcoin Halving is a recurring event happening approximately every four years. By design, it is intended to increase the scarcity of BTC and strengthen the security of the network. However, it has the unintended effect of bringing more participants, speculation, and volatility to Crypto markets, driving Bitcoin price to astronomical new highs.
Currently, miners unlock about 900 new BTC each day while contributing to the security of the Bitcoin network. After the next halving, this will be reduced to roughly 450 new BTC each day. This abrupt change in supply, coupled with growing demand is often an event worth paying attention to, as the following data will reveal.
Past post-halving performance examined
The first ever Bitcoin halving occurred on November 28, 2012. BTCUSD traded at around . Within one year, Bitcoin price climbed by nearly 10,000% to over ,200 per coin. At this point, the top Cryptocurrency was still in its infancy, and few paid attention to the impact the halving had on price action.
The second halving took place on July 9, 2016, some four years later. Cryptocurrencies were still relatively unknown at this point in time. However, new altcoins were starting to gain traction and the industry surrounding Bitcoin begane to develop. 16 months later, BTCUSD rallied from 0 at the July 2016 halving to just under ,000 per coin, representing a 3,400% post-halving performance.
By the third halving, which took place on May 11, 2020, the world had started to realise the correlation between BTCUSD performance and the proximity to the halving event. The halving happened just months following the COVID pandemic and unprecedented money supply expansion, resulting in a perfect storm for Bitcoin and investors. Within a year, Bitcoin soared from under ,000 per coin to more than ,000 per BTC. Although this is substantial in USD terms, this was only a 625% gain compared to 3,400% and 10,000% previously, setting the precedence for diminishing returns.
Why the 2024 Bitcoin Halving could be different
The Bitcoin Halving in 2024 is pegged for mid-April, and is already gearing up to be the most important event in Crypto history. While the phrase “this time is different” is considered the most dangerous in investing, this time, when it comes to Bitcoin, things are very different to the past.
Despite the enormous bull markets that follow each halving, none of these rallies set a new all-time high beforehand. In 2024, Bitcoin has already set a new all-time high, which could either mean further diminishing performance, or a shocking rally that surprises the masses and only adds to the price tag of each BTC further.
With each Bitcoin Halving, the market participants increasingly took note of its powerful impact on price appreciation. The halving is a publicly known event, and in 2024, the post-halving performance could have been front-run by so-called smart money, whales, and institutional investors, who are aware of the type of gains that are possible.
Whether or not this means less performance post-halving remains to be seen. However, the reduction in new BTC available to miners should still impact the delicate balance of supply versus demand in favour of more price appreciation ahead after the event.
Factors fuelling increased profit potential in Crypto
The emergence of spot Bitcoin ETFs in the United States are one of the major factors causing the new price record ahead of the halving, and could further ignite a bull market post halving. Spot Bitcoin ETFs have been absorbing as much as 10 times the new supply from miners, and post halving this could increase to 20 times the new available supply if ETF demand remains consistent.
Combined with demand from retail investors hearing about the halving in the media and in social circles, price could still rise substantially, even though Bitcoin is currently trading above former all-time highs from 2021 at ,000 per coin.
Trading Bitcoin with PrimeXBT
With the potential for significant price appreciation and volatility following the Bitcoin Halving, traders can capitalise on these market movements using PrimeXBT’s Crypto Futures. PrimeXBT offers an all-in-one trading platform suitable for all, from novice to expert traders. The platform provides the lowest fees for Crypto Futures starting from 0.01%, allowing traders to maximise their profits.
PrimeXBT’s advanced margin options enable traders to manage their risk effectively while leveraging up to 200:1 to amplify their potential gains. The platform’s fast execution ensures that trades are executed at the prices seen with no requotes. PrimeXBT also offers a wide range of tools and educational resources to help traders level up their skills and make informed trading decisions.
Conclusion
The Bitcoin Halving is a highly anticipated event that has historically led to significant price appreciation and volatility in the Cryptocurrency market. With Bitcoin already setting new all-time highs before the 2024 halving, the post-halving performance could be even more impressive than previous cycles. Traders looking to capitalise on these market movements should consider using PrimeXBT’s Crypto Futures platform.
PrimeXBT offers an all-in-one platform with the lowest fees, advanced tools, and educational resources to empower traders of all levels. The platform’s easy-to-use interface and quick onboarding process make it simple for anyone to start trading and take control of their finances.
Experience the future of online trading and secure your place in the Crypto market with PrimeXBT.
Bitcoin Q1 Performance Digest: 70% Price Surge, Inflows Into ETFs, And Expansion Of Layer TVL Revealed
Bitcoin (BTC) has shown an impressive performance in the first quarter (Q1) of 2024, as highlighted in a recent report by market intelligence data research firm Messari. The research firm finds key factors contributing to Bitcoin’s price increase, market cap dominance, and the emergence of new trends in the cryptocurrency ecosystem.
Inscription Activities Drive Bitcoin Fees Up
Analyzing the key figures detailed in the report, Bitcoin’s price experienced a significant increase in Q1 2024, rising 68.78% quarter-over-quarter (QoQ) to reach an all-time high (ATH) of ,100.
This price increase propelled Bitcoin’s market cap dominance to 49.7% in March 2024. Interestingly, the research firm notes that such dominance is a typical feature at the start of a new halving cycle, with Bitcoin often leading the way for other cryptocurrencies.
Another relevant figure is the inscription activity in Q4 2023, which drove fees up by 699.4% QoQ. However, in Q1 2024, subscription-related fees decreased by 41.9%. Despite declining total fees, inscription-related transactions still accounted for 18.4% of Bitcoin’s total fees, demonstrating their continued relevance.
Average daily transactions and daily active addresses also experienced a decline of 15.3% and 4.7% QoQ, respectively. The report suggests that the decline in transaction activity may be attributed to decreased activity from bots or “super users.” This shift aligns with the decrease in inscription-related activities and fees.
Inscription-related activity initially surged in February 2023, leading to a considerable transaction increase. Although Q1 2024 witnessed a decline in inscription-related activity QoQ, it remained significantly higher year-over-year (YoY), indicating its continued impact on the network.
ETFs Amassed 212,000 BTC In Q1
Messari highlights that Q1 2024 showed the growth of programmable layers in the cryptocurrency ecosystem. Established layers such as Rootstock and Stacks led the way regarding total value locked (TVL), while newer layers such as BOB and Merlin experienced rapid growth.
TVL’s 127% QoQ growth was primarily in non-BTC assets, as Bitcoin-locked amounts lagged behind the Lightning Network and alt-L1 networks, which host significant amounts of BTC.
Ultimately, the approval and launch of nine spot ETFs and one ETF conversion marked a significant milestone for Bitcoin’s legitimization by the US government and traditional finance (TradFi).
The report notes that these ETFs garnered over billion in inflows within the first month. Notably, BTC ETFs surpassed silver ETFs in assets under management (AUM) but still lagged behind gold ETFs.
Institutional BTC holdings were also surpassed by MicroStrategy, the largest institutional holder, with 215,000 BTC. The ETFs accumulated 212,000 BTC in inflows during Q1, further establishing Bitcoin’s prominence in the financial markets.
Bitcoin’s exceptional performance in Q1 2024, marked by a significant price increase and market cap dominance, has solidified its position as the leading cryptocurrency.
Anticipation for the supply halving, along with the success of BTC ETFs and institutional inflows, has contributed to Bitcoin’s growth and recognition in traditional finance.
Featured image from Shutterstock, chart from TradingView.com
Coingecko Report: Meme Coins Eclipse AI and RWA Tokens With Stellar Q1 Performance
In the first quarter of 2024, meme coins significantly outshone all other cryptocurrency narratives by delivering an astonishing average return of 1312% across its leading tokens, as observed in a report by Coingecko. Among these, the newly launched tokens Brett (BRETT), BOOK OF MEME (BOME), and Cat in a dogs world (MEW) were notable for […]
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Riding The Ripple: XRP Stellar 1-Year Performance Leaves Banks In The Dust
XRP holders are facing mixed signals. While the digital asset boasts nearly 20% in gains over the past year, significantly outperforming traditional savings accounts, its recent performance pales in comparison to other cryptocurrencies.
After a substantial decline, the altcoin’s price has now entered a phase of sideways consolidation, making market players unsure of its future course. It appears like the cryptocurrency will likely stay stuck in a narrow range until there is a breakout in either way.
XRP: Beating Savings Accounts
Despite the seemingly negative vibe, a recent report highlighted the coin’s resilience. Specifically, it underscored its advantage over stagnant savings accounts.
XRP hit a low of .42 in March 2023 and surged to .93 in July, fueled by optimism surrounding the Ripple vs. SEC lawsuit. The coin then saw a rise of 1.30% on Sunday. After losing 1.35% on Saturday, the altcoin gained 0.41% at the end of the week to close at .6299. Today, it sits at .61, reflecting a 20% year-over-year increase.
This dwarfs the returns offered by most savings accounts. A Business Insider report pegs the average Annual Percentage Yield (APY) for US savings accounts between 0.01% and 0.25%. Even high-yield online banks rarely surpass 5.30% APY.
XRP is up over 6% within a single year, it has outperformed every savings account of every bank in the world and yet you people are still crying about it. pic.twitter.com/GGxVPJfudU
— Mr. Huber (@Leerzeit) March 29, 2024
“Mr. Huber,” a prominent crypto community investigator, emphasizes this point. To paraphrase his views, he said while XRP might not be setting the crypto world on fire right now, it’s definitely a better option than letting your money languish in a savings account.
However, discontent simmers within the community. Over the past three months, XRP has seen a meager 1% growth, while rivals like Bitcoin and Ethereum have skyrocketed by over 50%. This lackluster performance compared to its peers is causing frustration among holders.
The future trajectory of XRP hinges on multiple factors. The ongoing Ripple vs. SEC lawsuit, which centers around whether XRP is a security, is a significant cloud hanging over the coin’s price. A favorable outcome could reignite investor confidence and propel XRP upwards.
Diverse Perspectives And Pressure In The Crypto Market
Another factor is the broader cryptocurrency market. If the current bull run continues and other top coins maintain their momentum, XRP might face additional pressure to catch up.
Analysts remain divided on XRP’s short-term prospects. Some believe the current stagnation is a buying opportunity before a potential price surge. Others urge caution, citing the ongoing lawsuit and the unpredictable nature of the cryptocurrency market.
The diverse perspectives surrounding XRP showcase the exciting array of options available to investors. With XRP presenting a compelling alternative to conventional savings methods, its unique features shine through.
Despite recent fluctuations in its performance compared to other digital assets, this opens up opportunities for thoughtful consideration and strategic investment. Ultimately, the choice to embrace XRP hinges on aligning with one’s personal risk appetite and long-term investment objectives, empowering individuals to make informed decisions tailored to their financial aspirations.
Featured image from Karolina Grabowska/Pexels, chart from TradingView
Performance of AI-Related Crypto Tokens Driven by News and ‘Memetic Speculation’ — Coinbase
Since the beginning of the last quarter of 2023, artificial intelligence (AI)-related crypto tokens have not only outperformed the top two crypto assets but have also outpaced key AI stocks such as Nvidia and Microsoft. According to a report by Coinbase, much of this market-beating performance of AI-related tokens can be attributed to AI headline […]
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