The Hashgraph Association and Blade Labs have partnered to drive digital transformation using the latter’s conventional and Shariah-compliant digital securities platforms. The CEO of Blade Labs described the Hashgraph Association as a strategic investor that enables the company to integrate its cutting-edge digital asset solutions with more businesses in the Middle East and beyond. Integrating […]
Bitcoin News
IMF: CBDCs Can Boost Financial Inclusion and Payment Efficiency in Middle East
The International Monetary Fund (IMF) says 19 countries in the Middle East and Central Asia, including Bahrain, Georgia, Saudi Arabia, and the UAE, are in the advanced “proof-of concept” stage for central bank digital currencies (CBDCs). “We support policymakers evaluating the need to issue a CBDC and help them craft strong policies and regulatory frameworks […]
Bitcoin News
Middle East-Focused Crypto Exchange, Rain, ‘Likely Exploited’ for $14.8 Million, Says Zachxbt
The cryptocurrency exchange Rain, which focuses on the Middle East, was likely exploited for .8 million on April 29, according to online crypto investigator Zachxbt. Zachxbt says he traced the stolen funds to a bitcoin address with 137.9 bitcoins and an ethereum address holding 1,881 ether. Crypto Exchange Yet to Confirm Attack According to online […]
Bitcoin News
Gold and Silver Weather the Storm as Middle East Unrest Shakes Crypto Markets
Over the weekend, cryptocurrency assets saw a significant drop, with the crypto economy shedding more than 5% to fall to .3 trillion, while precious metals also saw declines, albeit less severe than the digital currency sector. Amidst the ongoing turmoil in the Middle East, gold fell by 1.18% in the last day; however, in contrast […]
Bitcoin News
Crypto Advocates Weigh in on Bitcoin’s Sudden Drop Amid Middle East Tensions
On April 13, Iran initiated a drone strike on Israel followed by reports that unmanned aerial vehicles (UAVs) were intercepted by Israeli, U.S., and other Western allied forces. Concurrently, bitcoin and the broader crypto economy experienced a significant downturn, with many analyzing the fundamentals in the context of a potentially intensifying military conflict. Community Reacts […]
Bitcoin News
Grayscale Drops Bombshell Report: Crypto Bull Run Progresses To ‘Middle’ Phase, Future Outlook Detailed
The cryptocurrency market has witnessed a significant surge after a prolonged bear market and the intensified crypto winter caused by the collapse of crypto exchanges and firms during 2022 and part of 2023.
Notably, Bitcoin and other major cryptocurrencies have experienced substantial price surges, accompanied by renewed interest from institutional investors entering the market through recently approved spot Bitcoin exchange-traded funds (ETFs).
Adding to the industry’s positive outlook, asset manager and Bitcoin ETF issuer, Grayscale, believes that the current state of the market indicates that the industry is in the “middle” stages of a crypto bull run.
Grayscale recently released a comprehensive report detailing their key findings and insights into what lies ahead. A closer analysis of the report by market expert Miles Deutscher sheds light on the factors contributing to this assessment.
On-Chain Metrics And Institutional Demand
Grayscale’s report starts by highlighting several key signals indicating that the market is currently in the middle of a bull run. These include Bitcoin’s price surpassing its all-time high before the Halving event, the total crypto market cap reaching its previous peak, and the growing attention from traditional finance (TradFi) towards meme coins.
To understand how long this rally might sustain, Grayscale emphasizes two specific price drivers: spot Bitcoin ETF inflows and strong on-chain fundamentals.
Grayscale notes that nearly billion has flowed into Bitcoin ETFs in just three months, indicating significant “pent-up” retail demand. Moreover, ETF inflows have consistently exceeded BTC issuance, creating upward price pressure due to the demand-supply imbalance.
Grayscale’s research focuses on three critical on-chain metrics: stablecoin inflows, decentralized finance (DeFi) total value locked (TVL), and BTC outflows from exchanges.
According to Deutscher, the increase in stablecoin supply on centralized exchanges (CEXs) and decentralized exchanges (DEXs) by approximately 6% between February and March suggests enhanced liquidity, making more capital readily available for trading.
Furthermore, for the analyst, the doubling of the total value locked into DeFi since 2023 represents growing user engagement, increased liquidity, and improved user experience within the DeFi ecosystem.
The outflows from exchanges, which currently account for about 12% of BTC’s circulating supply (the lowest in five years), indicate rising investor confidence in BTC’s value and a preference for holding rather than selling.
Based on these catalysts, Grayscale asserts that the market is in the “mid-phase” of the bull run, likening it to the “5th inning” in baseball.
Promising Outlook For Crypto Industry
Several key metrics support Grayscale’s analysis, including the Net Unrealized Profit/Loss (NUPL) ratio, which indicates that investors who bought BTC at lower prices continue to hold despite rising prices.
According to Deutscher, the Market Value Realized Value (MVRV) Z-Score, currently at 3, implies that there is still room for growth in this cycle. Additionally, the ColinTalksCrypto Bitcoin Bull Run Index (CBBI), which integrates multiple ratios, currently stands at 79/100, suggesting that the market is approaching historical cycle peaks with some upward momentum remaining.
Furthermore, retail interest has yet to fully return this cycle, as evidenced by lower cryptocurrency YouTube subscription rates and reduced Google Trends interest for “crypto” compared to the previous cycle.
Ultimately, Grayscale retains a “cautiously optimistic” stance regarding the future of this bull cycle, given the promising signals and analysis outlined in their report.
Featured image from Shutterstock, chart from TradingView.com
Japanese Crypto Influencer Calls Ethereum Improvement Proposal 4844 a ‘Layer 1 Middle Ground’
According to Mai Fujimoto, a Japanese crypto influencer and co-founder of Intmax, the Ethereum Improvement Proposal (EIP) 4844 – also known as proto-danksharding – have emerged as a solid solution for addressing the Ethereum network’s scalability challenges. The EIP 4844 is also significant for scaling solutions such as zero-knowledge rollups (zkrollups) and Layer 2 chains […]
Bitcoin News
SEC ‘Surrender,’ Fear of Middle East Escalation, Meme Coin Market Update — Bitcoin.com News Week in Review
In big crypto and finance news this week, the SEC has dropped its lawsuit against top Ripple execs, Bridgewater founder Ray Dalio speculates on war in the context of strife in the Middle East, and a look at the meme coin market’s performance in 2023. This and more just below, in the latest Bitcoin.com News Week in Review.
SEC Drops Lawsuit Against Ripple Executives, All Charges Dismissed — Ripple Calls It ‘a Surrender by SEC’
The U.S. Securities and Exchange Commission (SEC) has dropped all charges against Ripple’s executives, CEO Brad Garlinghouse and co-founder Chris Larsen. “The SEC made a serious mistake going after Brad & Chris personally — and now, they’ve capitulated, dismissing all charges against our executives. This is not a settlement. This is a surrender by the SEC,” said Ripple’s chief legal officer.
Meme Coin Market Plummets .2 Billion in 2023: Dogecoin and Shiba Inu Lead Declines
Data reveals that the meme coin market has diminished by over billion in value since the dawn of 2023. The leading meme coin by market cap, dogecoin (DOGE), saw a decrease of .46 billion from January onwards. Concurrently, shiba inu (SHIB) experienced a drop of approximately .22 billion over the previous nine months.
Bridgewater Founder Ray Dalio Warns of ‘Brutal World War III’ — Says China and US Are at Brink of Hot War
Ray Dalio, the founder of the world’s largest hedge fund, Bridgewater Associates, has warned that the U.S. and China are at the brink of a hot war. He has outlined a scenario where “we will see the transition from contained pre-hot-war conflicts to a brutal World War III.”
Unraveling the Online Legacy of Satoshi Nakamoto: Bitcoin’s Mysterious Creator
The mysterious Satoshi Nakamoto appeared online nearly 600 times through emails and forum posts. Records of Nakamoto’s writings indicate he was most active in July and August. While Nakamoto covered many topics, Bitcoin’s inventor was notably visible when sharing new release candidates, discussing the addition of password protection to Bitcoin’s JSON-RPC interface, and addressing the “overflow bug” from August 2010.
What are your thoughts on these stories? Let us know in the comments section below.
Investment Banks See Uncertain Path Ahead as Middle East Crisis Unfolds
Major U.S. investment banks are urging caution and flexibility as the crisis sparked by a surprise Hamas attack on Israel earlier this month continues to evolve. Analyst notes from JPMorgan and Morgan Stanley provide insight into how Wall Street is interpreting events on the ground and potential impacts on global markets.
Morgan Stanley Market Analyst Advises Caution Amid Escalating Geopolitical Risks
Michael Zezas, Morgan Stanley’s global head of fixed income research, acknowledged in a note to clients that while pundits have speculated extensively about whether the conflict could escalate and involve other nations, “there’s no obvious path from here.” He advised accepting uncertainty itself to gain clarity, stating geopolitical risks have been rising globally as governments enact policies to avoid empowering rivals.
Zezas said the militant strike demonstrates and escalates this uncertainty, raising the possibility that multiple countries with major economic roles could get involved. He stressed containment remains possible through several paths. Zezas outlined three reliable market implications of an environment where uncertainty keeps increasing while governments react to safeguard interests.
This includes national security-driven corporate spending rising as a theme, and an emerging market Middle East sovereign credit may be mis-priced for risks. While oil prices could increase, the strategist said it should not be assumed rates will move higher in reaction. He concluded that a price shock from oil supply disruptions could strain regional finances even without direct actions against production.
JPMorgan Researcher Says Markets Historically Weather Geopolitical Crises With ‘Limited’ Long-Term Impacts
Madison Faller, JPMorgan’s global investment strategist, similarly advised watching for potential escalation and impacts on natural resources as the clearest market linkage. She said neither side has an outsized role in oil output, and so far supply/demand balance has muted price moves. But Faller noted today’s moderate disruption tolerance could shift if major routes like the Strait of Hormuz were affected.
Faller indicated markets have endured geopolitical crises before, and long-run impacts are historically limited. She suggested focusing on fundamentals like inflation, rates, fiscal efforts, and corporate strength. Along with reasonable valuations, Faller sees opportunity in equities and high yields providing compensation for uncertainty. Her overarching advice was staying invested according to goals, as diversified portfolios have paid off through countless challenges.
Amid escalating tensions in the Middle East last week, both stock markets and cryptocurrencies faced a downturn, while precious metals, notably gold and silver, soared. Gold leaped upwards of 3% on Friday, with silver climbing over 4% against the U.S. dollar. As bond prices rose, the U.S. Treasury 10-year yield saw a dip. Additionally, oil recorded its most significant weekly rise since 2023 began. Meanwhile, shares in defense companies, including L3Harris Technologies, Lockheed Martin, and Northrop Grumman, experienced a sharp uptick in value over the week.
What do you think about the market analysts’ opinions about the conflict in the Middle East and its impact on global markets? Share your thoughts and opinions about this subject in the comments section below.
Coinbase Executive Urges Congress to Pass ‘Sensible’ Crypto Legislation Swiftly as Middle East Conflict Escalates
Coinbase’s chief legal officer has called on U.S. Congress to pass sensible crypto legislation following reports that Hamas has amassed millions in cryptocurrency amid the escalating Middle East conflict. “We need this industry flourishing in nations committed to the rule of law, not driven to places where human rights and public safety mean much less,” the executive stressed.
‘We Need Sensible Crypto Legislation Passed’
The chief legal officer of cryptocurrency exchange Coinbase (Nasdaq: COIN), Paul Grewal, has called on U.S. Congress to swiftly pass sensible crypto legislation as the conflict in the Middle East escalates.
In a post on social media platform X on Wednesday, Grewal opined: “What’s happened in and to Israel is evil. No funds should EVER be used to support Hamas or any other organization responsible [for the war] — whether those funds are in the form of fiat currency, gold, crypto, or whatever.” In a follow-up post on X, the Coinbase executive emphasized:
That’s also why we need sensible crypto legislation passed here in the United States without further delay. We need this industry flourishing in nations committed to the rule of law, not driven to places where human rights and public safety mean much less.
Currently, the U.S. Securities and Exchange Commission (SEC) sees all crypto tokens, except bitcoin, as securities, bringing crypto platforms under its regulatory purview. However, many contend that the SEC’s regulations pertaining to cryptocurrencies lack clarity, and SEC Chairman Gary Gensler has adopted a litigation-heavy approach to regulate the industry. Additionally, the SEC has lost several legal battles against crypto firms, including Ripple Labs and Grayscale Investments.
Grewal’s statement on Wednesday followed reports claiming that Hamas had received approximately million in cryptocurrency over a two-year period. As per the Israel Police, the militant organization used crypto exchange Binance for fundraising. The Israel Police announced on Tuesday that they had frozen crypto accounts at Binance allegedly used by Hamas along with a bank account at British bank Barclays.
The Coinbase chief legal officer proceeded to emphasize that his crypto exchange “has been laser-focused on rooting out bad actors seeking to use crypto for illicit purposes.” He added: “We do all we can — KYC checks, sanctions screening, SAR reporting, strong law enforcement partnerships, you name it — so this doesn’t happen on our platform.”
What do you think about the Coinbase executive calling on Congress to pass sensible crypto legislation without delay? Let us know in the comments section below.