A new law enabling the National Crime Agency and police to seize, freeze, and destroy crypto assets is now in effect in the UK. Under this law, police can seize crypto from suspects without needing to make an arrest first. Additionally, victims have the right to request the release of funds held in crypto accounts […]
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SEC Anticipated To Reject Spot Ethereum ETFs In Upcoming Decision, ETH Price Takes 5% Hit
Over the past 24 hours, Ethereum (ETH), the second-largest cryptocurrency by market capitalization, has experienced a significant 5% price drop. This drop comes amid growing speculation that the highly anticipated Ethereum ETFs will likely be rejected by the US Securities and Exchange Commission (SEC) in the upcoming May deadline.
US Bitcoin ETF Issuers Brace For SEC’s Expected Denial
According to a recent Reuters report, various US Bitcoin ETF issuers and firms anticipate the SEC’s denial of their applications to launch ETFs tied to the price of ETH.
These expectations have been fueled by “discouraging meetings” between the applicants and the regulatory agency in recent weeks, as disclosed by four individuals familiar with the matter.
Prominent investment firms such as VanEck, ARK Investment Management, and seven other issuers have submitted filings with the SEC to list ETFs that would track the spot price of Ethereum.
As the first in line, VanEck’s and ARK’s applications are subject to the SEC’s decisions by May 23 and May 24, respectively.
The sources involved in the meetings between Bitcoin ETF issuers and the SEC have reported that the discussions have been primarily “one-sided,” with agency staff not engaging in substantive details about the proposed products.
This starkly contrasts the intensive and detailed discussions between issuers and the agency before the SEC’s landmark approval of spot Bitcoin ETFs in January.
The issuers argued during the meetings that the approval of spot Bitcoin ETFs and Ethereum futures-based ETFs by the SEC in October set a precedent for the spot ETH products. They also made efforts to address potential regulatory concerns.
Despite their arguments, the report notes that the SEC staff did not clarify specific concerns or engage in meaningful dialogue, further indicating a possible denial of the requests.
Setback For Crypto Industry
If these expectations materialize, it would be a setback for the cryptocurrency industry, which had hoped that the approval of spot Bitcoin ETFs would pave the way for similar products and contribute to the mainstream adoption of cryptocurrencies.
According to Todd Rosenbluth, head of ETF analysis at data firm VettaFi, the likely delay in approval or rejection until later in 2024 or beyond has left the regulatory landscape uncertain.
While some issuers have expressed their intention to submit additional disclosure paperwork to continue the conversation with the SEC, the overall sentiment indicates a growing belief that the applications will be rejected.
VanEck CEO Jan van Eck has already stated that the company’s application will likely be rejected, while ARK Investment Management has yet to comment.
Rejected Ethereum ETFs Could Spark Potential Court Battles
Several applicants expect the SEC to cite broader issues, such as the nature and depth of statistical data on the underlying ETH market, as reasons for their decision in the event of ETF rejections.
Matt Hougan, chief investment officer at Bitwise Asset Management, which has filed for a spot in Ethereum ETF, believes that the SEC may require more time to observe Ethereum futures and gather additional data.
Industry insiders further speculate that rejecting Ethereum ETFs could potentially lead to legal action, with one source suggesting that the courts may get involved before Ethereum ETFs eventually become a reality.
The anticipated rejection has already influenced the price of Ethereum, with Hong Fang, president of the crypto exchange OKX, stating that the cryptocurrency is experiencing downward pressure as market participants factor in the likelihood of a negative outcome.
Currently, ETH is trading at ,100, further highlighting the cryptocurrency’s persistent downtrend over broader time frames. Over the past fourteen and thirty days, the token has experienced significant declines of 12% and 14%, respectively.
Featured image from Shutterstock, chart from TradingView.com
Changing Tides: Restaking Takes Center Stage In Ethereum (ETH) Staking Landscape
In recent months, the Ethereum staking landscape has witnessed significant transformations, prompting a shift in investor preferences and reshaping the sector’s dynamics.
According to on-chain data researcher and strategist at 21Shares, Tom Wan, key metrics indicate a notable change in the approach towards Ethereum staking, with restaking gaining prominence as a preferred method.
Ethereum Restaking Landscape
Wan’s observations, shared on the social media platform X (formerly Twitter), highlight a steady increase in ETH staking deposits from restaking, rising from 10% to 60% since 2024.
Restaking can be accomplished in two primary ways: through ETH natively restaked or by utilizing a liquid staking token (LST). By staking their ETH, users secure additional applications known as Actively Validated Services (AVS), which yield additional staking rewards.
A significant player in the staking landscape is EigenLayer, which has emerged as the second-largest decentralized finance (DeFi) protocol on the Ethereum network.
EigenLayer has achieved a significant milestone with the release of EigenDA, its data availability Actively Validated Service (AVS), on the mainnet.
According to a research report by Kairos, this launch marks the beginning of a new era in restaking, where liquid restaking tokens (LRTs) will become the dominant way for restakers to do business.
Currently, 73% of all deposits on EigenLayer are made through liquid restaking tokens. The report highlights that the growth rate of LRT deposits has been significant, increasing by over 13,800% in less than four months, from approximately .74 million on December 1, 2023, to billion on April 9, 2024, demonstrating the growing confidence in EigenLayer’s approach to restaking and contributing to the shifting tides in Ethereum’s staking landscape.
According to Wan, the rise of liquid restaking protocols has also contributed to a decline in the dominance of Lido (LDO), a staking service solution for Solana (SOL), Ethereum, and Terra (LUNC).
On the other hand, Etherfi has emerged as the second-largest stETH withdrawer, with 108,000 stETH withdrawn through the first quarter of 2024. This trend exemplifies the increasing popularity of liquid restaking protocols, allowing stakers to withdraw and actively utilize their staked assets while still earning rewards.
Ether.fi Set To Surpass Binance In ETH Staking
Data provided by Wan also shows a decline in the dominance of centralized exchanges (CEXs) in ETH staking. Since 2024, CEXs have seen their share of staking decline from 29.7% to 25.8%, a significant drop of 3.7%.
As a result, the decentralized staking provider Kiln Finance has surpassed Binance and become the third-largest entity in terms of ETH staking. With Ether.fi poised to follow suit, it is expected to surpass Binance’s position shortly, according to the researcher.
In short, these developments signify a paradigm shift in the Ethereum staking landscape, with re-staking methodologies gaining traction and decentralized protocols like EigenLayer and Ether.fi challenging the dominance of established players.
As of this writing, ETH’s price stands at ,500. It has been exhibiting a sideways trading pattern over the past 24 hours, remaining relatively stable compared to yesterday.
Featured image from Shutterstock, chart from TradingView.com
Dogecoin Whale Takes $52.3 Million In DOGE Off Binance, Sign Of Buying?
On-chain data shows a Dogecoin whale made a large withdrawal from Binance today, which may be bullish for the memecoin’s price.
A Large Amount Of Dogecoin Has Left The Binance Platform In The Past Day
According to data from the cryptocurrency transaction tracker service Whale Alert, a large transfer has been spotted on the Dogecoin blockchain during the past day.
In this move, the network has processed the movement of 304,588,737 DOGE, worth around .3 million when the transaction was executed. Given the large scale of the transfer, it’s likely that a whale entity was involved.
The whales are influential on the network due to the sheer number of tokens they carry in their wallets. As such, their moves can be worth keeping an eye on since they may cause noticeable fluctuations in the market.
How the market would be affected by the moves from these humongous entities depends on what they intend to do with those moves. Naturally, it’s impossible to say what an investor plans to do confidently.
The type of addresses involved in the transaction, however, can sometimes at least provide a hint about what the whale may have wanted to achieve with the move.
Below are the details of the latest Dogecoin whale transaction, which reveals its relevant addresses.
As is visible, this Dogecoin transaction was executed from a wallet connected to the cryptocurrency exchange Binance. The destination of the move appears to have been a couple of unknown addresses.
An unknown address refers to a wallet not affiliated with any centralized entity like an exchange (the sender in this transfer is a “known” wallet as it’s attached to a central entity in Binance). Generally, such addresses are the investors’ personal, self-custodial wallets.
Transfers where coins move in the direction of exchanges to self-custodial entities are known as “exchange outflows.” Usually, investors make such moves when they plan to hold onto their coins long-term, as it’s safer to do so outside of these platforms, where the platforms control the wallets.
Exchange outflows can also sometimes be an indication that fresh buying is going on, as some investors like to immediately withdraw their purchases of these platforms.
Given the relatively massive scale of the Dogecoin exchange outflow in the current case, it can naturally be bullish news for investors if the whale is indeed accumulating here.
However, the scenario also exists where the whale has withdrawn to sell through the peer-to-peer (P2P) mode. In this case, the effect on the asset could be bearish instead.
DOGE Price
At the time of writing, Dogecoin is floating around .176, down 16% over the past week.
CFTC Takes Legal Action Against Kucoin, Highlights BTC, ETH, and LTC as Commodities
The U.S. Commodity Futures Trading Commission (CFTC) has filed a lawsuit against Kucoin, emphasizing the classification of bitcoin, ethereum, and litecoin as commodities. The enforcement action, launched in the U.S. District Court for the Southern District of New York, accuses Kucoin of multiple regulatory breaches involving these digital assets. Kucoin’s Legal Battles Shine a Bright […]
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Gambling Takes Center Stage in This Year’s March Madness
In a year where legal wagering on sports shattered previous records, the NCAA men’s and women’s basketball tournaments are the pinnacle of sports betting, with an estimated .7 billion expected to be wagered through legal channels. Crypto gambling offers fans the ability to pick their winners with crypto. March Madness Betting Increases, With .7 Billion […]
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Shiba Inu Takes Over The Internet: Google Searches Climb As Global Interest Surges
Shiba Inu (SHIB), the self-proclaimed “Dogecoin Killer,” is back in the spotlight with a surge in both search interest and token price. Google Trends data reveals a global increase in searches for “Shiba Inu” and related queries, indicating renewed investor optimism for the meme coin.
Shiba Inu Surge Sparks Enthusiasm
This increase comes after a quiet period for the memecoin. However, the past month has been nothing short of phenomenal. Search popularity reached a seven-day peak of 100 on March 16th, though it has settled at a still-healthy 48 – significantly higher than January’s levels. Phrases like “Why is Shiba Inu going up?” and “Shiba Inu All-Time High” have also seen a significant uptick, reflecting investor curiosity and potential buying interest.
While the interest is global, specific regions are leading the charge. Pakistan, the Netherlands, Slovenia, Canada, and Nigeria have emerged as the top search originators for SHIB in the past week. This geographically diverse interest suggests a broad-based appeal for the meme coin.
This renewed interest coincides with a remarkable price rally. SHIB’s value has skyrocketed over 180% in the past month, reaching a two-year high of .000045. This bullish run fueled speculation of a retest of its all-time high above .000088. However, the market has since witnessed a correction, bringing SHIB’s price down slightly.
Despite the correction, the enthusiasm within the Shiba Inu community remains high. The long-term goal of reaching .01 per SHIB token continues to be a hot topic, although analysts caution it might take several years to materialize.
Shibarium And Market Recovery
To achieve this ambitious target, the developers are focusing on Shibarium, the project’s Layer-2 scaling solution. Shibarium aims to become a thriving smart contract hub, potentially attracting more users and driving up demand for SHIB.
Experts believe several factors are contributing to the current Shiba Inu frenzy. The broader cryptocurrency market has shown signs of recovery after a recent slump, potentially boosting investor confidence in meme coins like SHIB.
Additionally, ongoing developments within the Shiba Inu ecosystem, such as Shibarium and the burning initiatives to reduce the overall token supply, might be fueling investor optimism.
Whether SHIB can maintain its current momentum and reach its long-term price goals remains to be seen. However, the recent surge in search interest and price rally is a clear indication that the “Dogecoin Killer” is back in the game, attempting to capture the hearts (and wallets) of memecoin enthusiasts worldwide.
Featured image from Pexels, chart from TradingView
Robert F Kennedy Jr Sees Cryptocurrency as the ‘Best’ Inflation Hedge — Says Crypto ‘Takes Control Away From the Government’
U.S. presidential candidate Robert F. Kennedy Jr. (RFK Jr.) says cryptocurrency is the “best hedge against inflation.” He stressed that crypto “takes control away from the government and from the monopolistic banking system which uses money printing to shift wealth upward to the oligarchy of billionaires while impoverishing regular Americans.” RFK Jr. Says ‘Crypto Equals […]
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Ethereum Price Takes Hit, But This Support Could Spark Fresh Increase
Ethereum price is declining from the ,080 zone. ETH is now approaching a major support at ,500 where the bulls might take a stand.
- Ethereum started a downside correction from the ,080 zone.
- The price is trading below ,800 and the 100-hourly Simple Moving Average.
- There is a key bearish trend line forming with resistance at ,850 on the hourly chart of ETH/USD (data feed via Kraken).
- The pair could resume its increase if it clears the ,850 resistance zone.
Ethereum Price Dips
Ethereum price failed to stay above the ,000 resistance zone and started a downside correction, like Bitcoin. ETH declined below the ,920 and ,850 support levels to enter a short-term bearish zone.
It even spiked below the ,680 support zone. A low was formed at ,625 and the price is now consolidating losses. It seems like there is a key bearish trend line forming with resistance at ,850 on the hourly chart of ETH/USD.
Ethereum price is now trading below ,800 and the 100-hourly Simple Moving Average. On the upside, immediate resistance is near the ,740 level or the 23.6% Fib retracement level of the recent decline from the ,083 swing high to the ,625 low.
The first major resistance is near the ,850 level and the trend line. It is close to the 50% Fib retracement level of the recent decline from the ,083 swing high to the ,625 low.
Source: ETHUSD on TradingView.com
The next major resistance is near ,880, above which the price might gain bullish momentum. In the stated case, Ether could rally toward the ,000 level. If there is a move above the ,000 resistance, Ethereum could even rise toward the ,080 resistance. Any more gains might call for a test of ,150.
More Losses In ETH?
If Ethereum fails to clear the ,850 resistance, it could continue to move down. Initial support on the downside is near the ,680 level.
The first major support is near the ,600 zone. The next key support could be the ,500 zone. A clear move below the ,500 support might send the price toward ,350. Any more losses might send the price toward the ,250 level.
Technical Indicators
Hourly MACD – The MACD for ETH/USD is gaining momentum in the bearish zone.
Hourly RSI – The RSI for ETH/USD is now below the 50 level.
Major Support Level – ,600
Major Resistance Level – ,850
Mogo Takes a Further Leap Into BTC, Eyes Long-Term Gains With $5M Bitcoin Reserve Investment
In a statement released on March 7, the Canadian fintech entity Mogo disclosed its strategy to diversify its portfolio by investing in bitcoin and bitcoin exchange-traded funds (ETFs), earmarking an initial outlay of as much as million. Canadian Fintech Mogo Dives Deeper Into Bitcoin The publicly traded Canadian enterprise Mogo (Nasdaq: MOGO) (TSX: MOGO) […]
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