The latest moves in crypto markets, in context By Jamie Crawley, CoinDesk News Reporter Was this newsletter forwarded to you? Sign up here. |
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Happy Friday! Here’s what you need to know today in crypto. |
Bitcoin climbed above $67,000 as BTC 2024 kicked off.Ether ETFs saw $152 million of outflows on Thursday.Jersey City's municipal pension plan to invest in bitcoin ETFs. |
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CoinDesk 20 Index: 2,265 +4.0% Bitcoin (BTC): $67,202 +4.6% Ether (ETC): $3,241 +2.0% S&P 500: 5,399.22 −0.5% Gold: $2,372 +0.9% Nikkei 225: $2,372 +0.9% |
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Bitcoin rose about 5% in the past 24 hours, regaining $67,000 during the Asian morning. BTC has outperformed the wider digital asset market, which has added around 4%, as measured by the CoinDesk 20 Index (CD20). Attention will likely turn to Nashville for cues on the next move for world's largest cryptocurrency, as the BTC 2024 conference gets underway. Independent presidential candidate Robert F. Kennedy Jr. called himself "a huge supporter of bitcoin," and said he had most of his wealth in BTC, in a conference speech on Thursday. Republican candidate Donald Trump is set to speak on Saturday. |
Ether continues to underperform the wider crypto market following $152 million of outflows from ETH exchange-traded funds. Current cumulative flow for the ETFs since they started trading this week is negative $178.68 million. That's mainly owing to withdrawals from Grayscale Ethereum Trust (ETHE), which converted to an ETF. "This situation is very similar to the bitcoin ETF product launched at the beginning of the year," CoinShares analysts said in an emailed note. Outflows from the Grayscale Bitcoin Trust (GBTC), which converted from a closed-end structure into an ETF that allowed redemptions for the first time in 10 years, weighed on bitcoin's price over the first weeks. Ether has risen by around 2% in the last 24 hours, sitting at $3,240 at the time of writing. The municipal pension plan of Jersey City, New Jersey, will soon invest in bitcoin via ETFs, according to a Thursday social media post from Mayor Steven Fulop. The move follows a Wisconsin pension making a similar decision earlier this year. The investment is expected to be completed "by the end of the summer," according to Fulop's post on X. Though Fulop did not specify exactly how much of the pension funds' assets will be allocated to bitcoin ETFs, he said it would be “similar” to the 2% allocation made by Wisconsin’s state pension fund. Fulop did not specify which bitcoin ETF Jersey City was considering for the investment. CORRECTION: On Thursday, First Mover Americas reported that Grayscale's ETHE had experienced over $800 million of outflows the previous day. This figure actually pertained to its total outflows since listing. Wednesday's figure was $327 million. |
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Market Insight: Bitcoin Nears Resistance Level That Stymied It in May |
Analysts are growing optimistic about bitcoin's price prospects after a rebound toward a crucial resistance level that capped gains two months ago and again earlier this week. Since testing the 50-day simple moving average support near $63,500, the leading cryptocurrency has bounced sharply to breach $67,000, CoinDesk data show, and is closing on a resistance line identified by the trendline connecting March and April highs. One trigger could be the U.S. core personal consumption expenditures (PCE) price index, the Federal Reserve's preferred inflation measure, scheduled for release at 12:30 UTC (08:30 ET). Another is Republican presidential candidate Donald Trump's impending speech at the Bitcoin conference in Nashville. "Incoming PCE data could be the final nail in the coffin for high interest rates and lead to imminent rate cut announcements, while Trump’s speech at the Bitcoin conference could start a stronger rally if rumours of an announcement of a national strategic reserve for BTC come true," Valentin Fournier, an analyst at digital assets analyst at advisory firm BRN, said in an email. |
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The chart shows the daily net inflow of BTC into wallets tied to centralized exchanges.On Wednesday, centralized exchanges recorded a cumulative net inflow of nearly 50,000 BTC, of which 42,000 coins were deposited in wallets tied to Kraken.Most of the inflow likely stemmed from Mt. Gox moving coins to exchanges as part of reimbursing creditors. Source: CryptoQuant |
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Disclaimer: The information presented in this message is intended as a news item that provides a brief summary of various events and developments that affect, or that might in the future affect, the value of one or more of the cryptocurrencies described above. The information contained in this message, and any information liked through the items contained herein, is not intended to provide sufficient information to form the basis for an investment decision. The information presented herein is accurate only as of its date, and it was not prepared by a research analyst or other investment professional. You should seek additional information regarding the merits and risks of investing in any cryptocurrency before deciding to purchase or sell any such instruments. |
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