From Bitcoin price prediction after spot BTC ETF approval to Avalanche chosen by Republic to launch Republic Note, here are the breaking news in the crypto space.
Bitcoin News
In recent research, digital asset manager CoinShares attempted to predict how inflows into Bitcoin-based ETFs in the United States could affect BTC price dynamics.
Bitcoin (BTC) price could increase by more than $141,000 in the first 12 months after the approval of a spot Bitcoin ETF in the United States.
This calculation is based on the Cash Flow Model published by James Butterfill, Head of Research at CoinShares. The model itself is based on a conservative assumption: according to a Galaxy report, a spot Bitcoin ETF could be a $14.4 trillion market.
If just 10% of holders of these funds invested 1% of their assets, capital inflows into this segment would exceed $14.4 billion.
This approach suggests a potential 300% price increase for Bitcoin (BTC) could be seen in the first 12 months after the Bitcoin ETF receives the green light from the SEC, meaning the BTC price could reach $141,000.
The $31 billion inflow into this segment could then lead to a further bull run and take the price of the largest cryptocurrency to a whopping $265,000. At the same time, the forecast's authors add that “it is difficult to determine how large the potential wall of demand will be once a spot ETF is implemented.”
ADA News
Cardano, one of the leading blockchain platforms, is preparing to launch Encoins, its first privacy protocol. Encoins' highly anticipated mainnet launch is scheduled for November 30, marking a pivotal moment in the evolution of transaction security in the Cardano ecosystem.
Encoins represents a significant leap forward in strengthening the security and privacy features of blockchain-based transactions. With the growing need for security in digital currency transactions, the introduction of this protocol is a testament to the growing need for privacy-enhancing measures.
At its core, Encoins leverages zero-knowledge proofs, an underlying cryptographic tool, to facilitate private transactions on the Cardano blockchain. Using this mechanism, users can deposit Cardano's native cryptocurrency, ADA, to mint ENCOINS, a new form of NFT that encapsulates tokenized value.
XRP News
Despite hitting a high of $0.75 last seen in July, XRP, the fifth-largest cryptocurrency by market value, may be experiencing its first week of losses since October.
On November 13, XRP price increased 12% to around $0.75 due to rumors regarding BlackRock's ETF filing focusing on XRP.
However, Bloomberg analyst Eric Balchunas later denied the report, causing XRP to quickly decline. The XRP pump & dump resulted in massive liquidations, mainly affecting Long position holders.
XRP began to gain in price in mid-October, surging to record four consecutive weeks of gains. The surge lasted until earlier this week, when XRP hit a multi-month high of $0.75 before selling boiled over and pushed prices lower.
XRP/USD weekly chart. Source: TradingView
According to TradingView statistics, XRP is currently down 8.72% this week. A close below the opening price of $0.66 would confirm a bearish week. Conversely, this will be reversed if XRP returns above the $0.75 mark.
Avalanche News
Leading open source blockchain Avalanche has been chosen as the platform for investment firm Republic to launch Republic Note.
Republic Note is a revenue-sharing tokenized security that will provide holders with access to the Republic portfolio. This includes companies like Web3 company Avalanche, DappRadar, and Dapper Labs.
Described as a “digital asset backed by a long-standing private equity portfolio” on the company’s website, the price per Republic Note is listed at $0.36.
Before listing on exchanges, approximately 372 million Republic Notes will be in circulation. Its total supply is limited to 800 million.
ETH News
CryptoQuant analyst Joao Wedson noted in a new report that the steady rise in Ethereum's Leverage Estimates on derivatives exchange Deribit hints at upcoming price movements.
The Estimated Leverage Ratio (ELR) indicator measures the average leverage traders use to make trades on a cryptocurrency exchange. It is calculated by dividing an asset's OI by the exchange's reserves for that currency.
When the ELR of an asset on an exchange increases, it means the trader is using a significant amount of leverage. This can amplify both profits and losses as well as price fluctuations.
Conversely, a low ELR indicates that traders are using relatively little leverage, which can lead to less volatile price movements.
According to Wedson, Deribit is “the epicenter of high-leverage Ethereum.”
Therefore, the growing ELR on the exchange could impact the overall market.
Source: CryptoQuant
Evmos News
Altiplanic, the core developer of layer-1 Evmos, is developing a mechanism to make Cosmos tokens compatible with the Ethereum Virtual Machine (EVM). This technology will help Cosmos tokens be used directly in dApps on Evmos EVM, eliminating the wrapped token conversion step as before.
This will be done through a software module called EVM Extension. This module will merge ERC-20 and Cosmos token formats into a single standardized interface, to simplify interactions for developers. This feature is expected to be deployed to mainnet later this year.
UNI News
According to the Spot On Chain monitor, the 1inch investment fund address sold all 416,924 UNI and raised 2.13 million USDC, at an average price of $5.11.
It is worth noting that the fund purchased 299,849 UNI worth 2 million USDC at an average price of $6.67 on February 10 and accumulated more UNI through the liquidity pool on Uniswap.
Source: Spot On Chain
BONE News
The Shiba Inu Bone governance token ShibaSwap (BONE) will gain increased exposure as StealthEX, a non-custodial cryptocurrency exchange, has announced that the Shibarium gas token is now available on its mobile app.
This move will make it possible for the Shiba Inu community to receive and exchange BONE right through their phones. StealthEX offers 1,400 crypto assets for cross-chain exchange.
CBDC news
The People's Bank of China (PBOC) and the Hong Kong Monetary Authority (HKMA) are conducting technical tests to further integrate the digital yuan into the Hong Kong economy. According to a report from Global Times, these institutions are already in the second stage of integration, planning to bring more banks in Hong Kong into the system and use the Faster Payment system to deposit money into people's wallets digital currency.
One of the companies that will facilitate these activities is Octopus Cards Limited (OCL), a high-penetration startup in Hong Kong, exploring “digital RMB application scenarios new, to benefit both mainland visitors to Hong Kong and Hong Kong residents visiting the mainland,” said HKSAR Secretary Christopher Hui Ching-yu.
Other news
A prominent figure in the crypto sector has criticized the Korean National Pension Fund for buying about $20 million in Coinbase shares and being a risky investment.
The basis for this criticism is that Coinbase once supported the failed Terraform Labs (TFL) crypto project. TFL is the project team behind the LUNA token and UST stablecoin. A 2021 report confirmed that Coinbase and Galaxy “bet” $25 million on decentralized finance using the Terra stablecoin.
Meanwhile, crypto researcher Scott Hill claims that the $20 million pension fund invested in Coinbase represents a paltry 0.0002%. So, Hill insists there is no reason to panic.
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