Bitcoin Eyes $70K, Solana's Phone Gains Traction, and BTC ETFs See $52M in Outflows - September 20, 2024
A quick and digestible recap of yesterday’s crypto news.
TL;DR: Market Insight in Seconds
Solana: 140,000 presales signal success for Solana's next-gen crypto phone.
Germany: Government cracks down 47 crypto exchanges tied to illegal activities.
Worldcoin: Concerns rise over the use of facial recognition in the app.
US Spot Bitcoin ETFs: Experience $52M in outflows.
Terra: Receives approval from court to close its operations.
Hack: Wallets connected to Telegram bot were drained.
BTC: Touches $64K. Traders expect to reach $70K, but there is a decline in short-term holder supply.
Price Update
Bitcoin Faces Key $64K Test, Traders Bet on $70K Next Month
Bitcoin is approaching a critical level of $64K, and options traders are positioning for a potential surge to $70K next month. Following the Federal Reserve’s recent rate cut, the crypto market has rallied, led by altcoins like Solana and Ethereum. This optimism is fueled by strong technical indicators and broader macroeconomic shifts favoring digital assets.
Market Trends and Future Expectations
Bitcoin Short-Term Holder Supply Decline Could Hinder Breakout
Data from CryptoQuant reveals a significant decline in the supply held by short-term Bitcoin holders, which could act as a barrier to BTC’s next price breakout. Historically, a decrease in short-term holder activity often coincides with reduced market momentum, suggesting that Bitcoin’s path to $70K could face resistance.
US Spot Bitcoin ETFs Experience $52M in Outflows
Despite the crypto market rally, U.S. spot Bitcoin ETFs have recorded $52 million in outflows. The decline in capital inflow contrasts with rising Bitcoin prices, leaving analysts divided on the future of these ETFs. Some speculate that investors may be reallocating funds toward other digital assets or futures-based products
New Launches and Developments
Solana's Seeker Saga Crypto Phone Surpasses 140,000 Presales
Solana's next-generation mobile device, the Seeker Saga, has already racked up an impressive 140,000 presales. The crypto-native phone, designed to integrate seamlessly with blockchain applications, has captivated tech-savvy users eager for decentralized solutions on the go.
Regulatory Updates
German Government Shuts Down 47 Crypto Exchanges Tied to Illegal Activities
In a significant crackdown, the German government has shut down 47 crypto exchanges involved in illegal activity. Authorities focused on firms that facilitated money laundering, fraud, and other illicit transactions. This is part of a wider regulatory push across Europe to restrain the misuse of cryptocurrency platforms.
Terraform Labs Gets Green Light to Begin Winding Down
Terraform Labs has received approval from a bankruptcy court to close its operations. As part of the bankruptcy, Terraform will pay stakeholders between $184.5 million and $442.2 million. The company agreed to pay $4.7 billion in fines, with the SEC receiving its claim after creditors are paid.
Don’t Miss Anything
Worldcoin Draws Scrutiny Over Facial Recognition Use in World App
Worldcoin has announced the testing of facial recognition for its World App users. This feature offers a private 1:1 face comparison to ensure that only verified users who registered their World ID with an iris-scanning orb can access the app. This move has received mixed opinions, showing concerns about data privacy, which is a constant critique of the project.
Wallets Connected to Telegram Bot Banana Gun Were Drained
Several wallets connected to the Telegram bot Banana Gun were compromised, with at least 563 ETH (~$1.4 million) stolen, according to community reports. The Banana Gun team took the bot offline and is investigating the issue. While the team believes fewer than 10 users were affected, they suspect the issue might be a front-end vulnerability, not a backend hack.
The crypto market is seeing a bullish momentum with Bitcoin approaching $64K and could soon test $70K. Meanwhile, Solana’s growing ecosystem, led by the success of its crypto phone, and privacy concerns around Worldcoin’s World App, showcase the dynamic and ever-evolving nature of the crypto industry. As the market evolves, being informed and adaptable is crucial for investors and participants. Stay tuned for tomorrow’s newsletter to get the latest insights and updates in the market.
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