Tiny Bitcoin Miner Plays The Lottery – Hackaday

Usually when we think of Bitcoin miners, we imagine huge facilities of server racks doing nothing but essentially wasting energy, all for the chance that one of those computers amongst the rows will stumble upon the correct set of numbers to get rewarded with imaginary money. The idea being that the more computers, the more chances to win. But just buying one lottery ticket is the only thing technically required to win, at least in theory. And [Data Slayer] is putting this theory to the test with this Bitcoin miner built around a single Raspberry Pi.

This tiny Raspberry Pi Zero does get a little bit of support from an Ant Miner, a USB peripheral which is optimized to run the SHA256 hashing algorithm and solve the complex mathematical operations needed to win the round of Bitcoin mining. Typically a large number of these would be arrayed together to provide more chances at winning (or earning, to use the term generously) Bitcoin but theres no reason other than extreme statistical improbability that a single one cant work on its own. The only other thing needed to get this setup working is to give the Pi all of the configuration information it needs such as wallet information and pool information.

This type of miner isnt novel by any means, and in fact its a style of mining cryptocurrency called lottery mining where contributing to a pool is omitted in favor of attempting to solve the entire block by pure random chance alone in the hopes that if its solved, the entire reward will be claimed by that device alone. In the case of this device, the current hash rate calculated when it was contributing to a pool means that when lottery mining, it has about a one-in-two-billion chance of winning. Thats essentially zero, which is basically the same chance of winning a lottery that pays out actual usable currency.

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Tiny Bitcoin Miner Plays The Lottery - Hackaday

As Bitcoin Scales, We Need Better Custodial Solutions – CoinDesk

Crypto unintelligentsia discourse has been set aflame by this weeks Big Crisis in Bitcoin.

Until recently you could have sent a bitcoin transaction rather cheaply, probably at a fee rate of 1 satoshi per vByte (equivalent to a fraction of a cent). Now, with the rise of the use of non-fungible token-like inscriptions and the BRC-20 token standard on Bitcoin, normal fee rates are comparatively absurd. At time of writing, getting a bitcoin transaction sent in a reasonable time period would cost something like 100 satoshis per vByte.

All things considered, its actually still pretty cheap but its way more expensive than bitcoiners are used to. And so, people are upset. The thing is, they are upset not because fee rates are high, but because of why fee rates are high.

See, the Bitcoin blockchain has always had scarce blockspace. When billions and billions of people want to use bitcoin will it become too expensive to use? has always been an open question about Bitcoin. It was even a central point of contention during the Blocksize Wars in 2015 to 2017 which led to the introduction of Segregated Witness (SegWit) to Bitcoin and the Bitcoin Cash hard fork.

(Of note: SegWit solved for transaction malleability and opened the door to our most recent reason for fees going up; funny how that works).

This time around, bitcoin fees have skyrocketed because a lot more people want to use bitcoin. And not to send permissionless, sound money to others or because they want to store wealth, but instead to put monkey pictures on the Bitcoin blockchain and speculate on tokens.

Blasphemous. Bitcoin should be used for financial transactions, hence the hullabaloo.

Putting aside the moralistic argument of what Bitcoin should be used for, bitcoiners have never really had a good response to how the network should handle periods of time when transaction fees spike. Canned answers that people will just pay for the blockspace or the free market will figure it out are setting up a world where the only people who are able to afford to transact on the network are the Bitcoin Rich.

Yuck. So much for unseating the rent-seekers.

Of course, high bitcoin fees have some potential solutions. The most commonly cited solution is Bitcoins Lightning Network, which has been pinpointed as a serviceable means to send bitcoin quickly and cheaply. When youre already on-boarded and using the Lightning Network (and you know what youre doing), its absolutely great. Transactions feel magic. Theyre fast and cheap (when they dont fail).

But the problem is you cant get to layer 2 without sending initial transactions on layer 1, in this case the currently comparatively expensive Bitcoin blockchain. Its just like you cant get to the second story of most buildings without first stepping into the first story. In both cases, you can just wait until fees go down or until the elevator banks free up (or take the stairs, I guess?). But what if fees dont go down? What if people keep piling into the building youre in?

One way to solve this could be through third-party custody. Thats like your friend setting up a zipline from another building to the second floor through a window they opened for you so that you can get to the second floor without ever touching the first floor.

Doesn't it feel dirty though?

Unfortunately, the current design of Bitcoin probably doesn't allow for the entirety of the world to efficiently onboard through layer 1. Maybe the big philosophical discussion around being financially self-sovereign ends for most because it really is difficult to be fully self-sovereign, even with bitcoin.

Our future conversations around bitcoin should then probably focus on one thing: trade-offs.

Maybe it's fine that I use my bitcoin in a custodial way because it's easier for me, and you use it non-custodially. Fine. Maybe Im wrong and youre right. Maybe it's none of your business how I use my own (or, rather, my custodians) money.

The point is: we should be more open to discussing custodial solutions to our problems no matter how dirty it might make us feel. And to that end, applying some custodial products in your financial or bitcoin life need not bar you from using non-custodial products.

You can use both. We just deserve more clarity and options when it comes to these particular trade-offs.

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As Bitcoin Scales, We Need Better Custodial Solutions - CoinDesk

Bitcoin has climbed 65% this year despite crypto woes. Experts explain why. – ABC News

The cryptocurrency industry, in recent months, has suffered some blows: high-profile bankruptcies, the arrest of wunderkind Sam Bankman-Fried and a regulator lawsuit against top crypto exchange Binance.

Despite it all, the price of the largest cryptocurrency, bitcoin, has surged.

Bitcoin has climbed 65% this year, far surpassing the S&P 500, which has jumped 7%. Even the Nasdaq, a tech-heavy index, has delivered just a quarter of bitcoin's gains.

In fact, bitcoin has benefited from crises in the cryptocurrency arena, analysts said, since the unrest has pushed investors away from lesser-known coins and toward the sector's household name.

Plus, the price has gained a boost from wider economic forces like trouble in the financial system and slowing interest rate hikes, they said.

But the coming months pose uncertainty, experts added, as a looming recession could test the performance of an asset less than 15 years old.

The blockbuster performance of bitcoin in 2023 comes after the digital currency's price plummeted last year. In all, the price of bitcoin fell 65% last year, exceeding the losses suffered by the S&P 500, which dropped about 20%.

The price struggles for bitcoin, which extended throughout much of the cryptocurrency sector, coincided with an aggressive series of interest rate hikes that put downward pressure on many assets, including the major stock indexes.

"There had been a big bubble," James Butterfill, head of research at digital asset management firm CoinShares, told ABC News. "The bubble was pricked by the Fed."

The distress in cryptocurrency helped trigger a slew of failures. Last May, a major coin, Terra, collapsed along with its sister coin Luna. Meanwhile, several crypto lenders such as Block Fi, Celsius and Genesis filed for bankruptcy last year.

In dramatic fashion, crypto exchange FTX filed for bankruptcy in November after a collapse in a matter of days that was followed by the arrest of Bankman-Fried, the company's founder and former CEO. Bankman-Fried has pleaded not guilty to all 13 counts he faces, including fraud and conspiracy.

The unrest last year sent crypto investors toward well-known digital currencies, Callie Cox, an analyst at the investment company eToro who tracks cryptocurrencies, told ABC News.

"Bitcoin has been the beneficiary of a flight to quality within the crypto industry," Cox said. "This is the crypto name that my mom and your family probably know."

Butterfill, of CoinShares, echoed the point: "People are becoming a lot more discerning. There are 50,000 crypto coins out there and a lot of them are rubbish."

Ethereum, the world's second-largest cryptocurrency, has surged 52% this year, benefiting as well from the rush toward prominent coins, Butterfill said.

The rise in the price of bitcoin has coincided with favorable developments across the wider economy, since the Federal Reserve has slowed its interest rate hikes and unrest in the traditional banking sector has pushed some investors to seek a digital alternative, experts said.

Since March, three of the nation's 30-largest banks have collapsed. Shares of regional lender PacWest Bancorp plummeted on Thursday after the bank said it lost 9% of deposits last week, suggesting that financial instability persists.

"When the banking system faced threats, a lot of investors saw reason to doubt the financial system," said Cox, of eToro. "They went looking for alternatives."

There is little data available that depositors pulled money out of banks and placed it in bitcoin, Butterfill noted, adding that he had heard anecdotes of bank customers transferring funds to crypto.

If the Fed halts its rate hikes, as many investors expect, bitcoin could continue its rise over the latter part of the year, experts said. However, they cautioned that a potential recession could bring volatility.

"There might be nervousness about bitcoin as we move closer to a recession," Cox said, pointing out that interest rates would remain elevated even after a pause. "There are a lot of crosswinds for crypto right now."

Butterfill acknowledged uncertainty about the outlook of day-to-day performance for bitcoin, but remained optimistic about the remainder of 2023, even if it involves a recession.

"Economic data continues to deteriorate," Butterfill said. "In that environment, bitcoin would be volatile and perform quite well."

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Bitcoin has climbed 65% this year despite crypto woes. Experts explain why. - ABC News

Bitcoin Edges Below $27K as Latest Bank Crisis Fails to Trigger Price Increase – CoinDesk

Bitcoin (BTC) edged below $27,000 as the latest banking debacle failed to trigger the sort of price surge that has occurred in recent weeks amid multiple U.S. bank failures.

The largest cryptocurrency by market capitalization was recently trading at around $26,950, down over 3% in the past 24 hours. BTC had been hovering above $27,000 Thursday morning before dropping below the threshold around 1 p.m. ET. BTC has been trending downward for much of the past week as investors look for a new price catalyst. Bitcoin fell below $27,000 on Wednesday for the first time since March, regained the threshold before falling again.

In an email to CoinDesk, Vineeth Bhuvanagiri, the managing director of Emurgo Fintech, the founding entity of the Cardano blockchain, noted that investors remain concerned about low liquidity, which is why seemingly slight selloffs tend to have an outsize impact on price.

Meanwhile, an outflow of deposits at PacWest Bancorp (PACW) that sent the Los Angeles-based banks stock price down 22% on Thursday did not spur strong demand for cryptos as this time, Edward Moya, senior market analyst for foreign exchange Oanda, wrote in a Thursday note.

Banking contagion fears still remain low as some banks like Western Alliance show deposits are rising, Moya said.

Emurgos Bhuvanagir suggested that a major macro shock such as a lack of resolution on the debt ceiling that triggers a default could send bitcoins price reeling, although he added that BTC appears to be in an accumulation phase, meaning that dips get gobbled up quickly.

In an interview with CoinDesk, Greg Cipolaro, global head of research at bitcoin-focused investment firm NYDIG, compared the markets tenor to that during the debt ceiling crisis of 2011, sensing a little bit of the same, Cipolaro said.

It's a little bit of calm before the storm right now, he said. As we get into the negotiations in the end, the ceiling will ultimately be raised. There may be quite a bit of market volatility around that.

It might be that bitcoin, as a non-sovereign issued store of value, is seen as a valid investment option for those seeking to insulate themselves from the machinations of politicians and monetary policy setters, he wrote in a note published on April 21.

Ether (ETH), the second-largest cryptocurrency by market capitalization, followed a similar trend, dropping over 3.5% to hover around $1,788 Thursday. ETH dropped below $1,800 for the first time since late April, according to CoinDesk data. Layer 2 blockchain Polygons MATIC token slid over 4% to trade at around $.84 cents.

The CoinDesk Market Index (CMI), which measures the overall crypto markets performance, was down 3.7% for the day.

Equity markets were mixed, with the S&P 500 and Dow Jones Industrial Average (DJIA) dropping by 0.1% and 0.6%, respectively. The tech-heavy Nasdaq was up 0.1% for the day.

CORRECTION (May 11, 2023, 21:10 UTC): Bitcoin fell below $27,000 for the first time since March on Wednesday.

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Bitcoin Edges Below $27K as Latest Bank Crisis Fails to Trigger Price Increase - CoinDesk

This is when Bitcoin could reach a new all-time high – Finbold – Finance in Bold

Bitcoin (BTC) has been struggling to break through the crucial $30,000 price level in recent weeks, despite gaining renewed support from factors such as the United States banking crisis.

As the maiden cryptocurrency experiences a lackluster performance, market analysts are closely monitoring its next price trajectory, especially regarding the next all-time high.

In particular, a recognized pseudonymous crypto analyst El_crypto_prof, who took to Twitter on May 13, suggested that Bitcoins price action follows a pattern of higher highs and higher lows that often leads to a parabolic rally. This means that as the cryptocurrencys value increases, it tends to surge even faster, resulting in exponential growth.

Based on this pattern, the analyst suggested that Bitcoin could achieve a new all-time high before 2025. This is because the cryptocurrency has been consistently exhibiting a series of higher lows over the past few months, which could indicate that it is on track to establish a new higher high.

Besides the historical chart pattern trends, Bitcoin is also banking on factors like the upcoming halving and possible regulatory clarity as a potential foundation for a new all-time high. The last record high was in late 2021 when the asset peaked at almost $69,000.

Its worth noting that Bitcoin has been unable to maintain gains above the $30,000 level since mid-April. As of May 12, the cryptocurrency saw its lowest level of trade since mid-March, dropping below $27,000 due to ongoing volatility fueled by low liquidity in the cryptocurrency markets.

The renewed losses in Bitcoin can also be attributed to the increased regulatory scrutiny in the industry. Recently, Bitcoin miner Marathon Digital received a subpoena from the U.S. Securities and Exchange Commission (SEC), raising concerns about potential violations of federal securities laws through related-party transactions. This development has created uncertainty for the publicly traded mining company.

As Bitcoin looks to reclaim a new record high, the crypto community is projecting a possible price decline in the coming weeks. As per Finbold report, a crypto community with 82% historical accuracy predicted that Bitcoin would likely tumble and trade at $24,753 on May 31.

As of press time, Bitcoin was trading at $26,801, reflecting a modest daily gain of around 1.6%. However, on the weekly, the cryptocurrency has declined by almost 7%.

A look at Bitcoins technical analysis shows a bearish sentiment prevailing. According to a review of one-day gauges obtained from TradingView, the recommended sentiment is sell at 11. The moving averages indicate a sell sentiment at 9, while the oscillators are neutral at 8.

In the meantime, Bitcoin is attempting to breach the $27,000 support level, potentially creating room for the cryptocurrency to reclaim the $30,000 level.

Disclaimer:The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

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This is when Bitcoin could reach a new all-time high - Finbold - Finance in Bold

Crypto Braced For Stampede As Legendary Investor Issues $200 Trillion Warning After Wild Bitcoin, Ethereum, BNB, XRP, Cardano, Dogecoin, Polygon And…

BitcoinBTC, ethereum and the wider crypto market have rocketed this year though the price rally has stalled this week as a leaked memo revealed a secret Democrat plan for a U.S. crypto crackdown.

Subscribe now to Forbes' CryptoAsset & Blockchain Advisor and successfully navigate the bitcoin and crypto market roller-coaster

The bitcoin price boom has been partly fueled by the U.S. banking crisis that thrust crypto back into the limelight and boosted the ethereum price along with top ten cryptocurrencies BNBBNB, XRPXRP, cardano, dogecoin, polygon and solana.

Now, after legendary investor Stanley Druckenmiller warned of a $200 trillion U.S. debt burden, MicroStrategyMSTR founder Michael Saylor has predicted a bitcoin "stampede" due to loss of confidence in the U.S. dollar and banking system.

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"The meltdown in banks and the meltdown of currencies is driving a stampede of smart money to bitcoin," Saylor, who has led his software company in buying 140,000 bitcoin currently worth $3.7 billion over the last three years, told YouTuber David Lin.

"If you lose confidence in the currency, the banks, then you lose confidence in fiat currency as money. And therefore the money is dying," Saylor said, pointing to the struggling economic situations in Venezuela and Argentina where inflation has spiraled to triple-digit percentages.

"If I cant trust the bank, if I cant move the money cross-border and if the currency is losing value every year or every month, then I start thinking about commodity monies," such as gold and bitcoin.

Saylor's "stampede" prediction comes hot on the heels of technology investor Balaji Srinivasan failed $1 million bitcoin price bet, who admitted he'd "burned a million to tell you they're printing trillions."

Srinivasan's $1 million bitcoin price prediction was triggered by the banking crisis that's led to some of the largest banking failures in U.S. history, with fears the collapse of Silicon Valley Bank and First Republic could cascade into PacWest and other regional banks.

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Meanwhile, the U.S. hurtling toward the first-ever U.S. debt default that could happen as soon as next month as a standoff between president Joe Biden and the Republican-controlled House of Representatives continues.

Earlier this month, billionaire investor Stanley Druckenmiller warned the official $31.4 trillion debt limit could be dwarfed by the $200 trillion debt pile once future entitlement payments are factored in.

Druckenmiller compared the debt ceiling and the fiscal spending to "worrying about whether a 30-foot wave will damage the pier when you know there's a 200-foot tsunami just 10 miles out," in a speech reported by Bloomberg.

I am a journalist with significant experience covering technology, finance, economics, and business around the world. As the founding editor of Verdict.co.uk I reported on how technology is changing business, political trends, and the latest culture and lifestyle. I have covered the rise of bitcoin and cryptocurrency since 2012 and have charted its emergence as a niche technology into the greatest threat to the established financial system the world has ever seen and the most important new technology since the internet itself. I have worked and written for CityAM, the Financial Times, and the New Statesman, amongst others. Follow me on Twitter @billybambrough or email me on billyATbillybambrough.com.Disclosure: I occasionally hold some small amount of bitcoin and other cryptocurrencies.

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Crypto Braced For Stampede As Legendary Investor Issues $200 Trillion Warning After Wild Bitcoin, Ethereum, BNB, XRP, Cardano, Dogecoin, Polygon And...

Memecoin Mania Propels Bitcoin Transaction Fees To Highest Level … – Forbes

The creation of a new token standard has caused bitcoin fees to spike

A new token standard, BRC-20, has emerged on the Bitcoin BTC blockchain, driving a speculative frenzy. Tokens built on the standard that emulate internet memesknown as memecoins and bearing names such as Ordi, Pepe, Piza and Memeappreciated as much as 28,000% in recent weeks.

The tokens are fungible digital assets that can be created and transferred on the Bitcoin blockchain using the Ordinals protocol. The standard allows users to inscribe data on satoshis, the smallest unit of Bitcoin, and turn them into tokens.

Ordinals has enabled the rise of memecoins deploying on the Bitcoin blockchain but not possessing any inherent utility or programmability. Instead, traders have been piling into these coins purely for speculative purposes. Since their introduction in March, 14,300 BRC-20 tokens have been launched, reaching a combined market capitalization of over $1 billion. Ordi, a memecoin paying homage to the Ordinals protocol, is the largest, with a value of $400 million.

Although some memecoins have markedly appreciated, investors are urged to exercise caution, as most traders are hoping to offload their coins to higher bidders. Upon listing the popular Pepecoin on its exchange, Gemini included the following disclaimer in its listing announcement:

$pepe is a new meme token. $pepe has no defined utility; its value may be derived only from the continued willingness of market participants to demand and trade the token, which may result in the potential for permanent and total loss of value should participants choose to no longer demand or trade $pepe. The token may also be subject to extreme price volatility, in particular if large, concentrated holdings of $pepe are liquidated in a short period of time.

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Dogecoin was one of the first and most popular memecoins. Created in 2013 as a facetious and humorous cryptocurrency, Dogecoin DOGE was merge mined with Litecoin LTC , meaning miners of the latter could use the same hashing algorithm and hardware to simultaneously generate both tokens.

Dogecoin gained widespread popularity when billionaire Elon Musk embraced it in 2021. He has provided sporadic support since then, including a temporary replacement of the Twitter bird logo with the Doge icon in April after he acquired the social media platform last year. The success of Doge inspired other speculative doggy coins such as Shiba Inu, Akita Inu, and Kishu Inu.

BRC-20 tokens revived interest in memecoins, making it trivially simple to spin up new ones. Pepecoin borrows its name from a cartoon frog that has been embraced by crypto enthusiasts who enjoy its irreverent nature. Pepecoin first launched on Ethereum ETH in April with a 420.69 trillion supply and reached a market capitalization over $1.8 billion days after its launch. The BRC-20 version launched soon after and reached its peak market capitalization of over $100 million.

The market capitalization of the Ethereum Pepe is down 69% from its peak, at $560 million.

Pepe's market cap has been falling since it reached a high of $1.8 billion.

BRC-20 tokens are inspired by Ethereums ERC-20 standard, but a key distinction is that the Bitcoin versions do not rely on smart contracts. Instead, they use JavaScript Object Notation (JSON) data to store the token rules and attributes. Since Bitcoins base layer does not support smart contracts, BRC-20 tokens have limited functionality and do not possess the expressive programmability of those built on Ethereum.

As a result of the rising interest in memecoins, Bitcoin transaction fees and unconfirmed transactions have skyrocketed. As BRC-20 related transactions congested the network, fees paid to miners reached their highest level since April 2021. Average fees increased about 1,500% to $31 for a simple Bitcoin transfer.

Bitcoin transaction fees have been surging

When Bitcoin blocks are full, the highest fee transactions are confirmed first. Pending transactions sit in node mempools awaiting confirmation. The Bitcoin mempool, which consists of the backlog of unconfirmed transactions, rose dramatically from about 10,000 transactions to over 350,000 transactions, applying upwards pressure on fees. As a result of the increase in transaction fees, miner profitability has also increased, rising 50% to 12 cents from 8 cents per terahash per second.

BRC-20s expand the design space for tokenized assets on Bitcoin. They have revealed strong demand for Bitcoin block space, which will benefit Bitcoins security and fee market. While BRC-20s are still in their infancy, infrastructure is rapidly emerging to improve the user experience and functionality, which will likely result in increased interest and adoption for Bitcoin.

Cumulatively, over 4 million BRC-20 transactions have been executed, comprising 60% of all Bitcoin transactions. For the first time in years, a Bitcoin block contained transaction fees greater than the block subsidy. On May 7, block 788695 had transaction fees of 6.7 bitcoin, which is greater than the block reward of 6.25 bitcoin. This was due to the high demand for block space driven by BRC-20 transactions.

A bitcoin block provided more revenue from transaction fees than the block reward

BRC-20 tokens represent further experimentation within the Bitcoin ecosystem, building upon the Ordinals protocol. Even if memecoins prove to be an ephemeral fad, they are having the tangible effect of increasing Bitcoin transaction fees. Memecoins may encourage further experimentation on the Bitcoin base layer, leading to new use cases and new sources of demand for Bitcoin block space. This in turn may drive a more sustainable increase in Bitcoin transaction fees.

A robust fee market is crucial for the health and security of the Bitcoin network, as they will need to compensate for the dwindling block reward over subsequent halving cycles.

Over the last week, BRC-20 transaction fees have comprised an average of 32% of all Bitcoin transaction fees. This has overtaken Ordinal NFT transaction fees, averaging only 1.6% over the last week.

Ordinals are taking up ever greater percentages of the total fees paid to bitcoin miners

The rise in transaction fees may also force centralized service providers to embrace layer-two technologies as a way to mitigate their costs. In fact, the fee surge caused Binance to temporarily halt Bitcoin withdrawals earlier this week and spurred it to consider adding support for the Lightning Network. Lightning is a payments-focused layer-two protocol built on top of Bitcoin designed for significantly faster and cheaper transactions.

It is important to note, BRC-20 tokens do not enable Bitcoin to be competitive with Ethereum as a smart-contract platform, especially on the base layer. Ethereum has a vibrant ecosystem of composable decentralized applications, spanning decentralized finance, NFTs, DAOs, gaming, identity, and other Web3 applications.

Developers are able to build these applications using Solidity, which is a Turing complete programming language that allows for a wide variety of functions and computer logic. Bitcoins base layer script does not possess these features, however, layer-two technologies and sidechains enabling greater flexibility could provide more expressive programming capabilities, directly competing with Ethereum as an open and permissionless platform for developers. Bitcoins base layer will remain optimized for simplicity and durability, whereas product experimentation will be relegated to layers building on top.

Decision Points

Although some traders have made astronomical returns trading memecoins, investors should be wary. Memecoins historically have been extremely volatile with little liquidity, meaning it may be difficult to scale in or out of a position without significantly moving the price. .

The bigger investment opportunity may be the infrastructure play that will lead to new uses of the Bitcoin blockchain. High transaction fees are clearly a pain point with which the network will continue to struggle, especially in bull markets.

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Memecoin Mania Propels Bitcoin Transaction Fees To Highest Level ... - Forbes

Bitcoin Surfing Tourists Are Flocking to El SalvadorWhats the Big Deal? – Decrypt

Tourists are flocking to El Salvador in record numbers, according to the countrys tourism minister.

The announcement comes as the Central American country ramps up its PR campaign to show the world that it is no longer a tiny backwater plagued by hyper violent street gangsbut rather a Bitcoin and surf paradise.

On Thursday, President Nayib Bukele, the countrys social media savvy, millennial leader, posted a cinematic video on Twitter announcing that El Salvador had just gone 365 days without a single homicide.

El Salvador today is undisputedly the safest country in Latin America, a dramatic voice narrates in the video.

AFP reported that the figure was the total number of days without murders since 2019 rather than consecutive days.

Tourism minister Morena Valdez added on Twitter that the country had received one million visitors so far this year.

Until recently, El Salvador was largely unpopular on the gringo trail, other than with hardcore surfers. That's because it repeatedly dropped in and out of the most violent nations on the planet lists.

In 2015, with at least 6,640 murders, it was ranked the most murderous country in the Western Hemisphere.

But El Salvador made headlines in 2021 when it became the first country in the world to make Bitcoin legal tender. Its eccentric leader has gone on Bitcoin-buying sprees and businesses now have to accept the cryptocurrency by law.

President Bukele has turned things around in the country by launching a historic crackdown on El Salvadors notorious criminal groups. He in turn hopes to transform the country into a tech hub.

And Salvadorans seem pleased with the turnaround: Murders are down and Bukele regularly polls well.

But human rights groups have criticized his crime-tackling strategy and institutions like the World Bank and the IMF have slammed the Bitcoin idea.

Real data is hard to get hold of, too: No one other than the Salvadoran government knows how much murders have really dropped byor how much Bitcoin the government owns.

Still, the impact of the Bitcoin and surf tourism campaign is undeniable. Travel guide giant Lonely Planet in November rated El Salvador as one of 11 top countries to visit in 2023.

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Bitcoin Surfing Tourists Are Flocking to El SalvadorWhats the Big Deal? - Decrypt

How will lower interest rates benefit Bitcoin? – Cointelegraph

Macro Markets, hosted by crypto analyst Marcel Pechman, airs every Friday on the Cointelegraph Markets & Research YouTube channel and explains complex concepts in laypersons terms, focusing on the cause and effect of traditional financial events on day-to-day crypto activity.

Todays show starts by discussing the economic crisis in Argentina, a Latin American country that is experiencing hyperinflation.After years of populist measures, its local currency, the peso, saw its value go down by 70% in two years. The governments overspending caused another issue: a lack of United States dollars for the government and companies to pay for imports and remittances. But what does that mean for the U.S. dollar, Bitcoin (BTC) and gold?

According to Pechman, gold poses serious problems, as there is no easy way to ensure whether or not the precious metal is fake, and it doesnt actually work for remittances. Therefore, dollars and euros are the preferred means of savings and exchange for those facing a weak domestic currency.

Pechman proceeds to explain how fintechs costs and government control limit their potential in Argentina, and why stablecoins are the preferred vehicle for remittances. On the other hand, the analyst shows why cryptocurrencies fail to attract people in those fragile economies, including El Salvador.

The next segment of Macro Markets focuses on the Federal Deposit Insurance Corporation (FDIC). Reuters reported that the 113 biggest banks in the U.S. will have to cover the recent FDIC loss of $16 billion caused by saving failed financial institutions. Consequently, theres a cascading effect as the remaining institutions are obligated to cover the losses. Pechman mentions how the Federal Reserve will eventually reduce interest rates and benefit risk-on assets, including Bitcoin.

If you are looking for exclusive and valuable content provided by leading crypto analysts and experts, make sure to subscribe to the Cointelegraph Markets & Research YouTube channel. Join us at Macro Markets every Friday.

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How will lower interest rates benefit Bitcoin? - Cointelegraph

El Salvador’s Bitcoin Bill Pounding; Accepted Legal Tender to Be – The Coin Republic

The U.S. Senators have launched an improvised bill to the Government. The context of the bill implies El Salvadors Bitcoin Adoption. Calling it a revised format because initially, the Bitcoin Law was introduced followed by the El Salvador Act. Senators James Rich, Bob Menendez, and Bill Cassidy require the Secretary of State, blending with other adjacent Federal departments and agencies, for filing a report on the adoption of Bitcoin as a legal tender in El.

The legislation seemed to put altered efforts at the cryptos accountability in El Salvador Act. Introduced by Risch in February 2022, a few months after El Salvadors Bitcoin Law was implemented. Congress data records exhibit that Idahos Senator James Risch and New Jerseys Senator Bob Menendez have put forth a bill to demand reports on the crypto adoption as legal tender in El Salvador on May 11.

Bitcoin adoption has been an apple on the plate since the law was enacted in El. Noting that obstructions within the officials brought reason to change and make amendments. Conventional reports are required to have an evaluation briefing of the regulatory framework in El. The potential impact of Bitcoin adoption. The determining factors should be democratic governance, country-level stability, and the continuity of remittances from the United States to El Salvador.

Official sources of Congressional stats show the introduced bill and its aims in Feb 2022. Foreign Relation Senator James proposal was placed on calendar No. 321, the Legislative Calendar under General Order.

Its called as ACES Act standing for Accountability for Cryptocurrency El Salvador Act. Report on Act to be evaluated and submitted keeping Els grounds for a base.

It includes formulated criteria taken on priority in the bill.

The regulatory structure in El regarding adoption of crypto as a legal tender with its technical capabilities to effectively accelerate the financial probity. Cybersecurity risks linked with virtual-asset transactions as known to every crypto user. Is the regulatory framework meeting the demands of the Financial Action Task Force (FATF) concerning virtual-asset transactions?

Individual impact and need of Bitcoin in business. Macroeconomic stagnancy and public finances, including taxes. Its followed by the rule of law and democratic governance in El. Then the unbanked population in El and the flow of payments from the United States to El. Countrys relations with multi-tasking financial institutions, like the International Monetary Fund and the Word Bank. Bilateral and over-boundary initiations to fight transactional illegal activities.

Environmental effects of crypto mining activities in El, the deforestation associated with the construction of new mining facilities, along with a capacity of the electric network to deliver trustable and accessible electricity meeting or extending the level available before the adoption of crypto as legal tender. Other factors like feasibility, internet infrastructure, usage degree, custody of chains of potential for hacking, and cyber theft of crypto are accompanied.

Appropriate Committees Of Congress to be defined. Committee commits to

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El Salvador's Bitcoin Bill Pounding; Accepted Legal Tender to Be - The Coin Republic

Bittrex approved to borrow $7 mln bankruptcy loan in bitcoin – Reuters

May 10 (Reuters) - Bankrupt cryptocurrency exchange Bittrex Inc received court permission Wednesday to borrow $7 million in bitcoin to fund the start of its Chapter 11 case.

Seattle-based Bittrex filed for bankruptcy Monday, saying it intended to return customer funds and wind down its U.S. operations. The company's international affiliates will continue to operate crypto exchanges for customers outside of the U.S., but Bittrex said that the U.S. regulatory environment had become untenable after the SEC sued the company for allegedly running an unregistered securities exchange.

Before filing for bankruptcy, Bittrex stopped accepting new deposits from U.S. customers and told its existing users to withdraw their crypto from the platform.

Bittrex's U.S. operations made up a minority of its overall users. Affiliated exchanges based in Liechtenstein and Bermuda accounted for about 77% of the company's 5.4 million users as of March 27, according to court filings.

Bittrex believes that it has enough cryptocurrency to fully repay all remaining customers, and the bankruptcy loan will ensure a smooth wind-down that protects customer assets, attorney Susheel Kirpalani told U.S. Bankruptcy Judge Brendan Shannon at a Wednesday court hearing in Wilmington, Delaware.

Shannon approved the loan on an interim basis, allowing Bittrex to borrow 250 bitcoin from its parent company Aquila Holdings, which is not filing for bankruptcy. Bittrex will seek permission to borrow an additional 450 bitcoin at a hearing in June, and the total value of its proposed loan is $19.7 million, based on bitcoin prices when it filed for bankruptcy.

Shannon said he was persuaded to accept a "novel currency" for the loan because it offered favorable terms compared to other bankruptcy loans, including a relatively low 4% interest rate and built-in protections related to bitcoin's price volatility. Bittrex intends to repay the loan in bitcoin, and it will not be forced to pay more than 110% of bitcoin's current value if it is later forced to acquire more bitcoin to make loan repayments, according to court documents.

Shannon also approved temporary privacy protections allowing Bittrex to remove customer names from court documents. Bittrex attorney Patricia Tomasco pointed out that one large accountholder has more than $14 million in crypto still on Bittrex's platform, saying that revealing that customer's name would subject them to a barrage of phishing emails.

"That's a pretty hefty prize for low-tech skullduggery," Tomasco said.

Shannon said he will revisit the privacy issue at a later hearing.

The case is Bittrex Inc, U.S. Bankruptcy Court for the District of Delaware, No. 23-10598.

For Bittrex: Susheel Kirpalani and Patricia Tomasco of Quinn Emanuel Urquhart & Sullivan

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Crypto exchange Bittrex files for bankruptcy after SEC complaint

US SEC charges Bittrex with operating unregistered securities exchange

Reporting by Dietrich Knauth

Our Standards: The Thomson Reuters Trust Principles.

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Bittrex approved to borrow $7 mln bankruptcy loan in bitcoin - Reuters

Can Bitcoin outshine gold? Here’s what commodity guru says – Finbold – Finance in Bold

With the ongoing economic uncertainty, investors are searching for products that can potentially provide protection. In this regard, gold and Bitcoin (BTC) are among the assets considered viable options to provide the needed safety.

In this line, senior commodity strategist at Bloomberg Mike McGlone has suggested that gold is likely to showcase its dominance and continue to outperform Bitcoin in the coming months at a time the precious metal seeks to attain new highs, he said in an interview with Red Cloud TV on May 12.

According to McGlone, the possible outperformance is highlighted by factors like the Bitcoin-to-gold ratio. He noted that while gold may no longer be seen as a primary investment asset, it still holds value as a risk-off asset as he maintained his bullish stand on Bitcoin.

Im still bullish on Bitcoin, but I think golds going to continue outperforming Bitcoin. Remember, I look at things like the Bitcoin gold ratio; its right around 14 per ounce. I look at it in this world of rapidly advancing digitalization technology, you cant really hold gold as an investment anymore without that digital port in there, maybe a couple of percent. I still think this is a risk-off asset, he said.

McGlone also expressed uncertainty regarding the potential gold price rally in the future in comparison to Bitcoin. However, its worth noting that with the inflationary pressure, both gold and Bitcoin have been touted as possible safe haven assets.

Both asset classes have experienced significant growth in recent months, partly attributed to the ongoing banking crisis.

McGlones latest sentiment follows his previous analysis that indicated that gold would likely outperform Bitcoin in a recession, especially if it involves a stock market downturn. This is illustrated in a chart displaying the 100-week moving average of both assets.

In this line, as Finbold reported on May 9, gold-related exchange-traded funds (ETFs) rose by 10% in the past two months, outperforming the benchmark stock market index SPXs gains of 3% during that period.

As things stand, Bitcoin is trading at $26,810 with daily gains of about 1.5% as the maiden cryptocurrency looks to reclaim the $30,000 spot. According to Kitco data, the precious metal is valued at $2,010 per ounce.

Disclaimer:The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.

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Can Bitcoin outshine gold? Here's what commodity guru says - Finbold - Finance in Bold

Bitcoin rises slightly after key inflation data comes in better than feared – CNBC

Bitcoin prices have been under pressure in 2022 after the collapse of algorithmic stablecoin terraUSD and subsequent bankruptcy filings from lender Celsius and hedge fund Three Arrows Capital.

Nicolas Economou | Nurphoto | Getty Images

Cryptocurrency prices got a slight but brief bump higher Wednesday following the April consumer price index report.

Bitcoin lost an earlier gain of more than 2% and was last hovering above the flatline at $27,748.24, according to Coin Metrics. At one point it rose above $28,000. Ether also pared gains and was last higher by less than 1% at $1,854.33.

Investors grew optimistic after the CPI report showed the inflation rate eased on an annual basis to 4.9% in April, which was slightly less than what economists polled by Dow Jones expected.

"When it comes to inflation data, bitcoin embraces its identity as a riskier asset," said Callie Cox, an analyst at investment company eToro. "Bitcoin has outperformed the S&P 500 on five out of the last six CPI days and it's on track to make it six out of seven with today's gains."

"Inflation is coming down, just as the Fed intended, and that's easing fears about the economy's future," she added. "Lower inflation also supports the case for the end of rate hikes, and higher rates are what started the crypto winter over a year ago."

CPI coming in below economists' forecast further cements the markets' expectation of rate hikes stopping, and rate cuts coming at some point during this year, said Steven Lubka, managing director at Swan Bitcoin.

"Ultimately, this represents an easing of tight liquidity conditions, an environment in which bitcoin has done extremely well historically," he said.

Bitcoin's correlation with the S&P 500 spiked to historic highs in 2022 as the Federal Reserve raised interest rates through the year. The flagship cryptocurrency's price tumbled 65% in 2022.

That link with stocks has fallen this year, however. At the same time, bitcoin's price and correlation with gold have increased. Crypto has also found other catalysts beyond inflation and the Fed namely, the regional banking crisis and the regulatory crackdown in the U.S. More recently, market participants have had their attention on Ordinals, a protocol that makes it possible to store and trade digital content on the Bitcoin blockchain, and memecoins.

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Bitcoin rises slightly after key inflation data comes in better than feared - CNBC

Whales Move Over $1,070,000,000 in Bitcoin, Ethereum, XRP and Polygon Heres Where the Crypto Is Heading – The Daily Hodl

Deep-pocketed crypto investors are suddenly shifting more than a billion dollars in Bitcoin (BTC), Ethereum (ETH), XRP and Polygon (MATIC) as markets dip.

According to new data from whale-surveying platform Whale Alert, crypto whales moved $849.1 million worth of the crypto king during the past two days.

In the largest of the BTC transactions, a whale moved 10,000 Bitcoin worth $269.4 million from one unknown wallet to another unknown wallet.

The other Bitcoin transactions on Whale Alerts radar include:

Bitcoin is trading for $26,771 at time of writing, a 0.8% decrease during the past 24 hours.

The whale-tracking platform also notes that a crypto whale moved a huge amount of layer-2 scaling solution Polygon. The deep-pocketed investor moved 30,000,000 MATIC worth $24.94 million from Polygon Staking to an unknown wallet.

Polygon is trading for $0.862 at time of writing, up 2.5% during the past 24 hours.

According to the whale-tracking platform, there were two big transactions of the smart-contract platform Ethereum on May 11th that totaled $164.4 million.

The Ethereum transactions on Whale Alerts radar include:

Ethereum is worth $1,813 at time of writing, up 1% during the past 24 hours.

The whale-tracking platform also notes that high-net-worth traders are shifting XRP, the native asset used to operate Ripple Labs payments platform. One crypto whale moved 50,000,000 XRP, worth $20.95 million at the time, from Ripple to another unknown wallet.

The other XRP transaction on Whale Alerts radar includes:

XRP is worth $0.429 at time of writing, up 1.9% during the past 24 hours.

Generated Image: Midjourney

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Whales Move Over $1,070,000,000 in Bitcoin, Ethereum, XRP and Polygon Heres Where the Crypto Is Heading - The Daily Hodl

Dont short when its dark green How to trade the 2024 Bitcoin halving – Cointelegraph

Bitcoin (BTC) is entering prime buy the dip territory as the clock ticks down to the 2024 block subsidy halving.

That is the conclusion of several well-known market participants this month, with Bitcoin just one year away from its very interesting next halving.

Bitcoin halving cycles are known to follow patterns when it comes to price activity in a given period.

These four-year epochs have so far contained a macro high and macro low for BTC price, with those events likewise four years apart from one another.

Whats more, in each cycle, the macro low has tended to occur a little over one year before the next halving. For longtime Bitcoin figures, including crypto media guru Pete Rizzo, there is thus little reason to believe that the future will be substantially different.

A small reminder the worlds most valuable money is only designed to get more scarce. Plan accordingly, he wrote in part of a tweet on May 12.

Rizzo was celebrating the three-year anniversary of the 2020 halving, and an accompanying chart underscored BTC price behavior relative to how many months remained before a halving event.

Commenting, investor and entrepreneur Alistair Milne went further, suggesting that for those looking to profit from BTC exposure, the time to buy is now, while the months before the halving are less beneficial entry points.

Dont short when its dark green and be all in before its blue, he summarizedthe charts contents.

Earlier in the month, meanwhile, another popular yet controversial Bitcoin industry figure used the same halving narrative to insist that the price cycles were not a matter of chance.

Related:Bitcoin Halving: How it works and why it matters

In a post of his own, PlanB, the pseudonymous creator of the Stock-to-Flow (S2F) family of Bitcoin price forecasting models, claimed that half of market participants considered the relationship between halvings and price was random.

His comments came within the context of how halvings relate to S2F, a theory that itself continues to see widespread criticism as a result of missed price targets from 2021 onward.

Nevertheless, for PlanB, too, BTC/USD remains low, with the upcoming halving not yet given sufficient market appreciation.

Why is bitcoin S2F/halving not priced in? Because ~50% thinks the BTC price jumps after last 3 halvings (red) are a coincidence, he wrote alongside an illustrative chart.

In a subsequent discussion, PlanB called the idea of Bitcoin price increasing as halvings decrease available supply, or flow, a no-brainer.

Magazine:Alamedas $38B IRS bill, Do Kwon kicked in the assets, Milady frenzy: Asia Express

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

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Dont short when its dark green How to trade the 2024 Bitcoin halving - Cointelegraph

Economic And Financial CatastropheYellen Issues Stark $31.4 Trillion Warning After Bitcoin, Ethereum And Crypto Price Boom – Forbes

05/8 update below. This post was originally published on May 6

BitcoinBTC, ethereum and cryptocurrencies have been catapulted back into the limelight this year by the U.S. regional banking crisis that could be just getting started.

Subscribe now to Forbes' CryptoAsset & Blockchain Advisor and successfully navigate the bitcoin and crypto market roller-coaster

The bitcoin price has almost doubled since falling to lows of around $15,000 per bitcoin late last year, with ethereum, the second-largest cryptocurrency, climbing along with itdespite cofounder Vitalik Buterin issuing a serious bull run warning.

Now, another ethereum cofounder, Charles Hoskinson, who went on to create ethereum rival cardano, has warned the banking crisis is going to be worse than the 2008 global financial crisis that led to the creation of bitcoin.

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"In 2008, we had $373 billion in tied-up assets," Hoskinson, who created ethereum along with Buterin, Joe Lubin and five others in 2014, told Fox Business, referring to to the combined $373 billion in assets that failed banks held in 2008.

CardanoADA, which Hoskinson created in 2016, has become the world's seventh-largest cryptocurrency with a market capitalization of $13 billion, compared to bitcoin's $566 billion and ethereum's $232 billion.

"I think were over $540 billion now just in the 2023 crisis. Were just getting started. That whole business model is falling apart when you give it a little bit of a push and then you lose these institutions like Silicon Valley Bank and they get so politicized and they get so globalized."

05/8 update: U.S. Treasury secretary Janet Yellen has warned the U.S. hurtling toward a "constitutional crisis" that risks "economic and financial catastrophe" if the U.S. $31.4 trillion debt limit isn't raised. "If Congress fails to meet its responsibility, there are simply no good options," Yellen said in an ABC interview.

U.S. lawmakers have come to an impasse over lifting the debt ceiling, which Yellen warned could be broken through as soon as June 1. This week, Biden is scheduled to meet congressional leaders for talks to try to resolve the stalemate.

"If they fail to do it, we will have an economic and financial catastrophe that will be of our own making, and there is no action that president Biden and [the] U.S. Treasury can take to prevent that catastrophe," Yellen said.

In March, sudden deposit flight from Silicon Valley Bank and Signature Bank forced the Federal Reserve to step in with emergency measures but panic spread to Switzerland's Credit Suisse, which had to be rescued by rival UBS.

This week, regulators seized First Republic BankFRC and sold its assets to JPMorgan, the largest U.S. bank by assets.

"Our government invited us and others to step up, and we did," said Jamie Dimon, JPMorgan's chief executive, who played a key part in the 2008 financial crisis. JPMorgan, which already held over 10% of total bank deposits in the U.S., will see its net deposits increase by 3% as a result of the deal, according to Wells FargoWFC analysts.

"Whats going to happen is too big to fail is just going to lead to bigger institutions," Hoskinson said. "Weve seen this story in 2008. And this is the rerun. I dont think anybody wants to watch it."

The 2023 banking crisis has been partly triggered by the Fed's rapid series of interest rate hikes over the last year, with rates this week climbing to levels not seen since before 2008 in an attempt to rein in soaring inflation.

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Others have meanwhile warned the banking crisis could balloon out of control if confidence in the system is restored.

"Confidence in a financial institution is built over decades and destroyed in days. As each domino falls, the next weakest bank begins to wobble," Bill Ackman, chief executive of the New York hedge fund Pershing Square, posted to Twitter.

"We are running out of time to fix this problem. How many more unnecessary bank failures do we need to watch before the FDIC [Federal Deposit Insurance corporation], and our government wake up? We need a systemwide deposit guarantee regime now."

I am a journalist with significant experience covering technology, finance, economics, and business around the world. As the founding editor of Verdict.co.uk I reported on how technology is changing business, political trends, and the latest culture and lifestyle. I have covered the rise of bitcoin and cryptocurrency since 2012 and have charted its emergence as a niche technology into the greatest threat to the established financial system the world has ever seen and the most important new technology since the internet itself. I have worked and written for CityAM, the Financial Times, and the New Statesman, amongst others. Follow me on Twitter @billybambrough or email me on billyATbillybambrough.com.Disclosure: I occasionally hold some small amount of bitcoin and other cryptocurrencies.

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Economic And Financial CatastropheYellen Issues Stark $31.4 Trillion Warning After Bitcoin, Ethereum And Crypto Price Boom - Forbes

Trader Who Called 2022 Bitcoin Bottom Says One Dogecoin and Shiba Inu Rival Headed to Zero Heres the Timeline – The Daily Hodl

A widely followed trader who called the November 2022 Bitcoin (BTC) bottom is warning one memecoin is going to implode after putting up huge gains.

Pseudonymous trader DonAlt tells his 484,600 Twitter followers that the Dogecoin (DOGE) and Shiba Inu (SHIB) rival Pepe (PEPE) is going to eventually breakdown to zero.

His chart shows Pepes sudden fall after skyrocketing within weeks, and he predicts the memecoin will not be worth anything in three-to-five years.

Where does PEPE go next?

Spoiler alert: The answer is zero Just gotta wait three-five years until it hits the target.

Pepe is trading for $0.00000159 at time of writing, down 16.1% during the past 24 hours.

The meme token is down 62.74% from its all-time high of $0.00000431, which it hit on May 5th. Pepe, the 65th-largest crypto by market cap, had skyrocketed in a matter of weeks from its all-time low of $0.000000055142, which it recorded on April 18th.

Next, DonAlt weighs in on Bitcoin. He predicts the king crypto will likely continue to dip in value in the near term.

BTC update:

Slow bleed has been very accurate. Every bounce so far has simply been forcing shorts out of their over-eager positioning.

A beautiful display of maximum pain for leverage traders I doubt itll stop anytime soon but would love to be surprised.

DonAlt also says that Bitcoin is facing headwinds from the crackdown on crypto by US regulators. He says he plans to reinvest in BTC after the USs anti-crypto effort subsides.

At $16,000 we were so undervalued, anything couldve happened and we wouldve barely budged.

At $30,000 thats a different story.

I feel like people forgot that the US government is actively trying to kill this space.

Ill personally give them some time to fail and then Ill buy the coins.

DonAlt is also predicting Bitcoin will dip down to the $26,700 level in the near term. He also says that Bitcoin will chop around for a while and will not likely make a break to the upside until trading volume cools.

I wasnt kidding when I said the majority of leverage traders are gonna lose all their money in this environment.

This will not stop until trading volumes are near zero IMO (in my opinion). First nuke longs, then shorts, then go sideways with outsized impulses on either side to kill the rest.

Bitcoin is trading for $27,161 at time of writing, down 3.9% during the past 24 hours.

Featured Image: Shutterstock/Profil_zero/WindAwake

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Trader Who Called 2022 Bitcoin Bottom Says One Dogecoin and Shiba Inu Rival Headed to Zero Heres the Timeline - The Daily Hodl

US Bank Deposits Continue To Fall, What It Means For Bitcoin? – CoinGape

According to Genevieve Roch-Decter, CFA, US bank deposits are about to slip under $17 trillion for the first time in over 2 years. It could be an indicator that people are moving their money from banks to cryptocurrencies such as Bitcoin.

One potential reason for this trend is the recent spate of bank failures in the United States. In 2023, the major banks Silicon Valley Bank, Silvergate Bank, Signature Bank, and First Republic Bank all collapsed, leaving many depositors without access to their funds.

In the case of Silicon Valley Bank, a large portion of the banks portfolio was invested in Treasury and mortgage bonds, which lost value when interest rates rose. This led to a panic among depositors, many of whom were tech startup founders, who rushed to withdraw their money from the bank.

Signature Bank and First Republic Bank also failed due to a high percentage of uninsured deposits and a large number of wealthy customers with deposits exceeding the FDIC-insured limit.

The fall in bank deposits can also be influenced by inflation, growing mistrust, and recession. Inflation, for instance, has been a major concern for the US economy, with the pace of price rises reaching 4.9% in the 12 months to April. This is down slightly from 5% in March, but still marks the tenth month in a row that price rises have slowed.

To control inflation, FED has sharply raised interest rates. While this move has helped to slow down price rises to some extent, it has also had an impact on bank deposits. With interest rates rising, people may be seeking alternative investment opportunities that can provide better returns, such as cryptocurrencies.

Bitcoin has often been touted as a potential inflation hedge due to its limited supply and decentralized nature. In times of high inflation, investors may turn to Bitcoin as a store of value. While some investors may see Bitcoin as a potential safe haven asset, others may view it as a highly speculative and risky investment.

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US Bank Deposits Continue To Fall, What It Means For Bitcoin? - CoinGape

Binance to Withdraw From Canadian Market Due to Regulatory … – Bitcoin News

Binance, the worlds largest cryptocurrency exchange by trading volume, announced on Friday that it is proactively withdrawing from the Canadian market. The company thanked the regulators who worked with them and said that the Canadian market was small.

The cryptocurrency exchange Binance has decided to withdraw from the Canadian market. The company noted that it was the home country of its founder and cited regulatory guidance as the reason for its decision. Binance claims that the new regulatory climate in Canada makes it less feasible for its digital currency business to operate in the country.

Unfortunately, today we are announcing that Binance will be joining other prominent crypto businesses in proactively withdrawing from the Canadian marketplace, Binance tweeted on Friday. The trading platforms social media account added:

Unfortunately, new guidance related to stablecoins and investor limits provided to crypto exchanges makes the Canada market no longer tenable for Binance at this time. We put off this decision as long as we could to explore other reasonable avenues to protect our Canadian users, but it has become apparent that there are none.

The news follows the U.K. court setting aside an interim proprietary injunction against Binance. The court ordered Binance to keep a certain amount of cryptocurrency after a victim of cryptocurrency fraud claimed to have traced the stolen funds to the exchange. Additionally, last week, a report said Binance was being probed by the U.S. Department of Justice (DOJ) over alleged Russian sanction violations.

In the announcement on Friday, Binance said Canadian users will receive an email containing crucial details about how their accounts will be affected in the future. Despite the regulatory climate surrounding stablecoins and investor limits, the exchange expressed its willingness to collaborate and communicate with Canadian regulators.

Although Binance does not necessarily agree with the current regulations, it said it remains open to working towards a solution. The exchange concluded that it remains optimistic that a thoughtful framework will be established in the future, which could potentially pave the way for Binance to resume its services for Canadians.

What do you think about Binance leaving the Canadian market? Share your thoughts in the comments section below.

Jamie Redman is the News Lead at Bitcoin.com News and a financial tech journalist living in Florida. Redman has been an active member of the cryptocurrency community since 2011. He has a passion for Bitcoin, open-source code, and decentralized applications. Since September 2015, Redman has written more than 7,000 articles for Bitcoin.com News about the disruptive protocols emerging today.

Image Credits: Shutterstock, Pixabay, Wiki Commons

Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article.

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Binance to Withdraw From Canadian Market Due to Regulatory ... - Bitcoin News

Coinbase screws up, Florida bans CBDCs, and Ordinals face … – Cointelegraph

Top Stories This WeekCoinbase calls Pepe a hate symbol, prompting calls to boycott the exchange

An email sent out to Coinbase customers describing the Pepe the Frog meme as a hate symbol co-opted by alt-right groups has drawn significant ire from the PEPE memecoin community this week. Two hours after the email was sent, the hashtag #deletecoinbase hit the trending sidebar on Twitter, with over 14,000 comments calling on users to boycott the exchange. Paul Grewal, the Coinbases chief legal officer, took to Twitter to respond to the outrage and apologized: We screwed up and we are sorry.

United States Florida Governor Ron DeSantis signed a bill restricting the use of central bank digital currencies (CBDCs) in the state. The new law prohibits the use of a United States federal CBDC as money within Floridas Uniform Commercial Code (UCC). It also bans the use of CBDCs issued by foreign governments and calls on other states to use their commercial codes to institute similar prohibitions. DeSantis said he was spurred into action by White House studies of the new financial technology. The law takes effect on July 1.

Milady (LADYS), the self-organized memecoin based on the anime avatar NFT collection of the same name, surged by over 5,250% on May 11 after Elon Musk tweeted a meme using the imagery of a Milady NFT. The tweet also boosted the collections average sale price. LADYS is a meme coin without any intrinsic value or expectation of financial return. There is no formal team or roadmap, said the token developers. The coin is completely useless and for entertainment purposes only.

Bitcoin Ordinals continue to inspire debate among the Bitcoin community. Soon after their introduction in January 2023, opponents of the technology began to raise concerns about its perceived flaws, citing slow speeds and rising transaction costs. Meanwhile, its supporters claim that the ordinals provide more opportunity, improve decentralization and ensure freedom of expression. The technology enables adding text, images and code on a satoshi the smallest unit of Bitcoin.

Crypto exchange Kraken has provided a novel method for flagging malicious wallets building a fake crypto environment to scam bait bad actors. Kraken created the custom environment for popular streamer Kitboga to frustrate a scammer posing as U.S. President Joe Biden. The punchline comes when Kitboga, who portrays an elderly person with a $450,000 balance in Bitcoin, infuriates the scammer after incorrectly typing his wallet address before sending over all of the funds.

At the end of the week, Bitcoin (BTC) is at $26,707, Ether (ETH) at $1,803 and XRP at $0.43. The total market cap is at $1.12 trillion, according to CoinMarketCap.

Among the biggest 100 cryptocurrencies, the top three altcoin gainers of the week are Kava (KAVA) at 15.28%, Bitcoin SV (BSV) at 5.19% and PAX Gold (PAXG) at 0.20%.

The top three altcoin losers of the week are Pepe (PEPE) at -54.43%, PancakeSwap (CAKE) at -27.15% and WOO Network (WOO) -24.48%.

For more info on crypto prices, make sure to read Cointelegraphs market analysis.

A blanket pause on AIs training, together with existing trends that seem to be de-prioritizing investment in industry AI ethics efforts, will only lead to additional harm and setbacks.

Christina Montgomery, chief privacy and trust officer at IBM

The tokenization of real-world assets may offer an unprecedented opportunity to create new market infrastructure and drive efficiency in the trading of products across the globe.

Cathy Clay, executive vice president, global digital and data solutions at Cboe Global Markets

The metaverse is dead! Lets organize an online wake so that we 600,000,000 monthly active users in Fortnite, Minecraft, Roblox, PUBG Mobile, Sandbox, and VRChat can mourn its passing together in real-time 3D.

Tim Sweeney, CEO of Epic Games

We screwed up and we are sorry [about comments regarding Pepe the Frog].

Paul Grewal, chief legal officer at Coinbase

People are actually adopting [crypto] inside of their portfolios. Whether youre talking about the retail side, high net worth or institutional investors, everyones looking at their portfolios and trying to get that type of exposure.

Neil Tan, chair of the FinTech Association of Hong Kong

The key lessons learned from the Terra LUNA crash include proper diligence. Doing due diligence on each project would save potential investors future heartache.

Obinna Uche Uzoije, Twitter analyst

Bitcoin neared two-month lows on May 12 amid fears that a head-and-shoulders pattern would put bears ahead.

Data from Cointelegraph Markets Pro and TradingView showed BTC/USD reaching $26,100 on Bitstamp its lowest since March 17. Despite encouraging macroeconomic conditions for risk assets, Bitcoin failed to capitalize on the potential for gains as bid liquidity headed lower.

This head-and-shoulders pattern would create a negative precedent if confirmed. We simply cannot let the #Bitcoin head and shoulders crowd win, said pseudonymous financial commentator Tedtalksmacro, before adding that if Bitcoin climbs back above $27k things could get very interesting.

Bad actors have taken notice of the hype surrounding the Pepe memecoin, resulting in scam attempts that now plague the crypto community. According to blockchain security firm PeckShield, at least 10 memecoin scams have been created over the past few days. The firm reported scam tokens that recently had their liquidity removed, rug-pulling investors. Fake Pepe claim sites are also starting to become increasingly common on Twitter.

A sudden rise in Bitcoin transaction fees and unconfirmed transactions sparked concern on Crypto Twitter over the week about a potential denial-of-service attack on the network. Bitcoin average transaction fees were at $19.20 on May 8, according to BitInfoCharts, while the backlog of transactions stood at 459,341 on the same day. The increased demand on the network has even caused total fees per block to temporarily exceed the block subsidy reward of 6.25 BTC. Bitcoin analysts and commentators have rushed to allay community fears.

NFT protocol ParaSpace published several alleged irregularities tying its CEO Yubo Ruan to mismanagement of funds equaling 2,909 Ether. The funds had previously been stolen during a hack, but were later recovered thanks to white hats. Ruan, however, returned only a portion of the funds to the protocol treasury. ParaSpace employees have now taken full control of the protocol and are calling on Ruan to step down. The CEO denied any wrongdoing.

Treatment centers are seeing an uptick in clients struggling with cryptocurrency addiction. Although the symptoms are not difficult to spot, some crypto traders may not even be aware of whats troubling them.

The Silk Road hacker lived the high life for a decade with his stolen billions but was caught due to a transfer of pocket change.

Will Clemente III ditched school to become a crypto analyst and says Bitcoin has a strong chance of hitting six figures toward the end of 2024.

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Coinbase screws up, Florida bans CBDCs, and Ordinals face ... - Cointelegraph