Bitcoin tested the $35,000 level, experts assessed the chances of a continued rally, a court ordered the SEC to reconsider Grayscale’s bid for a Bitcoin-ETF, while the fortune of Binance chief Changpeng Zhao fell by 82% since January 2022, and other events of the past week.
Bitcoin tested the $35,000 level
On Monday, October 23, the price of the first cryptocurrency surpassed the $31,000 mark. The following day, the price of Bitcoin tested the $35,000 level for the first time since May 2022.
As of writing, the digital gold was trading at around $34,200.
All assets in the top-10 by market capitalization closed the week in the green. The biggest gains were Bitcoin (+14.6%), Cardano (+14.2%), Dogecoin (+13.5%), and Solana (+12.9%).
Total cryptocurrency market capitalization sits above $1.3 trillion. Bitcoin’s dominance index stands at 54%.
Experts assess the prospects for Bitcoin to reach $40,000
In the near term, Bitcoin is expected to continue higher amid rising trading volumes and inflows into crypto funds, stated by ForkLog’s experts.
According to BestChange analyst Nikita Zuborev, the local trend emerged against a backdrop of moderately positive news — the SEC’s decision not to pursue litigation against Ripple’s executives, and the U.S. appellate court’s ruling on the reconsideration of Grayscale’s application to convert its cryptocurrency trust into a spot Bitcoin ETF.
According to Anton Toropzev, regional director of the Commex exchange in Russia and the CIS, a good sign that the market is transitioning to a bull phase is that negative news no longer has a significant impact on it.
“It’s still early to talk about the start of a rally, but this is certainly a healthy revival of the market. I would expect further increases in volatility and trading volumes. At the same time, based on past cycles, room for a correction still exists,”
Fuel for Bitcoin’s current rise consisted of short positions and stop-losses, as well as liquidity inflows from China and nearly $2 billion of newly minted stablecoins, trader Vladimir Koen said. But the main driver remains expectations for a Bitcoin ETF approval.
Matrixport: Bitcoin could reach $125,000 by end-2024
The fifth bull market for Bitcoin officially began on June 22, 2023, and by December 2024 prices could reach $125,000. Matrixport analysts concluded as much.
The start of the new uptrend was linked to the update of the yearly high (June 22, 2023).
According to their calculations, after this signal fired, Bitcoin’s return averaged about +310%. Based on these figures, analysts projected a price of $125,000 by December 2024.
The optimal entry point they named was the period 14–16 months before the halving — in October 2022, when Bitcoin traded around $17,000. At that time, experts recommended opening a long position.
What to talk about with friends?
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Court orders SEC to reconsider Grayscale’s application for a spot Bitcoin ETF
The U.S. Court of Appeals officially affirmed the decision, according to which the SEC must reconsider Grayscale Investments’ application to convert GBTC into a spot ETF based on the first cryptocurrency.
In June 2022 the asset manager filed a suit against the regulator for the denial of converting their flagship trust. The firm sent the corresponding application in October 2021.
In late August the court granted Grayscale’s motion and ordered the Commission to revisit the decision.
The new filing reiterates the appellate court’s decision. According to the ruling, the management company showed that the proposed spot ETF is analogous to already approved Bitcoin futures ETFs.
The SEC fined BlackRock $2.5 million for withholding information
The SEC brought charges against BlackRock for “inability to accurately describe investments in the entertainment industry.” The company agreed to pay a $2.5 million penalty.
The regulator says that from 2015 to 2019 the Multi-Sector Income Trust (BIT) fund invested in the film company Aviron Group. BlackRock allegedly described it as a firm providing “diversified financial services,” but that was incorrect, the Commission says.
“Retail and institutional investors rely on accurate information about the companies that constitute a fund’s portfolio to assess current or potential investments,”
BlackRock also allegedly stated that Aviron paid a higher rate than was actually the case. According to the SEC, in 2019 the fund manager discovered these inaccuracies and corrected them in subsequent filings.
Also on ForkLog:
- Polkadot developer will cut 30% of staff.
- Bitmain unveiled a new miner with 190 TH/s.
- Justin Sun reported HTX quarterly profit of $98 million.
- The Ethereum team pushed back the Dencun hard fork to 2024.
Bloomberg: Binance CEO’s fortune fell 82%
The net worth of Binance CEO Changpeng Zhao (CZ) fell by 82% — from a peak of $96.6 billion in January 2022 to $17.3 billion today, according to Bloomberg’s billionaire index.
The executive sits 95th on the list.
Year over year, Zhao’s fortune rose 37% or $4.69 billion. The figure could have been higher, but between October 24 and 26 it plunged by more than $12 billion.
The publication obtained these data from Zhao’s controlling stake in Binance. Bloomberg estimates Binance’s 2023 revenue at $7.9 billion, accounting for average commissions, as well as spot and derivatives trading volumes.
Moreover, the calculations account for Zhao’s investments in Bitcoin and BNB.
Zhao is attributed with 90% of Binance’s shares, given his public statements and corporate documents. He also owns about 86% of the U.S. subsidiary Binance.US, valued at around $4.7 billion in a March 2022 funding round.
What else to read?
This week we explained what liquidity pools are and whether flatcoins could halt global inflation.
In our traditional digest, we highlighted the week’s top cybersecurity developments.
The cryptocurrency industry is drawing more institutional players. This is reflected in new investments in infrastructure and growing attention that companies give to Bitcoin as an asset class. The most important events of recent weeks are in the review from ForkLog.