Author: Stephanie Bedard-Chateauneuf

This post was originally published on this site

Cryptocurrency markets remained under pressure during U.S. trading hours on Thursday, extending a decline that began the previous day when the Federal Reserve indicated it expected to cut rates only once this year.

Ether (ETH) saw a mid-morning bounce after U.S. Securities and Exchange Commission Chairman Gary Gensler, during a Senate hearing, stated he anticipated that spot ether ETFs would receive full approval from his agency by the end of the summer. This news briefly lifted ether by 1%, but the gain was short-lived. The price reversed more than 3% within an hour and was trading at $3,440 at press time, down 5% over the past 24 hours. The broader CoinDesk 20 Index was down 4.9% in the same period.

Bitcoin (BTC) also dropped nearly 5%, trading near a one-week low of $66,300.

Markets turned negative on Wednesday afternoon following the Federal Reserve’s hawkish policy meeting. The U.S. central bank kept its benchmark fed funds rate range steady at 5.25%-5.50% but updated its projections to suggest just one 25 basis point rate cut in 2024. In contrast, rate futures markets had been anticipating two to three 25 basis point cuts this year.

Thursday morning’s U.S. economic data, indicating continued softening in both inflation and the economy, failed to improve the macro mood in crypto. The May Producer Price Index (PPI) fell 0.2% against expectations for a 0.1% rise. On a year-over-year basis, PPI was up 2.2% compared to forecasts of 2.5%. Additionally, initial jobless claims rose to nearly a one-year high of 242,000, versus expectations of 225,000.

“$66K seems like equilibrium,” said well-followed analyst Skew in a post on X, who, along with others, is trying to decipher a market that hasn’t sustained higher levels despite recent bullish news. This includes improving inflation data, a Bitcoin-friendly presidential frontrunner in Donald Trump, spot ETH ETF approvals, and other risk asset markets, like U.S. stocks, reaching new all-time highs.

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

Paradigm, known for its early investments in projects like crypto exchange Uniswap and Ethereum scaling solution Optimism, has raised $850 million for an early-stage crypto venture fund. Founded in 2018 by Coinbase co-founder Fred Ehrsam and former Sequoia Capital partner Matt Huang, Paradigm is one of the largest venture capital investors in the cryptocurrency industry. This new fund marks Paradigm’s first since Ehrsam stepped down from a leadership role in October.

“This is the sort of early-stage work that we love contributing to, and it’s what we’ll be increasingly focused on going forward,” Huang wrote in a blog post on Thursday.

In 2021, Paradigm raised a $2.5 billion fund, which was the largest-ever crypto investment vehicle at the time.

The pace of launching new cryptocurrency-focused funds has accelerated this year, with many existing funds also raising capital. This fundraising surge coincided with Bitcoin’s rally to record highs, driven by the introduction of exchange-traded funds (ETFs) investing directly in Bitcoin and recent indications that similar funds focused on Ether are likely to gain approval soon.

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

Bitcoin is currently trading down more than 3% over the past 24 hours, sitting at $67,171.52, according to data from Benzinga Pro.

Robinhood Markets, Inc. (NASDAQ:HOOD) recently announced the acquisition of Bitstamp Ltd., a well-established global cryptocurrency exchange. Robinhood’s expansion into the cryptocurrency space is adding pressure on existing crypto exchanges like Binance and Coinbase, as a new competitor enters the market.

In response, Coinbase has introduced a new smart wallet aimed at simplifying the previously cumbersome onboarding process associated with crypto wallets. “These next-generation wallets address the biggest pain points of the crypto experience today,” the company stated in a blog post. “Smart wallets make the transition to on-chain smoother than ever.”

Is COIN A Good Stock To Buy?

When deciding if a stock is a good buy, investors consider several factors. Besides valuation metrics and price action, which you can find on Benzinga’s quote pages (like Coinbase’s page), there are other considerations like dividend payments and stock buyback programs.

Coinbase Global (NASDAQ:COIN) does pay a dividend, yielding 0.43% per year as of the closing price on June 11, 2024. You can check Benzinga’s dividend calendar to find out when the next dividend is due and what kind of yield you can expect for holding the company’s shares.

For instance, if you’re aiming for an annualized return of 13.81%, you might consider buying a share of Ellington Residential by June 28, 2024. This would entitle you to a nominal payout of $0.08 on July 25, 2024.

Stock buyback programs are another factor to consider, as they can vary significantly. A company can approve a buyback program and purchase shares as it sees fit over the authorized period. Checking the latest news on Coinbase can reveal if the company has recently approved a buyback program. Buyback programs typically support share prices by providing a backstop for demand.

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

Cryptocurrencies plunged deeper into correction territory on Tuesday, with bitcoin (BTC) dropping to nearly $66,000. This comes as traders brace for Wednesday’s key U.S. inflation report and Federal Reserve meeting.

Bitcoin (BTC) started the day trading around $70,000 but fell to a three-week low of $66,170 during the U.S. session. It slightly rebounded to approximately $66,500 but remained down nearly 5% over the past 24 hours.

Altcoins experienced even steeper declines, with the CoinDesk 20 Index dropping over 6%, and all twenty constituents in the red. Ethereum’s ether (ETH) fell below $3,500, down 6.5%, while solana (SOL), dogecoin (DOGE), Cardano’s ADA, and Chainlink’s LINK suffered losses between 6%-9%.

The sudden pullback led to over $250 million in liquidations of leveraged derivatives trading positions across all crypto assets, according to CoinGlass data. This marked the second significant leverage flush in a week, following Friday’s $400 million liquidations. Liquidations occur when an exchange closes a leveraged position due to a partial or total loss of the trader’s initial margin because the user fails to meet the margin requirements or lacks sufficient funds to keep the position open.

One reason behind the pullback is investors “de-risking” from crypto assets ahead of Wednesday’s May Consumer Price Index (CPI) report and Federal Reserve meeting, hedge fund QCP noted in an update. Bitcoin could see a volatile session on Wednesday as it has been “highly responsive” to economic data recently, with its 30-day correlation with U.S. equities climbing to the highest level since 2022, K33 Research mentioned in a Tuesday market update.

“The stage is set for a frantic macro-Wednesday, with both May CPI data and the Fed’s interest rate decision poised to move the market,” K33 analysts said. Investors will closely monitor the Federal Open Market Committee (FOMC) members’ interest rate outlook – the so-called “dot plot” – to see how many rate cuts policymakers are projecting for this year, considering recent persistent inflation readings and softer economic data. “The FOMC dot plot, alongside forward guidance during Jerome Powell’s press conference, is likely to be the most material price movers, as BTC has resumed its attentiveness to the market’s interest rate expectations.”

Market observers noted some positive signs during the sell-off that could indicate a quick recovery. Bitcoin has seen multiple pullbacks this year before FOMC meetings, only to reverse the move soon after, pseudonymous crypto analyst Gumshoe pointed out in an X post.

Bitcoin futures open interest on crypto exchanges BitMEX and Binance diverged earlier today, according to crypto analytics platform CryptoQuant, citing pseudonymous trader BQYoutube. “Often this kind of phenomenon is seen when whales on BitMEX start to accumulate positions while Binance retail gets washed out,” the post added. “Despite short-term headwinds, we think this might be a good opportunity to accumulate coin,” QCP said.

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

Mastercard (NYSE:MA) is launching a peer-to-peer (P2P) platform for cryptocurrency users in Europe and Latin America. The new network, called Mastercard Crypto Credential, aims to facilitate cross-border digital asset transactions.

In its pilot phase, Mastercard Crypto Credential supports transactions on Bit2Me, Lirium, and Mercado Bitcoin exchanges, enabling cross-border payments between Europe and Latin America. This initiative is part of Mastercard’s strategy to leverage digital assets for cross-border payments, a rapidly growing sector in the payments industry.

“As interest in blockchain and digital assets continues to surge in Latin America and around the world, it is essential to keep delivering trusted and verifiable interactions across public blockchain networks,” said Walter Pimenta, executive vice president of product and engineering for Latin America and the Caribbean at Mastercard.

The P2P network will also feature Mastercard Crypto Credential aliases, which are shorthand labels for crypto wallets. These vanity addresses, similar to those offered by the Ethereum Name Service (ENS) on the Ethereum network, are designed to simplify cross-border payments. This feature is expected to help Mastercard capture market share in the fast-growing remittance services sector, a key focus of the company’s crypto initiatives.

According to data from the United Nations International Organization for Migration, migrants sent an estimated $831 billion in remittances worldwide in 2022, up approximately 16% from the $717 billion sent in 2020.

Featured Image: Unsplash

Please See Disclaimer

This post was originally published on this site

Bankrupt crypto lender Genesis and crypto exchange Gemini have successfully returned over $2 billion in cryptocurrency to 232,000 retail customers of their jointly managed Gemini Earn program. This repayment provides customers a 242% return on assets that had been locked up since January 2023, Gemini announced on Wednesday.

Unlike other crypto companies that went bankrupt following the 2022 market crash, Genesis managed to return customers’ crypto assets instead of liquidating them for cash payouts.

Customers who loaned one bitcoin to Genesis will receive one bitcoin back, benefiting from the coin’s substantial price increase since Genesis declared bankruptcy. Bitcoin’s value has more than tripled since January 2023, rising to over $67,000.

“We are thrilled to have been able to achieve this recovery for our customers,” said Gemini co-founder Cameron Winklevoss. “We recognize the hardship caused by this lengthy process and appreciate our customers’ continued support and patience throughout.”

Gemini customers will receive approximately 97% of their repayment immediately, with the remaining amount distributed within 12 months, the company stated.

Previously, Genesis had estimated that its customers, including larger investors not part of the Earn program, would receive a 77% recovery in the bankruptcy. Gemini customers benefited from a $50 million settlement contribution from Gemini and settlements that enabled Genesis to sell shares in Grayscale bitcoin and ethereum trusts.

Participants in the Gemini Earn program loaned their crypto to Genesis and earned interest on their loaned assets. The total value of the Gemini Earn assets was $940 million when Genesis froze customer accounts in November 2022.

New York Attorney General Letitia James has alleged that the Gemini Earn program was a “scam” that misled investors. She has sued Genesis, Gemini, and Genesis’s parent company Digital Currency Group (DCG) over the program.

In February, James reached a settlement with Genesis requiring it to repay Earn customers before other creditors, including New York state and DCG.

DCG had argued that Genesis’s customers should be repaid based on the value of the crypto assets in January 2023. Under this argument, which a judge overruled on May 17, DCG could have taken the “excess” value from the rise in crypto prices rather than returning it to Genesis customers.

James’ lawsuit disrupted Genesis’s efforts to restart its business, ultimately pushing the company toward bankruptcy liquidation.

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

Looking for the next cryptocurrency to hit $1 in 2024? With robust trading volumes in the crypto market, savvy traders are eyeing the best penny cryptos to buy right now. Identifying the next crypto to hit $1 involves considering factors like market capitalization, current price, and the problems each project aims to solve.

In this article, we’ve highlighted several cryptocurrencies at various stages of their journey. We’ve identified the top six cryptos likely to hit $1 in 2024 and categorized them into high-cap and low-cap coins.

Best Low-Cost Cryptos to Buy Now

While no one can definitively tell you which crypto to buy next, we’ve compiled a list of reputable projects with potentially promising price histories in their sub-$1 tokens. Let’s start with some of the higher-cap coins.

The Graph (GRT)

The Graph (GRT) focuses on making Web3 information more accessible online. By indexing all the information on the Ethereum network, The Graph aims to allow users to search for Ethereum data much like Google allows for Web2 searches. For instance, decentralized apps (dApps) needing historical and real-time price info for Ethereum or data from smart contracts can benefit from The Graph’s solutions. Currently trading at $0.31, GRT has a 24-hour volume of around $70,000 and a market cap above $3 billion. It’s up 28% on the month and 166% on the year.

Hedera Hashgraph (HBAR)

Hedera Hashgraph (HBAR) is a proof-of-stake distributed ledger similar to Ethereum but aims to be faster, more compliant, and more scalable. Scalability, a major issue in Web3, refers to making blockchain networks usable for more people without slowing down. HBAR, priced at $0.11, is up over 100% this year, with a market cap of $3.8 billion.

Stellar (XLM)

Stellar (XLM) aims to facilitate cheap cross-border payments, targeting peer-to-peer remittances for individuals and businesses. The project is popular and reputable, especially after partnering with IBM for industrial-level cross-border payments. XLM is currently trading at $0.10, maintaining a relatively stable price range between $0.07 and $0.16 over the past year. This stability can be attractive to traders, with the RSI at 44 indicating it is neither oversold nor overbought.

Promising Cheap Cryptocurrencies for 2024

Now, let’s explore more promising altcoins under $1 with smaller market caps that could be good buys for 2024. It’s important to remember that smaller market caps can mean increased price volatility and potential losses, so always conduct your own research and practice proper risk management.

Basic Attention Token (BAT)

Basic Attention Token (BAT) is linked to the Brave browser, which allows users to earn money for their data and interaction with ads or block them entirely. BAT is transforming online data ownership, making it user-centric rather than ad company-centric. Currently, BAT is trading at $0.23 with a market cap of around $368 million.

Harmony (ONE)

Harmony (ONE) aims to make blockchain transactions fast and secure, benefiting apps on Web3 protocols. Harmony’s Effective Proof-of-Stake (EPoS) ensures fast and secure transactions, with a focus on interoperability with other blockchain networks. ONE tokens fuel the network, currently trading at $0.02 with a market cap of $271 million, and have increased by 43% in the past year.

Flux (FLUX)

Flux (FLUX) provides decentralized cloud infrastructure, useful for Web3 developers who need computing power without the high costs of owning the hardware. Similar to Amazon Web Services (AWS) for Web2, FLUX offers discounted services for platform users. Trading at $0.94, FLUX is a strong candidate to hit $1 in 2024, with a market cap of $329 million and a 96% price increase over the past 12 months.

Choosing the Best Low Priced Cryptocurrencies to Invest In

While it’s tempting to invest in trending low-priced cryptocurrencies, it’s crucial to exercise caution in the crypto space. Use indicators like the RSI and MACD for insights into your chosen coin’s performance, and stay updated on relevant news, partnerships, and project developments. Remember the mantra: “never invest more than you can afford to lose.” We hope this list of cheap and promising cryptocurrencies helps in your search for the next crypto to explode in 2024!

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

Memecoins linked to former US President Donald Trump and celebrity Caitlyn Jenner surged on Monday following Trump’s weekend endorsement of cryptocurrency.

Newly minted tokens like MAGA on Ethereum and JENNER on Solana experienced dramatic price increases, with JENNER soaring 500-fold in the last 24 hours.

MAGA Token’s Meteoric Rise

The MAGA token, named after Trump’s “Make America Great Again” slogan, launched less than two weeks ago and has risen 150% in the last 24 hours. Its market value peaked at $300 million on Monday, with over $74 million in trading volume. Variants of MAGA and TRUMP tokens on Solana are also being launched on other blockchains, generating millions in trading volume.

JENNER Token Controversy

The JENNER token, associated with Caitlyn Jenner, saw almost $200 million in trading volume in the last 24 hours. However, there is skepticism about the token’s connection to the real Caitlyn Jenner, despite endorsements on her social media accounts. Jenner has not responded to requests for comment but has cautioned on social media that not all crypto investments are suitable for everyone and that there are inherent risks, including potential loss of value.

Trump’s Influence

Trump’s recent comments have significantly influenced the memecoin rally. Speaking at the Libertarian National Convention on Saturday, he pledged to protect self-custody rights for crypto owners and opposed the creation of a central bank digital currency. His shift from a previously negative stance on crypto to a supportive one has energized the memecoin market.

Political Memecoins

As the US presidential election approaches, political memecoins have become more prevalent. Earlier this year, tokens referencing political figures like US President Joe Biden and Federal Reserve Chair Jerome Powell were launched. On Monday, major political memecoins saw mixed results: Jeo Boden fell 6%, while Doland Tremp gained over 15%.

Controversy and Speculation

Memecoin speculation has its critics, especially regarding tokens with offensive tickers promoting racist and sexist ideas. Several such tokens, particularly on Solana, were launched earlier this year and have drawn significant criticism.

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

A 43-year-old software engineer, who previously worked on the BlackBerry in the 2000s and helped develop the Windows Phone app store at Microsoft, has now taken on a new challenge. Despite not having worked in crypto until early 2022, Laver is leading Solana Labs’ effort to revolutionize the crypto experience by integrating blockchain capabilities into a mobile device.

“This has that big, sky’s the limit energy,” Laver said in a rare interview with DL News. “This feels like madness, but at the same time, this feels like the end result.”

The end result is Solana’s second mobile phone, called Chapter 2, set to release in early 2025. With a $500 price tag for preorders, Solana has already secured more than 130,000 preorders, totaling $65 million.

A Bold Bet

This ambitious move is significant for the four-year-old blockchain network, given the heavily regulated mobile phone industry, which is dominated by giants like Apple and Samsung.

Why would Solana, a major player in decentralized finance (DeFi) with a token market cap of $82 billion and a leading brand in crypto, venture into hardware manufacturing?

“It’s a tough, tough ask,” said Chris Lewis, an independent telecoms analyst with over 40 years of experience, in an interview with DL News.

The answer lies in control. Solana aims to free crypto from desktop reliance and the restrictive app platforms of Apple and Google. These Silicon Valley giants have long hindered crypto-friendly mobile developers with high fees and app bans.

In today’s world, where investing, shopping, and banking are increasingly mobile, crypto is still struggling to establish a presence. “We’re used to everyone bringing a laptop to dinner, so you don’t miss a drop or a claim,” said Emmett Hollyer, head of business development and operations at Solana Labs.

Overcoming Past Challenges

Solana isn’t the first to challenge the incumbents. Over the past decade, numerous bespoke crypto phones have entered the market, but none have achieved significant success. Last year, Solana introduced the Android-powered Solana Saga, selling about 20,000 of the $600 handsets, far short of the 50,000 unit goal. In contrast, Apple shipped over 80 million iPhones in the fourth quarter alone.

Despite past setbacks, Solana is betting big on the Chapter 2, hoping to carve out a substantial niche in the mobile market and provide a seamless blockchain experience for its users.

Featured Image: Freepik

Please See Disclaimer

This post was originally published on this site

On Wednesday, the U.S. securities regulator urged lawmakers to reject a proposed bill designed to establish a new legal framework for digital currencies, warning it could undermine existing legal precedents and place capital markets at “immeasurable risk.”

The U.S. House of Representatives is set to consider the Republican-sponsored Financial Innovation and Technology for the 21st Century Act, which aims to clarify the jurisdiction of various agencies over digital assets. Proponents of the bill argue that it will provide regulatory clarity, thereby fostering industry growth.

Despite its uncertain future in the U.S. Senate, the legislation comes at a time when the U.S. Securities and Exchange Commission (SEC) is expected to approve applications for spot ether exchange-traded funds, marking a surprising boost for the crypto industry.

SEC Chair Gary Gensler expressed strong opposition to the bill, stating that it “would create new regulatory gaps and undermine decades of precedent regarding the oversight of investment contracts, putting investors and capital markets at immeasurable risk.”

The bill has garnered support from crypto advocates and industry groups, who view Gensler’s SEC as a barrier to broader digital asset adoption. Gensler, however, has consistently argued that cryptocurrencies should be regulated under the same laws as other assets, citing numerous high-profile prosecutions, fraud cases, bankruptcies, and failures within the sector.

In his statement on Wednesday, Gensler highlighted that under the proposed bill, investment contracts recorded on a blockchain would no longer be classified as securities, thereby stripping investors of protections afforded by securities laws. Additionally, he criticized the provision allowing issuers of crypto investment contracts to self-certify their products as digital commodities not subject to SEC oversight, giving the agency only 60 days to challenge such certifications.

Featured Image: Freepik

Please See Disclaimer