Author: Stephanie Bedard-Chateauneuf

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Cryptocurrency exchange Binance has made a significant move to enhance financial inclusion in Africa by launching its One Click Buy and Sell (OCBS) service. This new feature, known as Binance Mobile Money, enables users in Ghana, Tanzania, Uganda, and Zambia to easily buy and sell cryptocurrencies through their mobile money accounts. The initiative aligns with Binance’s mission to democratize access to digital assets, particularly for unbanked and underbanked populations across the continent.

Binance Mobile Money: A Step Towards Financial Inclusion

The launch of Binance Mobile Money represents a pivotal moment for financial inclusion in Africa. With this feature, Binance has made it possible for millions of people who rely on mobile money services to participate in the digital economy. By integrating mobile money with its platform, Binance is opening up new opportunities for those who may not have access to traditional banking services.

In a statement, Binance emphasized the importance of this feature: “With the launch of our OCBS feature, users can now easily purchase crypto assets and sell assets directly from their mobile money accounts. The integration of mobile money into our global fiat on-ramp/off-ramp offering, developed in partnership with Transfi, marks a significant milestone in our efforts to simplify and broaden access to digital assets.”

Expanding Services Across Africa

The introduction of Binance Mobile Money in Ghana, Tanzania, Uganda, and Zambia is a strategic expansion of the platform’s services in Africa. These countries have seen rapid growth in mobile money usage, making them ideal markets for Binance’s latest offering. Mobile money has become a crucial financial tool in these regions, allowing people to transfer money, pay bills, and now, engage in cryptocurrency transactions.

Binance’s decision to target these specific markets reflects its understanding of the unique financial landscape in Africa. The company is well aware that many individuals in these countries do not have access to traditional banking services but do have mobile money accounts. By leveraging this existing infrastructure, Binance can effectively reach a broader audience and provide them with the tools they need to participate in the global digital economy.

Ensuring Security and Compliance

As Binance expands its services in Africa, it remains committed to maintaining the highest security standards. The platform has implemented strict Know Your Customer (KYC) protocols and other protective measures to safeguard users’ assets and ensure compliance with regulatory standards. This is particularly important in regions where regulatory frameworks for cryptocurrencies are still developing.

Binance’s approach to security is designed to build trust with users and regulators alike. By prioritizing security and compliance, the platform aims to create a safe and reliable environment for users to engage in cryptocurrency transactions. This is a crucial factor in the success of Binance Mobile Money, as it helps to mitigate potential risks and ensures that users can transact with confidence.

The Impact on Financial Freedom

Binance’s expansion into mobile money in Africa is more than just a business move; it is a step towards increasing financial freedom on the continent. The ability to buy and sell cryptocurrencies via mobile money accounts empowers individuals who have been historically excluded from the financial system. This initiative aligns with Binance’s broader mission to increase financial freedom globally by making digital assets more accessible.

In a statement, Binance highlighted the broader implications of this expansion: “This expansion is a crucial step in our ongoing mission to democratize access to cryptocurrency and financial services. We believe that by integrating mobile money into our platform, we can support financial inclusion and allow more people to participate in the digital economy.”

Conclusion: A Milestone for Crypto Accessibility

The launch of Binance Mobile Money in Africa is a significant development in the world of cryptocurrency. By enabling easy access to digital assets through mobile money, Binance is helping to bridge the gap between traditional financial systems and the emerging digital economy. This initiative not only supports financial inclusion but also sets the stage for future innovations in the crypto space.

As Binance continues to expand its services across Africa, it is likely that we will see even more initiatives aimed at empowering individuals and enhancing financial freedom. For now, Binance Mobile Money stands as a milestone in the journey towards a more inclusive and accessible financial future for all.

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In a surprising turn of events, the MAGA token, a fringe cryptocurrency not officially linked to Donald Trump or his campaign, has surged in value by more than 50%. This sudden spike followed Trump’s promotion of a mysterious new crypto project called DeFiant Ones on his social media platform, Truth Social. As the MAGA token’s price shot up from $2.65 to over $4, the broader cryptocurrency market saw only a modest increase of less than 1% during the same period. This unexpected rally has caught the attention of investors and crypto enthusiasts alike, sparking discussions about the potential implications of Trump’s involvement in the crypto space.

Trump’s Influence on the MAGA Token Surge

The MAGA token’s sudden rise can be traced back to a post made by Donald Trump on Truth Social, where he teased the launch of the DeFiant Ones platform. In his post, Trump hinted that the project would challenge the dominance of “the big banks and financial elites,” rallying his followers with the call to “take a stand – together.” The post also included a link to DeFiant Ones’ official Telegram channel, which quickly gained over 40,000 followers, despite the platform offering no substantial details about its purpose or operations.

This surge in interest is not the first time Trump has influenced the cryptocurrency market. In recent months, the former president has increasingly courted the crypto industry, despite his past criticism of Bitcoin, which he once labeled a “scam.” His evolving stance on cryptocurrency, coupled with his political influence, has positioned him as a significant figure in the space, capable of driving market trends with a single social media post.

DeFiant Ones: The Next Big Thing in Crypto?

While the details of the DeFiant Ones project remain shrouded in mystery, it has already generated significant buzz within the crypto community. According to Eric Trump, Donald Trump’s son, the platform involves “digital real estate” and promises to disrupt the traditional finance industry. He described the project as “equitable” and accessible to anyone, highlighting its potential to shake up the world of banking and finance.

This concept of digital real estate could refer to various blockchain-based assets, such as virtual land in metaverse platforms or tokenized real-world properties. If successful, DeFiant Ones could open new avenues for investment and democratize access to assets traditionally reserved for the wealthy.

The Crypto President: Trump’s Growing Influence

Donald Trump’s increasing involvement in the cryptocurrency industry marks a significant shift from his previous stance. In July 2024, Trump delivered a keynote speech at the Bitcoin 2024 conference in Nashville, where he outlined his vision for a “national bitcoin stockpile” and announced plans to form a “bitcoin and crypto presidential advisory council.” By positioning himself as the “crypto president,” Trump has become the first major U.S. presidential candidate to openly embrace cryptocurrency, according to his financial disclosures.

Trump’s embrace of cryptocurrency has not only energized his base but also attracted attention from the broader crypto community. His financial disclosures reveal that he is the first major U.S. presidential candidate to own cryptocurrency, further solidifying his commitment to the industry. This newfound support could have lasting implications for the market, particularly if Trump continues to champion crypto-friendly policies in his political platform.

The Future of the MAGA Token

Despite the recent surge, the MAGA token remains far from its all-time high of $17, which it reached in February after a series of victories in the Republican primaries. However, the token’s renewed momentum suggests that it could be poised for further gains, especially if Trump’s involvement in the crypto space continues to grow.

As the DeFiant Ones project gains traction, the MAGA token could see additional volatility, driven by speculation and investor interest. While the long-term viability of the token remains uncertain, its recent performance underscores the potential impact of political figures on the cryptocurrency market.

In conclusion, the MAGA token’s sudden surge following Trump’s cryptic post highlights the power of political influence in the crypto market. As details about the DeFiant Ones platform emerge, investors and enthusiasts will be closely watching to see if this momentum can be sustained or if it’s just another flash in the pan. For now, the MAGA token serves as a reminder of how quickly market dynamics can change in the fast-paced world of cryptocurrency.

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The volatility in the cryptocurrency market continues to impact Bitcoin mining stocks like Marathon Digital (NASDAQ:MARA). Despite the recent recovery in Bitcoin (BTCUSD) prices, Marathon Digital stock has faced significant challenges in 2024, leaving investors questioning whether it is a worthwhile investment after the recent crypto correction.

Marathon Digital’s Performance Amid Crypto Volatility

Marathon Digital is one of the largest Bitcoin mining companies globally, with a market capitalization of $4.8 billion. However, the company’s stock has been on a downward trajectory, tumbling nearly 80% since its peak during the crypto bull market of late 2021. In 2024 alone, Marathon Digital stock has declined by 32.7%, including an 8% drop following the announcement of a convertible note offering intended to raise funds for Bitcoin purchases and other corporate purposes.

This decline comes despite a favorable environment for Bitcoin prices, which typically supports the valuation of mining companies like Marathon Digital. The sharp correction in Marathon Digital stock highlights the complexities of the crypto market and the specific challenges facing the company.

How Did Marathon Digital Perform in Q2 2024?

In the second quarter of 2024, Marathon Digital reported a 78% year-over-year increase in sales, reaching $145.1 million, up from $81.8 million in the same period last year. This growth was primarily driven by a $78.6 million increase in the average price of Bitcoin mined. However, this gain was partially offset by a $23.9 million decrease in Bitcoin production, largely due to the Bitcoin halving event in April 2024, which cut mining rewards in half.

During Q2, Marathon Digital produced an average of 22.9 BTC per day, down from 32.2 BTC per day in the previous year. The company’s total Bitcoin production for the quarter was 868 BTC less than in the same period last year, reflecting the impact of the halving event and an increased global hash rate. Additionally, Marathon sold 51% of the BTC it produced during the quarter to cover operating costs, a move that underscores the financial pressures the company is facing.

Marathon Digital’s net loss widened significantly in Q2, reaching $199.7 million, or $0.72 per share, compared to a net loss of $9 million, or $0.07 per share, in the same quarter last year. This increase in losses was partly due to unfavorable fair value adjustments of digital assets, which negatively impacted the company’s EBITDA (earnings before interest, taxes, depreciation, and amortization). Marathon’s EBITDA loss in Q2 stood at $85.1 million, compared to an EBITDA gain of $35.8 million in the previous year.

Operational Improvements and Future Prospects

Despite the financial setbacks, Marathon Digital has focused on improving its operational efficiency. In June 2024, the company doubled its average operational hash rate year-over-year to 26.3 exahashes per second. Furthermore, Marathon’s proprietary mining pool captured 158 blocks in July, representing a 10% increase year-over-year. However, the company’s total Bitcoin production fell by 40% to 590 BTC during the same month, although transaction fees contributed to 7% of the total revenue.

Marathon Digital is also investing in technology advancements, including immersion cooling and robust hardware infrastructure, to optimize its mining operations. The company aims to end 2025 with a significant increase in its hash rate, targeting 50 exahashes per second.

In addition to its domestic operations, Marathon is expanding internationally. The company recently launched a 2-megawatt pilot project in Finland, aiming to provide energy with recycled heat to 11,000 residents. This initiative highlights Marathon’s commitment to integrating digital asset computing with sustainable energy solutions, potentially reducing carbon emissions and operational costs.

Analyst Recommendations and Price Target

Analyst sentiment on Marathon Digital stock is mixed. Out of nine analysts covering the stock, three rate it as a “strong buy,” five recommend “hold,” and one suggests a “strong sell,” resulting in a “moderate buy” consensus. The average target price for Marathon Digital stock is $20.91, indicating a potential upside of over 34.3% from its current levels.

Conclusion: Is Marathon Digital Stock a Buy?

Marathon Digital stock presents a complex investment case. While the company has shown resilience in growing its operational capabilities, the broader challenges in the cryptocurrency market and its financial performance raise concerns. Investors considering Marathon Digital stock should weigh the potential upside against the risks associated with the volatile nature of the crypto industry and the company’s ongoing financial challenges. For those with a long-term perspective and tolerance for risk, Marathon Digital might offer a buying opportunity, particularly if Bitcoin prices continue to rise. However, caution is advised given the uncertainties that lie ahead.

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The cryptocurrency market experienced a sharp downturn Wednesday afternoon as U.S. stocks reversed early gains, leading to heightened cryptocurrency market volatility. Bitcoin (BTC), which had shown promise earlier in the day, saw its price tumble as broader economic concerns weighed on both digital and traditional financial markets. This article examines the factors driving this latest bout of volatility and its implications for the cryptocurrency landscape.

Bitcoin and Ethereum Lead the Decline

Bitcoin, the flagship cryptocurrency, initially rallied on Wednesday, reaching as high as $57,600. However, by mid-afternoon, Bitcoin had dropped to $54,800, marking a 4% decline within 24 hours and a more than 6% decrease from its daily peak. Ethereum (ETH), the second-largest cryptocurrency by market capitalization, fared even worse, falling by 7.1% over the last day to $2,322. This drop also pushed the ETH/BTC ratio to its lowest level in over three years, signaling a significant shift in investor sentiment.

The broader cryptocurrency market mirrored this trend, with the CoinDesk 20 Index, a benchmark for the top 20 digital assets, down 3%. This widespread downturn highlights the sensitivity of the cryptocurrency market to broader economic indicators and the ongoing cryptocurrency market volatility.

Global Economic Factors at Play

The initial optimism in the markets was fueled by comments from Bank of Japan Deputy Governor Shinichi Uchida, who assured that the central bank would refrain from hiking borrowing costs in unstable market conditions. This dovish stance initially boosted the yen, lifted the Japanese stock market by 1.2%, and pushed U.S. index futures higher by around 1.5%. However, this optimism faded as the day progressed, with the Nasdaq closing down 0.8% and the S&P 500 off by 0.6%, reflecting broader concerns about global economic stability.

One of the key factors contributing to the cryptocurrency market volatility was skepticism about the U.S. Federal Reserve’s ability to manage inflation effectively. JPMorgan CEO Jamie Dimon, speaking with CNBC, expressed doubts about the Fed’s ability to bring inflation back to its 2% target. He cited factors such as deficit spending, remilitarization, and the shift towards a green economy as significant challenges.

Calls for Fed Action Amid Recession Concerns

Adding to the market unease, former Federal Reserve Bank of New York President Bill Dudley suggested that the Fed is falling behind in addressing economic challenges. In a Bloomberg article published Wednesday, Dudley argued that recent data points to a weakening labor market and moderating inflation, signaling that the Fed might need to cut interest rates significantly to avoid a recession.

Dudley pointed to the Sahm rule—a recession indicator that triggers when the unemployment rate rises sharply above its low of the previous 12 months—as evidence that the U.S. economy is likely headed for a downturn. He argued that to reach a neutral fed funds rate, the Fed would need to cut rates by at least 150 basis points, with another 100 basis points of cuts required if the economy enters an accommodative phase.

Market Outlook: Preparing for More Volatility

As the cryptocurrency market and traditional financial markets brace for potential interest rate cuts, investors should prepare for continued volatility. Dudley warned that Federal Reserve Chair Jerome Powell’s cautious approach might delay any quick easing measures, leading to ongoing uncertainty in both stock and bond markets.

For cryptocurrency investors, this environment of heightened volatility underscores the importance of staying informed about global economic trends and their potential impact on digital assets. While the long-term outlook for cryptocurrencies like Bitcoin and Ethereum remains positive, short-term fluctuations driven by external factors are likely to persist.

Conclusion

The recent downturn in the cryptocurrency market, triggered by a reversal in U.S. stock market gains and broader economic concerns, highlights the ongoing volatility that characterizes digital assets. As Bitcoin and Ethereum lead the market lower, investors should remain vigilant and consider the potential implications of global economic developments on their cryptocurrency portfolios.

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As more people add digital assets like Bitcoin, Ethereum, and Solana to their portfolios, the question of cryptocurrency inheritance becomes increasingly relevant. Unlike traditional assets such as cash, property, or stocks, cryptocurrency presents unique challenges in estate planning. Without proper arrangements, your digital assets could be lost forever when you die. This article will explore what happens to your cryptocurrency when you pass away and how you can ensure your loved ones can access and inherit your digital wealth.

The Importance of Planning for Cryptocurrency Inheritance

Cryptocurrency operates on a decentralized network, which means it’s not controlled by any single entity like a bank or government. While this offers many benefits, it also means that recovering digital assets after the owner’s death can be complex. Without the proper access to your private keys—a 64-digit passcode used to unlock your cryptocurrency wallet—your assets could become inaccessible.

Many cryptocurrency owners don’t realize the importance of planning for the transfer of their digital assets after death. According to a study by Angus Reid, only one in four people have shared their account and password information with a trusted person. This lack of preparedness could lead to significant financial loss, as billions in unclaimed cryptocurrency assets are left untouched because no one else has the credentials to access them.

Steps to Secure Your Cryptocurrency Inheritance

To ensure that your cryptocurrency is passed on to your beneficiaries, it’s crucial to take specific steps:

Use a Password Manager: Store all your financial account information, including usernames, passwords, and private keys, in a password manager. Share the master password with a trusted family member or include it in your will.

Leverage Digital Wallets and Exchanges: Use a secure digital wallet or exchange to store and manage your cryptocurrency. Some exchanges, like Coinbase, have death-management processes in place to help beneficiaries access accounts after the owner’s death.

Maintain an Updated List of Assets: Keep a comprehensive list of your digital assets and regularly update it. Share this list with your executor or a trusted family member to ensure they know what assets you own and how to access them.

Create a Will: Include clear instructions in your will about how your cryptocurrency should be distributed. Consider using an estate planning attorney who is familiar with digital assets to ensure your will is legally sound.

Use Cold Storage Wallets: Cold storage wallets, such as digital ledgers with private keys, offer added security for your cryptocurrency. Ensure that someone you trust has access to these keys, or split the keys among trusted individuals.

What to Do if You Inherit Cryptocurrency

If you inherit cryptocurrency from a deceased loved one, there are steps you need to take to access and manage these assets:

Contact the Exchange: If the deceased used a platform like Coinbase, you’ll need to contact their customer service to report the death and begin the process of accessing the account. Be prepared to provide documents such as the death certificate, will, and your identification.

Follow Legal Procedures: Depending on the jurisdiction, you may need to go through probate or provide specific legal documents to transfer the cryptocurrency into estate administration.

Understand Tax Implications: Cryptocurrency is considered capital property by the IRS, and transferring these assets can result in capital gains or losses. Consult with a tax professional to understand the tax implications of inheriting digital assets.

Conclusion

Planning for cryptocurrency inheritance is essential to ensure that your digital assets are passed on to your loved ones. By taking steps to secure your private keys, creating a will, and using secure storage methods, you can prevent your cryptocurrency from being lost or inaccessible after your death. As the popularity of digital assets continues to grow, it’s vital to include cryptocurrency in your estate planning to protect your wealth and provide for your family’s future.

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In the ever-shifting landscape of cryptocurrencies, stability is as elusive as silence in a bustling marketplace. Values soar and plummet with a volatility that would make the most daring roller coasters seem tame. However, it appears that the digital currency market is experiencing a renaissance, with signs of recovery and growth.

Bitcoin: From Slump to Surge

Bitcoin, the flagship of cryptocurrencies, has recently been under significant pressure. A massive liquidation of 3,940 bitcoins by the United States triggered panic among investors, eroding confidence in the market’s stability. Last Monday, Bitcoin fell to $60,330 before plunging further to $58,474, showing strong selling activity. However, buyers managed to keep the price above $60,000, an important psychological threshold.

On Tuesday, Bitcoin showed signs of recovery, increasing by 2.52% to reach $61,848, with an attempt to surpass $62,000. By Wednesday, sellers had regained control, bringing Bitcoin down to $60,854 despite an attempt to stabilize. At the time of writing, CoinGecko shows a Bitcoin price of $61,826, representing a 1.3% increase in the past 24 hours.

Despite these turbulences, technical indicators suggest a possible bullish reversal. The Relative Strength Index (RSI) near the oversold zone indicates that Bitcoin could soon rebound. Analysts estimate that the bulls will be particularly active between $56,500 and $60,000, as a drop below this level could lead to a descent to $55,000.

If Bitcoin manages to recover, it will first aim for $62,000. Surpassing this threshold could propel Bitcoin to $65,000, a key resistance level. Breaking above this level might trigger a rally to $70,000, according to Crypto Daily.

Ethereum and Other Major Cryptocurrencies

Ethereum, often seen as the wise advisor of the crypto world, is currently trading at $3,457, marking a 3% increase. Binance Coin (BNB), the treasurer of the crypto kingdom, follows the bullish trend with a 1.8% increase in the last 24 hours, trading around $580. Polkadot, known as the tireless messenger, also shows respectable gains with a 9% increase, reaching $6.35.

Uniswap (UNI) and Solana (SOL) are also riding the wave of optimism, showing respective increases of 2.4% and 8.9%. These upward movements illustrate a market in full fervor, ready to challenge new heights.

Memecoins: Adding Lightness and Surprise

In this vibrant context, memecoins add a touch of lightness and surprise. Dogecoin, the favorite cryptocurrency of internet users and Elon Musk, saw its price increase by 1.4% over 24 hours, settling at $0.1247. Shiba Inu, another popular memecoin, experienced a significant rise of 1.8%, reaching $0.00001754.

Pepecoin (PEPE) recorded an impressive increase of 11.6% over a month, settling at $0.0000123. However, its 24-hour performance disappointed altcoin traders. Despite this, the figures show that even the most whimsical players can achieve glory on the crypto stage.

Altcoins: Crucial for Market Diversification

Altcoins, as pillars of the crypto ecosystem, play a crucial role in the diversification of portfolios and market stabilization. While major cryptocurrencies like Bitcoin and Ethereum dominate headlines, altcoins offer unique opportunities for investors looking to diversify their holdings. The current market conditions suggest that many altcoins are poised for significant growth, contributing to the overall health and dynamism of the crypto market.

The Road Ahead

The recent data and trends indicate a cautiously optimistic outlook for the cryptocurrency market. As Bitcoin and other major cryptocurrencies show signs of recovery, and as altcoins and memecoins continue to capture the interest of investors, the market appears to be gearing up for a new phase of growth. However, investors should remain vigilant and consider the inherent volatility of the market.

Overall, the cryptocurrency market is demonstrating resilience and potential for growth. The coming months will be crucial in determining whether this positive trend continues and whether the market can sustain its current momentum. With continued interest and investment, the crypto market may well be on the verge of a significant upswing, offering new opportunities for investors and enthusiasts alike.

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If you’re optimistic about crypto following Bitcoin’s (BTC-USD) recent surge in popularity, you might be wondering which cryptocurrencies are the best to buy now for potential long-term gains. Which projects might see widespread adoption in the next decade, leading to substantial returns?

Investing in crypto is quite different from investing in stocks. The first American stock exchange began in 1792, while Bitcoin became publicly available only in 2009. Therefore, the concept of cryptocurrency investment remains unclear to many people. Are you investing in Bitcoin because you believe it will become future legal tender, or are you simply looking to grow your money?

Regardless of your motivation, the best cryptos to buy and hold for the next decade are the most legitimate ones—those that have already shown signs of adoption and integration into financial systems.

Bitcoin (BTC-USD)

Bitcoin is the most likely cryptocurrency to endure into the future. It has been around the longest, essentially started the industry, boasts the highest trading volume and market cap, and is the most widely accepted as tender globally. Some governments, like El Salvador, have even experimented with integrating it into their currency systems. Additionally, Bitcoin’s success has inspired an entire industry of Bitcoin mining companies, which operate computer farms to decrypt algorithms and further the coin’s circulation.

Investing in Bitcoin is different from investing in stocks. It’s not about a company’s future value but rather the adoption of a highly technical technology. Timing the market with Bitcoin is unlikely to be successful. Instead, view the money invested as a long-term gamble and aim to buy when Bitcoin’s price is well below its all-time high—not like right now.

Ethereum (ETH-USD)

If Bitcoin seems too expensive, Ethereum (ETH-USD) is a more moderately priced investment option. Dubbed the “world’s largest altcoin,” Ethereum aims to offer a more ecosystem-based alternative to Bitcoin.

Long-term investors in ETH believe in the prospects of blockchain technology. ETH’s value proposition is not as an alternative to fiat currency but as an open-source blockchain. Developers seeking to advance blockchain technology earn ETH coins, which can increase in value over time.

ETH is also a major player in decentralized finance, aiming to bypass traditional banking and facilitate large-scale transactions directly between individuals via a blockchain. If you’re bullish on blockchains and decentralized finance, ETH could be a solid investment to hold for the next decade.

Binance (BNB-USD)

Binance (BNB-USD) is tied directly to the performance of the largest cryptocurrency exchange in the world. Investing in Binance for the next decade means believing in its value as an intermediary currency and having confidence in the longevity of the Binance exchange.

As the Binance exchange grows in popularity, the use and trading frequency of BNB could increase, boosting its value and purchasing power. For investors, this means either using BNB to store valuable cash or trading it efficiently for other cryptos on the Binance platform.

Ultimately, BNB’s high market cap is due to the general popularity and trust Binance has earned within the crypto community.

These three cryptocurrencies—Bitcoin, Ethereum, and Binance—represent some of the best long-term investment options in the crypto space, with the potential for significant growth over the next decade.

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In the volatile world of cryptocurrency, investor confidence is often gauged by the willingness to hold assets through market fluctuations. Recently, Ethereum has seen a strong vote of confidence from its community, marked by a record number of long-term holders. These HODLers are crucial to Ethereum’s future.

Long-Term Holders on the Rise

According to Glassnode data, a significant portion of Ethereum is held for periods ranging from one to three years. This indicates that much of the Ethereum acquired during the 2021-2022 period is still being held. This trend is further supported by the decrease in the proportion of crypto held for less than six months, while the share held for more than seven years has increased. This reflects the stability and faith in Ethereum’s fundamental value and its potential for future growth.

The Ethereum HODL Waves chart illustrates the distribution of Ethereum held over various periods, revealing changing trends in investor behavior. The recent surge in long-term holders suggests strong conviction in Ethereum’s long-term value, with many investors choosing to hold their assets rather than sell during market fluctuations.

The Influence of Long-Term Holders

Long-term Ethereum holders play a crucial role in stabilizing and growing the cryptocurrency. By holding their assets, they reduce volatility and create a sense of confidence that attracts new investors. Their long-term vision also encourages the development of innovative projects on the Ethereum blockchain, fostering a richer and more diverse ecosystem.

This HODLing strategy can positively influence Ethereum’s future, positioning it as a leading digital currency with increased global adoption and usage. However, it is important to note that cryptocurrencies remain high-risk investments, and market conditions can change rapidly.

The behavior of long-term Ethereum holders indicates a strong belief in the crypto’s potential. Their strategy suggests Ethereum is maturing as an investment asset, with promising prospects for future growth.

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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.

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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.

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