The crypto market capitalisation has hit new highs since 12th January, passing the $1.75 trillion mark. The market has confidently moved into a state of greed, which we also last saw a month ago. Last month’s corrective pullback and early February’s consolidation have helped gather strength for a real breakout.
Bitcoin has gained almost 10% in the last days to trade at $46.2K. All eyes are now on whether BTCUSD can break above the previous highs from which it pulled back shortly after the initial reaction to the launch of spot ETFs.
Technically, a growth above the $49K level would set the stage for a test of the all-time highs soon. This will be an exciting development, as it has previously occurred after a halving rather than in anticipation of one.
The influx of capital into the equity markets helped to push Bitcoin up to $46K. According to IntoTheBlock, the correlation between Bitcoin and the S&P 500 index was negative at the end of January but is now rising again.
News background
CryptoQuant has seen signs that the pressure from miners on BTC is easing. Daily sales by miners dropped from 800 BTC in November-December to less than 300 BTC in 2024. Miners are holding reserves despite declining transaction fee revenues.
Ethereum’s share of supply in stakes has reached 25% with a total value of $72 billion, with demand for stakes increasing significantly after the Shapella update opened withdrawal options for validators. However, Ethereum lags behind other ecosystems in terms of the percentage of blocked coins.
MicroStrategy will position itself as ‘a development company for bitcoin and bitcoin-based products’, according to founder Michael Saylor. Since its inception, MicroStrategy has focused on developing and supporting analytics software.
Crypto platform Bakkt has warned the SEC that it could shut down in the next 12 months due to a lack of funds if it cannot raise money through debt financing or equity dilution.
The network’s inability to handle the growing volume of transactions is the reason for Solana’s periodic outages. This is the conclusion of a team of experts led by journalist Colin Wu.
