Bitcoin Unchanged as Colossal Sleeper Wallet Re-awakens
As market participants continue to move forward after the FTX debacle, Bitcoin (BTC-USD) prices did not change every week, only down 0.2%. Telegraphing the possibility of a slower rate increase in the coming months, Dovish Federal Reserve Meeting Minutes helped Bitcoin bounce back from its weekly lows of ~$15,650 to near $16,600.
Sentiment among Bitcoin traders continues to wane as the number of coins flowing through exchanges reaches the highest rate ever recorded in 2022 and miners continue to drain their reserves in the ongoing crypto winter. Also, the news that a dormant whale wallet containing 10,000 BTC, believed to have come from the failed exchange BTC-e, has reactivated and transferred 3,500 coins, rekindling concerns among investors. The Bitcoin Fear and Greed Index underscores the market’s anxiety as sentiment hovers in extreme fear territory.
Interestingly, the Grayscale Bitcoin Trust (GBTCAn ETF-like stock that reflects Bitcoin prices in the equity market is trading at the most significant discount on record. The discount came as Grayscale refused to transparently accept the Bitcoin it holds to support GBTC’s shares. Traders and funds like Ark’s Cathie Wood are accumulating GBTC in hopes that the big cut between Bitcoin prices and GBTC will eventually close and generate substantial returns.
FIFA Fan Tokens Shatter as Privacy Questions Sink Uniswap
With the FIFA World Cup in full swing, Chiliz (CHZ), the native token of the Socios fan engagement platform, fell from its recent highs along with other fan tokens issued to represent different football clubs. While fan tokens remain popular, CHZ has failed -21.20% in the last seven sessions and has pulled back from the multi-month high it reached a few weeks ago. Notably, Argentina’s fan token fell after an unexpected loss in the country’s opening match against Saudi Arabia.
Litecoin Rises Before Halving. Huobi Brand Changes
While the broader market has remained essentially unchanged over the past seven sessions, some key performers have emerged. Among the top performers Litecoin (USD-LTC), outstripped their peers by a wide margin. At a time when most cryptocurrencies were weakening in a bear market, Litecoin hit a six-month high, largely driven by the impending halving. Traders managing the halving, which will see the supply of new Litecoin and miner rewards halved, encouraged a 32.8% rally in LTC.
Dash (DASH), a fork of Litecoin, has come under significant pressure lately, especially after reports revealed that the European Union is considering banning the use of privacy coins like Dash, Monero, and others within its borders.
Meanwhile, Huobi Exchange’s native token, Huobi Token (HT), also posted significant gains following its acquisition by the About Capital Buyout Fund, as rebranding and expansion plans boosted confidence in the stock’s outlook. TRON Founder and Huobi Advisor Justin Sun announced the exchange’s rebranding plans at an event in Singapore on November 22, contributing to the 18.4% increase in HT each week.
JPMorgan Trademark Wallet, Yen CBDC Inbound Tests, and More
As interest in crypto continues to rise among traditional brick-and-mortar financial institutions, JPMorgan (NYSE:JPM), has become the latest protruding backing bank to step into the segment. The bank has registered its own JP Morgan Wallet with the U.S. Patent and Trademark Office, paving the way for the rollout of numerous financial services, including crypto transfers, clearing services, payment processing and more.
Alongside the increasing embrace of financial service providers, central bank digital currencies are also gaining momentum. The Bank of Japan is the latest to test the feasibility of a digital yen (JPY). According to reports from Nikkei, the central bank plans to work with the three major megabanks in the country in 2023 to evaluate the functionality of the digital yen in different environments.
Finally, prominent activist investor Bill Ackman has become the latest financial expert to support the future of blockchain technology. While acknowledging its potential in criminal activities, he drew parallels with phones and the internet for the appearance of blockchain technology on Twitter, highlighting Helium (HNT) in his multiple tweet thread. HNT tokens remained mostly unchanged throughout the week, gaining a modest 1%.
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