Positive Start to the New Week

Important developments of this week:

Last week, the top 10 most searched cryptocurrencies worldwide are:

• Voxies
• Polygon
• TRON
• Maker
• Blur
• Internet Computer
• Dogecoin
• The Sandbox
• Bitcoin
• Toncoin

Cryptocurrency markets have started this week positively. Today, Bitcoin (BTC) saw an increase of about 3% to start the week. Ethereum (ETH) gained a value close to 2%.

In the last 24 hours, $42 million was liquidated from the crypto market, affecting over 13,000 crypto investors. 59.53% of the liquidated positions were short positions, and the most liquidation happened in Bitcoin (BTC).

Ferrari Enters the Market

Italian luxury car manufacturer Ferrari has started accepting cryptocurrency payments in the U.S. Ferrari has chosen Bitcoin (BTC), Ethereum (ETH), and USD Coin (USDC) as the cryptocurrencies it will accept for payments. This news has increased the value of Bitcoin.

If we were in a bull market, the impact could have been higher; however, due to the current market conditions, the effect is limited. It was a pioneering step. We could see positive effects if similar news follows.

For example;

In 2021, Tesla CEO Elon Musk had started accepting the leading cryptocurrency Bitcoin (BTC) as a payment method. However, as the process progressed, Musk suspended BTC payments due to environmental concerns. We know that he is open to the idea of using cryptocurrencies as a payment method. In a previous statement, Musk said that if renewable energy use in BTC mining exceeds 50%, Tesla would again start accepting BTC payments. Now the question arises: will he once again accept cryptocurrencies as a payment method? If such a situation occurs, seeing positive pricing on BTC would not be very surprising.

SEC Does Not Appeal Court Decision

Another important development this week came from leading digital asset management firm Grayscale. Grayscale reported that the 45-day period for reevaluation by the Federal Rules of Appellate Procedure has officially concluded. The company stated that the Court will announce its final decision within the next seven business days.

The Grayscale team has completed preparations to convert the Grayscale Bitcoin Trust (GBTC) into an Exchange-Traded Fund (ETF) once approved by the Securities and Exchange Commission (SEC).

More details related to this process are planned to be announced soon. This development has significant importance for Grayscale and the crypto market as it could increase access and investment opportunities in digital assets.

Transition to an ETF structure will have significant implications for investors and could shape the future of crypto investment products. Internal sources report that Grayscale is definitively awaiting its spot Bitcoin ETF. Also, there is information that the SEC is discussing ETF approvals with companies, and the recent meetings are generally similar to those held before an ETF is accepted.

BNB Burn Process

BNB‘s 25th burn process has been completed. As a result of this procedure, which took place within the framework of BNB’s automatic burn mechanism, 2,139,182 BNB valued at $453 million were removed from circulation.

This completed process is recorded as the 7th burn process carried out by Binance’s automatic burn mechanism. The automatic burning mechanism calculates the amount of BNB to be automatically burned based on the BNB price and the number of blocks produced in a three-month period.

Binance aims to remove 100 million BNB, equivalent to 50% of the initial 200 million BNB supply, from circulation.

According to BNBBurn data, as a result of the 25th BNB Coin burn process carried out by Binance on October 16, 50.29 million BNB have been burned.

ETF Updates

According to Bloomberg analysts, communication between fund managers and the Securities and Exchange Commission (SEC) is becoming more positive regarding spot Bitcoin ETFs. Analysts James Seyffart and Eric Balchunas point out that the recent update in the draft of the spot Bitcoin ETF by Ark and 21Shares is striking. This update includes at least five pages of new text and is generally considered a sign of a positive dialogue as a fund progresses towards approval.

The investment information, opinions, and recommendations contained in this research report are not within the scope of investment advisory.

Gizem Günay

Araştırma Uzmanı at EgeMoney

Uzmanlık alanlarım arasında temel ve teknik analiz, portföy yönetimi, risk analizi ve pazar araştırması bulunmaktadır. Hızla değişen piyasa koşullarına uyum sağlama ve rapor üretme benim önceliklerim arasındadır. Finansal geleceğinizi şekillendirmek ve karar alma süreçlerinize değer katmak amacıyla araştırmalarımı EgeMoney platformu üzerinden sizlere sunuyorum.

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