Weekly: NBU Recommendations, SBF Appeal, Bitcoin Surge, SEC Controversy, and Trump Debates

The cryptocurrency landscape is abuzz with significant developments this week. From Bitcoin’s price rally to regulatory shifts and technological advancements, here’s a comprehensive overview of the latest highlights in the crypto world.

Bitcoin Price Surge

At the beginning of the week, Bitcoin was trading around $55,000. However, by September 10, it tested the $58,000 mark, experiencing several jumps thereafter. By the end of the week, Bitcoin had broken through the $60,000 threshold, trading at $59,934 as of now.

Expert Predictions

Analysts at Bernstein predict that Bitcoin could surge to $90,000 by the end of 2024 if Donald Trump wins the upcoming US elections. Conversely, they warn of a potential drop to $30,000-$40,000 if Kamala Harris wins. Meanwhile, Matrixport offers a more optimistic outlook, suggesting that Bitcoin will rise regardless of the election outcome. Experts at 10xResearch caution against a sharp fall if the Federal Reserve drastically lowers interest rates, though this seems unlikely given current inflation data.

Eco-Friendly Mining by TEPCO

Tokyo Electric Power Co. (TEPCO) is investigating the use of alternative energy sources for Bitcoin mining. The company’s subsidiary has installed mining equipment near solar power plants in the Gunma and Tochigi prefectures, as well as near Tokyo.

Mining Difficulty Changes

On September 11, the mining difficulty for Bitcoin hit an all-time high of 92.67 T. The next recalculation is expected on September 25, with a predicted decrease of 0.38%.

Decreased Activity Among Major Bitcoin Holders

According to Santiment, there has been a significant drop in transactions over $100,000, indicating that large holders are waiting out potential market volatility.

Coinbase’s Wrapped Bitcoin (cbBTC)

Coinbase introduced cbBTC on September 12. This wrapped version of Bitcoin is backed one-to-one by Bitcoin held by the platform and can initially be used on the Base and Ethereum networks.

MicroStrategy’s Investments

Between August and September 2024, MicroStrategy increased its Bitcoin holdings by 18,300 BTC at an average price of $60,408. The company now holds a total of 244,800 BTC, with unrealized profits exceeding $5.2 billion.

Crypto Funds and ETFs

Last week marked the longest period of capital outflow from spot Bitcoin and Ethereum ETFs. However, this week saw a reversal with a net daily capital inflow of $263 million and $1.5 million, respectively, as of September 13.

Regulatory Developments

The US SEC and CFTC continue to play a significant role in the crypto market. A notable legal battle saw the prediction market Kalshi winning against the CFTC, although the regulator managed to place a temporary ban on political event betting.
Additionally, the SEC’s fines on crypto companies have skyrocketed by 3000% since 2023, largely due to the case against Terraform Labs. The EU is also set to approve new standards for stablecoin issuers by the end of 2024, while the UK considers a bill to classify crypto assets separately.

Trump-Harris Debates and Crypto Implications

The debates between Donald Trump and Kamala Harris on September 11 were intense but did not touch on digital assets. Interestingly, platforms like Polymarket saw users betting on Trump’s debate mentions.

FTX and Legal Issues

On September 13, former FTX CEO Sam Bankman-Fried filed an appeal for a retrial, claiming judicial bias. He faces a 25-year prison sentence. Other FTX executives will face trials in the coming months.

Other Notable Developments

The launch of a crypto project by Donald Trump’s sons is scheduled for September 16. This initiative has faced Congressional criticism for potentially leading to scams. Additionally, Ukraine has dropped to sixth place in crypto adoption rankings, while countries like Indonesia and Vietnam have climbed up.

Conclusion

From Bitcoin’s impressive rally to regulatory updates and eco-friendly mining initiatives, the crypto landscape continues to evolve rapidly. Stay tuned for more updates as the market responds to these significant developments.