Bulls Cautiously Optimistic About Bitcoin’s Price Movement
Attempts to reclaim the US$25,000 mark for Bitcoin’s price have been made by bull traders with the closest hitting the US$24,498 in January. Nevertheless, the bullish sentiments in the market has seen continued optimism for Bitcoin’s price among traders. Meanwhile, Bitcoin’s gains jumped by 39.8% this January, and it is considered one of its most profitable price boost since 2013.
US Debt Measures Will Become Bitcoin’s Boom
While the last few months have been characterized by high interest rates set by the United States Federal Reserves to curb runaway inflation, experts believe that the measures will end soon due to unsustainable economic circumstances. This in turn could indicate another boom in Bitcoin’s price point. With the predicted US debt interest set for US$1.5 trillion from its current amount of US$853 billion, quantitative easing measures may soon stop to fund the interest payment next year.
Strong Institutional Support For Bitcoin Indicates Future Rally
Data released by digital asset financial services platform Matrixport indicates that up to 85% of Bitcoin being purchased are linked to US institutional investors. This association stems from data that shows Bitcoin trading performing well during U.S. trading hours, and Matrixport head of research points out that institutions usually purchase Bitcoin first before investing in other altcoins.
Decentralized Exchanges Make Up The Bulk Of DeFi Activity
A factsheet of the decentralized finance (DeFi) industry in 2022 showed that decentralized exchanges (DEX) make up a significant percentage of DeFi activity. DEXs form the largest type of DeFi platform with 34% of total value locked (TVL) in them, and the most prominent platforms are Uniswap, Lido Finance, and Curve Finance.
Derivatives Markets Point To Incoming Bullish Sentiments
While the spot price of Bitcoin has dipped back to the US$23,000 levels, trading activity for derivatives, futures, and options seem to indicate a likely reversal to the upside soon. CoinTelegraph notes that there is a lack of demand from short sellers on derivatives, while funding rates for perpetual swaps are currently positive which favor long calls. On the other hand, the put-to-call ratio is at 0.50 which leans slightly towards the bullish side as well.
Build And Win A TON Of Prizes At The Hack-a-TONx DoraHacks
Organized by the The Open Network (TON) Foundation and sponsored by DWF Labs, the Hack-a-TONx DoraHacks is TON’s first hackathon aimed at inspiring Web2 and Web3 developers to build decentralized applications and projects on the network. Projects that are selected by the judging panel during the hackathon stand to win US$300,000 in prize pool with US$50K sponsored by DWF Labs, along with access to development grants and security audit subsidies from TON.
Conflux Network Captures The Chinese Market With Prominent Partnerships
Conflux Network, a DWF-supported blockchain infrastructure which utilizes the Tree-Graph consensus algorithm, has been making headways into the Chinese blockchain market with high-profile partnerships. Their latest partnership integrates China’s popular Little Red Book social media app to allow the platform’s 200 million active users to display their NFTs.
US State Department Drives Progress With NFT Car Titles
The Californian Department of Motor Vehicles is set to become one of the first few agencies to adopt the use of blockchain for real-world usage. In collaboration with Tezos and a blockchain software firm, the project will build upon a private blockchain on Tezos to issue car titles and registrations in the form of non-fungible tokens (NFTs) to digital wallets, with the DMV overseeing the entire operation.
Amazon: From E-Commerce To NFT Gaming Platform
With major competitors jumping into the Web3 space, the e-commerce giant Amazon is catching up by preparing to welcome customers to its blockchain gaming platform while looking to release related non-fungible token (NFT) applications at the same time. As a major platform that captures the bulk of global online traffic, other NFT platforms could expect more competition if Amazon enters the Web3 space.
NFT Patent Applications Show No Sign Of Slowing Down In 2023
NFT trading has seen positive upsides despite the recent crypto winter, and they are now enjoying a newfound popularity with companies who are hopping on the NFT brand-wagon after the successes of Nike and other big brands. More NFT patents are being filed by a diverse range of sectors such as F&B, pet food, sports teams, and game shows as well. This in turn could bring further opportunities and partnerships for these companies.
A Scoreboard For Fiat-Backed Stablecoins Is In The Works
All stablecoins are supposedly stable, but some are more stable than others. That seems to be the intention of risk assessment firm Moody's Corporation as they aim to evaluate the quality of different stablecoins with a first-ever scoring system for the asset class. The platform will rank the quality of stablecoins by having external parties vouch for the validity of the stablecoins being backed 1:1 with their related fiat reserves.
NFT Transactions Dominate Gas Fee Usage On Ethereum
The NFT sector of the Web3 space has ballooned since its inception and now accounts for 28% of all gas fees on the Ethereum network, with dominant platforms like OpenSea and LooksRare accounting for a majority of NFT movements. Based on charts provided by Glassnode, NFT gas volume has expanded from a measly 4% in May 2020 to its current volume today, while gas fees attributed to decentralized finance (DeFi) managed to maintain its volume throughout 2022.
Modularity Is The Way To Unlock Blockchain Potential, Says A&T Capital’s Report
Venture fund A&T Capital recently released a comprehensive report on Web3 trends which highlights the need for modularity to realize the potential of blockchain technology. While earlier blockchain iterations would utilize a single-chain infrastructure to process data operations and transactions, blockchains are now sub-dividing on-chain processes with modular infrastructure designs.
Disclaimer: This article should not be taken as financial advice. It is essential to conduct research before making any investment decisions.
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