Friday, May 20 2022

Strengths

  • Among the cryptocurrencies tracked by CoinMarketCap, the best performer of the week was Star Wars Cat, up 3,637%.
  • Bitcoin jumped 10% on Monday, rebounding from a weekend selloff amid speculation that cryptocurrencies would gain favor following sanctions on Russia, writes Bloomberg.
  • Bitcoin’s strength is driven by Russians choosing cryptocurrency as a way to move their wealth out of the country, said legendary investor Mark Mobius. Mobius said it was the way to get money out of Russia, in an interview with CNBC on Tuesday.

Weaknesses

  • Of the cryptocurrencies tracked by CoinMarketCap, the worst performer of the week was Spook Inu, down 99.99%.
  • Ukraine has abandoned a plan to reward people who donated to its fight against a Russian invasion with newly minted crypto assets, writes Bloomberg, following complications with the project. Ukrainian Deputy Prime Minister Mykhailo Federov said in a tweet that the country has decided to abandon the so-called “airdrop” and will soon announce NFTs instead to support the Ukrainian Armed Forces soon.
  • Bitcoin is finding a lot of selling pressure above the $44,000 level. The popular digital currency needs to hold at least close to $42,000, otherwise it could fear falling back significantly below $40,000 per coin (and potentially staying below the $40,000 level for some time).

Opportunities

  • Crypto hedge fund Pantera Capital has backed African crypto exchange VALR.com in its latest funding round, reports Bloomberg, valuing the company at $240 million, the US group’s first foray into the continent. Crypto has started to boom in Africa and the exchange began operations in 2019, facilitating $7.5 billion in annual transactions in over 60 digital currencies, the article continues.
  • CME Group plans to launch cryptocurrency options on micro-Bitcoin and Ether futures on March 28, subject to regulatory review. The new options contracts will be sized one-tenth of their respective underlying tokens and will have monthly or weekly expirations according to CME and reported by Bloomberg.
  • Fast food chain Wingstop has filed a multi-class trademark to sell chicken wings in the metaverse. The app covers “downloadable virtual goods,” including NFTs and virtual food and drink, writes Bloomberg.

Threats

  • The Biden administration is asking crypto exchanges to help ensure that Russian individuals and organizations do not use virtual currencies to avoid sanctions. The White House National Security Council and the Treasury Department have asked operators of some of the world’s largest trading platforms for help in thwarting any attempt to circumvent tight restrictions imposed by the United States and its allies. , writes Bloomberg.
  • During his Senate hearing this week, Federal Reserve Chairman Jerome Powell told the Finance and Banking Committee that the Fed would do whatever it takes to bring inflation down. Bitcoin was down about 3.75% on its hearing as the inflation-risk asset digested its hawkish tone.
  • According to Crypto Potato, hundreds of NFTs were stolen in the TreasureDAO exploit, carried out through a series of transactions. The attackers were able to exploit a bug in the protocol that allowed them to create NFTs for free. Soon after, the platform urged its users to pull their NFTs from the market.




Warning: The opinions expressed in this article are those of the author and may not reflect those of Kitco Metals Inc. The author has made every effort to ensure the accuracy of the information provided; however, neither Kitco Metals Inc. nor the author can guarantee such accuracy. This article is strictly for informational purposes only. This is not a solicitation to trade commodities, securities or other financial instruments. Kitco Metals Inc. and the author of this article accept no responsibility for loss and/or damage resulting from the use of this publication.

Previous

Greggs: The fast food chain announces the return of a popular vegan product

Next

Pokemon Fan Theory Claims a British Chicken Restaurant Inspired Scarlet and Violet

Check Also