Daily News | Review of BTC ETF Mix-up Incident, Meitu Company May Sell BTC, The Demand for Ethereum Staking Is Slowing Down

Crypto Daily Digest: Review of Bitcoin ETF mix-up incident, Meitu may sell Bitcoin at an appropriate time point

Firstly, let’s look at yesterday’s biggest news, the Bitcoin ETF mix-up incident.

Cointelgraph reported that the US SEC approved BlackRock’s iShares Bitcoin spot ETF, but it was later questioned by Bloomberg analysts James Seyfart and others. Shortly after, Fox Business journalist Eleanor Terrett tweeted, “BlackRock just confirmed to me that this (media claims to have approved the ETF application) is incorrect news. Their (Bitcoin spot ETF) application is still under review.”

Meanwhile, the price of Bitcoin broke through $30,000, with a short-term increase of over 10%. After the news of Bitcoin spot ETFs being approved was falsified, BTC fell back below $28,000. Within one hour (from 21:00 to 22:00, Beijing time, last night), the crypto market’s entire network contract exposure exceeded $100 million.

Cointelgraph subsequently deleted the tweet ‘SEC approves Bitcoin spot ETFs’ and issued an apology stating that an internal investigation is underway. The investigation results show that the fake Bitcoin spot ETF news feed originated from an unconfirmed screenshot released by an X user, who claimed the screenshot was from a Bloomberg terminal. Cointelgraph did not verify the source of the message before mistakenly posting this information on X.

Subsequently, the US Securities and Exchange Commission (SEC) officially stated, “Be careful of information on the internet. The best source of information about the SEC is the SEC’s official website.”

Coinbase stated in a research report on Friday that the queue of Ethereum blockchain validators has been emptied for the first time since the Shanghai upgrade in May, indicating that investors’ demand for Ethereum (ETH) staking is stabilizing.

The report states that with the peak of verifiers in recent months, the staking yield has decreased from over 5% to 3.5%. If the basic activities and transaction costs on the internet remain consistent, it is expected that the staking yield will remain stable due to a slowdown in the growth of validators. In addition, the report indicates that the activity on Ethereum’s mainnet remained stable in the third quarter, while the total trading volume increased.

The report adds: “Due to the absence of significant Ethereum protocol upgrades prior to Denchun (which are likely to occur in the first half of 2024), we believe that there are no significant technological drivers that will have a meaningful impact on on-chain activities, unless there are significant new protocols or serious hacker attacks.

According to a report by Sing Tao Daily, Meitu previously reported a loss to profit profit profit. Meitu Senior Investor Relations Manager Kang Yicong pointed out that the profit was largely attributed to the company’s subion , avoiding significant fluctuations in company earnings due to macroeconomic changes. The recently popular AI business is also the driving force for Meitu’s growth, which not only helps drive subions but also expects its profit contribution to continue to increase. As for crypto investments that the market is concerned about, she revealed that the company is no longer focusing on buying such assets, or will sell them at an appropriate time.

Kang Yi-chong believes that AI has largely driven the company’s development, especially the conversion of subion members. She stated that AI’s contribution to the company’s profits will continue to increase from the second half of the year to next year. The company has not purchased cryptocurrency since 2021. She stated that the purchase was a strategic consideration and that no subsequent actions were taken. She emphasized that the current strategic focus of the company is to engage in image production.

Yesterday, after extensive DAO forum discussions and community voting, Lido will no longer support Solana (SOL) staking and will no longer support new SOL staking starting from October 16. Node operators will exit on November 17. Starting on February 4, 2024, the Lido front-end support for Solana will end. Afterward, canceling staking will only be possible through the command line interface (CLI). Lido stated that stSOL holders can still receive staking rewards during this period.

According to Wu Shuo’s blockchain report, the spot trading volume of the main trading platforms in the crypto market decreased by 19.3% month on month in September, setting the lowest level since October 2020.

Today’s Main Token Trends

BTC

Prices are manipulated, and news is also designed by humans. As mentioned in the live broadcast, there will be a slight rebound this week, with the target price set at $30,726, just slightly below the contract’s highest price of $30,720. The target for taking profits is intentionally set at the designed resistance level.

Regardless of whether the SEC approves the BTC ETF in the near future, it will eventually be reviewed and approved; it’s only a matter of time. In the short term, it’s a point for both long and short positions. It is recommended to watch whether the RSI exceeds 67. If it rises above this level, along with the MACD golden crossover, continue to be bullish, aiming for a retest of $29.5K; otherwise, it may go down.

ETH

Yesterday, along with the overall market, there was a significant rebound, but the short-term and overall rebound trend remains weak. Although the rebound target of $1,631 was reached, it is now back below the resistance level of $1,594, indicating a continuous decline in overall trading volume. The key support level in the medium term remains at $1,465.

BIGTIME

Last week, positions were set at two price levels: $0.07140 and $0.09350. Short-term strategies can exit for profit, while medium to long-term strategies can continue to hold and use trailing stops to secure profits. The short-term trend is expected to peak on October 19 (Beijing Standard Time), possibly bringing the second wave of attacks by the end of this month.

Today and tomorrow are expected to continue the downward trend, and it is recommended to hold above the previous day’s low of $0.18450. As the capital structure grows, the extent of the short-term trend will be smaller. BIGTIME has attracted significant attention in the market, and as mentioned yesterday, it may lead to a surge in the leading blockchain gaming sector.

Macro: US stocks rebound, black swan events continue to rise, and Bitcoin’s future market is promising

This year, the FOMC Voting Committee and Philadelphia Fed Chairman Huck continued to stand up, reiterating that the Federal Reserve should not consider further interest rate hikes. Inflation is expected to weaken, and the futures market expects the probability of not raising interest rates in November to exceed 90%, while the probability of raising interest rates in December is only 30%. The US dollar index fell, closing 0.32% lower at 106.21.

As geopolitical risk hedgers took profits last Friday, US bond yields rose, with 10-year US bond yields rising by 10 basis points to close near 4.7%, and two-year US bond yields rising by over 4 basis points to close at 5.1%.

Spot gold slightly declined due to the recovery of market risk appetite, falling above the $1910 level at one point, closing 0.63% lower at $1920.16 per ounce. Spot silver closed 0.39% lower at $22.61 per ounce.

The risk appetite of US stocks has rebounded, with the Dow Jones Industrial Average up 0.93%, the Nasdaq up 1.2%, and the S&P 500 index up 0.99%. The digital currency sector saw significant gains, with MicroStrategy and Coinbase both rising by over 2%.

Next, let’s quickly browse the latest information on the Israeli-Palestinian conflict:

Iran claims that there is not much time left for a political resolution of the conflict, and the expansion of the conflict to other fronts may be inevitable; Believing that the United States has militarily intervened in the conflict; Israeli military stated that Armored vehicles and ground troops are ready to enter the Gaza Strip; During Antony Blinken’s visit, he sounded an air defense alarm and went into the bunker to hide for five minutes; US media: The US Defense Minister issued an order to “prepare for deployment.”

Israeli media reported a 2000-strong US Marine Rapid Response Force heading to the coastal waters of Israel; the Israeli Prime Minister stated that the conflict may continue for a long time, and there will be no ceasefire until Hamas is eliminated. Both Israel and Hamas have denied reports of a temporary ceasefire agreement; A terrorist attack has occurred in the center of the Belgian capital Brussels, thousands of miles away. The Belgian government has declared the Brussels Capital Region at its highest level.

As the conflict intensifies, in addition to understanding whether war has further escalated risks, we need to pay more attention to our own security. No matter where you are, I believe that as the situation spreads, some extremists will cause harm to people around the world in extreme ways. Yesterday’s Brussels terrorist attack in Billy was an example. Everyone must pay attention to safety and try to avoid places where extremists are concentrated.

In addition, I believe everyone knows about the fake news about Bitcoin spot ETF passing last night. Because this matter was too big, everyone directly forwarded it without review, which quickly formed a chain reaction and led to a sharp rise in market prices, directly pulling them to the $30,000 level. However, it wasn’t long before the market returned to its expected trend.

Later on, Cointegraph and their team also clarified and explained in detail why it appeared and what to do in the future. Interested students can have a look, but we won’t focus on this matter. Today, we will focus on whether the market ends even without ETF approval.

There was no such news last night, and Bitcoin will continue to move upwards according to its original trend, but it will only be more inky. Previously, it was predicted that the market trend at the end of the year would officially begin, and this process would be a bit longer. We can patiently wait. As for why we say this, we can look at the data from several aspects:

1/ The price difference of GBTC is narrowing, I don’t know if you’re paying attention. At its peak, there was a -35+% price difference. However, with the strength of Bitcoin this year, the price difference has narrowed by -15.8%. I believe it will become more and more debt until it becomes positive. As long as the price difference continues to narrow and there is even room for arbitrage, it is believed that a large amount of funds will re-enter.

2/ The balance of the exchange’s wallet has been consistently low, and the number of people withdrawing and holding currency for a long time has increased, indicating a bullish outlook on the future market.

3/ After two years of a bear market, Bitcoin has had a strong rebound demand. Although it rebounded a wave at the end of the year, the strength of Bitcoin is far from reaching its expected level.

4/ Global geopolitical conflicts are intensifying, and financial risk aversion is rising. We have seen that gold is about to challenge the $2,000 mark again, and we believe that Bitcoin will also make up for the rise in the future.

5/ The most important thing is the cycle. At the end or beginning of the year, there is also a period of rebound, and there are also expectations for spot ETFs. Therefore, the market forms a collective force and will eventually show an explosive rise.