Date: 01/23/2021
Weekly Headline News
1. MicroStrategy Buys the Dip, Adds $10M to Bitcoin Treasury
CoinDesk
2. Grayscale May Have Laid Groundwork for 5 More Potential Crypto Trusts
CoinDesk
3. Ethereum’s Road to $2K: 3 Reasons to Be Bullish
CoinDesk
4. Pro traders buy the dip as bears push Bitcoin price to the edge of $30K
Coin Telegraph
5. 3 ways the next altcoin bull cycle will vastly differ from 2017’s
Coin Telegraph
Summary
MicroStrategy Buys the Dip, Adds $10M to Bitcoin Treasury
CoinDesk
● CEO Michael Saylor said in a tweet the coins cost an average of $31,808. He said the purchase conforms with MicroStrategy’s treasury reserve policy.
● This is MicroStrategy’s first treasury padding since splurging $600 million on the market-leading cryptocurrency following a debt raise.
Grayscale May Have Laid Groundwork for 5 More Potential Crypto Trusts
CoinDesk
● The world’s largest digital asset manager, Grayscale Investments, looks to be preparing for possible launches of new single-asset trusts for a number of cryptocurrencies.
● Trusts for five digital assets were filed with Delaware’s corporations registry on Dec. 18, 2020: Chainlink, Basic Attention Token, Decentraland, Livepeer and Tezos.
Ethereum’s Road to $2K: 3 Reasons to Be Bullish
CoinDesk
● Ethereum, the second-largest cryptocurrency by market capitalization, set a new all-time high of $1,439.33. This is the first time the digital asset has been over the $1,400 level since Jan. 13, 2018. Ethereum’s YTD gains now total 66.15%.
● With Ethereum heading closer towards uncharted territory, all eyes will be on the second-largest cryptocurrency hitting its next major milestone, the psychological $2,000 mark. There are 3 major events scheduled to go live in 2021 that could help make this possible.
1. CME Ethereum Futures
2. Ether Burning and Predictable Fees
3. Ethereum 2.0 Phase 1 Rollout
Pro traders buy the dip as bears push Bitcoin price to the edge of $30K
Coin Telegraph
● After correcting 15%, Bitcoin price dropped to $30,000 but derivatives indicators suggest pro traders are buying the dip.
● Currently the shorter-term charts indicate that Bitcoin is still flirting with the bearish territory but a number of derivatives indicators and the top traders flow reflect neutral to bullish levels.
● The last three times Bitcoin price fell below $32,000, an extensive rally of up to 30% followed. Data shows that the top traders at OKEx have been heavily buying the dip and the futures premium has held in an optimistic range.
3 ways the next altcoin bull cycle will vastly differ from 2017’s
Coin Telegraph
● Bitcoin is still the main focus of most investors but Layer 2 solutions, governance, and DeFi are shaping up to be the driving forces of the next altseason. A recent report from CoinMetrics suggests that when a new altseason starts it will play out in a way that is vastly different from the market of 2017–2018.
1. Bitcoin and Ethereum dominate but L2 tokens will catch up.
2. Today’s successful projects offer staking and DeFi integration.
3. DeFi governance tokens give investors a voice rather than buying into the detail lacking whitepapers and lofty promises of anonymous developers.
● Institutions may have chosen Bitcoin and Ether as their preferred investments but the battle for Layer 2 dominance between tokens that function as Ethereum alternatives is clearly where retail investors are placing their attention and this is what will drive the next altseason.
