Crypto Monday: Weekly market prep
The Trump administration is considering revaluing gold reserves
Macro strategist Simon White reports an unprecedented influx of gold and silver into U.S. warehouses since the pandemic, suggesting potential shortages due to years of hoarding by central banks in emerging markets. However, a less likely but possible scenario is that the U.S. is preparing to revalue its gold reserves based on current market prices, which are near $3,000 per ounce. Recent significant deposits of gold and silver into Comex warehouses have fueled speculation about a forthcoming revaluation of U.S. gold stocks. If leaders like Trump decide to revalue gold reserves, this could cause volatility in the capital markets and drive investors towards Bitcoin and other cryptocurrencies as safe-haven assets.
CZ responds to community concerns over inactivity on BSC
CZ, in response to community criticism regarding the lack of activity on Binance Smart Chain (BSC) and the manipulation of investors with various memecoin schemes, stated the feedback, though harsh, was insightful. He acknowledged a desire to see more activities on BSC but has refrained from issuing or operating memecoins due to a lack of experience. He noted unexpected stress tests on the platform, observing both the breadth of tests from the creation of numerous new memecoins and depth tests from massive transactions on single contracts. He admitted that most preparations were for the latter and recognized the need for significant improvements.
Rapid growth in cryptocurrency adoption among South Koreans
A study by Hashed Open Research indicates that 25% of South Korea's population currently owns cryptocurrency. The survey, involving 2,000 residents aged 20-69, shows the highest participation among those aged 30-39, with 54% involvement. Notably, 3.6% of respondents possess crypto assets worth over 100 million KRW (approximately $68,900), while 25% hold assets valued between $689 and $3,443.
Over half of the crypto investors prefer cryptocurrencies for the potential of higher short-term returns compared to other assets, with 57% investing their salaries into crypto. Furthermore, about a quarter of crypto holders use foreign or decentralized exchanges (DEX), with over half of them storing more than 20% of their assets on these platforms. The survey also reveals that 11% of those who have never invested in crypto are considering doing so in the future.
Powell's cautious stance amid economic shifts
QCP Capital forecasts that US Federal Reserve Chair Jerome Powell will maintain a cautious and data-dependent stance. Following the release of the Consumer Price Index (CPI) data, which showed a higher-than-expected increase, market expectations for the Fed's first rate cut have been pushed to December, triggering a sell-off.
Bitcoin dropped from $96,500 to $94,000, with $163 million in long positions being liquidated. However, it subsequently rebounded to $98,000, marking a 4.4% increase. The options market has been notably active, particularly for call options with strike prices between $97,000 and $100,000, as traders anticipate reactions from Trump regarding CPI and its potential impact on Fed policies.
WLFI launches Macro Strategy for strategic token reserve
World Liberty Financial (WLFI) announced the launch of its Macro Strategy, a strategic reserve fund aimed at supporting leading cryptocurrencies such as Bitcoin and Ethereum to enhance market stability. This strategy is designed to diversify investments, reduce market volatility, promote the development of the DeFi ecosystem, and strengthen community trust.
Telegram implements new mini-app regulations, TON launches migration grant program
Starting February 21, Telegram will implement new regulations for blockchain mini-apps, with the TON blockchain set to become the exclusive blockchain infrastructure for Telegram’s mini-app ecosystem. In conjunction with this update, TON has introduced a mini-app migration grant program to support developers in transferring their mini-apps from other blockchains to TON. This program offers eligible projects up to $50,000 in advertising credits, along with migration tools through TON Connect, technical support, and marketing assistance.
Disclaimer
The development and market cap of stablecoins mentioned in the above content are speculative and based on market analysis at the time of writing and should not be interpreted as guaranteed outcomes. Market conditions can fluctuate widely and unpredictably due to numerous factors such as regulatory changes, market demand, and global economic developments.
The information provided in this article is for general informational purposes only and does not constitute financial, investment, legal, or professional advice of any kind. While we have made every effort to ensure that the information contained herein is accurate and up-to-date, we make no guarantees as to its completeness or accuracy. The content is based on information available during writing and may be subject to change.
Please note that this article includes references to third-party websites and data provided solely for convenience and informational purposes. We do not endorse or assume any responsibility for the content, accuracy, or reliability of any information, products, or services offered by third parties.
Cryptocurrencies involve significant risk and are NOT suitable for the majority of investors. The value of digital currencies can be extremely volatile, and you should carefully consider your investment objectives, level of experience, and risk appetite before participating in any staking or investment activities.
We strongly recommend that you seek independent advice from a qualified professional before making any investment or financial decisions related to cryptocurrencies. We shall in NO case be liable for any loss or damage arising directly or indirectly from the use of or reliance on the information contained in this article.
