The crypto world is not surprised to see Bitcoin conquer new highs, but what if I told you that only 22% of BTC is available?
Bitcoin (BTC) set a new record today as the available supply of crypto is reduced every day. Bitcoin will end the year at USD 30,000?
78% of Bitcoin is not liquid, crypto community notices shortage
Yesterday Glassnode published on Twitter that 78% of the circulating Crypto Comeback Pro is not liquid and therefore practically inaccessible.
Yes, only 22% of the supply of the leading crypto (4.2 million BTC) is available for purchase and sale.
Basically, the Glassnode report states that demand from large institutional investors is creating a significant crypt shortage, which is putting pressure on the price.
„If many bitcoins are illiquid, a supply-side crisis emerges, which has a weakening effect on BTC’s selling pressure in the market,“ says Glassnode, „Or to put it another way: a sustained increase in illiquid bitcoins is a potentially bullish signal.
In fact, the increase in Bitcoin prices over the last few months can be explained as an effect of scarcity and increased demand. And, interestingly enough, over the last 24 hours, the leading crypto has increased by 7.5% to reach another all-time high.
In addition, we must bear in mind that the crypto market knows for sure that supply will not increase. In this sense, Jacob Skaaning from the ARK36 crypto coverage fund explained, according to CNBC, that „the supply side of the bitcoin market will continue to be scarce“.
Therefore, economic theory suggests that a limited supply and an increase in demand will be able to maintain the upward pressures on the price of Bitcoin.
How far will it go? The crypto market doesn’t know for sure yet, but the stakes are high.
Weekly Analysis: How is Bitcoin whale activity in the last week of 2020?
The number of crypto addresses of Ethereum reaches a maximum
Today is a day of highs in the crypto market and that is that the number of addresses that maintain some amount of Ethereum continued to increase until reaching a new historical high.
To be more accurate, there are currently 51,491,730 addresses that maintain some amount of crypto, according to Glassnode data.
Interestingly, this indicator has increased steadily since January, accumulating significant growth. All thanks to the increase in institutional interest and, especially, to DeFi.
OKCoin is the last crypto exchange to turn its back on XRP
Bittrex joins the crypto list of those who remove XRP
Without a doubt XRP has faced some tough days after the SEC’s lawsuit against Ripple Labs was filed. In fact, the last one to turn its back on crypto was Bittrex after announcing that it would eliminate XRP from all markets as of January 15, 2021.
Therefore, the trading pairs that will be affected are BTC/XRP, ETH/XRP, USDT/XRP and USD/XRP.
Who will be the next to join, and what will happen to XRP?
Binance Smart Chain could beat Ethereum
Yesterday Changpeng Zhao, Binance’s CEO, informed through Twitter that Binance Smart Chain is on its way to surpass Ethereum.
Specifically, CZ pointed out that „BSC is slowly reaching 30-40% of ETH’s volume – low commissions matter!
So, although it is still a fraction of the size of Ethereum’s Blockchain, it is interesting how much progress it has made and how it threatens Ethereum’s dominance.
In a few lines…
Nathaniel Popper of The New York Times alleges that Coinbase engaged in wage discrimination.
The United States District Court for the Southern District of New York set February 22, 2021 as the date for the pretrial portion of the SEC’s lawsuit against Ripple Labs.
India proposes an 18% tax on transactions of the country’s leading crypto.