Bitcoin has reached new heights on Sunday. Stripe’s CEO claims that the use of stablecoins by banks will make them offer real interest to their customers on deposit. US-listed Bitcoin spot exchange-traded fund (ETF) started October off with billions.
Bitcoin’s rally from $125,000 to $125,000 is fueled by US government shutdown and macro-factors: analysts
Bitcoin breached a new all-time high over the weekendAnalysts are calling for a new accumulation phase, which could drive the market to reach $150,000 by year’s end.
BitcoinBTCSet a new timer all-time high above $125,700Its market capitalization briefly surpassed the milestone of $2.5 trillion for the first. in crypto historyCointelegraph published an earlier report on Sunday.
The rally was supported by multiple macroeconomic factors, including the recent US government shutdown — the first since 2018 — which some analysts say has renewed interest in Bitcoin’s store-of-value role.
Similar circumstances have in the past led to “major price milestones,” Fabian Dori is the chief investment officer of digital asset bank Sygnum Bank.
US Government Shutdown has “renewed discussion around Bitcoin’s store-of-value role, as political dysfunction underscores interest in decentralised assets,” Dori spoke to Cointelegraph. “At the same time, the broader environment — characterised by loose liquidity conditions, a service-led acceleration in the business cycle, and narrowing underperformance relative to equities and gold — has drawn attention to digital assets,” He added.
Stripe CEO claims stablecoins would force banks into offering users competitive interest on deposit
Patrick Collison of Stripe said stablecoins are forcing banks to adopt them. offer competitive interest rates Stablecoins that offer a yield are increasingly popular with customers.
Collison pointed to the average rates of savings offered by banks in Europe and America, all well below 1%. Stablecoins are a perfect solution for this. He wrote:
“Depositors are going to, and should, earn something closer to a market return on their capital. Some lobbies are currently pushing post-GENIUS to further restrict any kinds of rewards associated with stablecoin deposits. The business imperative here is clear — cheap deposits are great, but being so consumer-hostile feels to me like a losing position.”
Data from RWA.XYZAs the industry continued to thrive following the passage of a comprehensive US regulatory law,
Bitcoin ETFs kickstart “Uptober” Second-best ever week for revenue with $3.2 Billion
US-listed Bitcoin ETFs have begun the historically bullish October month with their second-best week of inflows since launchInvestors are regaining their confidence.
Spot BitcoinBTCThe cumulative net value of ETFs was $3.24 Billion. positive inflows Over the last week, the amount of money spent by Americans on the average was almost equal to the $3.38 trillion that they had in the week ending November 22, 2024. according SoSoValue data.
This is a dramatic improvement from last week’s outflows of $902 millions. Analysts attribute the change to increased expectations that another US rate cut will occur, which have improved sentiment towards risk assets.
The growing expectation of another US interest-rate cut has triggered a “shift in sentiment,” Attracting renewed investor interest in Bitcoin ETFs “bringing four-week inflows to nearly $4 billion,” Iliya Kalchev is a dispatch analyst for digital asset platform Nexo. “At current run-rates, Q4 flows could retire over 100,000 BTC from circulation — more than double new issuance.”
“ETF absorption is accelerating while long-term holder distribution eases, helping BTC build a stronger base,” He said that the technical assistance levels are at or near critical ones.
In October, the average return on Bitcoin is second best in history. This month, also known as “October”, has been one of the most profitable months for Bitcoin. “Uptober” By crypto investors
Bitcoin briefly rose above the $123,996 mark on Friday after this week’s $3.2 Billion, representing a more than six-week peak last seen on August 14, for the first cryptocurrency in existence. TradingView The data show.
“This article is not financial advice.”
“Always do your own research before making any type of investment.”
“ItsDailyCrypto is not responsible for any activities you perform outside ItsDailyCrypto.”
Source: cointelegraph.com
