🔴 ETFs Pressure Bitcoin | This Week in Crypto – Jan 22, 2024

Bitcoin overtakes Silver, Solana will launch its second smartphone and Elon Musk reveals his private crypto holdings. These tales and extra, this week in crypto.

Bitcoin Slips After ETF Approval

Bitcoin’s worth has plunged by greater than 15% for the reason that introduction of U.S. spot ETFs final week. Analysts reported one and a half billion {dollars} in outflows from the Grayscale Belief, speculating that buyers who had been beforehand benefiting from GBTC reductions, are actually exiting the bitcoin market fully relatively than reinvesting into the brand new ETFs. With estimates of one other $1.5 billion invested in GBTC in secondary markets, extra profit-taking could put additional stress on bitcoin’s worth.

Bitcoin Tops Silver

Following SEC approval, the Bitcoin ETFs now maintain practically $30 billion in belongings, far outpacing silver ETFs which have mixed belongings of about $11 billion. Whereas Bitcoin is commonly known as a digital model of gold, the one commodity that is still extra widespread is, properly… gold – with roughly $95 billion in funds unfold throughout 19 ETFs.

BlackRock Scooped Up Most Bitcoins

With buyers piling into the brand new spot Bitcoin funds, CC15Capital reports that as of Friday, the 9 new ETFs have bought practically 81,000 Bitcoins, at present value practically $3.5 billion, since their launch. BlackRock leads the way in which, amassing over 28,000 BTC for its iShares fund. Even after liquidating greater than 50,000 bitcoins to cowl the outflows talked about earlier, Grayscale continues to handle essentially the most Bitcoin amongst ETFs with its substantial holdings of 567,000 BTC.

New Crypto Smartphone by Solana

Solana plans to launch its second crypto smartphone, as a comply with as much as its first cellphone, Saga. The brand new cellphone may have new {hardware} and a less expensive worth level, and goals to calm the secondary marketplace for the restricted provide of present Saga telephones. Initially struggling to discover a market, Saga gained traction when merchants found it included BONK tokens, after which the telephones rapidly offered out in per week.

Jamie Dimon Dismisses Bitcoin in Davos

Synthetic intelligence has stolen the highlight at Davos, supplanting cryptos because the dominant matter of dialog on the World Financial Discussion board. This shift underscores the surge in AI investments because the world’s largest firms are pushing their AI services and products. On the discussion board, JPMorgan Chase CEO Jamie Dimon grabbed the chance to dismiss Bitcoin but once more, acknowledging blockchain’s potential whereas emphasizing that Bitcoin does nothing.

Coinbase’s Court docket Battle Resumes

In a case intently watched by the crypto business, a Manhattan choose questioned Coinbase and the SEC about their conflicting definitions of securities. Decide Katherine Polk Failla heard arguments from each side specializing in authorized precedent defining securities. Coinbase has requested the dismissal of the lawsuit introduced by the SEC.

Crypto Crime Declines

In keeping with new analysis illicit cryptocurrency exercise is declining total regardless of a surge in ransomware incidents and cybercriminals receiving crypto funds. Chainalysis launched its 2024 Crypto Crime Developments report which highlighted a lower in funds despatched to illicit cryptocurrency addresses, whereas noting an uptick in funds despatched to sanctioned entities utilizing stablecoins.

Musk Reveals Private Crypto Holdings

Elon Musk has revealed his private crypto holdings, as his social media platform X has acquired one other money-transmitter license, with the intention to revolutionize funds. Musk confirmed he nonetheless owns Dogecoin, revealed that SpaceX continues to carry Bitcoin and Tesla additionally has simply over 10,000 bitcoin value practically $500 million.

That’s what’s occurred this week in crypto, see you subsequent week.