Mixed trading conditions lie ahead for the global crypto market in the next 24 hours, with Bitcoin, Ripple’s XRP and Cardano profiting from a bullish sun and upside potential. However, bearish clouds linger over Ether, Binance Coin, Dogecoin and Litecoin, signaling downward pressure.

Over a one-week horizon, the sun will shine over most tokens covered by ATTMO, including Bitcoin and Ether. Uniswap, Avalanche and Binance Coin, will face bearish clouds.

The trading signals available at 7:30 CET are the basis for the projections mentioned above. Please check whether ATTMO's signals have changed since then, before making an investment decision.

Cryptocurrencies edge lower on profit taking following digestion of US inflation data

Cryptocurrencies fell back over the past 24 hours after Bitcoin reached a month-high on Thursday. This rise was triggered by the release of encouraging US inflation data pointing toward rate cuts as of September. Investors’ relief pushed the Dow Jones index to an all-time high in yesterday’s trading session.

“As the US tech sector continues to report strong earnings as the AI (artificial intelligence) narrative promises to drive productivity growth, risk assets will likely continue to rally. There are still $6 trillion in US money market funds earning 5% annually while the Nasdaq is up +13% YtD,” 10x Research wrote in its daily note.

The price of Bitcoin fell 0.6 percent to $65,438 over the past 24 hours. Its price rose to as much as $66,567 on Thursday, 11 percent below its all-time high, Trading View’s Bitcoin chart shows.

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Institutionals hold >$10 billion in Bitcoin ETFs

Now that the deadline for filing the compulsory 13F forms to the Securities and Exchange Commission (SEC) has expired, it is clear that the spot Bitcoin exchange traded funds (ETFs) launched in the US mid-January have attracted more institutional funds than expected.

“The 13Fs are in for Q1 2024! The TLDR? Institutions are buying. Summary data:

* 944 firms with more than $100m report owning bitcoin ETFs

* Collectively, they own $10.7 billion.

Already a massive success, and just a down payment on what's to come,” the Chief Investment Officer of Bitwise, Matt Hougan, said.

It seems that the hedge fund Millennium Management is the largest holder of these Bitcoin ETFs, with holdings of $2 billion, according to Bitcoin.com, which adds Morgan Stanley holds roughly $270 million in these products.

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Ethereum oscillates around $2,900 ahead of SEC’s ETF decision

The price of Ether continued to trade around $2,900 as the SEC’s deadline for ruling on the first spot Ether ETF application approaches. The US regulator has until May 23 to announce whether it will approve or reject Van Eck's application and until May 24 to decide on Ark Invest's. Rejections are anticipated.

“Demand for ETH purely depends on staking, which is likely insufficient to increase ETH prices. Hence, we remain bearish on ETH,” 10x Research wrote in its daily note.

The price of Ether fell 2 percent to $2,950 over the past 24 hours.

Trump’s enriches himself on memecoin frenzy

The memecoin TRUMP has rallied 51 percent over the past seven days. Donald Trump’s stake in this memecoin, with his image as the logo, is currently valued at more than $5 million.

“Donald Trump is now up 800x on the TRUMP airdropped to him by the devs, now worth almost $6M. He’s also been sent $750K in an assortment of other memecoins,” Arkham Intelligence notes.

Andrew Tate considers investing $100 million in Bitcoin

The controversial social media profile, Andrew Tate, announced he considers leaving fiat on X: ” I’m about to leave fiat completely and ape over 100M into BTC… I’m done with the banks… I haven’t done this yet because I actually have more crypto than fiat.”

US Senate rejects SEC’s SAB 121 regulation

The US Senate followed in the footsteps of the US House of Representatives and rejected the Securities and Exchange Commission’s (SEC) proposed Staff Accounting Bulletin (SAB) 121 regulation. This piece of law would have required financial institutions and firms offering crypto custody to record their clients’ crypto holdings as liabilities and hold them at fair value on their balance sheet.

“The US Senate just voted 60-38 to overturn SAB 12. This is a BIG deal! It is the 1st crypto bill to get to the President. It also sends a message to @SECGov that they are screwing up,” comments the co-founder of Electric Capital, Avichal Garg.

The question now is whether President Joe Biden will veto the decisions of the two chambers as he has indicated or not.

Leading derivatives exchange considers Bitcoin trading

Chicago Mercantile Exchange (CME), the world’s largest derivatives exchange group, plans to launch Bitcoin trading following strong demand from financial institutions, Financial Times reports. These want to trade on a regulated exchange and not on centralized crypto exchanges such as Binance, which mostly are not regulated.

The size of the global derivatives market is huge. The Bank for International Settlements estimates the notional value of all outstanding global derivatives contract at more than $600 trillions at the end of 2023. This figure can be compared to the total market cap of global stock markets, estimated at around $110 trillion a year ago.

Financial institutions to be required to notify their clients of data breaches

Amendments carried out by the Securities and Exchange Commission (SEC) to the Regulation S-P will require covered financial institution to notify their clients of data breaches pertaining to nonpublic personal information within 30 days after becoming aware of an incident.

“Under these amendments, covered firms will be required to notify customers of breaches that might put their personal data at risk,” Gary Gensler, the Chairman of the SEC said.

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DISCLAIMER

ATTMO, a weather-inspired AI tool, makes cryptocurrency predictions. It also forecasts longer-term cryptocurrency trends. These forecasts are not trading advice; they are only decision support tools. They do not include information that is specific to the user; in particular they do not account for their personal risk appetite or market assessment. The forward-looking weather-inspired predictions part of this report may have changed by the time you read this edition of ATTMO Times. So always check the latest ATTMO predictions before making any investment decision.