Bitcoin, Ether, Binance Coin and Polkadot will see a bullish sun shining over them in the next 24 hours and week, indicating further upside potential, ATTMO shows. Altcoins such as Dogecoin, Chainlink, Cardano and Avalanche won’t profit from this positive trend and all face bearish clouds in the near and medium term. This signals a downside risk.

Cryptocurrencies fall back on profit taking after strong monthly gains

The cryptocurrency trend was negative over the past 24 hours, with both Bitcoin and Ether falling back on profit taking. The two largest cryptocurrencies have both risen around 30 percent over the past month, amongst others supported by the launch of nine spot Bitcoin exchange traded funds (ETFs) five weeks ago.

On Wednesday, the total net outflow of Bitcoin spot ETF was $35.66 million, the first single-day net outflow after 17 trading days of net inflows, data from BitMEX Research shows. This net outflow amounts to 694 Bitcoins.

Another factor that has been supporting the crypto market is Bitcoin’s upcoming halving in April. “Usually, there's a short-term peak before the halving, resulting in the standard 20-40% correction before the continuation of the market,” the founder and CEO of MN Trading, Michaël van de Poppe said. A pre-halving peak between $54,000 and $58,000K followed by a harsh correction ranging between $45,000 and $48,000 is likely, he added.

The Head of Research at 10x Research, Markus Thielen, expects Bitcoin to decline to its nearest support level at $47,500 or as low as $45,000.

The price of Bitcoin dropped 1.4 percent to $51,066 over the past 24 hours.

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ECB officers assess Bitcoin’s fair value as nonexistent

The fair value of Bitcoin remains zero despite the approval of spot Bitcoin ETFs by the Securities and Exchange Commission (SEC) in the US, two European Central Bank (ECB) officers wrote on the bank’s blog. Bitcoin is not suitable as an investment as the asset does not generate cash flow, nor dividends, nor can it be used productively nor does it offer social benefits, they added.

“For disciples, the formal approval confirms that Bitcoin investments are safe, and the preceding rally is proof of an unstoppable triumph. We disagree with both claims and reiterate that the fair value of Bitcoin is still zero,” said the Director General of the ECB’s Market & Infrastructure unit, Ulrich Bindseil, and an advisor to this unit, Jürgen Schaaf.

Bitcoin’s current market capitalization, roughly 1 trillion, “quantifies the overall social damage that will occur when the house of cards collapses,” they warned.

Tron founder accumulates Ether

Justin Sun, the founder of the cryptocurrency Tron, has acquired more than 104,000 Ethers over the past 10 days, Lookonchain reported. This amounts to roughly $306 million at today’s price.

The price of Ether fell 2.1 percent to $2,947, while the price of Tron decreased 0.8 percent to 14 cents over the past 24 hours.

Solana, Worldcoin & Filecoin now available on Binance

Solana, Worldcoin and Filecoin are among the cryptocurrencies added to Binance’s offer as of today, Binance said in a statement. Solana and Filecoin rank 5th and 24th respectively in terms of market cap. Worldcoin, developed by OpenAI’s Sam Altman, is the 66-th largest cryptocurrency.

The price of Binance Coin shed 0.6 percentover the past 24 hours, while that of Solana and Worldcoin rose 3 percent and 2.4 percent respectively. Filecoin rallied 8.7 percent.

Polkadot futures now offered by Coinbase

Coinbase has started to offer the trading of Polkadot, Internet Computer and Near Protocol futures. “Limit, market, stop, and stop limit orders are all now available,” the largest US crypto exchange said. The price of Polkadot lost 2.2 percent over the past 24 hours.

Singaporeans take on crypto staking

More than half of the 2,000 Singaporeans polled by Coinbase and Seedly owned cryptocurrencies during the fourth quarter. Staking is the most popular activity with regard to these investments, with 55 percent having done so through a centralized exchange.

Singaporean investors remain optimistic, with 46 percent expecting crypto prices to continue rising over the next 12 months and 56 percent stating they view crypto as the future of finance.

Nigerians turn to VPNs as their government blocks leading crypto exchanges

Nigerian crypto investors are turning to virtual private networks (VPNs) following the blocking of leading crypto exchanges such as Binance, Coinbase and Kraken by the country’s government.

“Many have resorted to using VPNs to bypass the restrictions, highlighting the resilience of the crypto community in the face of regulatory challenge. Instead of outright bans, the government should focus on implementing effective regulatory frameworks that protect investors while fostering innovation and growth in the crypto sector,” the Nigerian crypto investor Christopher Olusa 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.