Connect with us

Market

Investors Rush as Bitcoin (BTC) Price Crosses $15,500 in Mega Rally

Published

on


Bitcoin smashed past $15,500 levels hitting its new 2020-high and eyeing its all-time high above $20,000. The overall crypto market has added $50 billion in the last week, The fiscal and monetary stimulus measures by the Fed push more people closer to buying BTC.

Bitcoin (BTC), the world’s largest cryptocurrency entered a mega rally surging over 10% in the last 48 hours. It’s for the first time since January 2018 that BTC price has inched closer to $16,000 levels. At press time, Bitcoin is trading at $15,691 with a market cap of $290 billion.

At this point, BTC alone dominates 65.5% of the total cryptocurrency market cap. Interestingly, the Bitcoin rally continues despite entering the overbought regions on technical indicators. With this price, Bitcoin’s year-to-date gains stand at 110%. With this, Bitcoin has outclassed every other asset class, stock indexes, gold, silver, etc. and stands as the top performer in the market.

There’s some massive buying of Bitcoin (BTC) by the big players in the market. Digital asset manager Grayscale has purchased over 16,000 BTC just over the last week. Interestingly, the total BTC produced by the miners was 6300, meaning Grayscale bought over twice the BTC produced. It’s about time that the retail FOMO triggers pushing Bitcoin price above its current all-time high of $20,000.

Moreover, as per the Glassnode data, the total number of “accumulation addresses” has hit a record high of 519,228. This accumulation addresses show the rising retail interest in BTC. Moreover, in 2020 alone, there’s a 9% jump in accumulation addresses while the BTC locked in these accumulation addresses has jumped by 20% to over 2.8 million BTC.

Data shows that a large number of investors accumulated Bitcoin during the market crash of March 2020 when BTC dropped below $5K. Similarly, the second-biggest purchase happened during September 2020. The price drop during both these times was only for a very short time as Bitcoin (BTC) quickly recovered post that.

Bitcoin and Overall Crypto Market Rally: Analysts Views

The overall cryptocurrency market looks flooded with buy order with all the top-ten cryptocurrencies gaining between 4-11%. The overall crypto market cap has added $50 billion in the last two days and is just short of $450 billion. Along with Bitcoin, the overall crypto market cap has also surged over 100% year-to-date.

At press time, Ethereum (ETH) is trading 7.2% up at a price of $432. The recent rally in ETH comes as the deposit contracts for Ethereum 2.0 go live two days back. The Ethereum 2.0 Beacon Chain is ready and will go live on December 1 kicking of staking contracts and rewards.

Other altcoins like XRP has gained 5.21%, Bitcoin Cash (BCH) has gained 3.76%, Chainlink (LINK) 7.54%, Litecoin (LTC) 10%, Polkadot (DOT) 6.87% and so on. Some analysts are already predicting an altcoin rally and a repeat of the post-Bitcoin rally as in December 2017.

Fairlead Strategies founder Katie Stockton told Business Insider:

“The breakout puts [the] next and final resistance at the high from 2017 above $19,500. There are some signs of short-term upside exhaustion from an overbought/oversold perspective, supporting a few weeks of consolidation, but we would see this as healthy from a technical perspective”.

Federal Reserve Chairman Jerome Powell said that the economic activity will take longer than expected to recover. The fiscal and monetary stimulus and continuous pumping of money have raised concerns about inflation. Many crypto experts say this is a clear sign of buying Bitcoin.

For other BTC news you can follow the link.

next Bitcoin News, Cryptocurrency news, News

Bhushan is a FinTech enthusiast and holds a good flair in understanding financial markets. His interest in economics and finance draw his attention towards the new emerging Blockchain Technology and Cryptocurrency markets. He is continuously in a learning process and keeps himself motivated by sharing his acquired knowledge. In free time he reads thriller fictions novels and sometimes explore his culinary skills.





Source link

Market

MicroStrategy Buys Additional 13,005 Bitcoin for $489 Million

Published

on

By


With the current BTC price, MicroStrategy’s total Bitcoin holding is worth more than $3.4 billion.

MicroStrategy Inc (NASDAQ: MSTR) has continued its Bitcoin acquisition spree as it has purchased another $489 million worth of BTC. As of the 21st of June, the Nasdaq-listed business intelligence company holds 105,085 Bitcoins.

The company announced its latest Bitcoin acquisition earlier today. According to the company, the newly acquired BTC totaled 13,005 at an average price of about $37,617, fees and expenses included. The purchase came after MicroStrategy generated $500 million in cash from the sale of debt to fund the purchase of BTC.

Before MicroStrategy purchased the most recent Bitcoin, the company had unveiled plans to buy Bitcoin in a filing with the US Securities and Exchange Commission (SEC). In the filing, MicroStrategy said it would be selling up to 1 billion of its class A common stock through an “Open Market Sale Agreement” with Jefferies LLC. The company added that proceeds from the stock sales would be used to buy more Bitcoin. MicroStrategy explained:

We intend to use the net proceeds from the sale of any Class A common stock offered under the prospectus for general corporate purposes, including the acquisition of bitcoin, unless otherwise indicated in the applicable prospectus supplement.

MicroStrategy Focuses on Bitcoin Acquisition

In addition, MicroStrategy has made Bitcoin acquisition a focus for the company. The company said that it mainly pursues two corporate strategies. Apart from growing its enterprise analytics software business, a major strategy for the company is to acquire and hold BTC.

In the SEC filing, the Nasdaq-listed company added that it is currently seeking opportunities to implement Bitcoin-related technologies like blockchain analytics into its software offerings. Also, the company intends to hold its Bitcoin holdings long-term and not engage in regular trading.

MicroStrategy became the first publicly-traded company to buy Bitcoin in August 2020. At the time, the company bought 21,454 BTC worth $250 million, making BTC its primary treasury reserve asset. When MicroStrategy made its initial Bitcoin purchase, BTC was trading at $11,653 per coin. This means that the price of Bitcoin has surged about 5 times since the first purchase.

After debuting into the crypto space in August last year, MicroStrategy had purchased more and held more than 90,000 BTCs before its latest acquisition, announced on the 21st of June.

At the time of writing, Bitcoin is hovering around $33,000. With the current BTC price, MicroStrategy’s total Bitcoin holding is worth more than $3.4 billion. According to MicroStrategy, its new subsidiary – MacroStrategy, manages about 92,079 BTC of its coins.

MSTR stock is currently at $595.79, a 7.64% decline over its previous close of $646.46. The company has grown nearly 403% in the last twelve months and 53.57% in its year-to-date record. In addition, MicroStrategy stock has gained more than 26% over the past month. However, MSTR has shed 17.65% over the past three months and has dropped 0.30% in the last five days.

next Bitcoin News, Business News, Cryptocurrency news, Market News, News

Ibukun is a crypto/finance writer interested in passing relevant information, using non-complex words to reach all kinds of audience. Apart from writing, she likes to see movies, cook, and explore restaurants in the city of Lagos, where she resides.



Source link

Continue Reading

Market

Wise Fintech to Go Public via Direct Listing on London Stock Exchange

Published

on

By


In the future, Wise plans to roll out OwnWise, a client shareholder program that will allow its users to own a stake in the company.

British fintech Wise, formerly TransferWise, announced Thursday its plans to go public via a direct listing on the London Stock Exchange (LSE). The money transfer company said it had sufficient funding and therefore, did not require underwriters or issuing of new shares.

Wise will pioneer direct listing in London, a deal which will be finalized on July 5. Sources speculate the listing could value Wise at anywhere between $6-7 billion, up from its latest $5 billion valuations. This would also make it one of the biggest floats this year.

Founded in 2010, Wise has managed to accumulate 10 million customers who use its services to send £5 billion ($7 billion) every month. Its rivals include Western Union and MoneyGram in addition to startups like WorldRemit and Revolut.

Since 2017, Wise’s track record shows consistent profitability with a 54% annual growth rate. The latest 2021 fiscal year report shows it made £30.9 million in profits out of the £421 million ($589 million) sales revenue. This year, the company’s payments app registered £54.4 billion of international transfers for 6 million clients.

Wise Listing on LSE

Listing the giant company is a great accomplishment for London as it competes with “The Big Board”, New York Stock Exchange Group (NYSE), to attract more high growth and Blue-chip firms. As of 2020, the NYSE had 2800 company stocks and its market cap as of June, 2021 was $24.68 trillion. LSE, on the other hand, has listed over 1300 companies and its market cap is at 40.08 from today’s MarketWatch data.

To further this development, the British government is considering increasing leniency in firm enlisting guidelines to encourage issuing of dual-class shares. However, European stock markets have been hit with a lot of volatility this year, with at least two IPO cancellations in recent weeks.

The dual share structure is what Wise is opting for as it allows them to retain voting control while accommodating investors and customers into their shareholder base. At present, however, it locks them out of the lucrative Financial Times Stock Exchange (FTSE) indices.

Nevertheless, the company intends to issue both class A and class B shares with the latter holding the privilege of 9 votes per share. The expiry for Class B shares is in the fifth year following Wise’s IPO. It is likely for concerns to arise over this structure as it may give executives excessive influence on shareholder votes.

In the future, Wise plans to roll out OwnWise, a client shareholder program that will allow its users to own a stake in the company. Financial endeavors for the company are advised by Goldman Sachs, Morgan Stanley, Barclays and Citigroup.

next Business News, Market News, News, Stocks

A financial analyst who sees positive income in both directions of the market (bulls & bears). Bitcoin is my crypto safe haven, free from government conspiracies.
Mythology is my mystery!
“You cannot enslave a mind that knows itself. That values itself. That understands itself.”



Source link

Continue Reading

Market

JPMorgan Acquires Nutmeg Robo-Advisor, Furthering UK Retail Banking

Published

on

By


Before the deal, JPMorgan and Nutmeg had partnered late last year to offer clients an assortment of globally diversified exchange-traded funds (ETFs).

JPMorgan Chase & Co (NYSE: JPM) said Thursday it has closed a deal to purchase Nutmeg, an online investment management service, for an unnamed price. US biggest bank hopes the agreement, which awaits regulatory approval, will complement its launch of a standalone digital bank brand in the UK during the year.

Using the latest technology from Nutmeg will help boost JPMorgan’s retail and institutional push since the company aims at establishing as many branches as it can outside the US.

With over £3.5 billion (4.9 billion) worth of assets under management, the decade-old Nutmeg is one of the UK leading and award-winning robo-advisors. The company offers various investment accounts including Individual Savings Accounts (ISAs), general investment, and pensions accounts.

Additionally, its competitors include Wealthsimple, Moneybox, and Moneyfarm. Before the take-over, Nutmeg had raised over $150 million in investments from Goldman Sachs and the British venture capital firm – Balderton Capital.

JPMorgan CEO Jamie Dimon stated last year that the banking giant would be “much more aggressive” in adding assets by conducting more acquisitions. The bank may also be stepping up to competition from adversary Morgan Stanley (NYSE: MS) which, in recent years, has spent $20 billion in merger agreements with E-trade and Eaton Vance.

Dimon also mentioned leveling up against blue-chip tech firm Alphabet Inc (NASDAQ: GOOGL) and other fintech firms such as PayPal Holdings Inc (NASDAQ: PYPL).

JPMorgan Stock Market and Nutmeg Acquisition

Before the deal, JPMorgan and Nutmeg had partnered late last year to offer clients an assortment of globally diversified exchange-traded funds (ETFs). This is not the first time the bank has partnered with a company then acquired it later. In October 2020, JPMorgan partnered with 55ip, a tax-smart fintech start-up, then bought it a couple of months down the line.

Differing regulatory guidelines in Europe and the UK made it necessary for JPMorgan to purchase the robo-advisor, rather than use investment technology available in the US. However, its US-based investment service You Invest is currently doing well, with assets valued at about $50 billion, as Dimon states.

JPMorgan’s tech initiative marks one among many happening in Britain’s retail banking sector. Banks such as Revolut, Starling, and Monzo manage digital-only checking accounts which have attracted a host of clients. Going by data from Innovate Finance, FinTechs in the UK probably make up the world’s largest markets, having pulled in $4.1 billion investment from venture capitalists as of last year.

JPMorgan Securities served as financial advisor in the JPMorgan-Nutmeg transaction, while Freshfields Bruckhaus Deringer acted as legal counsel. Arma Partners was Nutmeg’s financial advisor and Taylor Wessing was legal counsel.

As of June 17, 2021, at 7:59 p.m. EDT, JPMorgan stock closed at $151.76, down 2.89%. In the after-hours session, it was trading at $151.48, down 0.18% in 24-hours.

next Business News, Deals News, FinTech News, Market News, News

A financial analyst who sees positive income in both directions of the market (bulls & bears). Bitcoin is my crypto safe haven, free from government conspiracies.
Mythology is my mystery!
“You cannot enslave a mind that knows itself. That values itself. That understands itself.”



Source link

Continue Reading
Advertisement

Trending