News Updates January 12, 2023
1. Actual Reason Behind Today’s Bitcoin (BTC) Price Rally Amid US CPI Release
Bitcoin (BTC) price breakout above $18K ahead of the U.S. CPI data due to Bollinger Bands Squeeze breakout.
Bitcoin price finally breakout above the key $18K level on Thursday, for the first time in the last two months. Traders anticipate a slowdown in rate hikes by the U.S. Federal Reserve as inflation eases in 2023.
The BTC price rises over 5% in the last 24 hours as Wall Street economists expect a drop in December’s Consumer Price Index (CPI). However, the actual reason behind the rally is the technical breakout. Also, a fall in the U.S. dollar index (DXY) below 103 after many months.
As reported earlier, the Bollinger Bands indicator was forming narrow bands in the weekly timeframe. Thus, traders kept away from trading due to decreased volatility. Also, it caused the Bitcoin price to hold above $16.5K and rise above $17,500 in the last few days.
As expected, the end of the Bollinger Bands Squeeze saw Bitcoin price moving 5% higher in the last 24 hours. Moreover, indicates the BTC price will continue to move higher and hit $19K soon.
The RSI reaches the overbought zone and moves around 76. Therefore, the Bitcoin price shows strength and should continue to move higher in the next few weeks. The Exponential Moving Average also hints at a bullish price trend in the coming weeks as the 20-EMA looks to cross above the 50-EMA.
Actual Reason Behind Today’s Bitcoin (BTC) Price Rally Amid US CPI Release
Bitcoin (BTC) price breakout above $18K ahead of the U.S. CPI data due to Bollinger Bands Squeeze breakout.
By Varinder Singh6 hours ago
Crypto Games
Bitcoin price finally breakout above the key $18K level on Thursday, for the first time in the last two months. Traders anticipate a slowdown in rate hikes by the U.S. Federal Reserve as inflation eases in 2023.
The BTC price rises over 5% in the last 24 hours as Wall Street economists expect a drop in December’s Consumer Price Index (CPI). However, the actual reason behind the rally is the technical breakout. Also, a fall in the U.S. dollar index (DXY) below 103 after many months.
As reported earlier, the Bollinger Bands indicator was forming narrow bands in the weekly timeframe. Thus, traders kept away from trading due to decreased volatility. Also, it caused the Bitcoin price to hold above $16.5K and rise above $17,500 in the last few days.
As expected, the end of the Bollinger Bands Squeeze saw Bitcoin price moving 5% higher in the last 24 hours. Moreover, indicates the BTC price will continue to move higher and hit $19K soon.
The RSI reaches the overbought zone and moves around 76. Therefore, the Bitcoin price shows strength and should continue to move higher in the next few weeks. The Exponential Moving Average also hints at a bullish price trend in the coming weeks as the 20-EMA looks to cross above the 50-EMA.
At the time of writing, the BTC price is trading at $18,252. The 24-hour low and high are $17,337 and $18,268, respectively.
Bitcoin Price After December’s CPI Release
Wall Street banks expected a drop in the CPI for December as energy prices in December contributed the most to the slowdown. Gasoline costs declined nearly 12% from November to December.
2. Samsung Launches Bitcoin Futures ETF Amid Crypto Market Recovery
Samsung Asset Management plans listing the "Samsung Bitcoin Futures Active ETF" in Hong Kong amid the crypto market recovery.
Samsung Asset Management Hong Kong (SAMHK), a subsidiary of Samsung’s investment arm Samsung Asset Management, to list the “Samsung Bitcoin Futures Active ETF” in Hong Kong on January 13. The Bitcoin Futures ETF will invest mainly in the CME Bitcoin futures and the CME Micro Bitcoin futures.
Samsung Announces Bitcoin Futures ETF
Samsung Asset Management announces plans to list the Bitcoin futures exchange-traded fund (ETF) on the Hong Kong stock market amid the rise in interest from retail and institutional investors in Hong Kong.
The Samsung Bitcoin Futures Active ETF will track the performance of spot Bitcoin price by investing in Bitcoin futures products listed on the Chicago Mercantile Exchange (CME). The Bitcoin futures ETF will primarily invest in the CME Bitcoin Futures, with some investments in the CME Micro-Bitcoin Futures.
Currently, Hong Kong is the only market in Asia where bitcoin futures ETFs can be traded. The other Bitcoin futures ETF markets include Canada, the U.S., Australia, and some European countries such as Switzerland. Samsung Asset Management earlier listed the Samsung Blockchain Technologies ETF and Samsung Asia Pacific Metaverse ETF in Hong Kong.
Park Seong-jin, head of Samsung Asset Management Hong Kong, said:
“Hong Kong is the only market in Asia where bitcoin futures ETFs are listed and traded in the institutional market. It will be a new option for investors who are interested in Bitcoin as a competitive product that reflects their experience in risk management.”
3. Amazon Web Services Taps Avalanche to Scale Enterprise and Government Solutions
Cloud computing platform Amazon Web Services (AWS) has partnered with Ava Labs to scale blockchain adoption for enterprises, institutions and governments, the two companies announced in a blog post Wednesday.
The partnership will make it easier for developers to launch and manage nodes on the Avalanche blockchain, with AWS’s support for Avalanche’s infrastructure and dApp ecosystem allowing for one-click node deployment.
Ava Labs also plans to add Subnet deployment, a network within a network, to AWS Marketplace, enabling both individuals and institutions to easily launch custom subnets.
“It has been a huge boon for both individual and enterprise developers to be able to spin up nodes and test networks on the fly with AWS in whatever legal jurisdiction makes the most sense for them,” Emin Gün Sirer, Founder and CEO of Ava Labs, said in the blog post.
While the partnership with Ava Labs is AWS’ first partnership with a blockchain ecosystem, several other blockchains, including Ethereum and other smaller ones, already use AWS to power their networks.
4. Bankman-Fried blames Binance CZ’s ‘fateful tweet’ for FTX collapse.
FTX cryptocurrency exchange founder Sam Bankman-Fried (SBF) has once again come out to explain what transpired in the run-up to the platform’s collapse alongside responding to allegations of fraud.
In particular, SBF has partly laid the blame on Binance CEO Changpeng Zhao (CZ) for being the engineer behind the exchange’s collapse in a ‘targeted attack’ coupled with a tweet he termed ‘fateful,’ he said in a blog post published on January 12.
“Then came CZ’s fateful tweet, following an extremely effective months-long PR campaign against FTX–and the crash. <…> But the November crash was a targeted attack on assets held by Alameda, not a broad market move,” he said.
The tweet in question saw the Binance boss announce that the exchange was moving to liquate its FTT tokens, the native cryptocurrency of FTX. However, Zhao has maintained his innocence in the collapse, accusing SBF of not being transparent in his FTX management.
5. Scam Warning: MetaMask Warns About Address Poisoning.
According to the MetaMask team, a new crypto wallet address scam has emerged that is trying to take advantage of user inattention. In its announcement, digital wallet provider MetaMask warned users of a so-called "address poisoning scam" in which attackers "poison" transaction histories by sending users $0 worth of tokens to their wallets.
Fraudsters use wallet addresses generated by personal address generators and match the first and last characters of their victim's wallet address. This is done in the hope of tricking unsuspecting users into sending their funds to the wrong address. While this won't give hackers access to users' wallets, people who may have made it a habit to copy their wallet address from transaction history before sending cryptocurrency could potentially send their funds to fake addresses.
Because of this, digital wallet provider MetaMask warns users to always be careful and verify their transactions before sending their funds. The company emphasized that it is best to check each character of the wallet address to make sure the funds are sent to the correct wallet.
