CKB Rallies After BTC Client Release, MicroStrategy Pivots to Bitcoin Development
Market Update
- Stock markets are down, and bond yields are up following a January report showing U.S. consumer prices rising unexpectedly. Headline and core CPI saw year-on-year increases of 3.1% and 3.9%, surpassing the forecasted 2.9% and 3.7%. This higher inflation may dampen the anticipation of Federal Reserve rate reductions, with market participants currently foreseeing a 37% likelihood of a cut in May. Yesterday, Bitcoin surpassed the $50,000 mark for the first time since December 2021, although its value slightly declined to $48,600 following the inflation news release. On Monday, BTC ETF flows quickly reached half of the $1.1 billion inflows CoinShares reported last week. The eight Bitcoin ETFs acquired 12,073 Bitcoins ($590 million), while Grayscale saw a minor reduction of 1,147 Bitcoins ($56 million). Blackrock and Fidelity added 7,497 Bitcoins ($366.5 million) and 3,039 Bitcoins ($148.5 million). Currently, Bitcoin ranks as the world's 10th largest asset by market cap, nearing a $1 trillion valuation. Since October 2023, financial markets have been trending higher, with the S&P index climbing 18% from late October, while Bitcoin, being more volatile, has surged over 60% in the same timeframe, boosting its market cap in comparison to other asset categories.
- The Nervos Network's CKB token witnessed a significant increase of over 72.6% following the introduction of the RGB++ client for Bitcoin. This new extension, designed to enhance Bitcoin's functionality, has dramatically increased CKB's trading volume, which soared by more than 1,800% to $116.4 million. The launch of RGB++, which builds on the original RGB protocol by leveraging the Lightning Network to address scalability, coincides with this market movement. RGB++ not only rectifies the shortcomings of its predecessor but also brings in new features aimed at improving transaction verification and simplifying tasks like token airdrops. Nervos Network was founded in 2018 by a group of blockchain experts including Jan Xie, Kevin Wang, Terry Tai, and Daniel Lv, aiming to solve pressing issues like scalability and interoperability in the blockchain world. The CKB token is central to this vision, facilitating various functions within the network, including transaction fees, storage, governance, and rewards.
- Pivoting towards Bitcoin development, MicroStrategy has aligned its operations with the burgeoning digital asset sector, influenced by the substantial growth in Bitcoin's market value. Executive Chairman Michael Saylor articulates this shift as akin to the strategies employed by developers in traditional industries, yet with a keen focus on Bitcoin and blockchain technology. This move is a direct response to the company's successful Bitcoin investment strategy and its distinguished position as a significant corporate holder of the cryptocurrency. Saylor also highlighted the increasing demand for Bitcoin ETFs and the unique characteristics of Bitcoin that make it an attractive asset for investors. The company's strategic investments in Bitcoin have been fruitful, with its total Bitcoin holdings now valued at roughly $9.4 billion, marking a profit margin of 58.69% following Bitcoin's price ascent to over $50,000. MicroStrategy embarked on its Bitcoin investment journey in 2020, leading to a portfolio that includes 190,000 BTC. This focus on Bitcoin has not only enhanced the value of its holdings but also significantly boosted its stock performance, with MicroStrategy's share price witnessing a 191% surge over the past year.
Daily Technical Strategy
Mark L. Newton, CMT
Head of Technical Strategy
Due to a personal matter, Mark Newton will be temporarily unable to publish Daily Technical Analysis. Additional information is not available at this time, but we will provide updates as soon as this changes.
Daily Important Metrics
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All metrics as of February 13, 2024 1:00 PM
All Funding rates are in bps
Crypto Prices
| Symbol | Market Cap | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
 BTC | $964B | $49,119 | ↓ -1.56% | ↑ 16% | |
 ETH | $316B | $2,626 | ↑ 0.49% | ↑ 15% | ↓ -0.87% |
 SOL | $48B | $110 | ↑ 0.36% | ↑ 8.60% | ↓ -7.70% |
 ADA | $19B | $0.5413 | ↓ -3.95% | ↓ -8.68% | ↓ -25% |
 LINK | $12B | $19.74 | ↓ -4.66% | ↑ 32% | ↑ 16% |
 DOGE | $12B | $0.0809 | ↓ -1.95% | ↓ -9.10% | ↓ -25% |
 DOT | $9.2B | $7.22 | ↓ -1.62% | ↓ -11% | ↓ -27% |
 MATIC | $8.3B | $0.8605 | ↓ -1.14% | ↓ -10% | ↓ -27% |
 NEAR | $3.4B | $3.24 | ↓ -3.23% | ↓ -9.98% | ↓ -26% |
Exchange Traded Products (ETPs)
| Symbol | Premium to Nav | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
| GBTC | ↑ 0.59% | $37.25 | ↑ 4.78% | ↑ 1.09% | ↓ -15% |
| BITW | ↓ -41% | $24.10 | ↑ 3.88% | ↓ -1.87% | ↓ -18% |
| ETHE | ↓ -15% | $19.73 | ↑ 4.50% | ↑ 1.39% | ↓ -15% |
| BTCC | ↑ 0.03% | $8.07 | ↑ 3.46% | ↓ -1.34% | ↓ -18% |
News
QUICK BITS
CryptoSlate MicroStrategy pivots to Bitcoin development, flaunts $3.5 billion in unrealized profit MicroStrategy is rebranding into a Bitcoin development company to reflect the success it enjoys with the flagship digital asset. In a Feb. 12 CNBC interview, Mi... |
CoinDesk Ripple to Buy New York Crypto Trust Company to Expand U.S. Options Ripple struck a deal to acquire Standard Custody & Trust Co., the company said Tuesday, in order to secure a New York trust charter in an ongoing expansion ... |
PRODUCT UPDATES AND PARTNERSHIPS
Decrypt.co Ledger Users Can Now Buy Assets From Coinbase—Without First Transferring Assets Out of Their Wallet The integration means Ledger Live users can purchase assets from Coinbase without first having to transfer crypto off their hardware wallet. |
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