Cryptocurrency Heard for the Month: 15 October 2022
Last week, the Binance chain suffered a major hack and was forced to close. In the mean time, the market is predicting another large interest rate hike in the United States, and Bitcoin lightning network firm Strike announces a major capital raise despite bearish market conditions.
Bitcoin (BTC) recovered by 1.3% last week, and is currently at US$19,160.85. Ether (ETH) did likewise, by 2.2%, and sits at US$1,293.58. Binance-coin (BNB) fell by 1.4% to US$279 and is now trading at 270.62.
The Binance Smart Chain was hacked last Thursday, and some two million Binance-coin (BNB) were stolen. Binance published a blog post in response, stating that the company was able to “stop the incident from spreading… by contacting community validators one by one”, which encompasses “26 active validators… and 44 in total in different time zones”.
The Binance blog post noted that the hacker was able to exploit a cross-chain bridge between the BNB Beacon Chain and the BNB Smart Chain.
The hack raises new questions about the extent to which Binance’s chains may be said to be decentralized and the safety of cross-chain bridging technology.
The US Bureau of Labor Statistics (BLS) released its “Employment Situation” report for September on Friday of last week, and unemployment, as measured by weekly initial jobless claims for unemployment insurance has reached its approximate pre-COVID levels. With this, the US Federal Reserve may be looking to raise interest rates yet again in its next FOMC meeting on November 2nd.
The low US unemployment and high CPI, we can expect a higher probability of further interest rate hikes (in the order of 75 or even 100 basis points), especially given public statements over previous months from Fed Chair Jerome Powell about the central bank’s commitment to bringing inflation down closer to 2%.
CME’s FedWatch Tool shows markets projecting over an 80% probability of a 75 bps hike for the November FOMC meeting, over a 20% increase in confidence of such an event since just last week.
With further rate hikes, the downward push on crypto asset prices is likely to continue.
The US-based payment provider Strike has announced an $80M capital raise despite bearish present market conditions. A Business Wire press release announced that Strike will “use the capital to further enhance its growth, continue expanding existing partnerships, and launch new partnerships”.
The funding round was led by Ten31, an investment platform focused on Bitcoin ecosystem projects, and joined by “Washington University in St. Louis, the University of Wyoming, and other investors,” along with participation from existing investors. Strike has become a leading company in the Bitcoin Lightning space and has worked to bring international remittance payments down to zero by using Lightning “as rails”.
Suggested Crypto-currency Portfolio Review
The following were our suggested entry price for:
Solana (SOL): $27.50
Avalanche (AVAX): $15.00
VeChain (VET): 0.023
Cardano (ADA): $0.50
Ethereum (ETH): $1,007
Bitcoin (BTC): $20,600
Binance Token (BNB): $207
Litecoin (LTC): $50.50
Tether (USDT): $1.00
XRP (XRP): $0.37
Dogecoin (DOGE): $0.076
OMG Network (OMG): $1.86
Helium (HNT): $5.53
Solana (SOL) Current Price: $29.99 UP 9.05%
Avalanche (AVAX) Current Price: $15.71 UP 4.73%
VeChain (VET) Current Price: $0.023 UP 0.00%
Cardano (ADA) Current Price: $0.37 DOWN 26.00%
Ethereum (ETH) Current Price: $ 1,293.58 UP 28.46.%
Bitcoin (BTC) Current Price: $ 19,160.85 DOWN 6.99%
Binance Token (BNB) Current Price: $270.62 UP 30.73%
Litecoin (LTC) Current Price: $51.45 UP 1.88%
Tether (USDT) Current Price: $1.00 UP 0.00%
XRP (XRP) Current Price: $0.4836 UP 30.7%
Dodge Coin (DOGE) Current Price: $0.05842 DOWN 23.13%
OMG Network (OMG): $1.56 DOWN 16.13%
Helium (HNT) Current Price: $4.43 DOWN 19.89%
Chiliz (CHZ) Current Price: $0.1772 DOWN 26.17%
Gains Network (GNS) Current Price: $2.34 UP 31.46%
As of October 15, 2022, the Crypto portfolio is up 0.35% versus -0.91%, couple weeks ago.
Until the end of October, our technical analysis is reinforcing a buy on BNB (BNB), XRP (XRP), Bitcoin (BTC), and Chiliz (CHZ).
Chiliz (CHZ) is the world’s leading blockchain fintech provider for sports & entertainment.
- BNB (BNB)
Last trade: $270.62
Market cap: $43.5 billion
BNB (BNB) is a cryptocurrency . BNB has a current supply of 165,116,760.89. It is currently trading on 770 active market(s) with $2,028,728,366.89 traded over the last 24 hours. More information can be found at https://www.binance.com/.
2. XRP (XRP)
Last trade: $0.4836
Market cap: $24.1 Billion
XRP (XRP) is a cryptocurrency . XRP has a current supply of 99,989,656,524 with 48,121,609,012 in circulation. It is currently trading on 702 active market(s) with $3,039,371,357.86 traded over the last 24 hours. More information can be found at https://xrpl.org/.
- Bitcoin (BTC)
Last trade: $19.160.85
Market cap: $366.4 Billion
Bitcoin (BTC) is a cryptocurrency . Users are able to generate BTC through the process of mining. Bitcoin has a current supply of 18,997,031. It is currently trading on 9282 active market(s) with $35,204,522,704.87 traded over the last 24 hours. More information can be found at https://bitcoin.org/.
- Chiliz (CHZ)
Last trade: $0.1772
Market cap: $1.1 Billion
About Chiliz (CHZ)
Chiliz is a currency option for blockchain-backed products & services geared towards mainstream consumers. It offers fan engagement in entertainment, alternative payment solutions for conventional products, and more. Chiliz provides sports & entertainment entities with blockchain-based tools to help them engage & monetize their audiences.
Before investing in any financial vehicle, please note diversification is key to any good investment strategy, and this holds true, when you are investing in cryptocurrency. Do not put all your money in Bitcoin, for example, just because that is the name you know or most hear on the street. There are thousands of options, and it is better to spread your investment across several currencies. Hopefully, the following articles in the subject will help you make better investment decision choices, when investing in Cryptocurrencies.
Disclosures: The cryptocurrency market is highly volatile, so be prepared for ups and downs. Investors may experience dramatic swings in prices. Investors, who do not have high risk tolerance, cryptocurrency might not be a wise choice of investment. Cryptocurrency is all the rage right now, but investors should remember, it is still in its relative infancy and is considered highly speculative. Investing in something new comes with challenges. Investors, who plan to invest in Cryptocurrency should do their own research, and invest according to their risk tolerance.
Tags: Asset Management, Automated Trading, bitcoin, Cryptocurrency, mam, Money Management, Multi Account Management, PAMM