💸 Bitcoin Hits New 2023 High Above $40k
Bitcoin crosses $40k. Bitcoin is on track to hit $100,000 by the end of 2024, according to Standard Chartered. Bitcoin has increased its share of the overall digital asset market capitalization to around 50% from 45%. Miners are selling less bitcoin, contributing to price appreciation.
Welcome to the Bitcoin Lighthouse newsletter by Lightning Ventures
📈 Bitcoin Price
🌡️ Bitcoin Temperature
The Bitcoin Temperature is at 2.6 inching towards the Neutral zone. It has moved away from the Fear zone in November. To reflect the price increase of last month, the temperature has increased but not that much. We continue to be Greedy when the market is not, especially with the Bitcoin ETF right around the corner. To see how we calculate this, click here.
👍 Highlights
- 💸 Bitcoin sets a new high for 2023
- 🥊 Binance reaches landmark $4.3 B settlement with the SEC
- 🏦 SEC expected to approve Bitcoin ETFs by 10th January 2024
- 💳 Credit card debt reaches all time high
💸 Bitcoin sets a new high for 2023
- Bitcoin crosses $40k.
- Bitcoin is on track to hit $100,000 by the end of 2024, according to Standard Chartered.
- Bitcoin has increased its share of the overall digital asset market capitalization to around 50% from 45%.
- Miners are selling less bitcoin, contributing to price appreciation.
- The increased likelihood of US spot bitcoin ETF approval has been a positive surprise for the bitcoin price outlook.
- Bitcoin has already doubled in price in 2023 and is forecasted to more than double again to $100,000 by late 2024.
- Standard Chartered first made its $100,000 bitcoin price forecast in April 2022, citing drivers like bitcoin's market dominance and miner hoarding.
🔍 Our View
We do not forecast the price of bitcoin in the short and mid term. However, we can understand where bitcoin currently is in its long term upward trend which we publish as the Bitcoin Temperature. In spite of the price increase this year, Bitcoin is just entering the neutral zone and is not in the Greed zone. With bullish Bitcoin ETF news, there is scope for major price increases over the next year.
🥊 Binance reaches landmark $4.3 B settlement with the SEC
🔍 Our View
- This news that came out last week could be viewed negatively for the crypto industry. However, it was actually a positive news.
- Binance is the largest crypto exchange and the US SEC was behind its back since a year. This investigation was a concern for the market.
- The settlement means Binance has gotten away with a fine that seems large but is actually nothing more than a slap on the wrist.
- The biggest crypto exchange is now a de facto regulated exchange by the US.
- The bitcoin price hardly blinked at the news and has continued its upward trend.
🏦 SEC expected to approve Bitcoin ETFs by 10th January 2024
A Senior Analyst at Bloomberg, James Seyffart has affirmed his views that a 19b-4 approval on Spot Bitcoin ETFs would be processed by January 10, 2024.
Okay, we're nearing in on deadline dates for 3 spot #Bitcoin ETF applications. I want to get ahead of it because there's a pretty good chance we'll see delay orders from the SEC. Delays WOULD NOT change anything about our views & 90% odds for 19b-4 approval by Jan 10, 2024 pic.twitter.com/LE7sOlHAHM
— James Seyffart (@JSeyff) November 14, 2023
🔍 Our View
The market is increasingly pricing the approval of a Bitcoin spot ETF. However, post the approval, we believe that bitcoin will attract record breaking capital from financial institutions, simply because it will be the first time that it will be possible for them to invest in bitcoin.
💳 Credit card debt reaches all time high
- Credit card debt in the U.S. has now surpassed $1 trillion for the first time.
- This debt milestone comes despite the average interest rate on credit cards rising to 19.04%.
- Younger generations are taking on more credit card debt than previous generations.
- 59% of Gen Zers and 54% of millennials carry credit card balances month-to-month.
- Rising prices and economic uncertainty have led more consumers to rely on credit cards.
🔍 Our View
The current monetary system encourages higher debts and the odds are stacked against the younger generations. Bitcoin fixes this by incentivising a monetary system that encourages savings.
👨🏫 Learn Bitcoin
A fantastic talk by Parker Lewis making the case for Bitcoin.
✒️ Famous Quotes
“At its core, bitcoin is a smart currency, designed by very forward-thinking engineers. It eliminates the need for banks, gets rid of credit card fees, currency exchange fees, money transfer fees, and reduces the need for lawyers in transitions… all good things”
– Peter Diamandis
By Sandeep Goenka
Partner at Lightning Ventures
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