Here's what's going on with Bitcoin and XRP

Sup, fam! The buidlbee crypto team is happy to be here again! And now let's get to the main point - the content of today's letter:

• The new FUD wave against Binance and whether to pay attention to it;

• Bitcoin consolidation has begun. What does it mean?

• Will XRP continue to rise?

• Crypto market outlook for the rest of the year;

• Prospects for the interesting Band Protocol (BAND) project;

• And a raffle!

BTW, let's take a quick look at the main events of the day:

• Binance will list Radiant Capital (RDNT) tokens in the Innovation Zone on March 31 at 07:30 UTC.

• Rumor: Coinbase is negotiating to stay in the Canadian market, while Binance may leave.

• Yama, a novel omnichain stablecoin, is now live on Arbitrum.

• The U.S. and South Korea requested Montenegro to extradite Do Kwon, co-founder of Terraform Labs.

• Artificial intelligence-focused crypto protocol Fetch.ai (FET) raises $40 million from investment firm DWF Labs.

⚠Crypto market in the accumulation stage, awaiting critical decision on Ripple

FUD had no effect on Binance

Yesterday, the Financial Times once again put up FUD claiming that cryptocurrency exchange Binance has been hiding ties to China for several years. Hey, pretty weak reasoning for an attack on the front page of the leading financial media outlet in the U.S.

But what do the numbers say about this ongoing FUD? Should we fear for Binance?

According to new data from Dune Analytics, after the CFTC filed a lawsuit against Binance, the equivalent of $2.2 billion was withdrawn from the exchange. But during the same period, about $1.4 billion was deposited on the exchange. From this, we can see that platform users do not particularly panic, and the consequences of the joint attack by U.S. regulators and the Financial Times are minor.

In December 2022, against the background of rumors about the insolvency of Binance, also triggered by the media, it withdrew a much larger amount ($7 billion), but even then the exchange has stood. This comparison shows that the crypto market has become much more stable in recent months, even under direct pressure from regulators.

Other data from CryptoQuant shows that BTC and ETH reserves on Binance are also stable:

CZ's reaction to FT's latest lunge: Binance claims it does not operate in China and has no technology, including servers or data, and that FT is "grossly misrepresenting events."

What stage is the BTC market in now?

Below is a graph comparing the behavior of Bitcoin in the current market cycle (in pink) and previous ones — in 2012-2016 (in black) and 2016-2020 (in green). Situations are similar, and now the cryptocurrency is most likely at the accumulation stage, i.e., investors' accumulation of the asset before the next growth stage (Hype).

Increased volatility due to closing options

The price of BTC set a new local maximum above $29k today. BTC's price quickly reached $29,184 (Binance data) and then rolled back $1,000 down in less than an hour, a gain of 6.42% in 24 hours. Traders and analysts expect even more volatility on Friday because tomorrow is the day of quarterly settlements and the expiration of BTC options. The day options close always increases temporal volatility in both directions.

👉 Opportunities

[1] 🔔 The Battle for Ripple

Today, Gary Gensler, head of the SEC, speaking before the US Congress, repeated his thesis that the vast majority of digital assets, with the exception of Bitcoin, fall within the definition of securities. He also told Congress that he saw no need to change the existing crypto legislation in any way, considering the issue resolved. What does this mean?

• It's already clear that Bitcoin is 99% likely to be recognized as a commodity. And it is already clear that legally it is safe.

• The rest of the crypto assets, including Ethereum, against which the New York regulator has recently begun proceedings, theoretically fit within the definition of a security, according to Gensler. So the SEC's trial with Ripple is not just a Ripple story; it's a decision that, based on case law, will determine the legal status of much of the other crypto assets.

• The Ripple decision will be announced in the coming days, most likely within the next week. This decision could give the entire crypto market the strongest boost as well as bring it down.

Today's open interest in Ripple rose to $843 million, the highest since December 2021 (+90%). Despite the rush of speculative interest in the asset on the eve of the decision, we can see that speculators are already starting to take profits. Buying Ripple is still interesting for speculative purposes at a distance of a few days, based on optimism from waiting for the court decision. But the trade requires a lot of caution and immediate position closing in case of negative news!

[2] 🔔 Crypto market outlook until the end of 2023

Our good friend Sjuul (AltCryptoGems) and the AltCryptoTalk team gave their short opinions on the current crypto market and what it could possibly do in the coming year(s).

• The outlook for the crypto market in the rest of 2023 is positive, driven by a new narrative surrounding Bitcoin.

• The developing banking crisis has created a growing interest in hard forms of money as individuals and institutions seek protection from the potential negative effects of high inflation.

• Bitcoin, created in response to the 2008 banking crisis, is increasingly seen as a direct response to the current crisis, which is becoming a strong narrative in the media. As a result, Bitcoin could form a new top between $80000 and $90000 before the new halving cycle in 2024. While altcoins may also experience a significant price increase, this narrative will mainly be Bitcoin-driven.

AltCryptoTalk is a community-driven trading server with a team of over 10 technical analysts providing trading signals and crypto alpha, offering both free and paid members access. It also focuses on education, offering guides, videos, and live trading sessions to help members become successful and independent traders.

[3] 🔔 Why look closely at the Band Protocol (BAND)?

P_S_trade analysts believe that the cryptocurrency market will soon enter a period when altcoins will start to fall so much that it will be extremely difficult to have time to buy them all. The downtrend in the cryptocurrency market has been going on for almost 2 years, so the assumption that a global trend reversal is happening now is more than realistic.

For this reason, it is worth paying attention to altcoins, whose price charts are experiencing prolonged consolidation and are approaching their logical conclusion. For example, Band Protocol (BAND). It is a cross-chain Oracle data network that integrates and connects real data and API interfaces with smart contracts.

BAND/USDT prediction:

1. The first powerful upward price shot was in November 2022, a month before the entire cryptocurrency market began to rise. So BAND has a lot of strong buyers.

2. The prolonged consolidation lasts for almost 5 months, at the theoretical bottom of the trend. It means that the realization of such a long accumulation will be upward.

3. The ideal level to buy BAND is $1.50. A safe level to buy BAND is $1.70 (after the end of the consolidation).

4. The medium-term resistance level is $3.30, and the long-term target to sell BAND is $7-8.50.

Answer a quick question and get a chance to win ETH tokens.

Will XRP hit $1 in March❓

We wish you a bunch of money and la dolce vita! See you tomorrow!

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