“Bitcoin’s recent rally may have signaled the end of the crypto winter, but as the dust settles, the market is beginning to cool down, highlighting the need for cautious optimism and a deeper understanding of the underlying factors driving its value.”
The crypto market has been relatively stable, with the market capitalization remaining higher than the previous week. Bitcoin played a significant role in this increase, with its value rising by over 11% in seven days. However, prices are still lower than the highs seen in May of last year.
Last week, Bitcoin showed a bullish signal as it moved further into the 200-week moving average. This is seen as a positive sign and indicates a potential comeback after the crypto winter. Additionally, a “golden cross” has formed on the daily timeframes, which could further boost bullish confidence.
In terms of investment products, total assets under management for digital asset-based products rose by 6.74% to $31.7 billion in October. Bitcoin fund assets under management also increased by 11.1% to $23.2 billion. Bitcoin continues to dominate the market, holding 73.3% of the market share.
In terms of news, Spain announced its intention to speed up the implementation of cryptocurrency regulation with the MiCA law, aiming to finish it by the end of 2025. The Ethereum development team postponed the release of the Dencun security update due to disagreements between designers. Changpeng Zhao, the head of Binance, saw a significant decline in his fortune, falling from $96.6 billion to $17.3 billion. Reports of phishing emails targeting users of Trezor hardware wallets have also surfaced online. Offchain Labs, the company behind Arbitrum, has opened access to the Orbit software stack, allowing the creation of layer three blockchains on the main network.
Overall, the crypto market remains in a state of greed, with positive signals from Bitcoin and an increase in investment products. However, regulatory developments and security concerns continue to impact the industry.