I recently saw a chart that really struck home. We will get to this, but it’s worth looking at an interesting trend that has emerged in the world post-Covid.
It seems that now, it's all about the supply of money rather than the cost. This shift has significant implications for both opportunities and risks in the market.
The first half of 2024 witnessed a surge in enthusiasm for crypto assets, leading to an all-time high for Bitcoin. However, due to price headwinds and the policy environment, volatility has decreased, impacting Bitcoin's performance
We now direct our focus towards exploring the capabilities and benefits of MultiSig technology. By transitioning your attention to MultiSig, the aim is to further enhance your security. MultiSig minimises potential vulnerabilities and we are excited to delve deeper into the features and advantages that MultiSig has to offer, and we are confident that this strategic shift will contribute positively to your bitcoin security operations.
We love ingenuity, and this is a fantastic example of people thinking outside of the box to create something that will forever be etched into history. On first glance Bitcoin (BTC) block 836361 isn’t any different from other blocks
Custodial services involve a third party holding onto your bitcoin on your behalf, which can be convenient but comes with added risk. Self-custody, on the other hand, means you are responsible for keeping your own bitcoin secure, which may require more effort but gives you full control.
If you haven’t read Part 1, you can read it https://www.momentum-analytics.io/news/self-custody-part-1
“There are no shortcuts to any place worth going.” - Beverly Sills
I hope this message finds you well and you are all enjoying Bitcoin’s current rally. As of now, Bitcoin is valued at ~$67500. Over the past week, it has seen a significant increase in value, which may be of interest to those who hold it and other crypto assets.
If you are wondering why the other crypto assets are also not on the rise too, its worth highlighting the Bitcoin dominance indicator.
Earlier in September we highlighted the importance of liquidity and the impacts it has on the Bitcoin price. If you missed it, you can catch up on the charts and blog Liquidity is everything!
The Federal Reserve has started cutting rates again to help lower borrowing costs. This could impact the stock market - the S&P 500 tends to go down by about 4% in the first six months after the first rate cut if we're in a recession, but can go up by about 14% (on average) if we're not.
During moments of uncertainty in markets, it is natural to feel stressed about your investments. However, it is important to take a step back and reflect on the long-term fundamentals of your particular investment thesis. From an economic perspective, it is crucial to understand the supply and demand dynamics that drive market movements.
Focusing on these fundamentals, you can better navigate through volatile market conditions and make informed investment decisions and remember, staying informed and focused on long-term goals can help you weather the storms of market uncertainty.
With all this said, let us have a look at current Bitcoin supply and demand and the impact the halving has had in the past and will have in the future.
The last few weeks have ushered in some volatility in the Bitcoin market. Markets unfortunately don’t go up in predictable straight lines. Bitcoin is no exception, and although the long term trajectory looks very promising, the retraces are often violent.
After the July 2016 halving, from the beginning of 2017, the bull market had six retraces of more than 30% and a seventh of 24% near the eventual cycle top.
From the chart below, think about where we may be today?
