Price Report: Why is BTC Now Over $50k?

Bitcoin's price breaks $50,000 for the first time since 2021

I just landed back from a week of web3 and cryptoasset conferences in Dubai. The mood is bullish, and that’s even before we saw the price of bitcoin hit $50k and, according to Bloomberg, US Bitcoin ETFs have attracted $2.8 billion since they went live on January 11th.

We’ve expected this for some time at XEROF. We have also expected that a long-standing issue in the cryptoasset sector would become more obvious as more money flowed into these products: on-ramps and off-ramps. It isn’t as exciting as filing for a spot Ethereum ETF, but it is important. This friction costs money, and we’re working to solve it. We’ve seen success with our clients, now being able to move in and out of USD, euro, and crypto more easily - thanks in no small part to the modern Swiss financial ecosystem that makes it easier for licensed providers like us to access liquidity. 

If you’re interested in learning what XEROF can offer your company, our team is always happy to answer all your questions. My DMs are also always open - reach out anytime.

Kind regards, 

Marc

Market Moves & News of Note 

Reuters: Bitcoin hits $50k level for first time in more than two years
‍Bitcoin surpassed $50,000 for the first time in over two years, boosted by expectations of upcoming interest rate cuts and recent regulatory approvals for U.S. exchange-traded funds tracking its price. The approval of Bitcoin spot ETFs has been a significant catalyst, with analysts eagerly awaiting decisions on pending applications for ETFs tied to the spot price of Ether.

‍Bloomberg: Bitcoin eyes longest winning run in a year as ETFs attract inflows
Bitcoin's recent surge, propelled by the successful launch of U.S. ETFs, suggests growing institutional interest and hints at a potential sustained rally. With optimism surrounding the upcoming Bitcoin halving and institutional inflows, analysts predict Bitcoin's price may see further upward momentum in the short term.

Financial Times: Binance delisting sparks privacy concerns
Binance's delisting of Monero, a privacy coin, sparks debate on financial privacy and regulatory compliance in the cryptoasset industry, raising concerns about the future accessibility of privacy-focused digital assets and the original vision of decentralised finance.

Views from Switzerland

Other reading, insights and resources from XEROF.

Institutions believe BTC is a strong hedge against inflation 
‍More institutional investors than ever are looking to Bitcoin as a hedge against inflation. Enhanced market liquidity, potential interest rate cuts and regulatory clarity are driving its popularity.

Blockchain adoption: Switzerland, UK, and US
Blockchain adoption is growing, with Switzerland, the UK, and the US making their own unique strides. However, there are still hurdles, such as regulatory gaps and the need for more collaboration.

Fortune 500's journey into the cryptoasset sphere
Fortune 500 companies are increasingly implementing digital currencies and blockchain technology, with projections showing significant growth in digital asset payments. Some of these major corporations include Google, Amazon, and Citigroup.