Last Week in Review: Bitcoin loses grip on $30k, and Tesla continues to HODL
The highlights from last week’s headline grabbers. All the important news, numbers and events from the world of crypto in one place.
News from the block
🌡️ Bitcoin dropped below $30k following release of UK inflation data
- New UK inflation data showed consumer prices in the UK held above 10% in March, raising expectations that the Bank of England (BoE) could raise rates by 0.25% at its May meeting.
- The continued inflationary pressures could force the bank into a more hawkish policy stance.
- Some analysts say the double-digit inflation numbers were behind bitcoin losing support at $30k.
🧺 Tesla continues to HODL thousands of bitcoin
- Tesla hasn’t sold any of its $184 million worth of bitcoin holdings in the first quarter of 2023. The reported valuation doesn’t account for the spike in price since the earnings were filed.
- This marks the third consecutive quarter that Tesla’s made no changes to its bitcoin holdings.
- At reported valuations, the company’s earnings on its bitcoin investment remained flat from the previous quarter.
😓 The Head of the SEC answered tough questions before Congress
- The Chair of the Securities and Exchange Commission (SEC), Gary Gensler, refused to say whether ether (ETH) is a security, during a congressional hearing last week.
- Gensler faced questions from lawmakers about proposed crypto regulations, climate change disclosure requirements, and audit trails.
- Many lawmakers expressed concerns about a lack of regulatory clarity for crypto companies operating in the US.
🇪🇺 EU rolls out landmark crypto regulation
- EU lawmakers have passed a new law that requires crypto operators to seek licenses to operate, and stablecoin issuers to maintain sufficient reserves. The law will enable crypto companies to use their licenses in one European country to “passport” their services across various member states, as noted by CNBC.
- The law, called Markets in Crypto-Assets (MiCA), makes the EU the first major jurisdiction in the world to introduce a comprehensive crypto law.
- MiCA aims to protect consumers, and promote financial stability and market integrity. The law will come into effect from next year.
Are smart contracts, like, really smart?
Yes, but not in the way you think they are. Find out why smart contracts matter, HERE.
Crunching the numbers
🎢 50 – The Fear and Greed Index settled firmly back into Neutral last week after peaking at 68 (Greed) earlier in the week.
😱 10.1% – Current UK inflation as UK food prices rise at the fastest pace in 45 years.
💎 1 million – More than 1 million ETH has been unstaked since the Shanghai upgrade.
🪢 0.6 – Correlation between bitcoin and the SP500 on 21 April, with 1 being in perfect lockstep and 0 indicating no correlation.
💸 0.01 – Correlation between SP500 and bitcoin on 23 March, around the same time as the banking crisis in the US.
The crypto time capsule
BTC worth hundreds, about 8 years ago.
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Every crypto investor must know exactly who does what in crypto to better understand who’s in charge of their investment and what they are doing with it. More HERE.