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JPMorgan analysts have warned of potential downside risks in the cryptocurrency market as institutional demand for CME Bitcoin and Ethereum futures continues to weaken. According to a report published Wednesday by JPMorgan analysts led by managing director Nikolaos Panigirtzoglou, the total cryptocurrency market cap has fallen 15% from an all-time high of $3.72 trillion on Dec. 17 to around $3.17 trillion. This significant correction has resulted in CME Bitcoin and ETH futures approaching a “downtrend,” a situation where futures prices fall below spot prices, similar to trends observed last June and July. “This is a negative development and an indication of weak demand from institutional investors who use regulated CME futures contracts to gain exposure to these two cryptocurrencies,” the analysts said. Related News: New Era Begins at Pi Coin (PI): It`s Trading on Exchanges - Here`s the Price and Founder`s Speech Typically, when demand for Bitcoin and Ethereum futures is strong, these contracts trade at a premium to spot prices, a situation known as “contango.” This premium, which often exceeds 10% annually, reflects the high “risk-free” rate in crypto markets where dollar lending can yield between 5% and 10% annually, JPMorgan analysts explained. However, when demand and price expectations weaken, futures prices could fall below spot prices, as seen in mid-2023. JPMorgan attributes the declining demand for CME Bitcoin and Ethereum futures to two key factors. First, some institutional investors are taking profits amid a lack of immediate positive catalysts. Analysts say major regulatory initiatives related to crypto by the new U.S. administration are unlikely to occur before the second half of the year, prompting investors to adopt a wait-and-see approach. Second, momentum-focused funds, such as commodity trading advisors, are reducing their exposure, further dampening demand. “Both Bitcoin and Ethereum momentum signals have been downshifting over the past few months, and the Ethereum momentum signal has already entered negative territory,” the report said. *This is not investment advice. Continue Reading: JPMorgan Analysts Say “Institutional Demand Is Low”, List Expectations for Bitcoin and Ethereum
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$560M USDT Transferred from Bybit Cold Wallet to Bybit Hot Wallet ????Coin: HOT ( $HOT ) $0.00162
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$560M USDT Transferred from Bybit Cold Wallet to Bybit Hot Wallet ????Coin: HOT ( $HOT ) $0.00162 BitcoinSistemi

Bitcoin Joins Altvest Capital’s Balance Sheet in Landmark Treasury Strategy Shift
Altvest Capital Limited has become the first publicly traded company in Africa to adopt Bitcoin as a strategic treasury asset. The company announced its initial investment in Bitcoin (BTC) as part of a broader treasury management strategy, which aims to strengthen financial resilience, preserve shareholder value, and gain direct exposure to the world’s largest crypto asset. Bitcoin as Treasury Asset The company cited Bitcoin’s characteristics as its motive behind the announcement. This includes its scarcity – capped at 21 million BTC – which positions it as a hedge against inflation and currency debasement, particularly relevant given the depreciation risks associated with the South African Rand. Additionally, Bitcoin’s decentralization and censorship-resistant nature provide a level of security unmatched by other cryptocurrencies, while its increasing institutional adoption worldwide validates its legitimacy as a store of value. According to the official press release, Altvest’s board conducted a comprehensive risk assessment before making this investment, concluding that Bitcoin aligns with its alternative asset philosophy, which prioritizes long-term growth and macroeconomic risk mitigation. The company has also implemented a structured risk management framework to monitor and optimize its Bitcoin exposure in line with treasury objectives. Altvest said that while many digital assets do not meet its strict investment criteria due to inflationary supply mechanisms, centralized governance structures, and regulatory uncertainties – Bitcoin stands out as the only viable option. “Bitcoin is fundamentally different from other digital assets. It is the only truly decentralized, scarce, and globally recognized digital asset that aligns with Altvest’s investment philosophy. We see Bitcoin as a strategic reserve asset that enhances our treasury portfolio while providing a hedge against economic instability and currency depreciation.” Growing Corporate Shift Toward Bitcoin Reserves Altvest’s decision to adopt Bitcoin as a treasury asset aligns with a broader corporate shift toward digital asset reserves. The trend was catalyzed by Michael Saylor’s Strategy (formerly MicroStrategy), which began purchasing Bitcoin in 2020 and has since accumulated 478,740 BTC, which is now worth more than $47 billion. Tokyo-based Metaplanet joined the wave in April last year, amassing 2,100 BTC worth nearly $200 million. According to CEO Simon Gerovich, the company plans to expand its holdings to 10,000 BTC. The post Bitcoin Joins Altvest Capital’s Balance Sheet in Landmark Treasury Strategy Shift appeared first on CryptoPotato . BitcoinSistemi