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Financial Times article "Why Bitcoin Prices May Still Plunge"

On March 1st, it was reported by the Financial Times that the price of Bitcoin had reached a new record high in relation to many currencies. The approval of a Bitcoin exchange-traded fund in the United States fueled the market's enthusiasm. The expectation of a reduction in Bitcoin mining output at the end of April intensified the market's frenzy. The increase in demand from buyers expecting the next halving explains why the cryptocurrency bull market is now happily predicting that Bitcoin's price will soon exceed $100,000.

However, this bullish target seems somewhat suspicious upon closer inspection. According to estimates by JPMorgan, the current production cost - mainly the cost of electricity used for mining calculations - is about $27,000. This sets a price floor for Bitcoin. After the halving, this price will jump to around $50,000 in the short term.

However, the recent surge has pushed the price of Bitcoin far above the production cost. This situation is not sustainable for Bitcoin. In addition, these costs should begin to decrease shortly after the halving, as inefficient miners exit the market and cannot keep up with the pace. As old machines are phased out, the hash rate should decrease, and production costs should also decrease.

At some point, the momentum of price increases will weaken. Assuming that mining processing capacity decreases by one-fifth, production costs will correspondingly decrease to around $43,000. This provides a useful guide for where prices may find support after the current frenzy subsides.

Bloomberg: Bitcoin continues to rise, options traders target record highs

Bloomberg reported that Bitcoin has risen for the seventh consecutive day, with options traders increasing bets that this digital asset will soon surpass its end-of-2021 high. Bitcoin's price has risen to $62,694, up more than 20% since last Friday, marking the largest weekly gain in a year. Bitcoin hit a historic high of nearly $69,000 in November 2021. "Activity around Bitcoin options has increased significantly, driven by the recent surge in BTC prices," said Aakash Desai, head of options trading at B2C2. "This has led to increased bets on future price trends and market volatility."

Fed's Barkin: We are at the end of normal rate hikes

Fed's Powell: We are in the final stages of normalizing interest rates.

Bitfinex Shareholder and Brexit Supporter Christopher Harborne Sues Wall Street Journal for Defamation

Christopher Harborne, also known as Chakrit Sakunkrit in Thailand, is a Bitfinex shareholder and a supporter of Brexit. He is suing the Wall Street Journal (WSJ) for defamation over an article that is nearly a year old and was only corrected a week ago. The article claimed that crypto companies behind Tether used falsified documents and shell companies to get bank accounts, and included allegations against Harborne and his company AML Global. The lawsuit is being filed in Delaware, which may be an attempt to avoid New York's Anti-SLAPP legislation.

Ether ETF Approval Could Disrupt Cryptocurrency Market Amid Unclear SEC Classification

The possibility of an ether-backed ETF is generating excitement in the crypto industry, but the SEC's decision on whether ether is a security remains uncertain. If ether is deemed a security, it could impact the status of thousands of cryptocurrencies and require ETF issuers to treat it as such. Despite resistance from the industry, some issuers may break ranks depending on the SEC's decision. The decentralized structure of the Ethereum network and its governance have evolved over time, leading some to argue that ether is not a security, but the potential profits for the issuer of the first spot ether ETF could be substantial. However, approval of an ether ETF under the 1940 Act could create significant havoc for the greater crypto industry, particularly in the ether spot market, as many exchanges are not authorized to trade securities.

Nokia expects future developments in the Metaverse, Web3 and AI to lead to a surge in network demand

Nokia expects the development of the metaverse, Web3, and artificial intelligence in the future to lead to a surge in network demand and plans to fill this gap by 2030. Their "2030 Technology Strategy Report" focuses on building the future network architecture to serve emerging innovative markets. Network demand is expected to grow by 22% to 25%. Nokia will focus on investing in network equipment and services. Nokia is also focused on the value internet ecosystem, including decentralization, blockchain, and smart contracts. They plan to focus on human enhancement, spatial computing, and distributed processing in the metaverse field. In addition, Nokia is using metaverse technology to assist aircraft technicians in South Australia and conducting digital twin experiments in Finland.

Pro-XRP Lawyer Bill Morgan Criticizes Elizabeth Warren's Positive Stance on SEC's Overreach in Crypto Assets

Pro-XRP lawyer Bill Morgan criticized Democratic Party member Elizabeth Warren's support for the U.S. SEC's actions in the crypto industry. Morgan's social media post specifically targeted Coinbase CLO Paul Grewal's criticism of the SEC's enforcement case against Kraken. Montana and seven other states filed an amicus brief in the Kraken lawsuit, arguing that the SEC overstepped its authority and threatened consumer protection. Elizabeth Warren's previous anti-crypto stances and ties to SEC Chair Gary Gensler were also mentioned by Morgan.

The Block executive: A major feature of this cycle is that there are no new CeFi companies entering the market

On March 1st, TheBlock executive Frank Chaparro stated on X platform that an interesting aspect of this current cycle is that there are no new CeFi companies (brokers or lending institutions) entering the market. In other words, there are no new companies similar to BlockFi or Celsius raising funds. There are some hybrid companies in the market, but most of the innovation is not about bringing financial services into the cryptocurrency field, but about applying cryptocurrency technology to traditional finance and even broader fields.

Nobel Prize winner: Bitcoin is a “highly speculative zero-value asset”

Nobel laureate in economics Steve Hanke said that Bitcoin "is clearly not a currency. Anything with such great volatility will never qualify as a currency; Bitcoin is a "highly speculative zero-value asset."

Grayscale Analyst: There’s Not Enough Bitcoin to Meet All the New Demand, Supply and Demand Dynamics Are Pushing Prices Higher

According to three analysts working for cryptocurrency fund management companies, as reported by Jinse Finance, since early February, Bitcoin ETF products listed in the United States have been purchasing an average of 3,500 to 4,300 cryptocurrencies per day, far exceeding the 900 cryptocurrencies created by the Bitcoin network each day during the same period. Zach Pandl, research director of Grayscale Investments, said that there simply isn't enough Bitcoin to meet all the new demand, so the natural supply and demand dynamic is pushing prices higher. And because the (supply) "halving" is planned to take place in two months, there may be more supply problems. After the halving, the daily supply of new coins will be reduced from 900 to 450 coins.