Originally Published 6 months ago — by Hacker News
The article discusses the history, current state, and debates surrounding Bitcoin, highlighting its role as a decentralized asset, its limitations as a currency, and the ongoing issues of centralization, liquidity, and security, while also touching on its potential future in a digital society. It reflects on the disillusionment some feel about Bitcoin's original promise and its evolution into a financial instrument and store of value.
Despite lower gas prices, most Americans are not experiencing relief to their wallets, indicating a disconnect between economists, federal officials, and the actual impact of inflation on everyday consumers.
Bitcoin, Ethereum, and Dogecoin experienced gains as the number of wallets holding at least one Bitcoin reached a record-breaking 1,008,737 million, indicating increased decentralization within the network. The global crypto market capitalization stood at $1.19 trillion, and US stocks rebounded as investors awaited inflation data and the start of the second-quarter earnings season. Analysts predict a potential Bitcoin bull run in the future, with Standard Chartered setting a price target of $50,000 for this year and $120,000 for 2024. However, miner profitability and the wait for concrete ETF updates may impact Bitcoin's price range.
The number of individual wallets holding at least one bitcoin has reached an all-time high of 1,008,737 million, indicating increased decentralization of the network. However, Binance.US is facing liquidity issues, with its fiat pipelines suspended, leading to a 9% discount on bitcoin and Tether trading. The exchange's market depth has also significantly deteriorated, causing wild price action. Traders are taking advantage of arbitrage opportunities, resulting in a netflow of negative $16.2 million. The situation is unlikely to affect the overall market price of Tether due to its total circulation. Bitcoin's next moves will be influenced by upcoming jobless claims and CPI data, which will indicate the success of the Fed's inflation-taming efforts.
The total amount of bitcoin held in Binance's wallets has increased by over 52,000 BTC ($1.5 billion) in four weeks, taking the tally to 692,880 BTC, according to data tracked by blockchain analytics firm Glassnode. The uptick in the balance held on Binance might signify renewed investor confidence in centralized exchanges' ability to keep their funds safe. However, some analysts suggest that the rise in BTC held on Binance might be bad news for the market, as large amounts of bitcoin being moved onto exchanges generally means that those are ready to be sold.
On-chain activity shows that 1,496 wallets consolidated tokens worth around $3.3 million collectively from the Arbitrum (ARB) airdrop into two wallets. One wallet received $2 million in ARB, while another collected around $1.38 million worth of tokens. The addresses have been described as two "super airdrop hunters," with some community members speculating that they may be team members of the project or hackers. The ARB airdrop hype has also made its way to OTC markets, with eligible users selling tokens.
