MicroStrategy’s Stock Volume at Peak
MicroStrategy’s stock (MSTR) has become the most traded stock in dollar terms, surpassing SPY and TSLA in trading volume after the company made its largest-ever Bitcoin purchase of $4.6 billion. The company currently owns $29.7 billion worth of Bitcoin, which it purchased for $16.5 billion. The purchase was made possible through the company’s proceeds and debt financing, including $2.6 billion in convertible notes offered this week. MSTR’s stock price is up 910% since the beginning of the year, while Bitcoin is up 110% and the S&P 500 is up 33%. Additionally, the T-REX 2X Long MSTR ETF (MSTU), a leveraged stock ETF based on MicroStrategy, has gained nearly 50%.
SEC Postpones Franklin ETF Decision
The SEC has delayed its decision on the Franklin Crypto Index ETF (ticker: EZPZ), which would combine Bitcoin and Ethereum. Franklin Templeton filed to list its ETF on Coinbase Custody and the Cboe BZX Exchange in August. The SEC said it needed more time to evaluate the proposal and review the issues raised. The decision follows recent developments in the crypto ETF space, such as the approval of spot Bitcoin ETFs in January and spot Ethereum ETFs in May.
Russia Bans Crypto Mining in Winter
Russia has banned crypto mining in Siberia, the North Caucasus, and Russian-controlled Ukraine in an effort to save energy during the winter months. The ban will be in effect from December 1st in Siberia, from November 15th to March 15th each year until 2031, while it will be in effect year-round in other regions starting in December 2024. The move follows recent regulations requiring miners to register with the Federal Tax Service and have their mining revenues taxed based on market value. While mining is legal, crypto trading is banned in Russia, and crypto adoption is rapidly increasing via DeFi and KYC-free exchanges.
Aave’s Loan Volume Surpasses $10 Billion
Aave’s active loans are set to grow by more than 300% to $10 billion in 2024, while total value locked (TVL) is up 26.7% to $15.96 billion. The DeFi protocol’s revenues are up 82%, pushing its annualized revenue projection to $113.84 million. The Aave ecosystem continues to expand with new partnerships, such as integrating with a Bitcoin layer-2 network called Spiderchain. However, the AAVE token has underperformed, losing 12% in the past week, while gaining 31.7% in the past three months and 81% in the past six months.
Cardano Hits $0.83, Up 153%
Cardano (ADA) has been drawing attention with its increase in on-chain activity and its independent movement from the altcoin market, rising 153% since November 5 to $0.83. Trading volume reached a 7-month high of $52.26 billion, and whale transactions reached a 6-month peak. ADA trading volume increased by 297% in the last two weeks to $28.43 billion, indicating strong demand. However, the decline of 30,000 Cardano addresses since November 5 suggests that investors are taking profits after the rally and there may be short-term selling pressure.
MicroStrategy Increases Bond Offering to $2.6 Billion
MicroStrategy has increased its offering of zero-interest convertible notes to buy Bitcoin from $1.75 billion to $2.6 billion due to strong institutional demand. The notes, due in 2029, are only available to qualified buyers and can be redeemed for cash, stock, or both. The company has solidified its position as the world’s largest Bitcoin trove with a new purchase of 51,780 BTC worth $4.6 billion, with more than 331,000 BTC in reserve. MicroStrategy’s stock has surged 870% in the past year, driven by the Bitcoin rally and its aggressive strategy.
VanEck and Leaders Support Bitcoin Reserves
Bitcoin’s adoption as a strategic reserve asset is gaining momentum in the U.S. and globally, with support from VanEck and Senator Cynthia Lummis. States like Florida and Pennsylvania are exploring state-level Bitcoin reserves, while Polish leader Sławomir Mentzen sees Bitcoin as a tool to combat inflation and increase financial independence. However, critics like BlackRock and investor Mike Novogratz see Bitcoin’s volatility and political challenges as obstacles to national reserves. President-elect Donald Trump’s support of a Bitcoin reserve plan and increased crypto-friendly political representation could accelerate Bitcoin’s integration into financial strategies.
Saylor Calls Microsoft on Bitcoin
Michael Saylor has advocated for Microsoft to invest in Bitcoin, arguing that it could stabilize the stock and increase shareholder value. Citing MicroStrategy’s performance as an example, Saylor has proposed to the Microsoft board that the company should diversify its large cash reserves into tangible assets like Bitcoin. Microsoft management has recommended voting against the proposal, but the outcome of the shareholders’ vote on December 10 will determine whether Bitcoin investment will be adopted. If successful, the initiative could encourage other major companies to consider Bitcoin as an investment option.
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BITCOIN (BTC)
BTC is priced at 91,930 with a 0.41% loss in value as of the morning hours. The price is currently trading at 95,892.90 and is in a strong uptrend. With the current price movement, the 98,000 level stands out as the first significant resistance point that the upward movement may encounter. If this level is exceeded, the price can be expected to move towards the psychological limit of 100,000. In the event of a decline, the first support point is 93,283.72, which draws attention as an area where the price can consolidate after a strong rise and where buyer interest can intensify. At a lower level, the 86,628.74 level stands out as a strong long-term support point.
ETHEREUM (ETH)
ETH is priced at $3095 with a 0.40% loss as of the morning hours. The price is currently trading at 3,081.99 and is in a horizontal consolidation process in the short term. In order for the price to hold at current levels, the demand zone marked in blue between 3,075 – 3,050 constitutes a critical support area. This area is a level where strong buyer interest is needed to prevent the price from experiencing a downward break. If this support level is broken, the price is likely to retreat towards the strong support area at 2,819.69. At lower levels, 2,461.59 and 2,338.99 are important long-term support points. In upward movements, the first target of the price will be 3,175.47. If this level is exceeded, the level of 3,248.52 stands out as a critical resistance point and it can be expected that the price will test higher levels above this level. Currently, the ETH price is consolidating in a narrow range between 3,175.47 and 3,075, and the exit from this consolidation will be decisive in terms of the direction of the trend. If the price maintains the demand zone at 3,075 and exhibits an upward movement, the resistance levels of 3,175.47 and 3,248.52 can be targeted respectively. However, if the price breaks down from 3,075, the support at 2,819.69 can be tested first, followed by the support points at lower levels.
RIPPLE (XRP)
As of the morning hours, XRP is priced at $1.0966 with a 0.35% loss in value. The price is currently trading at 1.1000 and is consolidating within a narrow band in the short term. In upward movements, the first target stands out as the 1.2025 level. This level is the first critical resistance that the price will encounter if it breaks out of the current consolidation and continues its uptrend. At higher levels, the price can be expected to test the 1.2500 psychological resistance. In downward movements, the first support level has been determined as 1.0180. Below this level, the green zone at 0.8398 draws attention as a strong demand area. If this zone cannot be protected, the price is likely to experience a deeper correction and retreat to the 0.7398 level. The XRP price is consolidating within a narrow range between 1.2025 and 1.0180. The price’s exit from this consolidation will be decisive in terms of the direction of the trend. If the price breaks the 1.2025 level on an upward move, higher levels are likely to be targeted.
AVALANCHE (AVAX)
AVAX is priced at $33.51 with a 1.96% loss in value as of the morning hours. In downward movements, the 32.95 level stands out as an important support area. If this level is broken, the price is likely to decline to the next demand area of 30.00 – 31.00. In case of a deeper correction, the 27.00 level should be monitored as a critical support. In upward movements, the first important resistance is at 35.00. If this level is exceeded, the price can be expected to rise to 37.67, and movements above this level may indicate that a strong uptrend will continue. Currently, the AVAX price is fluctuating within a narrow band in the short term and exhibits an indecisive appearance in the market. Therefore, it is important for investors to carefully monitor the determined critical support and resistance levels.
SOLANA (SOL)
SOL is priced at $233.40 with a 1.78% loss in value as of the morning hours. In upward movements, the 240.00 – 245.00 range stands out as a short-term resistance zone. If this level is exceeded, the price can be expected to move towards the 250.00 level. However, in downward movements, the 225.21 level should be monitored as an important support. If this level is maintained below, there is a possibility that the price will pull back to the next strong support zone of 215.27. Below this level, the 205.00 level stands out as a critical support point. In the current situation, the price moving within a narrow band creates an indecisive appearance in the market, and investors are advised to carefully follow the support and resistance levels mentioned above.
