Bitcoin Crypto News

ARK: “Bitcoin’s Correlation With The S&P 500 Reached” ATH, Opportunity Knocks

This counterintuitive thinking by ARK Investment is the reason why we subscribe to their  “The Bitcoin Monthly” report. While everybody complains about bitcoin’s dance in unison with the stock market, they keep it cool and even frame it as an opportunity. Which it is. It’s not ideal that traders treat bitcoin like a risk-on asset, but there’s certainly logic behind it. Short-sighted people see bitcoin as an investment vehicle and little else. Excited to introduce the first official issue of “The Bitcoin Monthly” Starting this month, ARK will be publishing an in-depth report covering Bitcoin’s market action and sharing where we think the market's headed. Here are the major highlights from this month’s report: — Yassine Elmandjra (@yassineARK) June 3, 2022 In our first article about “The Bitcoin Monthly,” we defined it as: “Over at Twitter, ARK Analyst Yassine Elmandjra described “The Bitcoin Monthly” as: “Starting this month, ARK will be publishing an in-depth report covering Bitcoin’s market action and sharing where we think the market’s headed.” On ARK’s website, they describe the new venture as: “Considering the market’s fast pace of change, ARK publishes The Bitcoin Monthly, an “earnings report” that details relevant on-chain activity and showcases the openness, transparency, and accessibility of blockchain data.” BTC p- S&P500 Correlation | Source: “The Bitcoin Monthly” ARK On Bitcoin’s Correlation With The S&P 500 When the Russia/ Ukraine conflict started, it seemed like bitcoin was not in synch with traditional markets anymore. However, the tide quickly turned. By May, “Bitcoin’s correlation with the S&P 500 reached an all-time high of 80%.” The previous ATH was way back in October 2020, near that magical time when bitcoin woke up from a hundred years’ nap to pass the $20K line for the first time.  "If your time horizon is one month, Bitcoin looks like a volatile asset. If your time horizon is 10 years, it looks like a risk-off store of value." – @saylor I couldn't agree more. — Dr. Jeff Ross (Pleb counselor) (@VailshireCap) June 15, 2022 So, what’s ARK ‘s take on the situation? Well… “Based on fundamentals, we believe bitcoin and most equities should not be highly correlated, highlighting a potentially significant market inefficiency.” A “significant market inefficiency” is an investor’s wet dream. It means that you’re seeing something that the market’s not. It means opportunity. If you play your cards right, it could mean money. How to use that “significant market inefficiency” in your favor, that’s another question altogether. Take into account that “Bitcoin still faces an uncertain macro environment, as the global economy shows signs of a recession,” though. Let’s also take into account these recent words by MicroStrategy’s Michael Saylor, “If your time horizon is one month, Bitcoin looks like a volatile asset. If your time horizon is 10 years, it looks like a risk-off store of value.” Apparently, bitcoin traders suffer from high time preference. And that probably explains the correlation with the S&P 500. BTC price chart for 06/16/2022 on Binance | Source: BTC/USD on TradingView.com Arcane Research Weights In ARK isn’t the only game in town. Our friends at Arcade Research have the most recent information regarding bitcoin’s correlation with the S&P 500, “BTC followed U.S. markets closely on Friday and, in extension, also during this weekend. However, as prices plummeted, new ghosts emerged, and the dangers of impactful insolvencies have contributed to further drag on the crypto market,” they say in “The Weekly Update’.” When Arcane Research says “ impactful insolvencies,” they certainly refer to the Celsius case. “While the crisis in Celsius has contributed to putting a further drag on the market, the initial catalyst was the inflation surprise in the U.S. We note a decline in the 90-day correlation between BTC and S&P 500. However, short-term correlations grew heavily following Friday’s inflation news – with the market preparing for more hawkish policies enacted by the FED.” The fact of the matter is that bitcoin’s price is determined at the edges of the network. And high time preference people are trading there. And if they want to treat bitcoin as a risky asset, there’s nothing anyone can do about it. Except, somehow, taking advantage of the opportunity it brings. Featured Image by Sergei Tokmakov Terms.Law from Pixabay | Charts by TradingView and “The Bitcoin Monthly”

Crypto News

Undervalued Metaverse Project Mars4 Is Preparing for New Releases

Investors in the crypto business are continuously looking for underappreciated projects with the best chance of enhancing early investors’ returns. It’s easy to benefit by discovering these hidden gem projects just before they boom with major launches.  Mars4 is one of these projects to keep an eye on since the team behind it is busy working on some interesting new releases that will be ready in the coming months. These upgrades will help to enhance the game’s economy and provide players a sneak peek at what’s to come in the future. In consequence of these improvements, the Mars4 project is expected to gain credibility, attracting more investors to the project. What is Mars4 and how does it work? Mars4 provides non-fungible tokens (NFTs) representing land plots of virtual Mars. All NFTs have their own topography, which was created using NASA data to ensure that they were accurate reconstructions of Mars. These land parcel NFTs will be used in the upcoming Mars metaverse game. You can explore your virtual property, harvest materials, and build stations, domes, and other structures on it in the game. As Mars4 is a play-to-earn game, all of this will be performed while earning the MARS4 token, a cryptocurrency, simply by playing the game. The Future of Mars4 Mars4 game releases are planned in stages. The first stage is a 3D demo version of the game that any landowner can play. It’s the first step toward creating a multiplayer Mars metaverse where individuals can socialize and form habitats. The demo version will be used to gather feedback from players so that the game can be improved in the future. Another big launch is the Mars Control Center, which is set to launch at the end of June this year. On MCC, players can access their held NFTs, trade and manage assets, view their revenue and leaderboards, and receive earnings.  In other words,  CC enables you to interact with and benefit from your assets for the first time. Mars4 investors benefit from the community pool, which was created as an income distribution tool. Using the Mars Control Center, you may see the overall amount in the pool and vote on when it should be paid out. The pool’s growth is fueled by sales (including B2C and B2B), marketplace transactions, promotions and sponsorships, and in-game transactions. More income sources may be added to the list as the Mars4 team is working to improve the experience by permitting investors to earn more. Investors’ portion in the community pool is determined by their production score. You can either buy NFTs to increase your productivity score or play the game and earn money by completing missions, tasks, and other activities. To put it another way, investing more time or money generates greater revenue. Purchasing NFTs now will boost your score even before MCC is released, but MCC is a tool that will allow you to monitor and regulate it. Mars NFT land plots are now available for purchase; but, with the launch of the MCC, in-game NFTs will become available as well. These NFTs can be used in the game to help you increase your productivity and earn more money. For example, you could buy a vehicle and travel through Mars’ surface, delivering goods and collecting fees. Summary The Mars4 project is worth checking into if you’re looking for a hidden gem project to invest in, as the company is working on big releases for the next month, including the demo version of the game, Mars Control Center, and in-game NFTs. A demo of the play-to-earn game will be available to all Mars4 NFT landowners. The Mars Control Center will be used by NFT holders to manage their assets, review earned income, and receive it. The Mars4 project’s passive (community pool) and active (upcoming game) revenues are both boosted via in-game NFTs. Getting in early, right before these launches, is a great method to earn money.