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- Crypto.com downsizes some sports partnership deals amid market downturn: Reportby Turner Wright on October 7, 2022 at 7:30 pm
The crypto exchange reportedly cut the scope of sponsorship agreements inked with sports organizations including the Angel City Football Club, the 2022 FIFA World Cup and Twitch Rivals. Cryptocurrency exchange Crypto.com has reportedly reduced the scale of many of its sponsorship deals with sports organizations amid staff cuts and the market downturn.According to an Oct. 6 report, Ad Age tech reporter Asa Hiken said Crypto.com cut the scope of sponsorship agreements inked with major sports organizations including Los Angeles’ Angel City Football Club, the 2022 FIFA World Cup in Qatar and esports tournament host Twitch Rivals — in some cases reportedly attempting to pull out of the deals entirely. Hiken cited unnamed former and current Crypto.com employees, who said the crypto exchange had begun considering such actions following the market downturn in May.“The other shoe has dropped for a crypto firm that marketed really big when number was up,” said Hiken. “Now that number is down, the firm is grappling with its own costly decisions.”EXCLUSIVE: https://t.co/2hIVsn8aQd laid off WAY more people than was previously reported, and has quietly downsized many of the sponsorship deals it made over the last year Story for @adage, plus a sneak peek belowhttps://t.co/bdEf0ByUtR— Asa Hiken (@asabhiken) October 6, 2022 Lawyers for Angel City reportedly claimed the crypto exchange withheld payments and eventually backed out of the deal, first announced in December 2021. In addition, the firm reportedly decided on plans to dissolve its partnership with Twitch Rivals, with both companies agreeing to finish the deal by the end of 2022. A former Crypto.com employee alleged the firm may have cut the number of hospitality packages it planned to issue as part of the FIFA deal by half.Crypto.com has made a number of highprofile marketing deals in the last 12 months, from recruiting actor Matt Damon to appear in its “Fortune Favors the Brave” ad campaign to signing a $700-million agreement to rename the Staples Center in Los Angeles as the Crypto.com Arena. The crypto exchange has reportedly continued to move forward with the multimillion-dollar renovation. Related: Crypto.com to roll out Google Pay integration as Big Tech continues to embrace cryptoCointelegraph reported in September that Crypto.com had dropped out of a half-billion-dollar sponsorship deal with the Union of European Football Associations Champions League. The report implied that other major partnerships with the exchange, including its five-year deal with the Australia Football League and Formula 1, might also be affected. Although Crypto.com CEO Kris Marszalek had announced the exchange planned to downsize 5% of its employees in June, the report suggested the percentage of staff cuts may have been much higher, with roughly 30% to 40% leaving the firm from June to August — many as the result of layoffs. Since July, financial regulatory authorities in Italy, Cyprus, France and the United Kingdom have given Crypto.com the green light to offer its services to residents.
- Binance seeks to boost Web3 adoption in the MENA regionby Judith BannermanQuist on October 7, 2022 at 6:45 pm
The exchange alleges a 49% increase in user sign-ups across the Middle East and Northern Africa (MENA) region. Blockchain exchange Binance has reported an increase in user growth across the Middle East and Northern Africa (MENA) region, alleging a 49% surge in user sign-ups so far in 2022. According to the exchange, this growth indicates an increasing interest in virtual assets supported by progressive government initiatives. This could enable regulated businesses to enter the space, thereby raising awareness and driving adoption. To scale its product in the MENA region, Binance has increased licensing and partnerships with regulated firms and increased its team within the territory. In Dubai, alone, Binance has grown its team to over 400 employees. The exchange seeks to work closely with the appropriate officials in Dubai and the wider United Arab Emirates to develop a robust virtual asset infrastructure that protects the market and investors.Richard Teng, the regional head of MENA at Binance, shared:“We are witnessing rapid adoption of blockchain technology in the region and we believe there is huge potential for the UAE to soon become a leading virtual asset hub.”The exchange also expressed its commitment to working closely with local regulators to establish a safe and secure ecosystem for its users. Binance said that it has boosted its Global Law Enforcement Training Program, which was designed to assist law enforcement across the globe to detect and prosecute financial and cyber crimes.In an attempt to expand its footprint in the MENA region, Binance recently partnered with online payment service provider EazyPay in Bahrain, to launch Binance Pay to allow its customers to use cryptocurrencies as a payment method. Additionally, Binance signed a strategic partnership with retail, real estate and leisure conglomerate, Majid Al Futtaim, to allow customers to purchase virtual assets with crypto. The exchange has also signed partnerships with Jebel Ali Resorts, Palazzo Versace and Virtuzone, all within the UAE region. On Oct. 6, Cointelegraph reported that Kazakhstan’s AIFC Financial Services Authority granted Binance a permanent license to operate in the country. Binance also opened up two offices in São Paulo and Rio de Janeiro, Brazil with more than 150 employees to be spread across the firm’s operations in Brazil.
- Price analysis 10/7: SPX, DXY, BTC, ETH, BNB, XRP, ADA, SOL, DOGE, MATICby Rakesh Upadhyay on October 7, 2022 at 6:01 pm
Markets corrected as U.S. jobs data reflected a stubbornly robust labor market, adding further confirmation to investors’ belief that the Federal Reserve will continue with its aggressive rate hikes. The United States nonfarm payrolls increased by 263,000 in September, marginally below the Dow Jones estimate of 275,000, but the unemployment rate dropped to 3.5% compared to the forecast of 3.7%. Some analysts believe the report shows that the jobs market remains strong in spite of the Federal Reserve’s efforts to slow down the economy and that could encourage the Fed to go ahead with another aggressive rate hike in its next meeting in November. This led to a sharp fall in the U.S. equities markets on Oct. 7.Daily cryptocurrency market performance. Source: Coin360Although Bitcoin (BTC) has traded in close correlation with the U.S. equities markets for most of 2022, it could change in the second half of the year and Bitcoin could “shift toward becoming a risk-off asset, like gold and US Treasury’s,” said Bloomberg Intelligence senior commodity strategist Mike McGlone in the Oct. 5 Bloomberg Crypto Outlook report.Let’s study the charts of the S&P 500 index, the U.S. dollar index (DXY) and the major cryptocurrencies to determine the short-term price outlook.SPXThe S&P 500 index (SPX) plunged and closed below the June low of $3,636 on Sept. 30, but the bears could not sustain the lower levels. Buyers aggressively purchased the dip and pushed the price back above the breakdown level of $3,636 on Oct. 3. This may have caught the aggressive bears off-guard resulting in a short squeeze, which pushed the price to the 20-day exponential moving average (EMA) ($3,779) on Oct. 4.SPX daily chart. Source: TradingViewIn a bear market, experienced traders continue to sell on rallies and that is what happened with the index. The bears stalled the recovery at the 20-day EMA and the price turned down sharply on Oct. 7.The zone between $3,636 and $3,584 is vital for the bulls to defend because a break and close below it could signal the resumption of the downtrend. The index could then decline to $3,500 and thereafter to $3,325.Conversely, if the price rebounds off the support zone, it will suggest accumulation by the bulls at lower levels. Buyers will then again try to push the price above the 20-day EMA. If they succeed, the index could rise to the downtrend line. The bulls will have to overcome this barrier to indicate that the short-term corrective phase may be over. The index could then start a rally to $4,100.DXYThe U.S. dollar index remains in a strong uptrend. The sellers pulled the price below the 20-day EMA (111) on Oct. 4 but could not sustain the lower levels. Aggressive buying on dips pushed the price back above the 20-day EMA on Oct. 5.DXY daily chart. Source: TradingViewThe bears are trying to stall the up-move in the zone between the 50% Fibonacci retracement level of $112.41 and the 61.8% retracement level of $112.96. If the price turns down sharply from this zone, it will suggest that traders are selling on rallies. That could again pull the price to the 20-day EMA and then to $110.05.If the support at $110.05 gives way, it will suggest that the short-term bullish momentum has weakened. The price could then drop to the uptrend line. A close below this support could indicate that the index may have topped out.Instead, if bulls drive the price above $112.96, the index could retest the multi-year high at $114.77. A break above this resistance could suggest the resumption of the uptrend. The next target on the upside is $117.14.BTC/USDTBitcoin’s relief rally is facing strong resistance in the zone between the 50-day simple moving average (SMA) ($20,019) and the downtrend line. This shows that bears are selling on rallies and will try to pull the price to $18,626.BTC/USDT daily chart. Source: TradingViewThe repeated retest of a support level tends to weaken it. If bears sink the price below the strong support at $18,626, the BTC/USDT pair may witness panic selling. That could open the doors for a possible retest of the June low at $17,622.To invalidate this bearish view, the bulls will have to push and sustain the price above the downtrend line. If that happens, the bullish momentum could pick up and the pair could rally to $22,799. The bears may pose a strong challenge at this level.ETH/USDTEther (ETH) has been trading near the 20-day EMA ($1,364) since Oct. 4. The bears are defending the level but a positive sign is that the bulls have not given up much ground. This suggests that buyers expect the recovery to extend further.ETH/USDT daily chart. Source: TradingViewIf buyers thrust the price above the 20-day EMA and the horizontal resistance at $1,410, the ETH/USDT pair could rally to the resistance line of the descending channel. This level may attract strong selling by the bears.If the price turns down sharply from the resistance line, it will suggest that the pair may extend its stay inside the channel for a few more days.The bullish momentum may pick up after bulls propel the price above the channel. Alternatively, the selling could intensify if bears sink the price below the $1,220 support.BNB/USDTBNB broke above the moving averages on Oct. 3 but the bulls could not push the price above the next hurdle at $300. This suggests that bears are active at higher levels.BNB/USDT daily chart. Source: TradingViewIf the price sustains below the moving averages, it will suggest that the BNB/USDT pair could remain stuck between $258 and $300 for some more time. The flattening 20-day EMA ($283) and the relative strength index (RSI) near the midpoint hint at a consolidation in the near term.Alternatively, if the price rebounds off the current level, the bulls will again attempt to force the price above the overhead resistance zone between $300 and $308. If they manage to do that, the pair could rally to the stiff overhead resistance at $338.XRP/USDTXRP has been attempting to clear the first overhead hurdle near $0.51 and retest the intraday high of $0.56 made on Sept. 23. This is the critical level to watch on the upside because a break above it could signal the resumption of the uptrend.XRP/USDT daily chart. Source: TradingViewThe upsloping moving averages and the RSI in the positive territory indicate that the path of least resistance is to the upside. If buyers push the price above $0.56, the XRP/USDT pair could further pick up momentum and rally to $0.66. On the contrary, if the price turns down from the current level or the overhead resistance at $0.56, the bears will attempt to pull the pair to the 20-day EMA. A strong rebound off this level could keep the advantage in favor of the buyers but a break below this support could pull the pair to $0.41.ADA/USDT Cardano (ADA) broke below the uptrend line on Sept. 30 and the bears successfully defended the level during the retest from Oct. 4–6. This suggests that bears have flipped the uptrend line into resistance.ADA/USDT daily chart. Source: TradingViewThe bears will attempt to challenge the crucial support at $0.40. If this support breaks down, the selling could pick up momentum and the ADA/USDT pair could start the next leg of the downtrend. The pair could then decline to $0.35.If bulls want to avoid another leg down, they will have to quickly push the price above the moving averages. If that happens, the pair could climb to the downtrend line. Buyers will have to surpass this obstacle to suggest a potential trend change.Related: Why is the crypto market down today?SOL/USDTSolana (SOL) rose above the moving averages on Oct. 4 but the bulls could not build upon this strength. This suggests that bears continue to view rallies as a selling opportunity. SOL/USDT daily chart. Source: TradingViewThe 20-day EMA ($33.17) is flat and the RSI is near the midpoint, suggesting a balance between supply and demand. If the price sustains below the moving averages, the SOL/USDT pair could decline to $31.65. If the price rebounds off the support with strength, it will suggest the range-bound action may continue for a few more days.Buyers will have to push the price above the overhead resistance at $35.50 to clear the path for a possible rally to $39. On the other hand, if the price slips below $31.65, the pair could retest the important support at $30.DOGE/USDTDogecoin (DOGE) soared above the moving averages on Oct. 4 but the bulls could not extend the momentum. The price turned down from $0.07 and has reached the moving averages.DOGE/USDT daily chart. Source: TradingViewIf the price rebounds off the moving averages with strength, it will suggest that the bulls are attempting to form a higher low. The buyers will then try to push the price above $0.07 and seize the advantage in the near term. As there is no major resistance between $0.07 and $0.09, the DOGE/USDT pair may cover this journey quickly.In contrast, if the price breaks below the moving averages, the bears will again try to sink the pair below the support near $0.06. The break below this support may pull the pair to the June low near $0.05.MATIC/USDTPolygon (MATIC) ascended above the moving averages on Oct. 4 and reached the downtrend line on Oct. 5. The bears are trying to stall the recovery at the downtrend line but a minor positive is that the bulls have not ceded ground to the sellers. MATIC/USDT daily chart. Source: TradingViewThe 20-day EMA ($0.80) is gradually sloping up and the RSI is in the positive territory, indicating that bulls have the upper hand. This improves the prospects of a break above the downtrend line. If that happens, the MATIC/USDT pair could rise to $0.94 and thereafter to $1.05. This positive view could invalidate in the near term if the price turns down and breaks below the 20-day EMA. The pair could then decline to the strong support at $0.69. The bears will have to pull the price below this level to gain the upper hand.The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph. Every investment and trading move involves risk. You should conduct your own research when making a decision.Market data is provided by HitBTC exchange.
- Why is the crypto market down today?by Cointelegraph on October 7, 2022 at 4:44 pm
Crypto prices keep crashing, and it seems like there’s no bottom in sight. Here are three reasons why cryptocurrency prices are falling today. Crypto prices are falling on Oct. 7 as Bitcoin (BTC) failed in its attempt to lock in gains above the $20,500 level. For the past 115 days, BTC price has been pinned between $17,600 and $24,500, and the current price action simply shows Bitcoin trading within the lower section of the range. Ether (ETH) and a majority of altcoin prices are also seeing single-digit losses. Generally, the crypto market is tracking the pullback taking place in equities markets, with the S&P 500, Dow and Nasdaq down 2.16%, 1.62% and 3.03%, respectively. Investors know that cryptocurrencies exhibit higher than average volatility, but this year’s drawdown has been extreme. After hitting a stratospheric all-time high at $69,400, Bitcoin price crumbled over the next 11 months to an unexpected yearly low at $17,600. At the moment, investor sentiment remains soft as investors continue to avoid risk and wait to see whether the Federal Reserve’s current monetary policy will alleviate persistently high inflation in the United States. Fresh data on the United States labor market shows that for the seventh consecutive month, the market added more jobs than anticipated, which is opposite to the Fed’s objective of cooling down the economy as a way to put a cap on inflation. The strength of the labor market heightens the chance of the Fed continuing with its 0.75% interest rate hikes, and there are murmurs of a possible 1% hike in the near future. Let’s take a deeper look at three reasons why crypto prices keep falling in 2022. Federal Reserve interest rate hikes Raising interest rates increases the cost of borrowing money for consumers and businesses. This has the knock-on effect of raising business operational costs, the costs of goods and services, production costs, wages, and eventually, the cost of nearly everything. High, unsupressable inflation is the primary reason the United States Federal Reserve is raising interest rates. And since rate hikes began in March 2022, Bitcoin and the broader crypto market have been in a correction.When monetary policy or metrics that measure the strength of the economy shift, risk assets tend to signal, or move, earlier than equities. In 2021, the Fed started signaling its plans to raise interest rates eventually, and data shows Bitcoin price sharply correcting by December 2021. In a way, Bitcoin and Ethereum were the canaries in the coal mine that signaled what lay ahead for equities markets.If inflation begins to taper, the health of the economy improves, or the Fed begins to signal a pivot in its current monetary policy, risk assets like Bitcoin and altcoins could again be the “canaries in the coal mine” by reflecting the return of risk-on sentiment from investors.The persistent threat of regulation The cryptocurrency industry and regulators have a long history of not getting along either due to various misconceptions or mistrust over the actual use case of digital assets. Without a working framework for crypto sector regulation, different countries and states have a plethora of conflicting policies on how cryptocurrencies are classified as assets and precisely what constitutes a legal payment system.The lack of clarity on this matter weighs on growth and innovation within the sector, and many analysts believe that the mainstreaming of cryptocurrencies cannot happen until a more universally agreed upon and understood set of laws is enacted.Risk assets are heavily impacted by investor sentiment, and this trend extends to Bitcoin and altcoins. To date, the threat of unfriendly cryptocurrency regulations or, in the worst case, an outright ban continues to impact crypto prices on a nearly monthly basis.Scams and Ponzis triggered liquidations and repeat blows to investor confidenceScams, Ponzi schemes and sharp market volatility have also played a significant role in crypto prices crashing throughout 2022. Bad news and events that compromise market liquidity tend to cause catastrophic outcomes due to the lack of regulation, the youth of the cryptocurrency industry and the market being relatively small compared with equities markets.The implosion of Terra’s LUNA and Celsius Network as well as misuse of leverage and client funds by Three Arrows Capital (3AC) were each responsible for successive blows to asset prices within the crypto market. Bitcoin is currently the largest asset by market capitalization in the sector, and historically, altcoin prices tend to follow whichever direction BTC price goes.As the Terra and LUNA ecosystem collapsed on itself, Bitcoin price corrected sharply due to multiple liquidations occurring within Terra — and investor sentiment tanked.The same happened with even greater magnitude when Voyager, 3AC and Celsius collapsed, erasing tens of billions in investor and protocol funds.Related: Wen moon? Probably not soon: Why Bitcoin traders should make friends with the trendWhat to expect for the rest of 2022 through 2023The factors impacting falling prices within the crypto market are driven by Federal Reserve policy, meaning the Fed’s power to raise, pause or lower rates will continue to have a direct impact on Bitcoin price, ETH price and altcoin prices.In the meantime, investors’ appetite for risk is likely to remain muted, and potential crypto traders might consider waiting for signs that U.S. inflation has peaked and for the Federal Reserve to begin using language that is indicative of a policy pivot.This article was updated on Oct. 7, 2022.The views and opinions expressed here are solely those of the author and do not necessarily reflect the views of Cointelegraph.com. Every investment and trading move involves risk, you should conduct your own research when making a decision.
- Mt. Gox trustee sets registration deadline of Jan. 10 for repayment selectionby Turner Wright on October 7, 2022 at 3:48 pm
Users of the Mt. Gox exchange may be one step closer to getting their funds back after trustee Nobuaki Kobayashi announced the options for repayment. Creditors from the defunct crypto exchange Mt. Gox have until January 2023 to register and select a repayment method as part of the plan by which they will be compensated them for their losses.According to an Oct. 6 announcement from Mt. Gox trustee Nobuaki Kobayashi, creditors have until Jan. 10 to select a repayment method and to register payee information in an online rehabilitation claim filing system to be paid through bank remittance, fund transfer service provider,a cryptocurrency exchange or custodian. Kobayashi’s update is the latest development in a rehabilitation plan that began with a 2018 petition to compensate Mt. Gox creditors for their lost funds following the exchange’s collapse in 2014.“If you do not complete the necessary Selection and Registration, you will not be able to receive any of the Repayments below, and you will need to bring the required documents to the MTGOX Co., Ltd. head office or other place designated by the Rehabilitation Trustee and receive Repayment in Japanese yen,” said the notice. “If you are unable to receive such Repayment, the Repayment amount will be deposited with the Legal Affairs Bureau.”Crypto exchange Bitstamp announced it will be one of firms supporting the repayment plan: Bitstamp is pleased to announce that we are supporting the rehabilitation process for MtGox creditors.If you’re affected by this, find out more here: https://t.co/18bLcbjpKE$BTC #bitcoin #mtgox— Bitstamp (@Bitstamp) October 6, 2022 Kobayashi said that his office or “third parties relating to the repayment” would confirm the names of those who registered matched those entitled to compensation, in addition to verifying the identity of residents for any address provided. It’s unclear whether the repayment plan included the option for creditors to receive Bitcoin (BTC) or fiat, and how soon following the Jan. 10 deadline the funds will be distributed.Related: Mt. Gox creditors fail to set repayment date, but markets to remain unaffectedMt. Gox users’ losses were estimated to be worth billions of dollars following the collapse of the crypto exchange. Roughly 99% of the creditors affected by the platform going under approved a draft rehabilitation plan in October 2021, with claimants representing roughly 83% of the total amount of voting rights voting yay. Kobayashi announced in November 2021 that the plan was considered “final and binding” following acceptance by a Japanese court. However, the trustee noted in an Oct. 4 update that he had petitioned for certain amendments to provisions of the rehabilitation plan, which would “have no adverse effect on rehabilitation creditors.”