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⚡Empower Your Bitcoin☝️

Croxroad

18 Apr 2024 — 3 min read

☕️ GM Dear Plebs!

Here is Crox Road, your daily dose of orange pill that will turn you into a Bitcoin Maxi.

The menu for today:

⛓️ Next-Level Staking

Core Chain, a Bitcoin-powered layer-one blockchain, is revolutionising the landscape by allowing investors to stake their BTC—a capability previously exclusive to proof-of-stake blockchains. Traditionally, staking tokens have rewarded users with percentage yields over time, a feature absent in Bitcoin's proof-of-work system. However, Core Chain's innovative consensus mechanism, Satoshi Plus, merges Delegated Proof of Work (DPoW) and Delegated Proof of Stake (DPoS), enabling BTC holders to earn yields without the need for token wrapping or relinquishing custody. This pioneering non-custodial BTC staking marks a significant advancement for both Bitcoin and Core Chain, enhancing the latter's Ethereum Virtual Machine-compatible blockchain.

🧑‍💻 Decoding Bitcoin's Fate

Bitcoin (BTC) experienced a downturn in demand growth amidst a surge in ETF inflows during April, as highlighted by Julio Moreno, head of research at CryptoQuant, who shared a chart illustrating the decline in demand on X (formerly Twitter). Concurrently, geopolitical tensions escalated over the weekend in the Middle East. Starting from an early Monday high of $66.8k, BTC witnessed a 6% decline within a day, trading at $62.7k at the time of writing. With the highly anticipated halving event merely three days away, observers speculate whether market participants are biding their time until the dust settles before re-entering the market.

Throughout April, Bitcoin's strength gradually weakened, evidenced by a steady decline in trading volume from the final week of March and a subsequent drop in Open Interest after April 1st, based on data from Coinglass. The Tether (USDT) Dominance chart indicated a rising trend in April, suggesting that crypto market participants increasingly converted their assets to USDT, possibly due to perceived market risks prompting a shift to holding stablecoins. This influx of USDT contributed to a rise in selling pressure, compounded by uncertainty surrounding potential BTC sell-offs by miners.

Analysing the USDT Dominance chart, it reveals a pattern reminiscent of the 2020 halving period. From May 4th to July 20th, USDT.D exhibited a consistent rise, followed by a period of sideways movement, potentially indicating a similar scenario where crypto prices could remain range bound for the next month or two. However, there's also a case for dominance to increase, evidenced by observations on the ETH/BTC chart by Benjamin Cowen of Into The Cryptoverse. The recent loss of a high timeframe support level by ETH/BTC, last seen in July 2019, could signal a period of altcoin capitulation akin to what was witnessed during that time frame, suggesting potential market shifts that investors should monitor closely in the coming months.

🆕 A-Z Bitcoin Terms

From mainstream media to the most niche corners of the internet, crypto and its associated terminology have permeated every aspect of our lives. Whether you're a seasoned investor or a curious beginner, understanding the language of cryptocurrencies can be daunting.

Introducing "A-Z Bitcoin Terms" by Croxroad newsletter. In this series, we aim to demystify the language of cryptocurrencies, making this complex subject more accessible to all.

Cryptocurrency isn't just about buying and selling digital assets; it's a whole new financial ecosystem with its own lexicon. Terms like "blockchain," "wallet," "mining," and "decentralisation" are commonplace, yet understanding their nuances is essential for navigating the crypto landscape.

Whether you're a newcomer or an experienced investor, our series will cover a range of Bitcoin-related terms and concepts. We'll break down complex ideas into simple explanations, providing clarity and insight every step of the way.

Our goal is to empower you with the knowledge needed to confidently engage with Bitcoin. Stay tuned for our first instalment, where we'll unravel the fundamentals of blockchain technology and its transformative potential.