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Crypto Update: Reddit’s Crypto Stash and Bitcoin Surpasses $53,000

Key Takeaways

  • Bitcoin reclaimed $53,000 after more than two years
  • Reddit revealed it owns bitcoin and ether in regulatory filings ahead of its initial public offering
  • Former U.S. President Donald Trump seemingly softened his stance on cryptocurrencies
  • The Federal Reserve released an analysis of the U.S. dollar-denominated stablecoin market
  • The U.S. Department of Energy has temporarily suspended an energy consumption survey of bitcoin miners after a lawsuit

Bitcoin’s Performance

Bitcoin (BTC) started the week on a strong note, rising 3% Monday afternoon to top $53,000, its highest level since December 2021. Reddit’s disclosure of its cryptocurrency holdings, and former President Donald Trump’s seemingly softer stance on bitcoin last week may have added to the price momentum for the largest cryptocurrency.

Reddit’s Cryptocurrency Holdings

As it gears up for an initial public offering (IPO), social media platform Reddit unveiled its ownership of bitcoin and ether (ETH) in a filing with the U.S. Securities and Exchange Commission last week. Reddit also holds some of Polygon’s Matic (MATIC) for specific virtual goods transactions, with the net value of these digital assets considered “immaterial.”

Trump’s Stance on Cryptocurrency

Former President Donald Trump seemingly softened his stance toward cryptocurrency last week, acknowledging the popularity of bitcoin while still expressing a preference for the U.S. dollar.

USDC Transition from Tron

Stablecoin issuer Circle will no longer support its USD Coin (USDC) stablecoin on the Tron blockchain network, citing a commitment to maintaining trustworthiness, transparency, and security.

Federal Reserve’s Report on Stablecoins

The Federal Reserve released a report on stablecoins, highlighting the distinct characteristics of USDC and Tether (USDT) markets, emphasizing the need for further study of stablecoins in decentralized finance (DeFi).

Bitcoin Miners’ Energy Survey Pause

The U.S. Department of Energy (DOE) has temporarily suspended its energy consumption survey of cryptocurrency miners following a lawsuit, aiming to protect sensitive business information.

Market Outlook for the Week

While bitcoin continued its upward trend, there have been concerning developments such as BitForex’s reported $57 million outflow and issues with exchange withdrawals. Analysts are monitoring spot bitcoin ETF inflows to gauge market activity and price movements.

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