💥 BNB is pushing for a massive breakout

Crypto Rand

7 min readJun 3, 2024

Let’s Dive Into It!

Happy Monday dear subscribers! In today’s Newsletter, BNB is pushing for a massive breakout!

In today’s bulletin, we are covering:

Surfing the Market, with analysis about BNB and FTM
Don’t miss the News about ETH leaking out of exchanges, and the Nigerian Bitcoin Run
Ethena is under the spotlight.
A short article asking if all this really Is always about money?
Our selection of the best Gems on X

Our beloved BNB ascending triangle is pushing once again…textbook setup. Looking for the breakout once again:

FTM defending the main horizontal support and pushing for the breakout. I like the setup:

Ether Supply Squeeze Looms as Over $3 Billion Withdrawn from Exchanges Post-ETF Approval

Over $3 billion worth of Ether has been withdrawn from centralized crypto exchanges since the May 23 approval of spot Ether exchange-traded funds (ETFs) in the United States. This substantial outflow signals a potential upcoming supply squeeze, with 797,000 Ether removed from exchanges between May 23 and June 2.

$3 billion worth of Ether removed from exchanges since May 23.
797,000 Ether withdrawn between May 23 and June 2.
Lower exchange reserves imply fewer coins available for sale, indicating potential supply squeeze.
Percentage of Ether on exchanges at its lowest level in years at 10.6%.
Ether ETFs could launch by late June, potentially increasing demand and driving prices higher.
Ether may surpass its November 2021 all-time high of $4,870 due to ETF-driven demand.
Ethereum validators face less structural sell pressure compared to Bitcoin miners.
Concerns about Grayscale’s Ethereum Trust (ETHE) influencing Ether’s price, similar to the Grayscale Bitcoin Trust (GBTC) outflows.

The percentage of Ether on exchanges is at its lowest level in years, at just 10.6% of the circulating supply. Analysts predict that the introduction of Ether ETFs could drive Ether prices to new all-time highs due to increased demand and reduced selling pressure compared to Bitcoin.

Bitcoin Enthusiasm Surges in Nigeria Despite Government Crackdown

Despite President Tinubu’s administration’s crackdown on peer-to-peer (P2P) cryptocurrency trading, young Nigerians remain enthusiastic about Bitcoin. Nigeria leads the world in Bitcoin interest, according to Google Trends, particularly in regions with low bank penetration and high insecurity.

Nigeria has the highest interest in Bitcoin, followed by El Salvador.
Delta state leads in Bitcoin interest, with Lagos not in the top 15.
Bitcoin adoption is higher in areas with insecurity and low bank penetration.
Nigerians are turning to stablecoins like Tether to hedge against inflation.
Government actions include preparing to ban P2P exchanges and accusing Binance of currency manipulation.
SEC banned Binance’s operations in Nigeria, arresting top executives for money laundering and tax evasion.
Central Bank of Nigeria’s guidelines for banks opening cryptocurrency accounts prohibit trading or holding virtual assets.

Stablecoins, especially Tether, are increasingly popular as a hedge against inflation. The government has taken stringent measures, including preparing to ban P2P exchanges and cracking down on Binance, to address economic issues.

Ethena

Today under the spotlight Ethena; a synthetic dollar protocol built on Ethereum.

The Ethena stablecoin platform consists of two main components; the USDe stablecoin and the Internet Bond product.

The USDe is stabilised by doing neutral delta-hedging using Ethereum and Bitcoin as collateral. “Delta” refers to the sensitivity of the derivatives contract to a change in the price of the underlying asset. A portfolio can be considered to be “delta-neutral” if it has a delta of 0. This means the portfolio is not exposed to the price change in the underlying value of the asset.

The ‘Internet Bond’ combines yield derived from staked assets, like staked Ethereum, to the extent used as backing assets, as well as the funding & basis spread from perpetual and futures markets.

USDe stablecoin has recently reached a supply of $3 billion tokens in just four months following its public launch in February. In terms of overall stablecoin supply, USDe is in fourth place with a 3.3% share of the overall stablecoin market, far less than market leader Tether’s dominant 57% position.

The $ENA token is the governance token for Ethena, with a current market cap of $1.45 Billions with 10% of supply in circulation. The total supply is 15 bullion tokens and it’s expected to have all of them in circulation by 2028.

There are a lot of relevant names backing this project and secured $14 M in the last funding round back in February 2924.

See you next week!

Is this always about money?

One of the oldest adages in the markets is: this is about money, implying that the only thing that matters is winning. The idea of this article is to demystify this to avoid falling into the traps of clichés.

There is no doubt that when we initiate a trade, we intend to close it with gains; that is the spirit of taking a risk to get a return.

But the market is much more complex than buying low and selling high, and simplifying this activity to just making money will lead us to think in the short term and, therefore, not achieve consistent results over time.

If we only think about the outcome, we will be forgetting the most important part, which is the process and how we build what leads us to achieve the final result, in this case, making money.

Many times the market plays its deceptive cards and puts us in a position of having had a good analysis but bad timing or execution, where we end up losing money but being right in the end. Does this help?

It helps if we know how to capitalize on mistakes and reinforce the successes.

That is to say, if our vision was correct, for example, that BTC would go up from 60K to 70K, but first it had a quick drop to 56K, probably our SL it would have taken us out of the trade and lose money, although in a few weeks our forecast comes true.

In this case, we should focus on the mistake of the SL in that area or of having rushed into the trade and on the other hand, on the success of having identified the direction of the main swing.

And believe me, it is often more valuable for our future as traders to have such a trade than a bad trade that makes us money. What would be a bad trade? Starting a position with the odds heavily against us that eventually turns in our favor, making us believe this can happen again, and nothing could be further from the truth.

Why? Gains confuse us and make us lose focus on analyzing what we did right and wrong.

So it’s not always about the money; there are stages where making money is the worst thing that can happen to us, like when we are just starting our journey, leading us to believe that this is easy and we could have made three times as much if we invested three times as much… the formula for disaster!

Focusing on the process and building our style and method should be our goal, the purpose of our work. The results (making money) will come as a consequence of doing the first part well, not the other way around.

There are even many traders who enjoy the process more than the result itself, myself included, and this is also seen in other activities such as sports or music.

Therefore, yes, this is about money but not always.