Daily News | MicroStrategy Announces Financial Results Showing Continued Increase in Bitcoin Holdings; 9 Most Worthy Events to Keep An Eye On In November

Crypto Daily Digest: MicroStrategy continues to increase its holdings in Bitcoin, The United States fully regulated artificial intelligence

MicroStrategy announced its financial results for the third quarter of 2023 today. The report shows that MicroStrategy’s total revenue in the third quarter reached $129.5 million, a year-on-year increase of 3%; The software license revenue was $45 million, a year-on-year increase of 16%; Subion service revenue was $21 million, a year-on-year increase of 28%.

The operating loss for the third quarter was $25.2 million, with a net loss of $143.4 million and a diluted loss of $10.09 per share. Since the end of the second quarter, MicroStrategy has purchased an additional 6067 Bitcoins for $167 million, or $27531 per Bitcoin.

According to today’s MicroStrategy financial report, as of October 31, 2023, MicroStrategy holds a total of 158400 Bitcoins, with a total cost of $4.69 billion and an average holding price of $29586. Based on the Bitcoin price of $35488 at the time of publication, MicroStrategy’s Bitcoin holdings have risen to $934 million.

According to The Block, the total amount of token unlocks in November was $450 million, with Aptos, Avalanche, and Hashflow expected to experience significant unlocks, unlocking over $320 million in tokens.

Among them, Aptos will unlock 24.8 million APT tokens on November 12th, accounting for 10% of its circulating supply and worth approximately $172.9 million. The majority of the unlocked funds (approximately $82.7 million) will Flow to core contributors, with $58.6 million flowing to investors, $22.3 million flowing to the community, and $9.3 million flowing to the Aptos Foundation.

According to Rootdate data, there were a total of 75 financing transactions in the crypto field in October 2023, with a total financing amount of approximately $426 million, which is the lowest financing amount in the past four years and a year-on-year decrease of 63%. In October last year, there were a total of 135 financing transactions in the crypto field, with a total financing amount of approximately $1.157 billion.

On October 30th, US President Biden signed a new utive order seeking to reduce the risks posed by artificial intelligence (AI) to consumers, workers, minorities, and national security. This administrative order requires developers of artificial intelligence s that pose a risk to US national security, economy, public health, or safety to share security test results with the US government in accordance with the Defense Production Act before releasing products to the public.

“This is terrifying for innovation in the United States,” said Jeff Amico, former a16z partner and current head of operations at Gensyn Network. He stated that the reporting requirements of the order “are essentially public company reports for startups building large models.” Amico pointed out that when obtaining large amounts of computing power, the order requires disclosure of information, This “views computing - an essentially neutral technology - as a dangerous resource that must be regulated.”

Impacted by this news, tokens related to artificial intelligence have fallen across the board. According to CoinGecko data, GRT fell 2.4% in 24 hours, FET fell 2.2% in 24 hours, AGIX fell 6.1% in 24 hours, and OCEAN fell 2.8% in 24 hours.

Next, let’s take a look at the major events worth noting in November:

1/On November 6th, OpenAI convened its conference;

2/November 9th is the date of the SEC’s briefing on XRP;

3/On November 11th, the third review of 21 Shares/ARK Invest Bitcoin spot ETFs was conducted; Let’s see what the SEC will do then;

4/On November 12th, Aptos (APT) is expected to unlock 24.84 million tokens, equivalent to 10.06% of its circulation and worth approximately $167 million;

5/On November 14th, the US October CPI data was released;

6/On November 17th, Hashdex and Franklin Bitcoin spot ETFs were first reviewed;

7/On November 21st, the Global X Bitcoin spot ETF underwent its second review;

8/On November 24th, Avalanche (AVAX) plans to unlock 9.54 million tokens, accounting for 2.69% of the traffic flow and worth approximately $105 million;

9/On November 30th, Blur may launch its second season of airdrops.

Today’s Main Token Trends

BTC

In the short term, the price continues to hover around the $36,000 mark, and if it breaks this level, the next target is $37,755. As expected, there was a minor price correction yesterday, with an initial rise followed by a dip and then a breakthrough. For short-term strategy, it is crucial to watch the $35,165 level, and if it holds, a bullish trend is likely to continue.

ETH

In the short term, ETH is testing the $1,857 resistance level. A conservative strategy is to wait for a breakout above $1,857 and then target $1,951. On the other hand, if it falls below $1,754, the next support is at $1,726. It’s important to note that short-term trading volume is shrinking, with no significant positive news.

TIA

TIA reached an all-time high of $2.999 since the opening and closed at $2.125, following a Fibonacci structure. In the short term, it may continue to test the $3 level, and a more conservative strategy would be to wait for a breakout above $3 and target $3.35, $3.54, and $4.42.

Macro: The Federal Reserve maintains interest rates unchanged, Powell stated that he has not considered lowering rates at all

At 2:00 am Beijing time, the Federal Reserve announced that interest rates (5.25% -5.50%) would remain unchanged. This meeting is the least informative since the Federal Reserve launched its interest rate hike cycle in March last year.

Let’s quickly understand what Powell said, and there aren’t any significant highlights throughout the article:

1/The Federal Reserve will make decisions in each meeting, but has not yet made a decision on what action to take at the next meeting (as stated in the previous meeting, the door to interest rate hikes has not been completely closed);

2/A government shutdown is a potential source of risk (the market is only focused on the present and cannot understand this statement yet, but be careful of the risk of a US government shutdown in November);

3/The Federal Reserve is concerned about how long policies must remain restrictive (Powell did not provide an answer for how long high interest rates must be maintained);

4/Given the measures taken so far, the Federal Reserve will continue to act cautiously (the expectation of the four words’ acting cautiously ‘actually implies that the possibility of not raising interest rates in the future is greater than raising them);

5/I have not considered or discussed interest rate cuts (many people will fall for betting early on interest rate cuts in the future);

6/If the financial situation continues to tighten, it may affect the actions of the Federal Reserve, but it remains to be seen whether the situation will be the same (there is no positive response to the view of rising US bond yields);

Therefore, the Federal Reserve’s FOMC statement reiterated that it will assess the extent of further tightening policies. Economic activity expanded at a “strong pace” in the third quarter. Inflation remains high, and the Policy Making Committee is firmly committed to restoring the inflation rate to the target of 2%. If there are risks that may affect the achievement of goals, be prepared to adjust the policy stance “appropriately.”

Federal Reserve Chairman Powell stated that he remains focused on a dual mission and is firmly committed to the goal of restoring inflation to 2%. Without price stability, the economy cannot function. The full impact of the tightening policy has not yet been felt, and considering the progress made, the Monetary Policy Committee will proceed cautiously. Whether further interest rate hikes should be made, we are concerned about whether the policy is sufficiently restrictive.