STOCKS TELEGRAPH

Tag: Bitcoin

  • Bit Brother Ltd. (BTB) Stock Plummets Following Pricing of Registered Direct Offering

    Bit Brother Ltd. (BTB) Stock Plummets Following Pricing of Registered Direct Offering

    Bit Brother Ltd. (BTB) stock prices plummeted by 47% shortly after market trading commenced on July 16th, 2021, bringing the price per share down to USD$1.06 early on in the trading day.

    Registered Direct Offering

    July 16th, 2021 saw the company announce having entered into a securities purchase agreement with various accredited investors. The agreement will see the company sell USD$22.5 million in ordinary shares and warrants in a registered direct offering. The offering will consist of the sale of 15 million ordinary shares and warrants that will facilitate the purchase of an additional 15 million shares.

    Offered Warrants

    The warrants will be exercisable immediately, with an expire date of five years from the date of issuance. A single unit consisting of one ordinary share and one corresponding warrant has been priced at USD$1.50, with the offering expected to generate USD$22.5 million before the deduction of expenses related to the offering.

    Acquiring Angelo’s Pizza

    July 13th, 2021 saw the company announce having entered into a non-binding letter of intent which will see it acquire a majority 51% stake in Angelo’s Pizza. The family-style boutique restaurant has been in business for 30 years, with a combined history of 120 years as it pivoted to a chain restaurant. Over this time, the company has garnered a strong brand name for itself, consolidated by excellent customer reviews. Following the completion of the acquisition, the chain restaurants will begin accepting cryptocurrency as a form of payment.

    Global Expansion

    Angelo’s Pizza intends to expand its market footprint across burgeoning international markets, such as Canada, Japan, South Korea, China, Singapore, Australia, and New Zealand. The overseas branches will allocate resources towards the provision of takeout and delivery services, given the limited dine-in capacity driven by the ongoing global coronavirus pandemic. The company expects to open up to 1000 branches around the world over the next five years. All of the branches, barring those in China, will be accepting Bitcoin in a big to tie its wagon to the cryptocurrency horse that is steadily increasing in momentum.

    Future Outlook for BTB

    Armed with the influx of capital from its registered direct offering and the acquisition of such an established restaurant chain, BTB is poised to capitalize on the opportunities afforded to it. The company is keen to push for the continued market proliferation of its chains, while investors are hopeful for significant and sustained increases in shareholder value over the long term.

  • Diginex Ltd. (EQOS) Stock Trends Lower Despite Recent Announcement of Collaboration with Intelligence Squared to Launch Series of Crypto Debates

    Diginex Ltd. (EQOS) Stock Trends Lower Despite Recent Announcement of Collaboration with Intelligence Squared to Launch Series of Crypto Debates

    Diginex Ltd. (EQOS) stock prices were down by 4.11% as of the market closing on July 7th 2021, bringing the price per share down to USD$5.83. Subsequent premarket fluctuations saw the stock fall 2.06%, down to USD$5.71.

    Collaboration with Intelligence Squared

    July 8th 2021 saw the company announce its collaboration with Intelligence Squared to launch a special series of debates titled “Intelligence Squared Crypto: Debates Within Cryptocurrency”.  The series will seek to urgently address critical issues in the world of cryptocurrency. Several of the world’s best speakers will debate the issues and opportunities related the crypto industry. The series will begin with a debate on the merits of Bitcoin vs gold, the scarcity and anti-inflationary properties of which make them resilient stores of value.

    About the Debates

    The series aims to make the up and coming cryptocurrency sector more accessible to a wider audience, with a focus on Bitcoin, with the biggest names in crypto sharing their views on some of the most important issues. Audience members will have the facility to ask question and can vote on the motion set for the proceedings of each event. The environmental impact of crypto will also be debated, as will Bitcoin’s potential threat to the U.S dollar as a global reserve currency.

    Launch of IS

    The launch of Intelligence Squared Crypto was funded by EQOS by bitcoin, which is being held on the company’s balance sheet, having been stored securely by the company’s FCA registered digital asset custodian, Digivault. The events will be free to attend, with the audio from each event becoming episodes on Intelligence Squared’s podcast network.

    Scope of Collaboration

    Intelligence Squared is a globally leading platform for high-level debate and discussion, with a network of podcasts and a YouTube subscriber count of more than 430,000 users. The platform also has a digital subscription service for live events, called, Intelligence Squared+, which the company will use to facilitate in-person events in London in autumn. The raising of awareness will help bring crypto into the mainstream limelight with healthy debates about all aspects of its utility, sustainability credentials, and challenges. The partnership is expected to be a critical step in the increased adoption of the burgeoning industry.

    Future Outlook for EQOS

    Armed with its collaboration to increase the scope of cryptocurrency, EQOS is poised to capitalize on the opportunities afforded from the expansion of the crypto sphere. Investors are hopeful that management will continue to leverage the resources at their disposal to both facilitate the raising of awareness, as well as the networking of the company with the biggest names in the industry.

  • Bitcoin (BTC) – Will it rise up?

    Bitcoin (BTC) – Will it rise up?

    Bitcoin (BTC) – the king of the market – has been suffering immensely. The market crash brought Bitcoin from highs of $60,000 to $30,000. The market is undivided where one side believes in the potential of Bitcoin as a safe haven asset while the other side disregards the king and expects a dethroning soon. At the time of writing, Bitcoin stands at a price level of $34,279. The price has fallen by $500 in the past twenty-four hours while the trading volume has declined by nearly 7%.

    Bitcoin (BTC) Technical Analysis

    The market outlook for the king of cryptocurrencies continues to be bearish. Out of the total twenty-six technical indicators, fourteen are giving out a signal of the sell while nine stand at a neutral position with only three indications of buy. The oscillators are neutral while the moving averages are strongly bearish.

    Bitcoin (BTC) Technical Analysis
    Bitcoin (BTC) Technical Analysis

    An analyst has identified phases of the Wyckoff accumulation in the price action of Bitcoin. Bitcoin is currently identified to be operating in phase D of the accumulation. The current phase entails the price of the cryptocurrency holding above the support levels. Traders still identify the market to be bearish but various signs-of-strength and last-points-of-supply can be seen at this stage.

    The decreasing supply and gradually increasing supply in phase D leads to the final phase where traders and investors once again realize the bullish potential of Bitcoin. The cryptocurrency is expected to break various resistance levels in the final phase and it is also marked by increased volatility and volume.

    Will Bitcoin get back up?

    The indecisiveness with strong resistance levels may indicate Bitcoin to continue with bearish momentum. However, despite the disappointment Bitcoin continues to dominate the market with 45% dominance. It is still regarded as the premier cryptocurrency. The next halving of Bitcoin can definitely be expected to help restore Bitcoin’s position.

  • SOS Stock Dips Following Announcement of Joint Venture with Niagara Development

    SOS Stock Dips Following Announcement of Joint Venture with Niagara Development

    SOS Limited (SOS) stock prices were down by 7.30% shortly after market trading commenced on June 21st, 2021, bringing the price per share up to USD$3.36 early on in the trading day.

    Joint Venture with Niagara Development

    June 21st, 2021 saw the company announce that it had entered into a joint venture agreement with Niagara Development LLC that will be based in Niagara, Wisconsin. The joint venture FD LLC is expected to conduct crypto-currency mining operations and facilitate the construction of an international standardized Digital Super Computing Custody Operation Center.

    Specifics of the Agreement

    As per the agreement, Niagara Development will be tasked with the responsibility for the provision of 150MW of electricity and the construction of the Operation Center. The electricity to be generated will include energy generated from renewable sources. Management, operation, and financing of the joint venture is to be carried out by SOS, which is committed to its block-chain strategy and strives to become a leader of sustainability.

    Entry into American Market

    In light of the increasingly pessimistic outlook of the laws and regulations pertaining to blockchain operations in China, the company has initiated a transition of its bitcoin mining operation to the US. Most of the company’s Chinese operations are fully operational and remain unaffected as of yet. This primarily includes SOS’s insurance business, call centers, and Ethereum mining business. As the company continues to increase its development of blockchain solutions for a myriad of industries, SOS made the decision to acquire a sustainable power supply. This move comes in preparation for the expansion of the company’s blockchain operations into North America, which it has high hopes for in light of the joint venture.

    Prolific Track Record

    To date, SOS has registered a total of almost 100 software copyrights, as well as 3 patents. The company has been granted a national high-tech enterprise certification as recognition of its caliber. SOS has also been awarded the title of Big Data Star Enterprise by the Gui’an New District Government, a further indication of the company’s ability to stay at the forefront of digital technology innovation.

    Future Outlook for SOS

    Armed with its recent expansive acquisition and a bright outlook for its transition into the North American market, SOS is poised to capitalize on upcoming opportunities afforded to it. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • Bit Digital, Inc. (BTBT) Stock Prices Surge Following Announcement of Strategic Partnership with Digihost Amid Meme Stock Craze

    Bit Digital, Inc. (BTBT) stock prices skyrocketed by a massive 26.16% shortly after market trading commenced on June 14th 2021, bringing the price up to USD$9.77 early on in the trading day.

    Meme Stock Phenomenon

    With the recent proliferation of the meme stock craze taking over stock markets, akin to the GME and AMC episodes from earlier in the year, BTBT seems to be the latest target of the meme stock phenomenon. In the absence of any significant news or developments, the recent surge in PROG stock prices is likely to be attributable to the coordinated pump by investors who are users of the popular social media platform, Reddit.

    Agreement with Digihost

    The company recently announced entering into a strategic co-mining agreement with Digihost Technology Inc (DGHI). As per the agreement, DGHI will provide certain premises to BTBT to facilitate the operation and storage of a 20 MW Bitcoin mining system that will be delivered by BTBT. DGHI will also facilitate the provision of services to maintain the premises for a term of two years. The collaborative efforts of both companies are forecasted to result in an increased generation of hashrate in the amount of almost 400 PH between the two.

    Terms of Agreement

    As per the agreement, DGHI will be responsible or the provision of power for the operation of the Miners, as well as for management services that will be essential in maintaining the planned 95% uptime on the Miners. In return, DGHI will be paid a very competitive rate for power. The two companies will also participate in a profit sharing arrangement based on a fixed distribution formula. The delivery and installation of the Miners is expected for the fourth quarter of the fiscal year 2021.

    Scope of Agreement

    The company expects an increase in hashrate of 400 PH between them, based on current Bitcoin metrics, which will signal a massive collaborative success on the part of the joint venture. BTBT continues to expand its business strategy through the expansion of the company’s mining infrastructure, vertical integration of low-cost and green sources of energy, strategic partnerships within the blockchain sector, and geographic diversification across North America. These steps serve to strategically operating the business in regions where the carbon footprint being generated is minimal or non-existent.

    Future Outlook for BTBT

    Armed with a potentially lucrative strategic partnership, as well as the fortuitous surge in the value of their equity, BTBT is poised to capitalize on the opportunities presented to it. The company is keen to continue its trajectory of success and usher in more organic growth over the long-term. Current and potential investors are hopeful that the management will leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • Riot Blockchain, Inc. (RIOT) Stock Undergoes Minor Volatility Following May 2021 Production and Operations Updates

    Riot Blockchain, Inc. (RIOT) Stock Undergoes Minor Volatility Following May 2021 Production and Operations Updates

    Riot Blockchain, Inc. (RIOT) stock prices were down by a marginal 1.93% as of the market closing on June 11th, 2021, bringing the price per share down to USD$31.03. Subsequent pre-market fluctuations have seen the stock rise by 6.99%, bringing it up to USD$33.20.

    May 2021 BTC Production Report

    RIOT reported having produced a total of 227 BTC in May 2021, representing a 220% increase over the 71 BTC reported having been produced in May of the prior fiscal year. Year-to-date production numbers through to May of 2021 were reported at 924 BTC, up almost 101% over the company’s pre-halving BTC production during the same period over the course of fiscal 2020, which reported 460 BTC being produced. As of May 31st, 2021, the company reported having a total of almost 2,000 BTC, the entirety of which was produced by the company’s own mining operations.

    Acquisition of Whinstone

    May 26th, 2021 saw the company announce the completion of its acquisition of Whinstone U.S., including their Rockdale facility, which is the largest Bitcoin mining facility in North America. The facility comes in at 300 MW in developed capacity. RIOT announced its intent to facilitate the immediate development of additional capacity at the Whinstone facility, in order to raise the cap to 750 MW. An industry-leading development team of more than 10 employees will spearhead the expansion.

    Bitmain Purchase Order

    May 2021 saw the shipment of 1000 S19 Pro Antminers (110 TH) as part of a purchase order with Bitmain in December 2020. The installation of the miners is expected to be completed in Q2 2021, with RIOT reporting a total of 23,946 Antminer’s in operation. This array of miners uses roughly 76 megawatts of energy, with an estimated hash rate capacity of 2.4 exahash per second.

    Agreement with Mogo Inc

    The company recently announced the completion of purchase transactions with Mogo Inc, which saw Mogo acquire a cumulative entirety of the 3.4 million common shares of CoinSquare Ltd stock held by RIOT. In return, RIOT was granted a total consideration of 3.2 million shares of Mogo’s common stock, in addition to roughly USD$1.8 million in cash. As of this agreement, RIOT no longer owns any equity investment in Coinsquare.

    Future Outlook for RIOT

    Armed with the stellar reports and developments over the month of May 2021, RIOT is poised to continue its trajectory of success over the upcoming few months. Current and potential investors are hopeful that management will continue to leverage the resources at their disposal to facilitate significant and sustained increases in shareholder value.

  • The debut of Bitcoin Mining Council

    The debut of Bitcoin Mining Council

    Bitcoin is notoriously known for its high energy consumption. In fact, it was the high energy consumption of Bitcoin that led to the brutal market crash and end of the 2021 bull-run. Elon Musk, the advocate of cryptocurrencies, denounced the use of Bitcoin as a mode of payment for his Tesla cars which resulted in market-wide panic selling and, the crash.

    The mining of BTC is an energy-intensive power and as the demand and adoption increase, the mining does too. The electricity demand of BTC crypto is near 143 terawatt-hours – which is higher than the energy consumption of countries like Argentina. Bitcoin mining poses a huge challenge to countries trying to offset their carbon emission – like China. China has launched a crackdown on BTC mining as the country tries to achieve net zero carbon emissions. A shift towards renewable energy sources has recently been observed as non-renewable energy sources are not sustainable economically.

    As Bitcoin is believed to not got anywhere, BTC supporters are renewing their efforts to completely shift mining to renewable sources. Elon Musk had recently introduced a group of North American BTC mining companies that are focusing on the shift towards renewable resources. The mining companies have taken an official position as the BTC Mining Council.

    MicroStrategy CEO Michael Saylor initiated the council officially while describing the group as: “A voluntary and open forum of Bitcoin forum committed to the network and its principles”. However, the council would not have any power to impose standards or regulations on anyone. And while Elon Musk first introduced the Council, it appears as though the billionaire CEO does not have a place on the council – at least, not officially.

    Will the Bitcoin Mining Council bring about a positive change in the BTC mining industry or will it be just an organization with no real impact? We have yet to find out.

  • El Salvador to become the new favorite of BTC coin owners

    El Salvador to become the new favorite of BTC coin owners

    El Salvador becomes the first country in the world to recognize Bitcoin as legal tender. Bitcoin (BTC) now enjoys a powerful position in the country.

    Where on one hand China is going full force with its Bitcoin (BTC) mining crackdown, other countries are realizing the profit potential in the mining industry. Cryptocurrencies are gaining increasing importance in Latin America. The president of El Salvador NayibBukelehad recently proposed a bill to make Bitcoin legal tender in the country. As the president controls a majority in the Legislative Assembly, the bill had been passed.

    Bukele’s Bitcoin bill makes BTC legal tender in the country. Furthermore, the bill also mandates that retailers and businesses accept Bitcoin as a mode of payment unless it is not feasible due to lack of internet access. Bitcoin is also exempted from capital gains tax.

    The bill has given Bitcoin immense power in the country – close to being a currency in El Salvador. With mandatory acceptance and adoption of Bitcoin in the country, prices can also be expressed in terms of Bitcoin.

    NayibBukele is not done yet with the cryptocurrency. Right after the announcement of the passage of the bill, the president moved towards facilitating Bitcoin mining in the country. The president is in talks with the head of the state-owned electricity company – LaGeo – to move towards Bitcoin mining. Bukele is planning to harness the energy from volcanoes to power the BTC mining industry in El Salvador. The geothermal electricity would mean BTC mining would be 100% clean.

    El Salvador has around 20 volcanoes but the country’s electricity needs are not being met by domestic firms. El Salvador imports 25% of its electricity with the lack – or high cost – of electricity being a huge hindrance for industries. Will El Salvador be able to meet the energy requirements for Bitcoin mining? And what would that mean for local businesses? Although the president’s plan seems ambitious, implementation may reveal more loopholes.

  • Chinese provinces banning crypto mining with full force

    Chinese provinces banning crypto mining with full force

    The Chinese government is not a fan of cryptocurrencies – to say the least. The country is responsible for at least 75% of Bitcoin mining or hashrate. The cheap electricity and established supply chains make mining is the country feasible. However, the government has had a strict stance against cryptocurrencies.

    Bitcoin is notoriously known for its high energy consumption. Mining a proof-of-work mechanism cryptocurrency – like Bitcoin – requires high energy. Unless the mining process shifts towards totally renewable sources, it cannot be sustained. China relies heavily on coal for electricity generation and the country has been trying to control its carbon emissions. The process had been hindered by the large Bitcoin mining industry that the country holds.

    In May, the Chinese State Council hinted towards a crackdown on Bitcoin mining in the country in order to facilitate its broader vision of zero net emissions. The vice premier Liu He vocalized that for financial stability in the country, the government will impose a ban on cryptocurrency mining. The news coupled with Elon Musk’s denouncing of Bitcoin as payment for his Tesla cars led to the market crash of cryptocurrency. A number of mining firms halted operations in the country while others stopped their supply of equipment to Chinese miners.

    Now, another province in China – Qinghai – has also imposed a ban on cryptocurrency mining. Qinghai’s Department of Industry and Information Technology has instructed all miners to halt operations and had said that no new miners will be approved. The provincial government will also be conducting random checks in order to ensure compliance with the new regulation.

    The governments of Xinjiang and Inner Mongolia have also ensured similar regulations to curtail cryptocurrency mining. Other provinces can be expected to follow suit – banning cryptocurrency mining. The news does not bode for the cryptocurrency market and a shift of crypto mining to another country seems imminent.

  • What does 5 Bitcoin options expiry mean for the cryptocurrency?

    What does $575 Bitcoin options expiry mean for the cryptocurrency?

    Bitcoin (BTC) once saw its golden days at $60,000 but now the king of the market is struggling with resistance at $40,000. At the time of press, Bitcoin stands at a price level of $38,327. The market crash led to Bitcoin dropping to $32,000 and fear is still widespread in the market even though recovery has started.

    The Bitcoin network saw record low activity. The active supply for Bitcoin has declined by 45% hinting investors are still holding on to their BTC. While miners are also showing unwillingness to sale their Bitcoin at the current prices. The king of the market is overall expected to once again reach towards its high of $60k eventually surpassing it but in the short-term window, a fall towards $32k is an immediate fear of investors and traders alike.

    On June 4th, 15,530 Bitcoin (BTC) options are set to expire. The options have an aggregate open interest of $575 million. The brutal market crash of Bitcoin had led to a major chunk of buy calls to go underwater.

    The Bitcoin market is highly uncertain right now with volatility increasing. This makes the future outlook uncertain too. Although fear seems to dominate the market. The call-to-put ratio of the options stand at 0.84 which means there is 0.84 buy for every 1 sell. The bulls are frightened in the uncertain market but it may be noted that fear presents good buying opportunities. The ratio, while indicates dominance of put options, does not necessarily confirm a bearish scenario when the options expire.

    A bearish outcome on Friday as the $575 million Bitcoin options expire may not bode well for the cryptocurrency. Bitcoin is already struggling with bullish momentum. The cryptocurrency could only increase by 1% in the weekly timeframe. The Bollinger bands have expanded indicating and ever-increasing volatility in the market.