Bitcoin goes up and then down. BlackRock Bitcoin ETF accepted

At the end of last week, bitcoin surged above $31 on eToro, but was unable to hold that high for more than a day as the market continues to be rather cautious. For less than a month, the cryptocurrency has been trading at around $000, most likely because the market is hungry for more positive news to react to.

The cryptocurrency rose along with the rest of the market late last week after a win XRP in court, which caused a surge in many altcoinswith increases of up to 60%. However, in the case of bitcoin, the enthusiasm was short-lived. Bitcoin is trading just below $30 this morning.

Ethereum saw a similar gain towards the end of the week, rising briefly over $2000, then retreated to around $1900, where it is still this morning.

BlackRock Bitcoin ETF App Approved

The BlackRock Bitcoin ETF app, which has caused quite a stir in the markets in recent weeks, has been officially accepted on the U.S. regulator's list for review. While still far from official approval, it is a big step for this instrument because BlackRock has already had to renew a request previously rejected by the SEC for lack of details on surveillance sharing. ETFs and other similar offerings have made a big splash in the cryptocurrency markets recently as investors cheered for major institutional changes for bitcoin. Much of the news will now be priced in, but official ETF approval could still have a significant impact on sentiment.

Bitcoin miners face 'stress test' of halving rewards

JPMorgan claims that the next halving, i.e. halving the rewards for bitcoin miners, will prove to be a serious "stress test" for users. Computer power required to produce tokens will effectively double, leaving miners with less profit in exchange for their labor.

According to the analysts of the investment bank, diggers will have to observe the decrease in energy costs with their own eyes and significant increase in the price of bitcointo make the process economically viable again. The next halving is currently scheduled for April or May 2024, and with the impending shift, the market may start to shift depending on the climate.

Theoretically, halving makes bitcoins scarcer because the amount of new coins entering circulation is decreasingwhich generally supports the price. However, if miners find the cryptocurrency economy difficult to even out, it can lead to network congestion or other issues as validators stop working.

Aave launches algorithmic dollar stablecoin

Protocol DeFi Aave launched its own US dollar stablecoin called GHO. Stablecoin was launched using the Ethereum network, with just over $2 million in stablecoins already minted.

Aave tries to explain that while the stablecoin is algorithmic, it is fully asset-backedincluding ethereum. The assets that support GHO are verifiable and transparently confirmed by on-chain data.

Stablecoins were among the first crypto assets to face problems related to market volatility last year. However, they still play a key role for cryptocurrencies, serving as a point of exchange between chains, fiat currencies and traditional assets. Investors looking to use specific stablecoins should always research their structure and profitability, but having a strong set of options to choose from in the market is not a bad thing.