According to the results acquired by Arkham Intelligence, Coinbase is in possession of an astounding amount of Bitcoin, amounting to a staggering $52 billion worth of the cryptocurrency. Consequently, Coinbase is now the most prominent holder of Bitcoin, holding more than 4.3% of the entire cryptocurrency supply.
“Coinbase possesses a staggering $52 billion worth of Bitcoin.” A tweet sent out by Arkham Intelligence indicates that they possess a substantial amount of Bitcoin, which accounts for more than 4.3% of the supply.
Coinbase possesses a staggering $52 billion worth of Bitcoin in its holdings.
They possess the most significant amount of BTC, accounting for more than 4.3% of the total supply.
What portion of that will be allocated to DeFi?
— Arkham
In light of the recent developments concerning “cbBTC,” Arkham Intelligence poses an intriguing question concerning Coinbase’s substantial Bitcoin holdings: “What proportion of these reserves will be allocated to decentralized finance (DeFi)?”
Coinbase published a tweet not too long ago about “cbBTC.” In the X thread, Coinbase made a veiled reference to the imminent release of cbBTC. This cryptocurrency is anticipated to have a significant impact in the DeFi sector on the Base network, which is Coinbase’s Ethereum layer-2 blockchain.
With the intention of establishing a robust Bitcoin economy on the Base network, cbBTC intends to present itself as a formidable competitor to WBTC.
Bitcoin Responds to Consumer Price Index (CPI) Data
The core Consumer Price Index (CPI) for July was found to have a seasonally adjusted monthly rate of 0.2%, which was in line with expectations of 0.2% and a rise from the previous rate of 0.1%. The United States disclosed this information today.
During July, the annual rate of the Consumer Price Index (CPI) in the United States was 2.9%, which was lower than the expected rate of 3.0% and the rate of 3.0% from the previous month. By hitting its lowest level since April 2021, the unadjusted core consumer price index (CPI) in the United States had a fall for the fourth consecutive month, reaching an annual rate of 3.2%.
According to the Community Monetary Exchange (CME), the Federal Reserve’s probability of reducing interest rates by 25 basis points in September is 56.5%, while the possibility of a rate decrease of 50 basis points remains at 43.5%.
A condensed summary of two significant aspects that were gleaned from the most recent Consumer Price Index (CPI) report is provided by Matt Hougan, Chief Investment Officer of Bitwise. “There are two essential aspects of the CPI that should be taken into consideration:
- By September, it is anticipated that the Federal Reserve would begin a process of lowering interest rates.
- The previous baseline for inflation was 2%; however, it has been changed to 3%. The outlook for Bitcoin is quite optimistic in both cases.”
During the trading session on Tuesday, Bitcoin saw an unexpected reaction to the CPI statistics, which resulted in the price falling below $59,000 at a particular point. It had reached its greatest point of $61,827 during the day, but by the time this article was written, Bitcoin had witnessed a minor fall of 0.43% in the previous twenty-four hours, resting at $59,283.
