Hello Crypto Enthusiasts!

Glad to have you back for another edition of the UseTheBitcoin.com newsletter.

Today we take a pause from all of the ETF news to bring you the latest on the CoinsPaid hack, MangoFarmSOL rug pull, and deliver on this week’s technical analysis plus much… much… more.

So lets hop right into today’s top headlines!

📰 News Highlights:

💰 Crypto Heist Alert: CoinsPaid Falls Victim to $7.5M Hack! 🚨 (Link)(Link)(Link)

CoinsPaid, the Estonian crypto payment gateway, has been hit by a second security breach in just six months, leaving the crypto community shaken. Web3 security firm Cyvers reports that unauthorized transactions, totaling over $7.5 million, were executed on January 6. 

The hacker deftly maneuvered through the platform, withdrawing $6.1 million in digital assets, including Tether, Ether, USD Coin, and CoinsPaid's native token CPD.

The aftermath of this breach unveils a disheartening pattern, reminiscent of the platform's security lapse in July 2023, where $37 million was pilfered. In a twist of irony, CoinsPaid, which processes over 19 billion euros in crypto transactions, blamed the North Korean state-backed Lazarus Group for the previous incident.

💔 MangoFarmSOL Faces Allegations of a $2 Million Rug Pull! 🕵️ (Link)(Link)(Link)(Link)

The Solana ecosystem faces turbulence as MangoFarmSOL, a promising farming protocol, goes dark amid allegations of an exit scam. 

Reports suggest that funds have gone missing, leaving the community in shock. MangoFarmSOL, known for its commitment to delivering unparalleled yield in the $SOL space, deactivated its social media and website following suspicions of foul play.

The alleged rug pull, estimated at nearly $2 million, adds to the growing concerns about security within the Solana ecosystem. 

A pseudonymous developer, known as Delegate "Foobar," warns of a compromised front-end and raises the specter of a potential rug pull.

📈 Coinbase EU Eyes Major EU Expansion! 🌍 (Link)

Coinbase, the heavyweight of crypto exchanges, is setting its sights on the EU derivatives market with a strategic acquisition move. In a blog post, Coinbase announced its ongoing efforts to acquire a MiFID-licensed entity based in Cyprus, signaling the exchange's ambition to broaden its derivatives offering in Europe. 

While the name of the target company remains shrouded in mystery, the move is a calculated step toward obtaining regulatory approval and extending Coinbase's footprint in the derivatives arena.

The potential acquisition represents a pivotal moment for Coinbase, enabling it to venture beyond spot trading in the EU. The exchange acknowledges the challenges ahead in navigating the regulatory landscape, emphasizing the significance of the license in supporting their derivatives offerings.

🤝 VanEck's Philanthropic Pledge To Bitcoin Core Developers! 💻 (Link)(Link)

In a refreshing twist, investment firm VanEck pledges to contribute 5% of potential profits from its spot Bitcoin ETF, if approved, to support Bitcoin core developers at Brink. This philanthropic move, coupled with an initial $10,000 donation to Brink, reflects VanEck's commitment to the decentralized ethos of the Bitcoin ecosystem. 

The announcement, shared on X (formerly Twitter), highlights the importance of supporting open-source development work, emphasizing the core backbone of the Bitcoin network.

As Bitcoin continues to shape the future of finance, VanEck's pledge is a commendable initiative, garnering appreciation from the crypto community. The support extended to Brink, a vital force in Bitcoin protocol development, underscores the collaborative spirit required to propel the crypto space into new frontiers.

🔍 Industry Insights: 

🌐 Bitcoin Adoption Increases 174% in Merchants Accepting BTC! 🛍️ (Link)

Good news for the Bitcoin enthusiasts! BTC Map reports a staggering 174% increase in the number of merchants worldwide accepting Bitcoin payments in 2023. 

The crowdsourced mapping data showcases a global surge, with 6,126 businesses, including restaurants, bars, shops, and services, embracing the digital asset by the year's end. This spike, although experiencing a minor dip from the peak in late September, signifies a growing trend of crypto integration into mainstream commerce.

A closer look at the BTC Map data reveals concentrations of Bitcoin-accepting merchants in Europe and Latin America. The United States and Europe, in particular, demonstrate a robust acceptance of cryptocurrency, while Asia and Africa show room for growth.

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💡 Feature of the Day:

🤠 Hold onto your Crypto Cowboys! SEC Warns of FOMO Stampede as Bitcoin ETF Decision Gallops Near 🐎 (Link)

Just as the crypto prepares for a potential Bitcoin ETF stampede, the SEC throws a lasso of caution, hollering, "Whoa there, pardners! Don't let FOMO crush your digital dreams!"

This ain't the first time the SEC's wrangled this FOMO herd. Recall 2021's roaring crypto bull market, when Bitcoin was as hot as a habanero? That's when they first slapped their "Say no go to FOMO" brand on this dusty trail. Back then, every influencer and their llama were hawking crypto like snake oil, promising fortunes built on air and memes.

Fast forward to the present day, and the air's crackling with anticipation. The SEC's gotta make a decision on those Bitcoin ETF applications before January 10th, and some reckon this FOMO warning might be a signal they're about to greenlight everything.

But hold on, buckaroos! Just because the SEC's dusting off their old playbook doesn't mean they're guaranteeing a Bitcoin bonanza. They're also reminding you not to get spooked by celebrity endorsements – remember Kim Kardashian and her shady Ethereum Max fiasco, or Logan Paul and “Crypto Zoo?” Investing based on what some influencer's peddling on Instagram ain't exactly a recipe for riches.

And let's not forget crypto inherent volatility. Remember the rollercoaster ride of 2022? One minute you're feeling like Scrooge McDuck swimming in digital gold, the next you're tumbleweed rolling through a deserted exchange (*cough* F-T-X cough). It's enough to make a crypto cowboy sweat through his chaps.

So, the question remains: Will the SEC unlock the gate to Bitcoin ETF paradise, or will they keep investors waiting?

Don't let the hype fog your vision, pardners. Take the SEC's warning seriously, do your own research, and ride this crypto rodeo with a steady hand on the reins. Remember, it's a marathon, not a sprint, and the smartest cowboys know when to hold 'em, when to fold 'em, and when to walk away from the digital poker table entirely.

Now, saddle up, sharpen your spurs, and let's see how this wild ride unfolds! 

🔍 Technical Analysis:

BTC, ETH, Bitcoin BETA COINS!

In this week's market analysis, let's take a look at several Bitcoin Beta tokens, especially with the Spot Bitcoin ETF Decision looming from January 8 to January 10, 2024. Brace yourselves for a rollercoaster ride as the market is flooded with news, FUD, and ever-changing narratives every hour!

The week kicked off with a market bloodbath, mainly because investors were playing it safe before the ETF Decision. There's a prevailing sense of caution, anticipating a "Sell the news" situation if the Spot Bitcoin ETF Decision comes through.

What to expect in the week ahead!

Token Unlocks of the week: SOURCE

Forex Calendar for the Week: SOURCE

Bitcoin Market Analysis

Last week's cautionary note about Bitcoin's precarious situation proved on point, as BTC took a more than 9% nosedive within hours, aiming for the 40,000$ support on some exchanges after failing to hold at 44,500 dollars.

The resulting large wick led to numerous long liquidations, causing concern across the crypto community on platforms like X timeline, where many share their insights. Looking ahead, if a Spot Bitcoin ETF gets the green light this week, Bitcoin could rally to 47,000$ or beyond.

However, a sell-the-news event might follow as retail investors jump in. Notably, the surge in Bitcoin dominance played a role in the broader market downturn during the recent Asia trading session. As BTC.D climbs, altcoins are struggling to keep pace, signaling widespread weakness, as illustrated in the graphic Above.

Ethereum Market Analysis

Beyond BTC, a crucial range on Ethereum, pegged at 2350$ - 2320$, couldn't hold, causing ETH to dip to 2050$, barely $50 shy of last week's robust support at 2100$.

Looking ahead, the forecast is for ETH to bounce back this week but trail behind BTC. Anticipating substantial dominance for BTC, which could weaken alts, they're expected to follow suit, albeit less robustly.

The game plan for Ethereum remains unchanged, with the critical range at $2350-$2320, and ETH currently trading a mere $50 above the steadfast support at 2100$.

Altcoin Watchlist:

This week, because we are expecting a significant increase in Bitcoin Dominance, it is sensible to look into Bitcoin Beta or tokens that perform well when Bitcoin Dominance increases!

1. ORDI 

ORDI marks a milestone as the first token on the Bitcoin blockchain following the BRC-20 fungible token standard. Back in November, crypto insider Andrew Kang sang its praises upon its Binance listing, and it's now seen a sixfold surge since his endorsement. Today, Kang once again shines a light on ORDI, touting it as a solid beta for bitcoin. Technically, ORDI finds robust support, a linchpin for its stability at 70$. However, caution looms—if this support falters, ORDI might dip to 50$. Notably, there's a liquidity-driven diagonal in ORDI's trajectory; a strategic surge could propel it to an all-time high. Check out the plan inspired by Kang's chart in the graphic below!

2. STX 

Blockstack presents a groundbreaking decentralized internet, empowering users to own their data and operate programs locally with just a browser portal. For traders eyeing a stellar BTC Beta, STX stands out, delivering smoother and more defined price action. This simplicity is a hit among traders, offering not only easy trading and investment but also a transformative utility for Bitcoin. Chart-wise, there are two ascending diagonals shaping up, playing dual roles as support and resistance. As long as STX stays above these diagonals, potential upside remains in view, steadily grinding higher!

3. BCH

Bitcoin Cash (BCC/BCH) is basically a sibling of Bitcoin, born out of a hard fork. Protocol-wise, it's like its big brother, Bitcoin. But when it comes to the thrill of trading, it's not exactly the life of the party. Looking at its price movements, it shares a common pattern with STX, showcasing two diagonal lines playing the roles of both support and resistance. Just like STX, the outlook for BCH stays on the sunny side, as long as it doesn't dip too close to or below that trusty diagonal line!

4. MUBI

MUBI is like a smooth operator, allowing users to effortlessly shift tokens between the Bitcoin blockchain and Ethereum Virtual Machine (EVM) networks, like Ethereum and BNB blockchains. It was an early player in the BRC-20 scene, and though it's taken a bit of a dip from its initial high, it's still a champ in terms of both price action and usefulness. Even with the recent downturn, the project is expanding, backed by a solid crew. The current focus is on the ranges, support, and resistance. Time will tell if MUBI can weather the storm and stage a comeback.

Here are some practical tips for the week:

1. Weekly Open:

• Check if the weekly open is holding as support (bullish) or being rejected as resistance (bearish).

2. 1H & 4H 200EMAs:

• See if the 1-hour and 4-hour 200 EMAs are reclaimed or held (positive for long positions) or rejected (favorable for short positions).

3. Structure:

• Identify if the market is forming Higher Highs and Higher Lows (indicating an uptrend) or Lower Highs and Lower Lows (indicating a downtrend).

4. Avoid Chop:

• Be cautious of ranging and balanced market conditions. Wait for confirmed breakout or breakdown signals to avoid trading in choppy environments.

😂 Crypto Meme of the Day: 

And that’s it for this today.

With all of the recent hacks taking place, remember to protect your crypto assets with today’s sponsor Trezor hardware wallets.

See you all tomorrow’s edition!

Jonathan Gibson
UseTheBitcoin.com