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Dorjoy12

Different kind of crypto wallet

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What is crypto  wallets?? 

 

Crypto Wallet is a tool which you can use to interact with blockchain networks.. There has difference  crypto   wallets.. If you want to difference  crypto wallet then you need to divided 3 part  of crypto wallet.. Such as software  wallet, hardware  wallet and paper wallet.. 

Again those wallet has difference  according  to the working  system  and you can divided them into two part.. Such as  Hot wallet and cold wallet.. 

Almost  all crypto wallet provider based on software.. Because software  wallet is easy to use than hardware  wallet.. But hardware  wallet is most secure  than another  wallet.. And paper Wallet is a printed paper with your wallet information QR code, where your wallet address  and private  key get stored.. Paper wallet has much less user.. 

 

How crypto wallet works?? 

 

Mostly  member  believe  that crypto Wallet  don't  store any crypto currency.. Rather, it is a tool through which to interact with the blockchain... In another  way, you can say wallets generate information needed for cryptocurrency transactions through blockchain..  For this, wallets need a private  and public  address ... 

Usually  wallets made by two address ..from the two address, one is public  address  and another  is private  address .. From this you can share your public  address  to send and received  crypto  currency .. But privet key, you never should share with people .. Always  keep your privets  key in a secure  place .. 

Private  key is a address  by which  you can Control  your wallet.. If any one able to know your privet  key then they  can easily  access  your wallet.. For this reason, you must  need to be aware about  your privet  key.. 

 

Hot  wallet and cold wallet :

 

Usually  hot wallet connected  with internet .. Its mean anyhow this wallet is connected  with internet .. For example : if you open  a binance  account  and you want  to deposit some funds   in your Binance  account  from any site  then its mean you store your funds in hot wallet.. You can easily set up hot wallet and use it..but for safety, usually  member  keep small funds in Hot  wallet..

 

Opposite  site, cold wallet is a wallet which is not connected with internet.. And its privets  key always  remain  offline  because  for the safety from  hacker.. But for use this  wallet you need to face some problem.. The member usually  do big investment  and hold for long time use cold wallet.. 

 

Software  wallet : There has different  kind of software  wallet.. And mostly  wallet connected  with internet  Which  means  hot wallet..  Now we discussed  about those software  wallet that we usually  use.. Such as web wallet, desktop  wallet, mobile wallet..

 

Web wallet :  Web Wallets is a very simple and easy wallet that will allow you to easily connect to the blockchain through the browser interface, without having to download or install anything... Web wallets means some exchange  wallet  and some browser based   wallet.. To make web wallet , usually you need email and unique  password.. This wallet very beneficial  for Newbie ..  Normally  in web wallet, the privet  key dont give to user.. Its mean your wallet privets  key remain stored to  third party  provider..but some web wallet provider give  private  key to its user and again sometimes  wallet  control  share  with user by multi signature  method ... 

But a important  thing  is, whenever  you use  web wallet,  you must be careful  about  your  security .. 

 

Desktop  wallet : It's  the wallet that you can installed  in your privet  computer..Desktop  wallet  also has two part.. In one part of desktop  wallet where private  key dont given  to user.. And in another  part  of desktop  wallet, you can take the full control  of your wallet password... When a wallet is created by installing wallet software that gives the wallet user complete control of the wallet, a file called "wallet.dat" is created.  Which can be encrypted with a password..But when you encrypted  those  wallet  by password  then you must keep safe the password ...because whenever  you going to do any transaction  you must  need to give  the password  to complete  your transaction.. If you lose your password  then you can lose your funds.. 

.. 

Mobile wallets : Mobile wallet is same as desktops  wallet.. That made Only  for smartphone .. To received  and sent  crypto currency  mobile  wallet is best for every  one.. Because  by using  QR code you can easily transfer your funds... For this reason mobile  wallet  is favourite  for smartphone  user..Trust  wallet is the most favourite  smartphone  wallet provided  by Binance.. By this wallet you can store your crypto currency  while from there you can easily  trade  too.. But we all need to be careful for using  mobile  wallet because in phone  we usually  have different  apps.. Also you might have those  kind of app that is dangerous for phone.. For this, whenever  you use Mobile wallet  then you must encrypted  the wallet by password.. Again you must keep backup of your privet  key and seed phrase  so that in any bad situation  your wallet  can be safe.. 

 

Hardware  wallet : hardware  is a physical  electronic  device, that generates  random number to generates  privet key and public  key.. And the privet  key remained  stored in wallet that never  connected  with internet.. You can think  hard wallets  as one kind of cold wallet.. For this reason, hardware  wallet called  Most  secure  wallet.. You can take Hardware wallet safety from online hacker.. But it can have risk for its farmware mistake.. Its hard to use hardware  wallet..for this reason this wallet user is not Friendly .. 

 But if you want to do big invest  or  hold for long time then you can use hardware  wallet.. Becuase  its the most secure  wallet.. 

Mostly  hardware  wallet gives you the facilities  to keep your funds safe.. For this, when you first set hardware  wallet then they usually  give  you recovery  phrase..Because  if sometimes your account get damage  then you can easily recover  it by use recovery  phrase ..  Ledger Nano S/X is the best hardware  wallet.. 

 

Paper wallet :  Paper wallet is what is called a physical wallet in which your wallet information is printed on a paper in QR code form.  You can make cryptocurrency transactions by scanning that QR code..

Some paper  wallet  will give you the chance to download  their code and by Which  you can generate public  address  and private  key  though  you are in offline..for this reason this kind of wallet is safe from online  hacker.. You can take this wallet as a cold wallet.. 

This paper  wallet has a big problem that you cant do transaction  half of your Funds and for this reason  people  dont want to use it..

 

Good luck cryptotalk member ❤

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Edited by Dorjoy12
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I currently use TrustWallet, I like it because it has a wide variety of cryptocurrencies available to store, later as my capital increases if I plan to acquire a cold wallet to store my money since the security of your coins is always important.

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Mostly I have used cold wallet for my funds. The hot wallet which is exchange Wallets are my daily  usage where I have placed the low amount. For mobile wallet I used coinbase for better support, Atom, trust wallet and Tron wallet. Other wallets don't  look promising to me and can place funds in many wallets. 

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On 10/3/2020 at 10:06 AM, Dorjoy12 said:

Software  wallet : There has different  kind of software  wallet.. And mostly  wallet connected  with internet  Which  means  hot wallet..  Now we discussed  about those software  wallet that we usually  use.. Such as web wallet, desktop  wallet, mobile wallet..

Well explained @Dorjoy12 there are many types of wallets which we can use to store our coins, I use software wallets most. Maybe i will shift to hardware wallets after i reach a certain amount of capital because hardware wallets are the most recommended in storing large amounts.

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Time is the ultimate weapon!

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A cryptocurrency wallet is a piece of software that keeps track of the secret keys used to digitally sign cryptocurrency transactions for distributed ledgers. Because those keys are the only way to prove ownership of digital assets, and to execute transactions that transfer or modify them in some way, they are a fundamental piece of the cryptocurrency ecosystem.

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5 hours ago, Calvinpriva said:

Well explained @Dorjoy12 there are many types of wallets which we can use to store our coins, I use software wallets most. Maybe i will shift to hardware wallets after i reach a certain amount of capital because hardware wallets are the most recommended in storing large amounts.

@Calvinpriva   whenever talked about hardware wallet  then the cold wallet description comes to my head becuase its the only wallet which is most secure place to store big amount as you wanted to mean..  Yah software wallet is unsafe all the time but its not big problem for low capital crypto member like us 😂..  Choice the best hardware wallet            

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20 minutes ago, Dorjoy12 said:

Yah software wallet is unsafe all the time but its not big problem for low capital crypto member like us 😂..  Choice the best hardware wallet

@Dorjoy12 You know gate.io exchange? Is the leading exchange in security, you can use that exchange to store any large amount, i use it to store some amount as well, and it has quick transactions and low fees even than Yobit! You have to pass KYC first even to withdraw $1, after you pass KYC, also you must activate OTP and 2FA to withdraw your money! That means it doesn't matter if you have pass KYC but you must activate all those securities to withdraw your money. If you'll use their app, authenticator is a must. Search more about gate.io security on google and you'll be surprised... Just like cold wallets!

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25 minutes ago, Calvinpriva said:

Search more about gate.io security on google and you'll be surprised... Just like cold wallets!

@Calvinpriva  unfortunately i didnt have any idea about it before.. But from your information its prove that the exchange site is more secure than the yobit platform.. Definitely i will follow your suggestion and try to use the exchange site to check out whenever i will need it..  Though there has kyc verification system but its not a big problem in this way..               

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3 hours ago, Dorjoy12 said:

@Calvinpriva   whenever talked about hardware wallet  then the cold wallet description comes to my head becuase its the only wallet which is most secure place to store big amount as you wanted to mean..  Yah software wallet is unsafe all the time but its not big problem for low capital crypto member like us 😂..  Choice the best hardware wallet            

@Dorjoy12 first of all we don't have such amount so the current wallet are best because I know these are secure if we have much more then we will take help from senior members here like you are but I will remember that wallet you mentioned whenever I have more amount I will prefer that one..

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10 minutes ago, Mark wood said:

@Dorjoy12 first of all we don't have such amount so the current wallet are best because I know these are secure if we have much more then we will take help from senior members here like you are but I will remember that wallet you mentioned whenever I have more amount I will prefer that one..

@Mark wood as you wish friend.. If you want to use cold wallet now then no one prohibited you but usually crypto member use cold wallet who has planning to invest huge amounts crypto or want to hold any currency for long time.. Because its hard to use cold wallet than the normal mobile wallet we use in our daily life..                

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Just now, Dorjoy12 said:

@Mark wood as you wish friend.. If you want to use cold wallet now then no one prohibited you but usually crypto member use cold wallet who has planning to invest huge amounts crypto or want to hold any currency for long time.. Because its hard to use cold wallet than the normal mobile wallet we use in our daily life..                

@Dorjoy12 after seeing your post I search for cold wallet for the purpose knowing this wallet because I didn't use this wallet before so it is better to read this wallet features and overview what people say about that so it is good for me because entering anywhere first to know about that..

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1 minute ago, Mark wood said:

@Dorjoy12 after seeing your post I search for cold wallet for the purpose knowing this wallet because I didn't use this wallet before so it is better to read this wallet features and overview what people say about that so it is good for me because entering anywhere first to know about that..

@Mark wood you are totally right about it as if you dont about that thing which you want to use then you will easily face probelm.. You know that whenever a member withdrawal money from coinbase then he need to use privet key Which is boring for manu members.. So only big capital crypto member use cold wallet as they withdrawal money rare time..                   

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I use yobit wallet account... I think yobit wallet account is best and secure account..this account have many feature.. We know that  There are many mobile wallet account such as coinbase wallet account, Trust wallet account, cold wallet, blockchain account..all are account good...       

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19 minutes ago, Artugul78 said:

I use yobit wallet account... I think yobit wallet account is best and secure account..this account have many feature.. We know that  There are many mobile wallet account such as coinbase wallet account, Trust wallet account, cold wallet, blockchain account..all are account good...       

@Artugul78 of course yobit exchange secured so their offers wallet also secured, but after all its exchange wallet and do not trust any exchange wallet blindly,

Because in crypto world there so many exchages hacked and their investors loss their funds, so if we have good amount of crypto assets then use strong wallets, like you mention coinbase block chain because these wallets more secure then exchange wallets.

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This is a very good explanation of what crypto wallets are, there ate two main types which are cold and hot wallets, I prefer the cold because it is more difficult for hackers to hack unlike hot wallets. But there are many hot wallets with good reputation that can be used to save crypto. I use electrum do bitcoin, while coinbase for multicoin. 

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The best crypto wallets are the hardest wallets, the safest ones are cold wallets, online wallets like coinbase are also good but they can not be good like hardware wallets and also can not be safe like cold wallets. 

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On 10/31/2020 at 8:43 AM, Artugul78 said:

I use yobit wallet account... I think yobit wallet account is best and secure account..this account have many feature.. We know that  There are many mobile wallet account such as coinbase wallet account, Trust wallet account, cold wallet, blockchain account..all are account good...       

Yes also we can use Yobit wallet @Artugul78 and Coinbase, Binance, Blockchain......etc wallets. But only for small quantity if you plan to hold a high amount the best and more secure are hardware wallets. About the website exchange wallet is not at 100% safe, they are exposed to hackers at any time if they will be hacked you will loss all your coins. 

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Right @tienda i agree with you.. Yobit account is best account for small quantity... But i do not know which account is better for high amount...  I came to know about the large amount of account... So many many thanks @tienda for useful information...  

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It's a good post about all kind of Wallet, any one should know about all and use the best one for his crypto, personally I use the soft Wallet on desktop or mobile and also the website Wallet like blockchain or coinbase ,but never use the hard Wallet I really can't pay for a Wallet and I have something for free

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On 11/2/2020 at 1:33 PM, scorpiali said:

It's a good post about all kind of Wallet, any one should know about all and use the best one for his crypto, personally I use the soft Wallet on desktop or mobile and also the website Wallet like blockchain or coinbase ,but never use the hard Wallet I really can't pay for a Wallet and I have something for free

 Before try to use hardware wallet we all need to know that usually hardware wallet get used for safety... Hardware wallet get used by those member who planning to hold their thousands usd or invest them...   Its also hard to open hardware wallet every time and sent the crypto as you always need to use privet key... That is why hardware wallet use big investor who open wallet once in  a week..                

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44 minutes ago, Dorjoy12 said:

 Before try to use hardware wallet we all need to know that usually hardware wallet get used for safety... Hardware wallet get used by those member who planning to hold their thousands usd or invest them...   Its also hard to open hardware wallet every time and sent the crypto as you always need to use privet key... That is why hardware wallet use big investor who open wallet once in  a week..                

Exactly the Hard Wallet is specially for the investors who have a big amount of coins and don't move them all the time they stack them for a long,but for holders with low amount they really don't need to use the hard Wallet, maybe if they grow her amount they can buy one because it's the most secure Wallet in the moment 

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On 10/3/2020 at 9:06 AM, Dorjoy12 said:

What is crypto  wallets?? 

 

Crypto Wallet is a tool which you can use to interact with blockchain networks.. There has difference  crypto   wallets.. If you want to difference  crypto wallet then you need to divided 3 part  of crypto wallet.. Such as software  wallet, hardware  wallet and paper wallet.. 

Again those wallet has difference  according  to the working  system  and you can divided them into two part.. Such as  Hot wallet and cold wallet.. 

Almost  all crypto wallet provider based on software.. Because software  wallet is easy to use than hardware  wallet.. But hardware  wallet is most secure  than another  wallet.. And paper Wallet is a printed paper with your wallet information QR code, where your wallet address  and private  key get stored.. Paper wallet has much less user.. 

 

How crypto wallet works?? 

 

Mostly  member  believe  that crypto Wallet  don't  store any crypto currency.. Rather, it is a tool through which to interact with the blockchain... In another  way, you can say wallets generate information needed for cryptocurrency transactions through blockchain..  For this, wallets need a private  and public  address ... 

Usually  wallets made by two address ..from the two address, one is public  address  and another  is private  address .. From this you can share your public  address  to send and received  crypto  currency .. But privet key, you never should share with people .. Always  keep your privets  key in a secure  place .. 

Private  key is a address  by which  you can Control  your wallet.. If any one able to know your privet  key then they  can easily  access  your wallet.. For this reason, you must  need to be aware about  your privet  key.. 

 

Hot  wallet and cold wallet :

 

Usually  hot wallet connected  with internet .. Its mean anyhow this wallet is connected  with internet .. For example : if you open  a binance  account  and you want  to deposit some funds   in your Binance  account  from any site  then its mean you store your funds in hot wallet.. You can easily set up hot wallet and use it..but for safety, usually  member  keep small funds in Hot  wallet..

 

Opposite  site, cold wallet is a wallet which is not connected with internet.. And its privets  key always  remain  offline  because  for the safety from  hacker.. But for use this  wallet you need to face some problem.. The member usually  do big investment  and hold for long time use cold wallet.. 

 

Software  wallet : There has different  kind of software  wallet.. And mostly  wallet connected  with internet  Which  means  hot wallet..  Now we discussed  about those software  wallet that we usually  use.. Such as web wallet, desktop  wallet, mobile wallet..

 

Web wallet :  Web Wallets is a very simple and easy wallet that will allow you to easily connect to the blockchain through the browser interface, without having to download or install anything... Web wallets means some exchange  wallet  and some browser based   wallet.. To make web wallet , usually you need email and unique  password.. This wallet very beneficial  for Newbie ..  Normally  in web wallet, the privet  key dont give to user.. Its mean your wallet privets  key remain stored to  third party  provider..but some web wallet provider give  private  key to its user and again sometimes  wallet  control  share  with user by multi signature  method ... 

But a important  thing  is, whenever  you use  web wallet,  you must be careful  about  your  security .. 

 

Desktop  wallet : It's  the wallet that you can installed  in your privet  computer..Desktop  wallet  also has two part.. In one part of desktop  wallet where private  key dont given  to user.. And in another  part  of desktop  wallet, you can take the full control  of your wallet password... When a wallet is created by installing wallet software that gives the wallet user complete control of the wallet, a file called "wallet.dat" is created.  Which can be encrypted with a password..But when you encrypted  those  wallet  by password  then you must keep safe the password ...because whenever  you going to do any transaction  you must  need to give  the password  to complete  your transaction.. If you lose your password  then you can lose your funds.. 

.. 

Mobile wallets : Mobile wallet is same as desktops  wallet.. That made Only  for smartphone .. To received  and sent  crypto currency  mobile  wallet is best for every  one.. Because  by using  QR code you can easily transfer your funds... For this reason mobile  wallet  is favourite  for smartphone  user..Trust  wallet is the most favourite  smartphone  wallet provided  by Binance.. By this wallet you can store your crypto currency  while from there you can easily  trade  too.. But we all need to be careful for using  mobile  wallet because in phone  we usually  have different  apps.. Also you might have those  kind of app that is dangerous for phone.. For this, whenever  you use Mobile wallet  then you must encrypted  the wallet by password.. Again you must keep backup of your privet  key and seed phrase  so that in any bad situation  your wallet  can be safe.. 

 

Hardware  wallet : hardware  is a physical  electronic  device, that generates  random number to generates  privet key and public  key.. And the privet  key remained  stored in wallet that never  connected  with internet.. You can think  hard wallets  as one kind of cold wallet.. For this reason, hardware  wallet called  Most  secure  wallet.. You can take Hardware wallet safety from online hacker.. But it can have risk for its farmware mistake.. Its hard to use hardware  wallet..for this reason this wallet user is not Friendly .. 

 But if you want to do big invest  or  hold for long time then you can use hardware  wallet.. Becuase  its the most secure  wallet.. 

Mostly  hardware  wallet gives you the facilities  to keep your funds safe.. For this, when you first set hardware  wallet then they usually  give  you recovery  phrase..Because  if sometimes your account get damage  then you can easily recover  it by use recovery  phrase ..  Ledger Nano S/X is the best hardware  wallet.. 

 

Paper wallet :  Paper wallet is what is called a physical wallet in which your wallet information is printed on a paper in QR code form.  You can make cryptocurrency transactions by scanning that QR code..

Some paper  wallet  will give you the chance to download  their code and by Which  you can generate public  address  and private  key  though  you are in offline..for this reason this kind of wallet is safe from online  hacker.. You can take this wallet as a cold wallet.. 

This paper  wallet has a big problem that you cant do transaction  half of your Funds and for this reason  people  dont want to use it..

 

Good luck cryptotalk member ❤

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Very good explanation, dear colleague of this great insurance forum, it will come in handy for many users, especially beginners, of what wallets consist of, where I would recommend Hardware wallet and Paper wallet wallets since they are the safest
Good luck and big winnings for the whole community
A big greeting

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6 minutes ago, scorpiali said:

but for holders with low amount they really don't need to use the hard Wallet, maybe if they grow her amount they can buy one because it's the most secure Wallet in the moment 

 Without any doubt you are right.. Because having 1k usd in a mobile wallet  is not a big matter.. And usually low amount holder has not more than 1k usd in their wallet and for this amount if any member want to use hardware wallet then its look funny lil bit... So we need to use always suitable thing  that is Perfect for us.. But we cant prohibited someone to dont use hardware wallet or cold wallet.. They can use it for gather experience too..              

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Good informative topic. Novice members should know about the types of wallets. I like cold storage hardware wallets like Ledger Nano. Software wallets are also good to load some coins into them.
 

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Yes, there are a lot of cyrptocurrency wallet out there because it serves the needs of the customers. Also yes again, you cannot have all of their needs in one, that is why there are a lot of cryptocurrency wallet. So know your priority first before choosing one.

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    • Заработать после Notcoin? Легко, заходим в BLUM.          Многие говорят об этом проекте, который представляют бывшие топ-менеджеры биржи Binance Владимир Смеркис, Глеб Костарев и Владимир Масляков.Что нужно делать? Переходим в бота; Жмем «Create account»; Вводим никнейм; Нажимаем «Start farming».На этом все. Далее каждые 8 часов заходим в бота для получения поинтов и снова запускаем фарм
    • ТОП-7 разлоков предстоящей недели             CryptoRank поделился крупнейшими разлоками токенов предстоящей недели ARB — $92.35 млн;STRK — $77.27 млн;SEI — $62.9 млн;UNI — $58.89 млн;IMX — $56.92 млн;LMWR — $40.01 млн;MANTA — $22.78 млн.   Довольно много разлоков токенов крупных проектов: StarkNet, Arbitrum, Sei. Возможно, появится хорошая возможность откупить некоторые из них.
    • Кто-то в начале не только догов, но и сатош прилично насобирал на кранах. Если б знать как все будет, и какой будет цена на них, действительно можно было бы хорошо заработать)
    • В первом квартале 2024 года компания Marathon Digital зафиксировала рост выручки на 223% по сравнению с аналогичным периодом прошлого года и увеличение скорости хэширования на 142% за счет новых продуктов и приобретений. Тем не менее Marathon Digital, не оправдала ожиданий по доходам, установленных аналитиками Уолл-стрит в отчете за первый квартал 2024 года. Фирма назвала неблагоприятные погодные условия и неисправности оборудования факторами, способствовавшими снижению производительности. Марафон цифровых неудач в производстве По данным инвестиционной аналитической компании Zacks, несмотря на рост выручки на 223% в годовом исчислении до $165,2 млн, как было объявлено 9 мая, показатели компании по-прежнему отставали от прогнозируемой оценки в $193,9 млн на 14,80%. В первом квартале 2024 года Marathon Digital сообщила о добыче 2811 BTC на сумму 176,7 миллиона долларов, что на 28% больше, чем в предыдущем году. Однако это на 34% меньше, чем 4242 BTC, добытых в четвертом квартале 2023 года. Генеральный директор Marathon Фред Тиль рассказал о результатах деятельности компании во время телеконференции по финансовым вопросам 9 мая. Он сказал, что сбои в производстве были вызваны неожиданными отказами оборудования, особенно трансформаторов на сторонних площадках, сильными перебоями в работе, связанными с погодными условиями во многих местах, а также техническим обслуживанием линий электропередачи коммунальными компаниями.   Фирма отметила, что неблагоприятные погодные условия повлияли на ее объект в Гарден-Сити в центральном Техасе и другие объекты, включая недавно приобретенный объект в Техасе по состоянию на 2 апреля. Несмотря на эти проблемы, компания работала с «рекордной скоростью» в 27 эксахэшей в секунду. Тиль подчеркнул цель компании достичь 50 EH/s к концу года, которая в конце апреля была пересмотрена в сторону повышения с 35 до 37 EH/s. Тиль отметил, что Marathon смогла адаптироваться и преодолеть операционные проблемы в первом квартале. Фирма перераспределила оборудование на вновь приобретенные объекты, пока шел текущий ремонт. В течение квартала Marathon также представила несколько новых передовых продуктов, в том числе Slipstream, направленный на повышение скорости транзакций биткойнов, и плату управления MARA UBC 2100, предназначенную для повышения эффективности майнинга. Благодаря стратегическим приобретениям Marathon увеличила свои мощности по добыче полезных ископаемых до 1,1 и в настоящее время работает на 54% от своей общей мощности. Акции Marathon в первом квартале превзошли ожидания Marathon Digital сообщила о прибыли на акцию в первом квартале в размере $1,26, что поначалу казалось значительно выше прогнозируемых Уолл-стрит $0,02. Однако эти цифры несопоставимы напрямую, поскольку компания приняла недавно утвержденные FASB правила учета по справедливой стоимости. Корректировка рыночной стоимости была благоприятной, чему способствовал существенный рост цен на биткойны. После отчета от 9 мая акции Marathon Digital (MARA) упали примерно на 2,19% и закрылись на уровне $19,65, с дополнительным снижением на 1% в торговле в нерабочее время по данным Google Finance. С начала года цена акций компании упала на 14,30% с момента достижения пика в $31,03 28 февраля 2024 года.
    • Forex and Cryptocurrency Forecast for 13 – 17 May 2024 EUR/USD: Medium-Term Outlook Favours the Dollar   Throughout the past week, EUR/USD exhibited mixed dynamics, primarily driven by expectations concerning potential interest rate cuts by the US Federal Reserve (Fed) and the European Central Bank (ECB). Statements by officials from both central banks, as well as economic macro-statistics, either heightened or lowered these expectations.    The EUR/USD bullish rally commenced on 16 April from the 1.0600 mark, reaching a peak of 1.0811 on 3 May, after which growth stalled, starting the past week at 1.0762. On Monday, 6 May, statistics from the Eurozone provided some support to the common European currency. In April, the Services Purchasing Managers' Index (PMI) rose from 52.9 to 53.3, exceeding the forecast of 52.9. The Composite PMI, which includes the manufacturing sector and services, increased from 51.4 to 51.7. Germany's Composite PMI also showed positive dynamics, rising from 50.5 to 50.6. Consequently, business activity in the Eurozone reached its highest level in almost a year. Moreover, retail sales in the region showed significant growth, rising from -0.5% to +0.7% year-on-year.   This news backdrop suggests potential inflation growth, which in theory could deter the ECB from initiating a monetary policy easing. However, ECB Chief Economist Philip Lane stated that the Executive Board of the bank has compelling arguments for a rate cut at the 6 June meeting. Another ECB representative, Lithuanian Central Bank head Gediminas Simkus, indicated that rate cuts should not be limited to June, suggesting it could happen thrice by the end of the year. However, while the likelihood of easing (QE) in June is near 100%, there is some uncertainty regarding further steps. ECB Vice President Luis de Guindos admitted that the regulator is cautiously forecasting any trends beyond June.   In addition to ECB officials' statements supporting easing, statistics released on Tuesday, 7 May, also contributed. They showed that manufacturing orders in Germany, the locomotive of the European economy, decreased by 0.4% in March after a 0.8% decline in February. As a result, the EUR/USD pair's growth halted, pulling back to 1.0723.   The pair made another attempt to break through the strong resistance zone of 1.0790-1.0800 on Thursday, 9 May, when US initial jobless claims data was unexpectedly reported at 231K, much worse than the expected 210K. This coincided with a widespread negative session for US yields along the curve. The situation worsened as the unemployment data confirmed concerning statistics released on 3 May. According to the US Bureau of Labor Statistics (BLS), non-farm payrolls (NFP) rose by just 175K in April, significantly below the March figure of 315K and market expectations of 238K. The employment report also showed an increase in unemployment from 3.8% to 3.9%.   Besides combating inflation, the Fed's other declared main goal is maximum employment. "If inflation remains stable and the labor market strong, it would be appropriate to delay rate cuts," stated Fed Chair Jerome Powell. Now, the strength of the labour market is in question. However, the Fed is likely to focus on fighting inflation, which is still far from the 2.0% target.   A key inflation indicator tracked by the Fed, the Personal Consumption Expenditures (PCE) Price Index, rose from 2.5% to 2.7% in March. However, the ISM Manufacturing PMI fell below the key 50.0 mark, dropping from 50.3 to 49.2 points. Remember, a level of 50.0 separates economic growth from contraction. In such a situation, raising the interest rate is inadvisable, but lowering it is also not an option. This is exactly what the FOMC (Federal Open Market Committee) of the Fed did. At its meeting on Wednesday, 1 May, its members unanimously left the rate unchanged at 5.50%. This is the highest rate in 23 years, and the US central bank has kept it unchanged for six consecutive meetings.   The main scenario foresees the Fed beginning to review the rate towards a decrease no earlier than autumn, likely in September, with another cut by year-end. However, if US inflation does not decline or, worse, continues to rise, the regulator may abandon monetary policy easing until early 2025. Thus, considering the above, many analysts believe the medium-term advantage remains with the dollar, and EUR/USD is still attractive for sales with a horizon of several months.   The final point of the week for EUR/USD was at 1.0770, making the weekly result almost zero. Regarding the forecast for the near term, as of the evening of 10 May, it is maximally neutral: 50% expect dollar strengthening, and 50% expect its weakening. Trend indicators on D1 are equally divided: half are on the side of the reds, and half are on the side of the greens. Among oscillators, only 10% voted for the reds, another 10% remained neutral, and 80% voted for the greens (although a quarter of them are already signalling overbought conditions). The nearest support for the pair is located in the 1.0710-1.0725 zone, followed by 1.0650, 1.0600-1.0620, 1.0560, 1.0495-1.0515, 1.0450, 1.0375, 1.0255, 1.0130, and 1.0000. Resistance zones are in the regions of 1.0795-1.0810, 1.0865, 1.0895-1.0925, 1.0965-1.0980, 1.1015, 1.1050, and 1.1100-1.1140.   In the coming week, on Tuesday, 14 May, consumer inflation data (CPI) in Germany and the Producer Price Index (PPI) in the US will be released. Also scheduled for this day is a speech by Fed Chair Jerome Powell. The next day, Wednesday, 15 May, important indicators such as Consumer Price Index (CPI) and retail sales volumes in the United States will be published. On Thursday, 16 May, the traditional number of initial jobless claims in the US will be announced. And at the very end of the working week, on Friday, 17 May, we will learn the Eurozone CPI as a whole, which may influence the ECB's decision regarding the euro interest rate.   GBP/USD: Pound Remains Under Pressure but Holds On   At its meeting on Thursday, 9 May, the Bank of England’s (BoE) Monetary Policy Committee maintained the interest rate at 5.25%, the highest in 16 years. Economists polled by Reuters mostly expected borrowing costs to remain unchanged, with a committee vote ratio of 8 to 1. However, the vote was 7 to 2. During discussions, two committee members supported a rate cut to 5.0%, which market participants interpreted as a step towards the beginning of a policy easing cycle.   At the post-meeting press conference, BoE Governor Andrew Bailey expressed optimism, stating that the UK economy is moving in the right direction. Bailey also noted that “a rate cut next month is quite possible,” but he intends to wait for data on inflation, activity, and the labour market before making a decision. Chief Economist Huw Pill, although he joined the majority in voting to keep the rate unchanged, also expressed growing confidence that the time for a reduction is approaching. He added that “focusing only on the next Bank of England meeting [20 June] is somewhat unreasonable” and that “medium-term inflation forecasts do not necessarily signal rate movements at the next or subsequent meetings.”   Overall, the movement of the GBP/USD pair last week resembled that of the EUR/USD pair. The chart shows a distinct surge on Thursday, 9 May, triggered by data indicating a cooling US labour market. The pound was also supported by optimistic GDP data for the UK for Q1 2024 and manufacturing sector data for March. GDP (quarter-on-quarter) rose by +0.6% after a decline of -0.3% in the previous quarter (forecast +0.4%). Additionally, the GDP grew by +0.2% year-on-year, recovering from a fall of -0.2%.   As with the euro, the pound is under pressure from the prospect of earlier monetary policy easing by the BoE compared to the Fed. However, the British currency ended the past week above the key 1.2500 level, at 1.2523. Moreover, 65% of analysts expect the pair not only to hold above this horizon but also to continue its growth. The remaining 35% voted for the pair's movement south. As for technical analysis, trend indicators on D1 are split 50-50. Among oscillators, only 10% recommend selling, 40% took a neutral position, and 50% recommend buying (10% of them signal overbought conditions). If the pair rises, it will encounter resistance at levels 1.2575-1.2610, 1.2695-1.2710, 1.2755-1.2775, 1.2800-1.2820, and 1.2885-1.2900. In case of a fall, it will face support levels and zones at 1.2490-1.2500, 1.2450, 1.2400-1.2410, 1.2300-1.2330, 1.2185-1.2210, and 1.2070-1.2110, 1.2035. The upcoming week's calendar highlights Tuesday, 14 May, when data from the UK labour market will be released. Also of interest is the Inflation Report hearing scheduled for Wednesday, 15 May.   USD/JPY: $50 Billion Interventions Wasted?   It seems that until the Bank of Japan (BoJ) takes confident and clear steps to tighten its monetary policy, nothing will help the yen. At its meeting on 26 April, the board members of this regulator unanimously decided to leave the key rate and QE program parameters unchanged. Expectedly tough comments on the outlook were also absent. This inaction increased pressure on the national currency, sending the USD/JPY pair to new heights. It continued its cosmic saga, reaching a new 34-year high of 160.22. Following this, Japan's financial authorities finally decided on a double currency intervention. Although there was no official confirmation, experts estimate its total volume at $50 billion.   Did it help? Judging by the USD/JPY chart, not really. The pair headed north again last week. Unlike the euro and the British pound, the yen barely reacted even to weak US labour market data on Thursday, 9 May, only slowing its decline.                    All this occurs amid endless statements from the Japanese Central Bank and Ministry of Finance about their readiness to take necessary measures to reduce speculative pressure on the national currency. The published minutes of the BoJ meeting show that most board members took a "hawkish" stance, calling for a rate hike.   However, many analysts believe that the Bank of Japan will take only one such step in the second half of the year. The last chord of the past five days sounded at 155.75. Economists at Singapore’s United Overseas Bank Limited (UOB) expect the USD/JPY pair to trade in the 154.00-157.20 range in the next 1-3 weeks. UOB also believes that the chances of it falling to 151.55 have significantly diminished. Overall, most experts (70%) simply shrug their shoulders in uncertainty. The remaining 30% persistently expect the yen to strengthen. As for technical analysis, 100% of trend indicators on D1 look north. Among oscillators, 50% are such, 15% point south, and 35% point east. Regarding support/resistance levels, traders should note that with such volatility, the slippage can reach many tens of points. The nearest support level is around 155.25, followed by 154.70, 153.90, 153.10, 151.85-152.25, 151.00, 150.00, after which come 146.50-146.90, 143.30-143.75, and 140.25-141.00. Resistance levels are 156.25, 157.00, 157.80-158.00, 158.60, 159.40, and 160.00-160.25.   Events of the upcoming week include the release on Thursday, 16 May, of preliminary GDP data for Japan for Q1 2024. No other significant publications regarding the Japanese economy are expected in the coming week.   CRYPTOCURRENCIES: A Week of Reflection and Uncertainty     What will happen to bitcoin in the foreseeable future? It seems there is no clear answer to this question. Experts and influencers often point in opposite directions: some shoot for the stars, while others keep their eyes on the ground.   For instance, according to the founder of Pomp Investments, Anthony Pompliano, bitcoin is "stronger than ever." He concluded this based on the 200-day moving average (200 DMA) reaching its ATH (All-Time High) of $57,000. Michael Saylor, CEO of MicroStrategy, is also optimistic. In his latest message, he urged investors to "run with the bulls." (It should be noted here that MicroStrategy holds 205,000 BTC on its balance sheet, so Saylor's bullish calls are quite understandable. He simply has to do this for his company to profit rather than incur losses).   However, analysts note that bitcoin's fate depends not only on the rosy calls of the MicroStrategy CEO. And if buyer support weakens, BTC could break through the key support level of $61,000, falling to the $56,000 zone, where significant liquidity is concentrated. MN Trading founder Michael Van De Poppe does not rule out another correction to around $55,000. However, the specialist quickly reassures investors, stating that this is quite acceptable as long as bitcoin holds above $60,000. Anthony Pompliano believes that the price will not fall below $50,000, and another expert, Alan Santana, does not rule out a drop to $30,000.   Trader and analyst Rekt Capital believes that the first cryptocurrency has exited the post-halving "danger zone" and entered the initial phase of re-accumulation. According to this expert, in 2016, BTC demonstrated a long red candle after the halving, falling by 17%. This time, the pattern repeated, with the difference between the post-halving maximum and minimum being 16%. The price reached a local bottom at around $56,566 but then rose to $65,508, on which Rekt Capital concluded that it re-entered the "re-accumulation range." However, there is one "but" - after this, we again observed a drop to $60,175. Overall, it seems that BTC/USD is in a descending channel, which increases investor concern.   In general, the forecasts are quite diverse. Information on the activity of various categories of traders and investors also varies. Analyst and CMCC Crest co-founder Willy Woo noted the activity of so-called crypto dolphins and sharks. "There has never been such a rapid purchase of coins by wealthy holders as in the last two months when the price fluctuated between $60,000-70,000. We are talking about those who hold from 100 BTC to 1000 BTC or approximately $6.5-65 million," he explained. On the other hand, according to CryptoQuant analysts, whales holding from 1000 to 10000 BTC, unlike dolphins and sharks, have behaved quite passively. Michael Van De Poppe, for his part, notes the absence of retail investors.   All this suggests that we may not see new all-time highs for BTC in the coming months. We wrote about this in the previous review, citing, among other things, the opinion of such a Wall Street legend as Factor LLC head Peter Brandt. With a 25% probability, he assumed that bitcoin had already formed another ATH within the current cycle. As for long-term forecasts, nothing has changed here - most of them predict a powerful bull rally for bitcoin. Anthony Pompliano writes about this. Willy Woo expects bitcoin to continue increasing its penetration into various spheres of everyday life, meaning the number of users will grow. "By 2035, we expect bitcoin's fair value to reach $1 million. This forecast is based on the user growth curve. And I'm talking about fair value, not a peak during a bull market frenzy," the analyst notes.   The author of the bestseller "Rich Dad Poor Dad," entrepreneur Robert Kiyosaki, once again included bitcoin in the TOP-3 ways to save and increase capital. "Bad news: the [currency market] crash has already begun. It will be severe. Good news: a crash is the best time to get rich," he wrote, offering several recommendations on how to act in a crisis. Let's note two of them. The first reads: "Find an additional source of income. Artificial Intelligence will destroy millions of jobs. Start a small business and become an entrepreneur, not an employee afraid of losing a job." "Don't hoard fake money (US dollar, euro, yen, peso) that is losing value. Hoard gold, silver, and bitcoin - real money whose value increases, especially in a market crash," is Kiyosaki's second recommendation.   Regarding bitcoin's growth, Kiyosaki is absolutely right; it's even pointless to argue. According to a study by Colin Wu, better known as WuBlockchain, over the past decade, the price of the leading cryptocurrency has grown by an astonishing 12,464%, outpacing giants like Amazon, Apple, Google, Meta, Tesla, and Netflix. BTC was second only to Nvidia (+17,797%). But the fact that bitcoin took second place, being a representative of a relatively new and volatile market, is a real achievement. BTC's impressive growth trajectory over the past decade demonstrates its resilience and potential as an essential component in investors' portfolios.   At the time of writing this review, on the evening of Friday, 10 May, the BTC/USD pair is trading at $60,470. The total market capitalization of the crypto market is $2.24 trillion ($2.33 trillion a week ago). The Crypto Fear & Greed Index has risen from the Neutral zone (48 points a week ago) to the Greed zone, now standing at 66 points. NordFX Analytical Group   Notice: These materials are not investment recommendations or guidelines for working in financial markets and are intended for informational purposes only. Trading in financial markets is risky and can result in a complete loss of deposited funds.   #eurusd #gbpusd #usdjpy #btcusd #ethusd #ltcusd #xrpusd #forex #forex_example #signals #cryptocurrencies #bitcoin #stock_market   https://nordfx.com/ 
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