Bitcoin demand in the United States has seen a notable uptick following Federal Reserve Chairman Jerome Powell’s recent speech at the Jackson Hole symposium.
However, this increase hasn’t yet spilled over into the broader crypto market.
According to a report by CryptoQuant, Bitcoin (BTC) has gained traction largely due to heightened interest from U.S. investors. Despite this, overall Bitcoin demand remains low and has stayed negative over the past few weeks.
The rising demand from U.S. investors is evident in the spike in Coinbase Premium, which jumped to 0.11%—its highest level since July. This metric indicates that local trading platforms are experiencing higher demand from U.S. investors compared to exchanges abroad.
As reported by Crypto Potato on Sunday, September 1, 2024, data from CryptoQuant suggests that Bitcoin is beginning to flow from non-U.S. exchanges to Coinbase, a movement typically seen during bullish markets and a sign of potential upward price trends.
The Inter-exchange Flow Pulse (IFP) metric, which measures the cumulative one-year net flow of BTC between Coinbase and other exchanges, has also risen. This indicates that Bitcoin is moving toward U.S.-based crypto platforms in response to higher premiums and demand within the U.S. market. Additionally, demand for Bitcoin in perpetual futures markets has increased alongside Open Interest (OI).
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New Buy Positions Emerge
OI has surged by about 10,000 BTC to reach 276,000 BTC, signaling that traders are opening new long positions, with buy orders outpacing sell orders. Amid rising Bitcoin demand in the U.S., the underlying price of Bitcoin has increased by 6%, climbing from $60,000 to $65,000—the highest level since August 2.
Despite this rally, investors have not engaged in significant profit-taking. This is evident from the realized profits amounting to $536 million, far below the multi-billion-dollar figures seen at the peak of this year’s local market. Moreover, the growth of Bitcoin’s apparent demand over 30 days has declined from 496,000 BTC in early April to a negative 36,000 BTC.
Apparent demand refers to the difference between Bitcoin’s total daily block subsidy and the daily change in the amount of BTC that hasn’t been moved in a year or more. CryptoQuant asserts that the crypto market needs an increase in apparent Bitcoin demand before prices can fully recover and rally to new highs.
France Opens Registrations for Crypto Companies
Meanwhile, French financial regulators (AMF) have begun accepting applications for authorization as crypto asset service providers under the European Markets in Crypto Assets Regulation (MiCA).
As reported by Bitcoin.com on Wednesday, August 28, 2024, this regulation mandates prior authorization for market participants offering crypto asset services in the EU, with strict compliance to anti-money laundering, cybersecurity, and governance rules.
The regulation covers ten specific services, including crypto asset custody and administration, trading platform operation, crypto asset exchange, and the provision of advice and portfolio management.
In addition, service providers must adhere to strict rules related to anti-money laundering, cybersecurity, and governance, among other areas.
During the transition period ending on June 30, 2026, existing French providers can continue their activities without a European passport but must obtain MiCA authorization to operate after July 2026.
French regulators emphasize that MiCA’s requirements are stricter than those under French law for Digital Asset Service Providers (DASP). The AMF stated:
“The requirements set by European legislators for MiCA authorization are stricter than those under French law related to enhanced DASP registration, and even stricter for simple DASP registration.”
Crypto Job Market Booms Amid Rising Investment
In other news, the crypto job market is experiencing an unprecedented boom, driven by increasing investment, mainstream adoption, and growing institutional interest in digital assets.
As the industry expands, the demand for skilled professionals, particularly in product and marketing roles, is rising, highlighting both significant opportunities and challenges. According to Coinmarketcap on Thursday, August 29, 2024, Crypto Job List reports about 600 new job openings in crypto and blockchain in July 2024.
This surge is largely due to recovery from a sluggish market and an influx of venture capital (VC), now fueling a wave of hiring.
Adding to this momentum, Binance Holdings Ltd. is on track to hire 1,000 people this year, with a significant portion allocated to compliance roles, CEO Richard Teng told Bloomberg.
This comes as Binance ramps up spending to meet regulatory requirements, now exceeding $200 million per year. Binance plans to grow its compliance workforce to 700 by the end of 2024, a substantial increase from the current 500 employees.
This hiring wave underscores the growing importance of regulatory compliance in the crypto industry as Binance continues to face scrutiny from U.S. regulators.
Fintech Job Market in the UAE
In the UAE, the job market reflects similar trends. The fintech sector is projected to grow at a CAGR of over 15%, positioning the UAE as a prime destination for startups, investors, and fintech professionals.
The convergence of fintech and crypto in this region offers fertile ground for career growth, especially in roles that blend financial expertise with blockchain technology.