Digital currency market November report; Bitcoin on the verge of breaking records in Iran

This November, the price of Bitcoin in Iran was on the verge of breaking the historical record of November 1400, and in addition, many influential events took place internationally. In this article, we have reviewed the most important events of the month of November in the digital currency market and analyzed the key changes in the market.

According to AruzDigital, the total value of the digital currency market increased by 10.6% during the month of November (October 23 to November 21) from about 1.272 trillion dollars to more than 1.4 trillion dollars. This figure is the highest level we have seen since the collapse of the Terra ecosystem in early May 2022.

The price of Bitcoin this month had an acceptable performance, unlike September and October. A 15% price jump in the last days of October, which caused the value of Bitcoin to reach its highest level against the Argentine peso, Nigerian naira, Turkish lira, Laos cap and Egyptian pound. The cryptocurrency ended the month at just over $37,000, the highest recorded in over 18 months.

This issue, along with the continuation of the rial’s devaluation process, made the price of Bitcoin in Tomans close to the record of 68,664 dollars, equivalent to 1,976,000,000 Tomans, with its dollar of 28,778 Tomans in November 2021 (Aban 1400). This digital currency started November with a price of 1.6 billion tomans in domestic exchanges, and then reached a peak of 1.93 billion tomans on November 24 and ended the month with a price of 1.88 billion tomans.

The fear and greed index also continued to increase after jumping to 55 (neutral range) at the beginning of November and ended the month with a number of 73.6 (greed range). In general, excessive greed can indicate that a price correction is on the way.

Unlike the significant fluctuations in October, the dollar fluctuated very little throughout November. Without a significant increase, the price of the dollar reached 50,700 tomans at the beginning of the month to 50,830 tomans at the end of the month.

The most important domestic and foreign news of November

• November started with positive news for the digital currency market, especially Bitcoin. On November 2 (October 24), the US Court of Appeals ordered the US Securities and Exchange Commission to review Grayscale’s request to convert the Bitcoin Trust Fund into a spot ETF.

• The non-increase in interest rates by the Federal Reserve on November 10 was the second event that improved market sentiment. After a two-day meeting of the Federal Open Market Committee in Washington, DC, the US Federal Reserve announced that it would keep interest rates in the range of 5.25% to 5.50%.

• Equinometrics published a report on 11 Aban (November 2) announcing that Bitcoin price volatility in 2023 has reached its lowest level in more than a decade. According to this report, unlike a decade ago, digital currencies have experienced a period of unprecedented stability this year, which fluctuated between 20 and 40 percent.

• On November 12, a jury found Sam Bankman Fried, the founder of the bankrupt FTX exchange, guilty of all seven charges. The prosecutor in the case pointed out that Benkman Farid committed one of the largest financial frauds in American history, noting that he could be sentenced to up to 115 years in prison.

• The publication of the CCDITA report on November 17 (November 8) indicated an increase in the volume of spot transactions in centralized exchanges after a 4-month decrease. According to the data of this report, the total volume of digital currency transactions in October reached 632 billion dollars with an increase of 87.2% compared to September.

• Bitcoin network difficulty reached a record of 64.48 trillion on 22 Aban (November 13) after a 2.35% increase compared to the previous period. This was the sixth consecutive increase in network difficulty since September 28.

• On the same day, Mohammad Reza Pourabrahimi, the chairman of the parliament’s economic commission, criticized the central bank’s approach towards the rejection of digital currencies, and hoped that if there is an agreement with the government, the issue of cryptocurrencies will become legal in the country before the end of the eleventh session of the parliament.

• On November 14, the US Bureau of Labor Statistics announced that point-to-point inflation in the country decreased to 3.2% in October; The figure was lower than the market and experts’ forecasts.

• Mohammadreza Pourabrahimi said on 25 Aban (November 16) that the capital gains tax plan will be reviewed again in the parliament. He explained that the report of the Economic Commission of the Parliament is ready in order to resolve the objections of the Guardian Council regarding this plan and after reviewing the 7th Development Plan, it will be presented in the public forum of the Parliament.

• Mohammad Reza Farzin, Governor General of the Central Bank of Iran, said during the 10th Annual Conference on Electronic Banking and Payment Systems on 29 Aban (November 20) that the restrictions of the Central Bank in the field of digital currencies have been implemented with the aim of preventing money laundering.

• On 30 Aban (November 21), reports indicated that Binance had agreed with the US Department of Justice to pay a fine of $4.3 billion. Binance CEO Changpeng Zhao also announced his resignation and Richard Teng was announced as his successor.