In the crypto space, we’re up. BTC is recouping from its previous session’s drop and rose about 1.5%. ETH, on the other hand, is boldly marching on, rising almost 5%, to close at $4,150.
The BTC Dominance index is moving further down, now at 44.30. As if the cycling from BTC to ETH had finally permeated smaller cap coins, we are seeing outperformance from a flurry of pairs like COMP, XTZ, GRT, ADA, AAVE, and DOT, up by 4-10%.
First, I want to draw your attention to two charts from Glassnode, one showing the movements of old coins and another looking at miner’s holdings.
In the first, we see the long-term dynamic during this bull run and what looks like a new period of accumulation now, while BTC remains in the 50K’s. In the second, we see miners are following a similar trend, in which they are now holding coins rather than realizing profits. Both are supportive of lower selling pressure and therefore of supported levels, if not another leg up.
Away from market data, there are interesting reports coming through.
Palantir is considering adding Bitcoin to its balance sheet—and based on how often those rumors turn out to be true, I suspect this will happen soon. They also mentioned potentially accepting Bitcoin as a form of payment. The continued adoption from the corporate world is just amazing.
It was interesting to see eBay tap into the NFT frenzy by allowing sales on its platform. While it might not be price-affecting for crypto markets, it adds to the adoption trend.
Also positive, Hungary is set to cut taxes currently imposed on cryptocurrency earnings, by as much as 50% from 2022 onward. Should we be moving to Budapest already?
Last information nugget—you know I like to look at on-exchange reserves. Did you see that the ETH balance is now almost at a 2-year low… this is supportive and hints at a strong conviction (or just high staking rate) from ETH holders.
Written by: Justin d'Anethan, Sales Manager
Welcome to the Weekender: Your weekly round up of the most viewed stories of the week, as voted by you, our readers. This week has seen the negative news flow replaced with tales of adoption, it appears the central bankers, country leaders, and the financial institutions have all agreed: Digital finance is here to stay.
Bitcoin has remained subdued today, with a tight $1,500 dollar trading range. Weekend trading sessions have been volatile as of late, which heighten awareness and interpretations of price action. We could well see fake out moves to both the upside and the downside this weekend, as the market looks for a move that doesn't transpire.
While global investors seem to believe we’re in a recovering economy, the inflation data that came through earlier today in the US, left most selling risk assets for now. Stocks retreated and bonds were bought, pushing the 10-year yield below 1.5%. Gold also edged lower.