BTC is currently trading around $20,700 and ETH around $1,600. Notable gainers in the last 24 hours are MATIC, SNX, and DASH. The global crypto market cap is ~$1.07T, down ~2.5% over the last day. DeFi Total Value Locked is ~$55b and BTC dominance is around 40%.
Global equities are mixed this morning, while crypto is moving lower. Tuesday’s US midterm elections are at the forefront this week. Republicans are expected to gain control of the House, but the Senate race is much tighter, and FiveThirtyEight’s model forecasts a slight Republican edge (54% vs. 46%). The same model forecasts a ~53% chance of a Republican sweep, a ~30% chance of a red House and a blue Senate, and a ~16% chance of a Democrat sweep. Thursday’s US CPI report is the week’s most prominent data release.
It was a dramatic weekend in crypto markets as Alameda insolvency rumors spread, and Binance announced it would be liquidating its remaining exposure to Alameda-affiliated exchange FTX’s token, FTT. Surprisingly, Alameda’s CEO replied on Twitter that it would acquire Binance’s full block at $22/token, but Binance’s execution plans for the sale remain to be seen. It’s also been a busy start to the week for big tech headlines. Apple announced that Covid restrictions in China would impact deliveries of their top-of-the-line iPhone models. Meta is reportedly planning significant layoffs this week, and Twitter is reportedly asking dozens of ‘mistakenly’ laid off employees to return to the company.
Notable news includes: the Federal Reserve Bank of NY released the results of its CBDC research with spot FX trades settling in less than ten seconds on average; Google Cloud announced the expansion of its Blockchain Node Engine business to Solana; JPMorgan executed its first DeFi trade on a public blockchain with the help of the Monetary Authority of Singapore; the SEC issued subpoenas to some HEX influencers; Huobi issued a statement saying pNetwork’s actions on pgala were malicious and not a white hat exploit; ~3,500 pre-production Solana phones are expected to ship to developers in December before a 2023 rollout; Helium plans to prioritize free 5G network trials to early Solana phone users; BitDAO is voting on a proposal to earn yield on a portion of its $2.1b treasury; Solana NFT sales surged on the y00ts reveal; Arca shuttered its TerraUSD-exposed fund; and, Amber Group reduced its valuation to $3b, seeking to raise an additional $100m.
Authors:
Matt Kunke, Junior Strategist | Twitter, Telegram, LinkedIn
Brian Rudick, Senior Strategist | Telegram, LinkedIn
This material is provided by GSR (the “Firm”) solely for informational purposes, is intended only for sophisticated, institutional investors and does not constitute an offer or commitment, a solicitation of an offer or commitment, or any advice or recommendation, to enter into or conclude any transaction (whether on the terms shown or otherwise), or to provide investment services in any state or country where such an offer or solicitation or provision would be illegal. The Firm is not and does not act as an advisor or fiduciary in providing this material.
This material is not a research report, and not subject to any of the independence and disclosure standards applicable to research reports prepared pursuant to FINRA or CFTC research rules. This material is not independent of the Firm’s proprietary interests, which may conflict with the interests of any counterparty of the Firm. The Firm trades instruments discussed in this material for its own account, may trade contrary to the views expressed in this material, and may have positions in other related instruments.
Information contained herein is based on sources considered to be reliable, but is not guaranteed to be accurate or complete. Any opinions or estimates expressed herein reflect a judgment made by the author(s) as of the date of publication, and are subject to change without notice. Trading and investing in digital assets involves significant risks including price volatility and illiquidity and may not be suitable for all investors. The Firm is not liable whatsoever for any direct or consequential loss arising from the use of this material. Copyright of this material belongs to GSR. Neither this material nor any copy thereof may be taken, reproduced or redistributed, directly or indirectly, without prior written permission of GSR.