Daily Market Update: Oct 21, 2022

October 21, 2022

BTC is currently trading around $18,900 and ETH around $1,300. Notable gainers in the last 24 hours are CSPR, EVMOS, and QNT. The global crypto market cap is ~$943B, down ~1.7% over the last day. DeFi Total Value Locked is ~$67b and BTC dominance is around 42%.

Risk markets are continuing their downward second half of the week. Treasury yields continue their push higher, negatively impacting risk appetite as the 10Y yield reached ~4.3%. Investor focus remains on earnings and any read-throughs to the trajectory of interest rates. Snapchat is down ~30% in pre-market trading after reporting its worst quarterly sales growth on record as companies pull back on ad spending. Facebook, Google, and Pinterest are all pointing towards a gloomy open on the negative read-through from Snapchat. Elsewhere in advertising, Elon Musk reportedly told prospective investors he intends to cut ~75% of Twitter’s staff.

Notable news includes: a Hong Kong Monetary Authority experiment indicated CBDCs could be facilitated with private stablecoins; Vietnam ranked first in global crypto adoption according to Chainalysis; Tether’s USDT will become available at more than 24k ATMs in Brazil; Coinbase waived fees on USDC to fiat conversion in an attempt to attract more global usage; Foundry data indicates there is a gap of $5/TH in ASIC prices between where sellers will sell and where buyers will buy; the Jack Dorsey-backed decentralized social network Bluesky gained ~30k signups in 48 hours; and, US officials are discussing whether to subject some of Elon Musk’s ventures to national security reviews.

Matt Kunke, Junior Strategist | TwitterTelegramLinkedIn
Brian Rudick, Senior Strategist | TelegramLinkedIn

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.