Daily Market Update: October 27, 2023

October 27, 2023

BTC is currently trading around $34,100 and ETH around $1,800.  Notable gainers in the last 24 hours are NEO, INJ, and RUNE.  The global crypto market cap is $1.31T, down 0.6% over the last day.  DeFi Total Value Locked is ~$41b and BTC dominance is around 54%.

The ECB held interest rates steady as expected yesterday, pausing for the first time after 10 consecutive hikes.  Officials stated that holding rates at current levels for a “sufficiently long duration” will help bring inflation to target, that future policy action will remain data-dependent, and that any discussion of rate cuts would be premature.  In the US, core PCE, the Fed’s preferred inflation measure, increased 3.7% year-over-year in September, inline with expectations and down 0.1 percentage points from the prior month.  Finally, Nasdaq futures are up 0.9% after Amazon reported strong earnings and as the index attempts to stem steep losses from earlier in the week.

Elsewhere, SBF testified in his own defense during a special hearing yesterday where the presiding judge sent the jury home to assess the admissibility of SBF’s statements.  During the special hearing, SBF stated that his actions were blessed by lawyers and that he both thought they were legal and that he was acting in good faith.  Today marks a pivotal day in the trial with normal testimony resuming and SBF speaking in front of the jury.

Notable news includes: Turkey revealed plans to establish a regulatory framework for crypto assets next year; Taiwan took initial steps towards digital asset regulation with the presentation of a bill to the Legislative Yuan for its first reading; US Congressional members wrote a letter asking the Department of Justice to consider charges against Binance and Tether; a US judge ordered Ryder Ripps and Jeremy Cahen to pay Yuga Labs $1.6m for violating copyright laws after making copycat versions of BAYC collectibles; Craig Wright won a US Appeals Court case over billions of dollars of bitcoin, which determined that the self-proclaimed inventor of Bitcoin wasn’t in a legal partnership with David Kleiman when they mined bitcoin together a decade ago; Kraken alerted users that it will provide certain customer information to the IRS after the tax authority ordered it to do so; Chinese ride sharing giant Chuxing began accepting digital yuan for motorcycle rentals; Ethereum core developers confirmed the Dencun upgrade will not be implemented this year; Solana Labs launched a new incubator program to help scale startups interested in building on Solana; scaling solution Arbitrum stated that Orbit is ready for mainnet, allowing developers to easily spin up their own interconnected chain; LayerZero introduced a bridge enabling users to move wstETH between Ethereum, Avalanche, BNB, and Scroll, and drawing the ire of the Lido community; the Neo blockchain revealed plans for a new EVM-compatible side chain to prevent MEV attacks; and, privacy-focused blockchain Aleo added zero-knowledge identity verification capabilities.

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Matt Kunke, Research Analyst | TwitterTelegramLinkedIn
Brian Rudick, Senior Strategist | TwitterTelegramLinkedIn

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