Daily Market Update: September 18, 2023

September 18, 2023

BTC is currently trading around $27,200 and ETH around $1,650. Notable gainers in the last 24 hours are XEC, LINK, and TON. The global crypto market cap is ~$1.12T, up 1.9% over the last day. DeFi Total Value Locked is ~$39b and BTC dominance is around 50%.

Equity markets are mostly unchanged, while crypto and bond yields are higher heading into the Fed’s interest rate decision on Wednesday. The Fed is widely expected to pause hikes, so investors will predominantly focus on Powell’s verbiage that may help elucidate the path ahead. The Fed will also release a revised dot plot at this meeting, which investors eagerly await to see if the average Fed member still believes another 25-bp hike will come before year-end. The FOMC meeting will be followed by interest rate decisions in the UK and Switzerland on Thursday, and both central banks are expected to deviate from the Fed and hike by 25 bps. We will also get a look at Eurozone CPI tomorrow.

Notable news includes: Japan revised its regulatory framework to enable startups to raise capital via digital assets; Elizabeth Warren’s controversial digital assets AML bill has gained nine new sponsors; Kazakhstan established a regulatory agency to implement its digital tenge; the crypto arm of the Stuttgart Stock Exchange revealed plans to launch a fully insured crypto staking service next year; the Nouns community was fractured on Friday after more than half of all Noun holders opted to fork and claim their share of the treasury, representing a nearly 17,000 ETH outflow from the original Noun’s treasury into the newly formed DAO; an Ethereum whale bought ~$150m notional of $2k to $2.2k strike naked ETH calls, expressing a strong directional view; a misconfiguration inhibited the launch of Ethereum’s new Holesky testnet, and a new launch attempt is expected in about a week; Magic Eden integrated Solana’s compressed NFTs into its marketplace; Bitfinex reported that crypto markets saw $55b in outflows during August; Reverie launched a $20m crypto venture capital fund; Mark Cuban lost ~870k in crypto after having his wallet drained; and, Chainalysis reported that North Korean hackers are tapping Russian crypto exchanges to launder their illicit heists.

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

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