The S&P dropped another 1.3% and the Nasdaq dropped more than 2.5%.
In the crypto space, while we’re far from being qualified as the ‘real economy,’ we seem to be enjoying a bullish tilt as well. BTC is back above $50,000, closing the session up more than 5%. The intraday high even took us back to $52,600.
Alts also had a great day, not only up in USD terms, but also outperforming BTC (for some). LTC is up almost 8%, ETH is closing the day up well over 7%, and LINK is up almost 7%. DOT and ADA, typically bold explorers, stayed put, with moderate 2-3% gains.
It’s worth noting that the supply of USDT, typically the conversion point from fiat onto different cryptocurrencies, has been rising steadily. This suggests that the appetite for crypto has not waned and, if anything, is growing insatiably.
Looking at other on-chain data, I’m loving some CryptoQuant data showing the mean inflow to exchanges along with the whale ratio (think large amount of coins about to be sold/traded). So far, we’re at relatively low levels, suggesting that large holders aren’t as present as they typically would be prior to large sell-off’s. This is supportive of decreased supply and increased demand (ie. higher prices).
Away from pure price action, we heard of yet another billionaire investor getting involved in crypto: This time, Marc Lasry invested in the crypto firm BlockTower.
Maybe even more importantly, Ethereum is now available on Amazon Managed Blockchain service. This hints at not only transactions, but also a flurry of smart-contracts that could help Amazon’s merchants, users and partners. If this isn’t bullish, I don’t know what is.
Written by: Justin d'Anethan, Sales Manager
Yesterday's trading was mixed. Early in the session, even with reports of economic slowdown in the US, traders were still buying, maybe thinking it solidified the accommodative Fed policies.
Yesterday’s narrative was somewhat bittersweet. On the one hand, Fed policies remain hyper accommodating, which is positive. On the other hand, the accommodating stance is based on lingering concerns about the economic recovery in the US (and also globally).
Bitcoin has fallen back below $40,000 today, as the denial from Amazon of the impending acceptance of Bitcoin as a payment method came through. Prices returned to our support level of $36,500 before rallying once more, a sign that this move may be supported by more than just click-bait headlines.