The S&P, Nasdaq, and Dow are all in the red for yet another session, all mostly down 5% from all-time highs. Gold and bonds continue to hold up, along with the dollar.
BTC is falling just like equities are, albeit with more volatility. After the previous session’s 9% drop, BTC fell another 6%, breaking below the 45K resistance and briefly touching $39,800. We’re currently back up slightly, at $40,900.
As one could have expected, the BTC dominance is rising but, really, not by much. We’re currently at 42.40.
While AVAX and STX are holding up, pretty much any altcoin you look at is down. Among the worst performers are XTZ and ATOM, falling a full 10% on the session. LINK, LUNA, and MATIC are down almost as much.
Onto news and on-chain data:
It’s great to hear that Invesco and Galaxy Digital are partnering up to propose a BTC ETF in the US, which would be physically-backed.
We also heard that crypto miner Genesis Digital Assets raised over $400 million in new capital.
There are also two charts I thought were really interesting.
The first one shows NFTs and the amount of pieces that are actually resold (meaning find a buyer). In a not-so-optimistic way, it shows that most artwork (73%) isn’t ever transacted more than once.
With a more optimistic tilt, a chart by CryptoQuant seems to suggest that we’re still very much in an accumulation phase. By looking at exchange inflows and outflows and overall exchange reserves, we can see that people are holding more and more, and really not prepared to sell more. Naturally, that can change rapidly but, for now, while prices drop, the impetus is still to the upside.
No surprise here, right. We’ve been talking and expecting new all-time highs for the past few days.
You can probably feel it, see it, hear it. Crypto markets are higher. We haven’t reached new all-time highs but, boy, are we close!