First Mover Asia: Cryptos Short Winning Streak Ends As Investors Remain Cautious
Hello. Here is what happens:
Prices: Bitcoin and Ether fell slightly to break a three-day winning streak, although the largest crypto by market value continued to change hands near $17,000.
Knowledge: An IEO to crypto exchange Binance shows that many investors remain high on cryptocurrencies, despite the ongoing bear market.
−10.4 ▼ 1.2%
−185.3 ▼ 1.1%
−10.1 ▼ 0.8%
S&P 500 daily close
−3.5 ▼ 0.1%
+68.5 ▲ 3.9%
10-year Treasury yield
BTC/ETH price per CoinDesk Indices; gold is the COMEX spot price. Prices from around 4 p.m. ET
Bitcoin’s Short Winning Streak Ends
By James Rubin
Crypto prices, which had been rolling this week, retreated on Thursday, underscoring investor caution about the fate of the industry and the broader economy.
Bitcoin was recently trading just below $17,000, down 0.8% in the past 24 hours. The largest cryptocurrency by market capitalization had risen for three straight days amid encouraging jobs and productivity data and hopes that the US central bank was ready to scale back its hawkish monetary policy. On Wednesday, US Federal Reserve Chairman Jerome Powell suggested in a speech at the Brookings Institute that the Fed could raise interest rates by 50 basis points, down from its recent regime of 75 basis points. .
But in the 36 hours since Powell’s remarks, cryptos have been largely unimpressed with the prospect of increased liquidity and more concerned about contagion from the collapse of crypto exchange giant FTX, without talk about the other debacles of 2022 that continue to make their way through the courts.
“Cryptos are in trouble,” wrote Edward Moya, senior market analyst for exchange market maker Oanda, in an email. “Concerns are mounting that Tether loans could be the next big risk to the cryptoverse. to new lows.”
Ether was holding steady slightly below $1,300, down 1.2%. Other major cryptos were largely in the red, albeit slightly overshadowed, although popular coin DOGE recently fell more than 4%. DOGE had climbed around 50% over an eight-day period from November 22. MATIC, the Polygon layer 2 blockchain platform token, is down more than 2% after rising at least partially in the past two days on news that its application programming interface (API) would soon deploy on the web3 indexing service, The Graph.
The CoinDesk Market Index (CDI), an index measuring the performance of cryptos, fell 1.26%.
The day for crypto largely coincided with the lackluster day for stocks, with the Nasdaq and S&P 500 down fractions of a percentage point. The Dow Jones Industrial Average rose slightly.
Moya noted that investors — crypto and otherwise — would be waiting for the release of nonfarm payrolls data for the latest reading in the labor market, which has shown signs of cooling over the past few months. In November, private companies added just 127,000 jobs, according to payroll processor ADP, less than half the number in October.
Meanwhile, Pranav Kanade, portfolio manager for mutual funds and ETF firm VanEck, told CoinDesk TV’s First Mover program on Wednesday that it would be difficult to predict where crypto prices would bottom, though. that he sounded an optimistic note regarding the recent industry crises and market downturn.
“When we look at one of the positive aspects of what just happened, you’ve seen a lot of investors withdrawing assets in self-custody,” he said, adding, “I guess everyone who stays in the ecosystem are likely true believers in the underlying technology and even the future rise of the asset class.”
The biggest winners
The biggest losers
In some corners, crypto dreams are still thriving
By Shaurya Malwa
What bear market?
Depending on where you look, the crypto dream is in full swing.
A recently concluded initial exchange offering (IEO) at crypto exchange Binance saw participants lock up over 9 million BNB, valued at over $2.7 billion, as they vied for the allotment Hooked Protocol HOOK tokens.
The IEO, an exchange-administered fundraising event, comes as crypto markets face a year-long bear market that has been exacerbated by the implosion of several major projects, most recently the giant of the FTX crypto exchange. Some tokens lost up to 95% of their value amid the contagion, and bitcoin, the largest cryptocurrency by market cap, plunged more than 60%.
IEOs typically see users locking up a certain amount of tokens native to that exchange to allocate to another token that would soon be traded on that exchange.
A total of 114,772 participants pledged 9,010,765.2954 BNB during the subscription period, representing an oversubscription of 1,066x. Users would receive 139.44 HOOK to 13,944 HOOK depending on the BNB they lock. The BNB would be returned to users after HOOK distribution – minus a predetermined fixed amount ranging from 0.4 BNB to 4 BNB.
Hooked Protocol builds the access layer for Web3 applications and custom “learn and earn” products. HOOK is the governance token of the ecosystem, and is used to access community events and exclusive NFTs, and for in-app purchases, including gaming tools, for dApps built on Hooked.
Hooked Protocol raised over $6 million in two rounds of private token sales earlier this year and has a current valuation of $60 million. HOOK’s total supply is 500 million and the outstanding supply at sign-up will be 50 million.
International Blockchain Advances Symposium (Singapore)
Philippine Blockchain Week (Philippines)
In case you missed it, here’s the most recent episode of “First Mover” on CoinDesk TV:
Sam Bankman-Fried: “I did not knowingly mix funds”; Binance Exec on Crypto Industry Recovery Initiative
The crypto community reacts to Sam Bankman-Fried’s New York Times interview in which he expressed regret over the collapse of his exchange, but refrained from admitting fraud. Binance Chief Strategy Officer Patrick Hillmann joined “First Mover” to discuss the exchange’s crypto industry recovery initiative. Additionally, MakerDAO founder Rune Christensen joined “First Mover” to talk about the future of decentralized lending.
The US CFTC Commissioner cites the latest crypto sanction in a call for new rules: Commissioner Kristin Johnson is pushing for her agency to work on policies to further tighten custody of client assets as the CFTC sanctions another crypto Ponzi scheme.
Magic Eden launches a protocol to enforce creator royalties: The first market for Solana NFTs had moved to an optional creator-fee model in October.
Binance Exec says the company’s “centralized exchange” may not exist in 10 years: Chief Strategy Officer Patrick Hillman said the exchange may become obsolete due to the crypto industry’s shift towards decentralized finance.
FTX’s collapse highlights the need for global crypto regulation, US Treasury’s Adeyemo says, Reuters reports: Deputy Treasury Secretary Wally Adeyemo said these regulations are important to ensure investor protection, consumer protection and financial stability.
The crypto industry is a disaster in need of a rebrand, says a UK lawmaker: Lord Cromwell pleads with the industry to let their ‘bad boats’ die out at sea and drop the word ‘crypto’ after FTX’s collapse.
#Mover #Asia #Cryptos #Short #Winning #Streak #Ends #Investors #Remain #Cautious #crypto strategy