Twitter CEO & Bitcoiner Jack Dorsey is Out, Ethereum Is In

Ether is also leading the market as it surpasses $4,710 today, down less than 7% from its ATH, while Bitcoin uptrends at a much slower pace to $58.7k, 16% off of its $69k high.

Bitcoin proponent Jack Dorsey stepped down from his position of Twitter’s chief executive officer on Monday.

The same day, crypto enthusiasts found that Twitter’s tips button now features an Ethereum address.

Dorsey has been known for focusing only on Bitcoin and time and again clarifying that his crypto focus will only concentrate on the leading cryptocurrency alone. Now, on the day of his resignation, Ether enthusiasts got the gift of inclusion on Twitter.

However, while recognized this week, the option has been in the test-out phase since September.

The Tipping feature on Twitter is currently restricted to iOS users, but the company plans to roll out the support for the users of Android mobile devices.

The second-largest cryptocurrency, which has a market cap of $523 billion, is also showing strength and leading the market, while Bitcoin is currently struggling.

Today, Ether surged past $4,720, and as of writing, ETH is trading around $4,710, down 7% from its all-time high of $4,875 about 20 days back. On the other hand, Bitcoin is down 16% from its ATH of $69,000 hit also 20 days back, as it surged to $58,825 on Tuesday.

According to Delphi Digital, “All in all, the market doesn’t look too hot here, but taking the long view, we believe any near-term downside volatility will wind up being rather short-lived.”

Over One Million ETH Burned

117 days ago, on August 5th, the Ethereum network implemented the London hard fork upgrade, which included EIP-1559 that changed its fee rate to make the crypto asset deflationary.

Now, after about four-month, more than 1 million Ether worth over $4 billion has been officially burned, according to Dune Analytics.

The biggest contributor to this Ether burn is NFT marketplace OpenSea, accounting for 115,517 ETH. With just over 100k ETH burned, Ether transfers come in second place.

While the popular DEX Uniswap’s V3 comes in third place with over 98k ETH burned, together with V2, Uniswap (UNI) is responsible for the highest amount of Ether burned at more than 134,200 ETH.

Other top Ether burners include stablecoin USDT, Ethereum wallet MetaMask, stablecoin USDC, NFT play-to-earn game Axie Infinity (AXS), 1Inch, SushiSwap, SHIB, smart contract deployments, and MEV Bot.

JPMorgan Reiterates Ether Being Better than Bitcoin

According to baking giant JPMorgan Chase, Etherum can be a better and safer bet for investors than Bitcoin because of the utility its underlying technology offers. BTC -1.38% Bitcoin / USD BTCUSD $ 57,017.37
-$786.84-1.38%
Volume 36.74 b Change -$786.84 Open $57,017.37 Circulating 18.89 m Market Cap 1.08 t
6 h Investment Firm Launches Another Attempt at Ether Futures ETF With Kelly Ethereum Ether Strategy ETF 8 h Twitter CEO & Bitcoiner Jack Dorsey is Out, Ethereum Is In 9 h Polkadot (DOT) and Solana (SOL) Continue To Be The Winners Of Inflows Relative To AUM

“The rise in bond yields and the eventual normalisation of monetary policy is putting downward pressure on bitcoin as a form of digital gold, the same way higher real yields have been putting downward pressure on traditional gold,” JPMorgan said in its recent report.

Ethereum, according to them, has already played a leading role in the emerging decentralized finance (DeFi) and non-fungible tokens (NFT) and because of greater focus by investors on environmental, social, and governance investing.

“With Ethereum deriving its value from its applications, ranging from DeFi to gaming to NFTs and stablecoins, it appears less susceptible than bitcoin to higher real yields,” they added. Still, as per JPMorgan, both cryptocurrencies are currently overvalued and far too volatile for most institutional investors.

A recent survey from uk.investing.com also found that 52% of investors plan to invest in Ether before the year is over compared to 48% who intend to buy Bitcoin.

“Many crypto investors have turned more bullish on Ethereum over the past year thanks to its increased involvement in DeFi projects and NFTs,” said Jesse Cohen, a senior analyst at uk.investing.com.

Read Original/a>
Author: AnTy

After State Regulators, Now SEC is Scrutinizing BlockFi for Offering Yield Much Higher Than Banks’ 0.06%

After State Regulators, Now The SEC is Scrutinizing BlockFi for Offering Yield Much Higher Than Banks’ 0.06%

The US Securities and Exchange Commission (SEC) is now scrutinizing crypto lender BlockFi over its yield generating account that offers as much as 9.5% annual yield, which dwarfs the 0.06% average interest rate for bank savings accounts.

As we reported, BlockFi Interest Accounts (BIA) has already been gaining scrutiny from the regulators in different states, and it has been in “active dialogue” with respective regulators.

Unlike bank deposits, crypto accounts aren’t insured by the federal government, which is one of the regulators’ concerns.

The securities regulators at the state level have launched a broad examination of crypto lending firms that includes Celsius Network. In July, New Jersey’s Bureau of Securities demanded that BlockFi cease and desist from offering its accounts. Kentucky took a similar action, while authorities in Texas, Alabama, and Vermont told the firm to demonstrate why their states shouldn’t ban its lending product.

But BlockFi believes “it is lawful and appropriate for crypto market participants” and has been saying that “appropriate regulation of this industry is key to its future success.”

BlockFi supports a number of stablecoins, including BUSD, DAI, GUSD, PAX, USDC, and USDT.

image1

Backed by Bain Capital and Tiger Global Management, BlockFi boasts over 500,000 retail accounts and was recently valued at more than $4 billion. Amidst the growing scrutiny, the company is on pace to make $475 million in gross revenue this year, as per BlockFi CEO and co-founder Zac Prince.

“Things aren’t slowing down,” said Prince during a recent interview at Bloomberg’s Financial Innovation Summit earlier this month.

The SEC is now reviewing whether the BlockFi accounts are securities and need to be registered with the regulator, reported Bloomberg, citing a person with knowledge of the matter.

The regulator, however, hasn’t accused the lender of any wrongdoing. Also, not all agency investigations lead to enforcement actions.

SEC Chair Gary Gensler, meanwhile, has repeatedly asserted that he believes crypto firms are selling products that should be registered with the agency. Cryptocurrency exchange Coinbase has already dropped its plans for its Lend product which would have paid a fixed 4% interest on crypto holdings after the SEC threatened to sue it.

Read Original/a>
Author: AnTy

DEX & OTC Brokers Adoption Growing Significantly Since 2019, More Than Centralized Exchanges

DEX and OTC Brokers Adoption Growing Significantly Since 2019, More Than Centralized Exchanges: Report

Decentralized exchanges (DEXs) and OTC brokers are gaining adoption as centralized and high-risk exchanges see their number dip slightly, according to a new report by blockchain analytics firm Chainalysis.

As cryptocurrency adoption grows and attracts institutional investors, the value moving to exchanges is trending upwards to its highest above $750 billion in May 2021.

So has grown the number of active crypto exchanges, which peaked in July 2020 at around 845. Since then, it has been going down and, as of August 2021, sits at 672.

Since the beginning of 2019, the data shows that the number of active DEXes and OTC brokers has actually been climbing significantly, with derivatives exchanges growing as well but only modestly.

DEXs popularity also coincides with the “explosive growth” of the decentralized finance (DeFi) sector, as per the report.

image1

Centralized exchanges and high-risk exchanges have actually seen their numbers dip slightly after initial increases.

“We see that DEX users carry out much larger transactions than centralized exchange users.”

“This is likely because DeFi is also more popular in countries with bigger, more established cryptocurrency markets, which also tend to be wealthier countries.”

While large DEXs, OTC brokers, and centralized exchanges grew their transaction volume substantially during this period, derivatives exchanges grew the most in value received at 686%.

Total value received by DEXes grew from $10 billion in July 2020 to an all-time high of $368 billion in May 2021 and sat at just under $143 billion as of September 2021. As for why larger exchanges are growing, the number of unique assets available is of significance here as more assets generally correlate with higher transaction volume.

Read Original/a>
Author: AnTy

Michael Novogratz’s Galaxy Adds More than $3B in Assets This Year as Ether Picks Up Steam

Michael Novogratz’s Galaxy Adds More than $3 Billion in Assets This Year as Ether Picks Up Steam

Ether is going mainstream, much like Bitcoin did a year-and-a-half ago. Also, crypto is now becoming an asset class.

Crypto billionaire Michael Novogratz’s Galaxy Digital Holdings (GLXY) recorded its biggest ever cash influx as Bitcoin and Ether rallied to their all-time highs.

Currently trading just under $62,000, Bitcoin made its ATH at $67,000 on Oct. 20. Ether meanwhile hit a new peak on Wednesday at $4,675 and is currently consolidating around $4,500, up over 520% this year so far.

While Ether is inching closer to $5k, Goldman Sachs has estimated that the digital asset’s price is set to reach $8,000 by year-end because “it has tracked inflation markets particularly closely.” The lastest spike in inflation breakevens suggests more upside for the second-largest cryptocurrency.

Crypto Becoming An Asset Class

At the end of October, Galaxy had $3.2 billion in assets, an increase of 45% from the prior month, according to global asset management head Steve Kurz. At the beginning of the year, the asset manager had less than $1 billion under its management.

One of the main drivers of its growth is Ether-focused Canadian ETF. The CI Galaxy Ethereum ETF (ETHX) has amassed more than $1 billion since launching in April.

According to Kurz, this flood of cash will continue to build as Ether gains mainstream adoption.

“Crypto’s becoming an asset class, not just an asset.” “From a market infrastructure and development of the asset class perspective, Ether is picking up steam, probably the way Bitcoin did a year-and-a-half ago.”

GLXY shares have also jumped 13% in the first three days of November, following the 50% uptrend last month.

Bitcoin Facing Competition From Ethereum

The US has yet to see an Ether ETF though the first Bitcoin ETF started trading last month, but it was linked to futures contracts trading on the CME, and a spot crypto ETF is nowhere near being approved. Analysts expect Ether futures ETF to get the green light soon as well, even before the physically-backed Bitcoin fund gets approved.

Besides the potential to have its future ETF launching, CME has also announced that it is launching Micro Ethereum Futures early next month.

“It has become clear in the last six months that bitcoin faces competition as Ethereum and other Layer 1 assets become more innovative, with DeFi and NFT use cases, while bitcoin’s primary use case continues to be as a scarce, fungible digital asset,” said Chainalysis chief economist Philip Gradwell.

He pointed out how an additional 4 million ETH have flooded into DeFi in the last six months, bringing the total to 17.6 million Ethereum — 15% of Ether’s total supply.

“These are all very positive developments for crypto, and I think its potential is now clearer than ever,” said Gradwell.

Read Original/a>
Author: AnTy

Direxion Withdraws ETF to Short BTC, Ether Futures ETF Expected to be Approved Next as ETH Hits ATH

Ether price has hit a new ATH at $4,645, up more than 530% YTD, as the supply shocks become real, making ETH scarcer amid rising demand.

Direxion has filed a request with the US Securities and Exchange Commission (SEC) to withdraw the Bitcoin Strategy Bear ETF.

The exchange-traded fund issuer first made the ETF application on October 26. The SEC staff asked for the filing to be withdrawn on the day it was filed.

The Direxion Bitcoin Strategy Bear ETF would have offered short exposure to Bitcoin futures contracts listed on CME, which means betting that the cryptocurrency’s price would fall.

“While it does seem a bit inconsistent given their acceptance of the Bitcoin futures markets, it isn’t surprising and is likely part of a ‘baby steps’ regulatory mindset,” said Eric Balchunas, an analyst with Bloomberg Intelligence, about the SEC’s request. “I bet we will see one someday, but only when they feel ready.”

The day Direxion filed for its Bear ETF, Valkyrie also filed for a leveraged fund, XBTO Levered BTC Futures ETF, which would have delivered 1.25x the reference price of Bitcoin. Much like Direxion’s ETF, SEC staff asked Valkyrie to withdraw its leveraged Bitcoin ETF, which it did last week.

At the time, the WSJ reported that the SEC has signaled that it wants to limit new bitcoin-related products to those that provide unleveraged exposure to bitcoin futures contracts.

The first US bitcoin futures-based, ProShares Bitcoin Strategy ETF, was approved a couple of weeks back, amassing $1.1 billion in assets.

As we reported this week, the SEC also postponed its decision on asset manager Valkyrie’s proposed spot bitcoin ETF until early next year, January 7. Valkyrie was also the second company to see its bitcoin-futures ETF launch last month.

Benefit From The Same Regulatory Comfort

According to ETF experts, it is likely that an Ethereum futures ETF would get a green light before a fund that holds physical bitcoin does.

“Most market participants agree that a spot Bitcoin ETF would be superior to existing futures ETFs, yet SEC approval of the former may be delayed until late 2022 or beyond,” wrote James Seyffart, a Bloomberg analyst, in a note.

He estimated that an Ethereum futures ETF could be approved as soon as the first quarter of next year.

Given that Ether futures ETFs are also traded at CME, it follows the same path that had SEC comfortable with Bitcoin futures ETF, so “they’re likely to benefit from the same regulatory comfort,” said Carlo di Florio, a former SEC official.

This week, CME Group also announced that it is launching Micro Ether Futures, which will be 1/10 the size of one Ether. Amidst all this, the price of Ether hit a new all-time high at $4,645, up more than 530% YTD.

Ether’s supply percentage on exchanges has also been trending down since August last year, going from ~27% to ~12%. In contrast, the % supply of ETH deposited in smart contracts has been making new highs during this period, climbing from ~10% in June 2020 to now ~21%.

“We are witnessing a structural shift in which more digital assets are shifting from centralized custodians & service providers to decentralized counterparts. The biggest tailwind that’s driving this phenomenon is hot money searching for higher yields on Ethereum,” noted Delphi Digital.

The growing activity on Ethereum also has the median gas prices climbing beyond levels seen during the August-September NFT frenzy. While NFT activity is dropping, the increased volatility in the market means arbitrage opportunities.

Rising gas fees also means an increasing amount of ETH getting burned. While since the implementation of EIP-1559, OpenSea was leading the way as the number one contributor to ETH burning, now Uniswap v2, USDT, and ETH transfers stepped up to fill the void with NFT activity cooling down.

image1

Thanks to the increased on-chain activity and high gas prices, Ethereum had its first-ever deflationary week since its inception. Additionally, with more liquidity leaving exchanges and being locked up in smart contracts, a sustained deflationary scenario will contribute to a supply shock as ETH becomes scarcer amid rising demand.

Moreover, after the Beacon Chain Altair update late last month, the network is moving closer to Etherum 2.0 merge.

Read Original/a>
Author: AnTy

Grayscale Kickstarts SEC Review of its Spot Bitcoin ETF (‘BTC’) Application

Grayscale Bitcoin Trust (GBTC) has more than $40 billion assets under management and is currently trading at a steep 16.56% discount.

The day the first Bitcoin ETF launched in the US, the largest digital asset manager Grayscale Investments announced that it had filed to convert the world’s biggest Bitcoin fund into a spot ETF.

The Grayscale Bitcoin Trust will trade under the ticker symbol ‘BTC.’

Unlike the ProShares Bitcoin Strategy ETF (BITO), whose debut was the second most traded ETF with more than $1 billion worth changing hands, Grayscale’s ETF will be backed by actual units of the leading cryptocurrency.

The filing by Grayscale along with the NYSE Arca has kickstarted a window for the Securities and Exchange Commission (SEC) to reject or delay the GBTC conversion application. The SEC has 75 days to review the application.

While the SEC has allowed the derivatives-based product to launch, Chair Gary Gensler has emphasized that it offered more investor protection. Physically-backed Bitcoin ETF was first filed by Winklevoss twins in 2013, and in the past eight years, the agency has rejected every single one of them.

Launched in 2013, Grayscale Bitcoin Trust has $41.7 billion assets under management and is currently trading at a steep 16.56% discount. GBTC holds roughly 3.44% of all Bitcoin in circulation. Michael Sonnenshein, chief executive officer, said,

“As we file to convert GBTC into an ETF, the natural next step in the product’s evolution, we recognize this as an important moment for our investors, our industry partners, and all those who realize the potential of digital currencies to transform our future.”

Sonnenshein shared on Twitter that GBTC is owned by investors in all 50 states, representing over 700K retail and institutional accounts. GBTC shares are locked up for six months; this means the holders are unable to trade in reaction to market movements.

Grayscale is committed to converting not only GBTC but also other 14 investment products into ETFs, he added.

Dave LaValle, Global Head of ETFs at Grayscale Investments, said,

“At Grayscale, we believe that if regulators are comfortable with ETFs that hold futures of a given asset, they should also be comfortable with ETFs that offer exposure to the spot price of that same asset.”

Read Original/a>
Author: AnTy

George Soros Owns Bitcoin, But CEO says It’s ‘Less Interesting’ Than DeFi Use Cases

George Soros Owns Bitcoin, But CEO says It’s ‘Less Interesting’ Than DeFi Use Cases

According to Dawn Fitzpatrick, Bitcoin has “crossed the chasm to mainstream” and sees CBDCs to be here “quicker than people expect.”

Soros Fund Management, the family office of billionaire investor George Soros has invested in Bitcoin, reveals the CEO Dawn Fitzpatrick.

In an interview with Bloomberg this week, Fitzpatrick talked about the Fund with $27 billion in assets under management owning BTC, but only some.

“From our perspective again, we own some coins, not a lot, and the coins themselves are less interesting than the use cases of DeFi and things like that.”

While there have been previous reports that the Soros Fund had started trading Bitcoin and has also been an investor in the space through NYDIG and Lukka, this is the official confirmation from the CEO.

“I’m not sure bitcoin is only viewed as an inflation hedge. Here I think it’s crossed the chasm to mainstream.”

She pointed to the cryptocurrencies market cap, which has surpassed $2 trillion, and more than 200 million people around the world being involved in crypto to support the fact that “this has gone mainstream.”

As Soros being a Bitcoiner spread the market, Bitcoin price went to hit a five-month high of $55,700 and claim back the status of being a trillion-dollar asset class.

While Bitcoin is leading the crypto market right now, altcoins also see gains sending the total crypto market cap to almost $2.4 trillion.

Besides crypto, Fitzpatrick also commented on central bank digital currencies (CBDCs), saying they are “going to be here, I think quicker than people expect.”

According to her, China’s digital yuan would be a “potential threat to other bitcoin and other cryptocurrencies,” But this will only be temporary, “I don’t think they’ll be successful in permanently destabilizing bitcoin,” she added.

Read Original/a>
Author: AnTy

AXS Renews Pumping as Staking Goes Live, More than 10 Million Axie Infinity Tokens Staked Already

AXS Renews Pumping as Staking Goes Live, More than 10 Million Axie Infinity Tokens Staked Already

In a matter of two days, $1.17 billion worth of AXS tokens has been staked at 227% APR. The team plans to introduce voting rights to AXS stakers and have a say over the use of the Community Treasury, holding over two billion dollars worth of tokens.

With a pump of 70% in the past 24 hours, the AXS token has surpassed $100 to hit a new all-time high of $121. The $6.9 billion cryptocurrency is up 191x year-to-date.

Interestingly, back in November 2020, when the price of AXS was less than $0.50, Axie Infinity struggled to get investors. At the time, the project reported selling 4% of its total supply token to raise $864,000 in a private sale of 10,800,000 AXS to strategic investors in the middle of 2020.

The investors, including the likes of Arca, Three Arrows Capital (3AC), DeFiance Capita, DeFi Capital, and others, along with angel investors including Alex Svanevik of Nansen, purchased AXS at a 20% discount.

“Craziest thing is at the time of the round, it was so undersubbed that many people invested just to support ecosystem without any expectation of returns,” noted Su Zhu, co-founder, and CEO of 3AC. “World is unbound growth.”

AXS first gained traction this year between July and August, during which the price went from $6 to $79. After experiencing the woes in September, where it dropped to $50, AXS has started October or, as the crypto community calls it, “Uptober” with a bang.

This latest uptrend coincides with staking going live on the protocol on Sept. 30. So far, 10.36 million AXS worth $1.17 billion have been staked at an estimated reward of 227% APR.

According to the team, “Staking is a way for us to reward our community members for having a long-term mindset and locking up their AXS tokens.” The team also plans to introduce voting rights to those who stake their AXS and have a say over the use of the Community Treasury, which now holds over two billion dollars worth of tokens.

Staking the AXS tokens allows the users to earn the token rewards. Currently, 64,516 AXS are being distributed as rewards daily.

AXS tokens are distributed to the founding community member based on the snapshot taken on October 26th, 2020.

The NFT blockchain game is already the second-largest revenue generator in the last three months at $783 million after Ethereum, according to Token Terminal. Overall, it stands at 3rd spot, having earned $805 million so far after Ethereum’s $1.3 billion and $1.5 billion by Filecoin.

Read Original/a>
Author: AnTy

China’s Leading Crypto Exchange, Huobi, Custodies More than $1 Billion in Assets

China’s Leading Crypto Exchange, Huobi, Custodies More than $1 Billion in Assets

Huobi Technology Holdings Limited holds more than $1 billion worth of crypto assets in custody.

The largest cryptocurrency exchange in China noted on Thursday that at the end of August, the assets under Huobi Trust Hong Kong’s custody exceeded $1 billion.

Huobi Trust Hong Kong is a licensed trust company registered in Hong Kong which provides virtual asset custody services. In April, it successfully registered as a trust company in Hong Kong and is now fully licensed under the Hong Kong Trust and Company Service Provider (TCSP) license.

The company said it had been actively developing its trust and custodian business provided by this Hong Kong entity along with Huobi Trust US.

“Since the beginning of the year, virtual assets represented by Bitcoin have set off a wave of enthusiasm to investors.”

Among its clients include hedge funds, market makers, digital banks, virtual asset exchanges, and licensed lenders.

Read Original/a>
Author: AnTy

Bitcoin, Crypto, and Stocks Dip While USD Rips as Money Flows into the Private Market

September is turning out to be a historically accurate month so far.

More than half of the month is gone, and Bitcoin’s price hasn’t done anything but either drop or trade sideways.

After starting the month above $47,000, the price of bitcoin went on to hit $53,000 before the first week of September was over. But from there, we only dropped lower to as low as $42,000 before even Sept. 8 was here.

Since then, not much has occurred with Bitcoin, keeping between $43k and $49k.

Like Bitcoin, Ether rallied from about $3,400 to just past $4k only to drop to $3k.

As of writing, BTC/USD is trading around $44,500 and Ether $3,100, with the total market cap also back around $2 trillion.

As we reported earlier this month, September has historically seen an average return of negative 7.8%. And currently, Bitcoin is about 4.2% down from where it started the month and Ether about 7.3%.

While the majority of the cryptocurrencies are down, some altcoins did outperform in the first half of the month, such as Solana, Avalanche, and Cosmos. SOL -13.93% Solana / USD SOLUSD $ 132.02
-$18.39-13.93%
Volume 5.61 b Change -$18.39 Open $132.02 Circulating 296.97 m Market Cap 39.21 b
5 h Bitcoin Price Flash Crashes to $5,400 on Solana-based Oracle Pyth Network Causing Liquidations 9 h JPMorgan says Ether Is Overvalued at Current Prices and DeFi’s Institutional Adoption Is Above 60% 11 h Bitcoin, Crypto, and Stocks Dip While USD Rips as Money Flows into the Private Market
AVAX -19.02% Avalanche / USD AVAXUSD $ 57.01
-$10.84-19.02%
Volume 2.35 b Change -$10.84 Open $57.01 Circulating 220.29 m Market Cap 12.56 b
10 h Even Ethereum Layer 2 Solutions Are Earning Significantly Higher Fee Revenue than Bitcoin 11 h Bitcoin, Crypto, and Stocks Dip While USD Rips as Money Flows into the Private Market 3 d It Isn’t Layer 1 or Layer 2, It’s Time for LayerZero
ATOM -23.10% Cosmos / USD ATOMUSD $ 33.88
-$7.83-23.10%
Volume 3.47 b Change -$7.83 Open $33.88 Circulating 221.69 m Market Cap 7.51 b
11 h Bitcoin, Crypto, and Stocks Dip While USD Rips as Money Flows into the Private Market 1 w More than 65% of South Korean Crypto Exchanges to Shut Down Once FSC Deadline Hits 2 w “Moon” Is Not the Limit for Bitcoin, says Chainalysis CEO But be Wary of Downside Risk & Level of Retail Mania

Dollar Is Showing The Strength

The crypto market, however, is not alone in seeing losses. S&P 500 has also been on a decline this month, having dropped 2.5% after hitting a new all-time high right at the beginning of September at 4545.85.

Tech-heavy Nasdaq, which also hit a new peak this month, has been down for less than a fortnight, down just over 2.3%.

As for the Dow Jones Average Index, it has slipped 3% since reaching a new high in mid-August.

While the stock and crypto market are both going down, the USD Index has been on an uptrend since last week to hit 93.432 on Monday, the second-highest level this year. The greenback aims for a 2021 high of 93.74, which it hit on August 20 and before that seen in early November 2020.

As the dollar shows strength, gold isn’t faring any better either. The bullion is trading at $1,758.71 per ounce, on a decline since early August 2020 ATH of $2,075 per ounce. Between March and May, the precious metal did get some relief rally of 14.3% above $1,900 but is now back down.

We Don’t Need Institutions Anymore

Yet another weekend of sell-off action saw $818.55 million of liquidations, with 40.86% of it happening on Bybit and 19.2% on Binance.

Due to this, open interest on Bitcoin futures dropped $1.34 billion in just two days, and Ether’s slid $360 million in four days.

While public markets are not doing well, showing a lack of institutional capital inflow, private markets see exactly the opposite.

In the month of August, the crypto and blockchain sector raised nearly $2.1 billion in private investment across over 100 rounds. The highest rounds at 65 were recorded in Seed and Pre-Series A but amassed the lowest amount at $190.6 million. The later stage gained the highest amount at $663 million but the lowest rounds, just 4.

“The overall funding environment for crypto this year – the depth, breadth, quality and size – is the single biggest factor that would lead you to believe the “four year cycle” that has historically driven crypto is likely coming to an end in real time,” commented Travis Kling who’s running Ikigai Fund, on the amount of capital being invested in the crypto infrastructure.

According to Three Body Capital, with crypto here to stay as people adopt it as money, crypto no longer needs institutional validation or capital as it is getting both from people, who are the ones that matter.

“TradFi institutions remain hamstrung by the very rules and regulations they put in place to cement their prominence,” it noted.

“We think crypto’s breakthrough moment is now in progress, finding product-market fit with the average person on the street, not in DeFi or trading, but in ‘normie’ things like gaming and art.”

Read Original/a>
Author: AnTy