Weekly Market Insight: October week 4

English

Market Updates

23 Oct 2023

Headline News

Bitcoin prices hit over $30K (7.5%) in minutes after Cointelegraph mistakenly reporting BTC spot ETF been approved on Monday, BTC prices erased the gain soon realised the reporting was false. However, this event demonstrated the market anticipation on spot ETF approval and continuous elevated BTC addresses age shown limited sell-off tendencies from the long-term HODLers, market found no justification for postponing their entry. Consequently, BTC prices closed the week with a 10.45% gain. UTXOs in profit rose from 72% to 85% in a week.

Macro-Outlook

S&P500 closed -2.39% last week, posting negative correlation to BTC prices. Geopolitical risk continued to escalate as Hezbollah risks dragging Lebanon into the war, while Israel stepped up its airstrikes against Gaze, Syria and West Bank. Crude oil ended the week with $88.28 per barrel, potentially remove the Fed’s effort to suppress the inflation to 2%. Strong released retail sales in September and the Fed Chair Powell’s openness to further rate-hike and extended rate-pause pushed the US 10-year treasury yield above 5% last week.

Upcoming Economic Calendar including,

- Thursday, 26th October 4:35am: Fed Chair Powell Speech (Introduction remarks at the 2023 Moynihan Lecture in Social Science and Public Policy)

- Thursday, 26th October 8:30pm: US Q3 GDP

- Friday, 27th October 8:30pm: US PCE Price Index in September

Cryptos-Outlook

- BTC spot ETF applications showed further signs of communication between SEC and applicants, such as S-3 filing from Grayscale and updated ETF prospectus from Blackrock, Ark and Fidelity.

- Bitcoin Lighting Network released the mainnet alpha of Taproot Assets, this allows users to issue, manage and explore stablecoins and other assets on Bitcoin blockchain.

- SEC dropped the lawsuit against Ripple executives Brad Garlinghouse and Chris Larsen.

- Christine Lagarde, president of the ECB announced the launch of the digital euro preparation phase.

Trending Protocols

Layer 1 and Layer 2

- Aptos went offline for more than 5 hours due to non-deterministic code introduced in August update. Despite that, Aptos TVL increased 47% in the past week.

- Scroll is integrated with LayerZero after official mainnet launched, TVL growth at approximately 70% per day.

- Avalanche introduced ACP, an open framework for proposing improvements and gathering consensus around changes to the Avalanche Network. Avalanche had recruited several executives lately to expands its business in India.

- BNB Chain officially launched the BNB Greenfield Mainnet, BNB native decentralised storage solution.

- Manta Network announced the transition of its Ethereum L2 development from OP Stack to Polygon CDK, exhibiting strong confidence in the superiority of ZK over Optimistic.

Dapps

- Uniswap introduced 0.15% interface fees, which for Uniswap Labs’ operating funds, differently from the Protocol Fees Switch.

- dYdX Trading Inc. has officially updated its charter to become a Public Benefit Corporation, enable the team to maximise the public benefit instead of shareholders benefit.

- Stacks released sBTC development release in Bitcoin Hackathon London.

- Stars Arena, Friendtech fork on Avalanche had been hacked and recovered 90% of the stolen funds introduced airdrop points distribution every Monday at 18:00 UTC.

- Friendtech keys now are able to be borrowed in platform such as Racer Loans.

- Rabby introduced Rabby desktop application.

- Worldcoin Foundation announced that Orb device operators will soon be paid for WLD tokens instead of USDC.

Upcoming Alpha: Token Unlock, Governance

- Fantom Sonic, the anticipated upgrade which potentially increases the throughput by 4x is expected to launch testnet on 24th October.

- Solana Breakpoint conference in Amsterdam starts on 30th October to 3rd November.

- dYdX v4 is expected to launch soon.

- Secret Network will reveal its new development roadmap on 26th October.

- Proposal of sunsetting Lido on Polygon in the governance forum faces backlash.

- 1inch proposed to ladder buy ETH with 1M USDC by using API v5 (Pathfinder). However, the post didn’t induce any comment for 5 days.

- Polygon proposed the creation of the Polygon Protocol Council as part of Polygon 2.0 movement. The council will be responsible for timelock-limited upgrades to Polygon system smart contracts. The timelock-limited upgrades will be overseeing for a 10-days period and required 7-out-of-13 consensus approval signatures from the council.

- Blur proposed “Blur Fee Switch Discussion”, introducing 1% base trading fee which will be used to buyback and burn BLUR daily. Based on current price and volume, it would represent approximately $1.2M (0.2% of FDV) on average monthly burn.

- GAL Token Unlocked on 27th October, amount representing 1.26% of the token supply.

- OP Token Unlocked on 30th October, amount representing 2.74% of the token supply.

- DYDX Token Unlocked on 31st October, amount representing 1.21% of the token supply.

Disclaimer

The content prepared by ChainUp Investment Limited (the “Company”) is not and shall not be construed as an investment advice and does not constitute any offer or solicitation to offer or recommendation of any investment product, including but not limited to the funds or investment products that may be offered by the Company. It is for general purposes only and does not take into account your particular objectives, financial situation, or needs. Investment involves risk and you should be aware that the value of digital assets/tokens may fluctuate greatly if such investment involves digital assets/ token. You should invest only if you are prepared to accept the risk of losing all of the money you put into such investment.The content of this email is confidential and proprietary to the Company, and no part of it or its subject matter may be reproduced, redistributed, passed on, or divulged to any other person or published in whole or in part for any purpose without the Company's prior written consent. If received in error, please inform the Company immediately. The content of the email may be restricted by law and not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to local law or regulation. The Company shall have no liability for any misuse or unauthorised distribution of the content of this email. The content of the email may contain forward looking statements that involve known and unknown risks, uncertainties, and other important factors that may cause actual results, performance, or achievements to be materially different from future results, performance, or achievements expressed or implied by such statements. Past performance is not indicative of future performance.The Company does not guarantee the accuracy or completeness of any information in the email and makes no representation or warranty, express or implied, as to its fairness, accuracy, or completeness. None of the Company, its advisers, connected persons, or any other person accepts any liability whatsoever for any direct or consequential loss arising from the use of the presentation or its contents. Nothing in this email excludes any liability for fraudulent misrepresentation. Any investor or prospective investor should consult its own counsel and advisers as to all legal, tax, regulatory, financial, and related matters concerning an investment and as to their suitability for the investor or prospective investor.The content of this email has not been reviewed by the Monetary Authority of Cayman Islands or Singapore. If there is any inconsistency between the English and Chinese versions of this disclaimer, the English version shall prevail.

Disclaimer

Contact ChainUp Investment

* First Name

* Last Name

* Email Address

* Your Mobile Phone Number

+65

no data

* Company Name

* Job Title

Remarks

0/200