Bitcoin Rises 11% in October with $5.63 Billion ETF Inflows
This is a segment from the 0xResearch newsletter. To read full editions, subscribe.
Market Overview
Despite a global market selloff, bitcoin's performance in October was notable. The cryptocurrency increased approximately 11%, closing at the second-highest monthly level ever. US bitcoin ETFs recorded $2.28 billion in inflows this week, totaling around $5.63 billion for the month.
As November approaches and the US election week nears, short-term BTC options volatility has surged, mirroring trends seen before the launch of US spot bitcoin ETFs earlier this year. BTC futures open interest also increased in October, indicating ongoing demand.
New Testnets
Space and Time Labs launched the SXT Chain testnet at Chainlink SmartCon in Hong Kong. This testnet features a zk-verifiable blockchain indexing platform, allowing developers to deliver decentralized data to smart contracts, with potential applications like on-chain credit scoring.
Through “Proof of SQL,” developers can query and verify data across chains, including Ethereum.
The =nil; Foundation introduced its Ethereum L2 powered by zkSharding, following a successful devnet debut. This release showcases protocol upgrades and dapps, such as Uniswap v2 demo DEX functionality within a sharded environment. The zkSharding framework aims to address fragmentation issues in Ethereum L2s.
Nomic launched Babylon bitcoin staking on the Ethereum testnet, providing a decentralized option for bitcoin staking. Bedrock’s uniBTC, with over 2,000 BTC staked, will be among the first to use this protocol. Mainnet launches and further rollouts are anticipated in the coming months.
Airdrop Update
Zircuit has initiated the “EIGEN fairdrop,” distributing 2% of its total supply to over 190,000 eligible EIGEN holders based on an Oct. 8 snapshot. Participants holding at least 3 EIGEN tokens (excluding team members and investors) will receive ZRC token distributions.