Shutdown Delays Data, BTC and Gold Surge Amid Rate-Cut Speculation
Key Developments in Crypto Investments:
- Bitcoin (BTC) is experiencing significant momentum, reaching $120,000 after a 9% weekly increase. This movement is influenced by macroeconomic factors including the U.S. government shutdown and potential Federal Reserve interest rate cuts.
- Gold prices also rose by 2.9%, reflecting investor preference for alternative assets amidst delayed economic data releases.
- The U.S. government shutdown has impacted financial regulators like the SEC and CFTC, with over 90% of SEC staff furloughed.
- On-chain data indicates rising bitcoin demand, with approximately 62,000 BTC acquired per month since July, driven by ETFs and high-net-worth individuals.
- DeFi trading activity is increasing, particularly with renewed participation from Asia, signaling strong market adoption.
Upcoming Events to Monitor:
- Solana and XRP ETF decisions could be delayed due to the U.S. government shutdown.
- Ethereum's Fusaka upgrade is progressing, moving closer to mainnet launch.
- Compound DAO is holding a vote on deprecating Compound V2.
- Immutable (IMX) will unlock 1.26% of its circulating supply, valued at $17.56 million.
- EVAA Protocol (EVAA) will be listed on major exchanges.
Market Movements:
- BTC futures show bullish trends with open interest at all-time highs above $32 billion.
- ETH and other altcoins like SOL and XRP saw gains over 2%, while some smaller tokens experienced substantial increases.
- Notably, MYX Finance (MYX) dropped 43% following leveraged position unwinding.
- BTC price remained relatively stable around $120,378.11, marking a 1.44% increase over 24 hours.
Crypto Equities Performance:
- Coinbase Global (COIN) closed at $372.07 with a 7.48% gain, further increasing slightly in after-hours trading.
- Circle Internet (CRCL) and Galaxy Digital (GLXY) also recorded notable increases.
Additional Insights:
- Spot BTC and ETH ETFs are showing significant net flows, indicating strong institutional interest.
- The BTC dominance remains at 58.79%, with a stable hashrate and total fees collected in BTC.
- Technical analysis suggests Ether is currently in a bearish phase, yet trading above key exponential moving averages.
- Derivatives positioning shows a balanced market with a decrease in put-call volume ratio.
Investors should remain vigilant of upcoming macroeconomic data releases and regulatory developments, as these factors continue to influence crypto market dynamics.