$BTC 24 Hour High $33,413
$BTC 24 Hour Low $32,386
$BTC -1.8% past 24 hours; -4.6% past 7 days
Prices continue to feel downward pressure. Following on from yesterday, ETH, currently trading at $1,890, has lost support at $1,975, and is now making its way down to the next support area starting at $1,850.
BTC, unable to break the downward trending resistance line, is being forced ever lower, and currently at $32,300, is just above the 30-32K support area that has held on a number of occasions since May.
The news headline for today is the upcoming unlocking of Grayscale shares of its flagship Bitcoin Fund. This means accredited investors will be able to sell around 40K BTC worth of shares to other accredited and retail investors in the secondary market. They would be selling these at a 15% discount to the NAV of the fund. This may explain why interest in physical BTC is going down. As long as this discount exists, it is arguably more attractive to buy GBTC shares than go through the steps of buying the physical underlying. One thing to note – shares cannot be sold back to Grayscale as this type of redemption would require regulatory approval; approval that Grayscale does not have, and indeed is not looking to obtain any time soon. This means that the physical BTC in the trust (around 650K) will remain there and can only be sold to cover trust fees and expenses.
Besides, hedge funds continue to be undeterred by the doldrums faced by the crypto market. Battered by regulatory crackdowns and the lack of fresh news to lift the sagging market, the crypto industry still has major banks and institutional investors engaged as they have been receiving clearer mandates from regulatory bodies within major finance hubs around the world. With the recent push for stronger compliance in the crypto space, this should form a stronger base on which the crypto market can continue to build upon.
Learn more from today’s Trader View video.
Digital assets market:
- Total crypto market capitalization stands at $1.37T, -3.2% from yesterday
- $BTC is down 1.2% at time of writing, support / resistance – 32,102 / 36,112
- $BTC liquidations and funding: $91.39M, 0.0038% average
- $ETH is up 0.9% at time of writing, support / resistance – 1,828 / 2,187
- $ETH liquidations and funding: $128.12M, -0.0097% average
Alts and DeFi watch:
- DeFi TVL: $56.71B
- $DOT down 8.48% in the last 24 hours, up ~17.19% in the past week
- $FLOW up 6.28% in the last 24 hours, up ~45.75% in the past week
- $CRO up 2.19% in the last 24 hours, up ~5.39% in the past week
- $1INCH down 6.59% in the last 24 hours, down 21.30% in the past week
More news that caught our eye:
- S&P Dow Jones launches 5 more crypto indexes; one tracks 240 coins
- BIT Mining raises $50M in private placement to expand overseas
- 21Shares partners with German brokerage to offer crypto ETPs for savings accounts
- DeFi platform ETNA Network allows NFTs to be used as collateral for loans
OSL Trader View is contributed by Emilia Lee, Ethan Fu, Stefan von Haenisch & Jose Reyes
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