A Taste of the Coming Bull Market

Shoddy journalism causes millions in liquidations + spot Bitcoin ETF high hopes pushes BTC back to $30K

What will it be like when a spot Bitcoin ETF finally does get announced for real? It’s inevitable at this point. Add into that growing BTC dominance not seen since April 2021. There is clear appetite for Bitcoin. Are you prepared for when the ETF does get confirmed?

Narrative of the week: Spot BTC ETF

Many are anticipating the same effects on Bitcoin as were experienced by gold after its ETF approval. Source.

In light of the false announcement of a spot BTC ETF by Cointelegraph and the momentary surge it caused in the market, understanding why this is important is crucial. The introduction of a spot Bitcoin ETF holds immense importance in the crypto market, as it could pave the way for wider adoption and acceptance of Bitcoin as a legitimate investment asset

  • ETFs, a $7 trillion industry, are a significant part of exchange-traded products. The crypto industry is keen on launching spot Bitcoin ETFs, which directly hold Bitcoin, unlike futures-backed Bitcoin ETFs

  • According to CryptoQuant, the approval of Bitcoin spot ETFs could potentially add $1 trillion to the overall crypto market cap. Institutional adoption of Bitcoin has already commenced, as institutions have begun adding Bitcoin to their balance sheets

  • If these ETF issuers allocate just 1% of their Assets Under Management (AUM) to Bitcoin ETFs, it could result in approximately $155 billion flowing into the Bitcoin market, equivalent to nearly one-third of Bitcoin's current market capitalization

Current Spot BTC ETFs waiting approval by the SEC, it is likely many of these will be approved all at once by the SEC. Source: Bloomberg.

When do you think a Spot Bitcoin ETF will be approved?

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Bitcoin Weekly Outlook

TradingView

Guest Post from: Kairos Trading

  • Current Horizontal Trading Range: 24.8k - 31.8k

  • Top line: 31.8k

  • Midline: 28.3k

  • Bottom line: 24.8k

  • BTC has been consolidating in this horizontal channel since March 16, 2023.

  • Momentum is slowly shifting towards bullish as the price action consolidates above the midline (28.3k) of the horizontal trading range.

  • Daily and 3-Day candle already closed above the midline at 28.3k. Weekly candle still needs to close above 28.3k to confirm this momentum.

  • Once weekly closes above 28.3k, BTC will get another chance to test the top range resistance 31k+

  • Overcoming 28.3k is a huge milestone for BTC because it is also the 0.5 fib retracement level.

TradingView

BTC Bullish weekly trend IF

1. 50 EMA: weekly close above 27002

2. Bull Market Support Band: weekly close above 28040

3. Gaussian Channel (Upperband): weekly close above 28669

Make sure to confirm all 3.

News

  • Lido halts Solana staking services due to funding shortage, citing community vote

  • Uniswap moving towards KYC Verification in the form of a Hook for Uniswap V4

  • Uniswap initiates 0.15% swap fee for select tokens, focusing on sustainability

  • Diva is executing a vampire attack on Lido to bootstrap its network

  • BOND token from BarnBridge experienced a significant surge, following the project voting to comply with the SEC

  • Scroll mainnet is live, though it seems the response has been underwhelming with a mere $6.5M being bridged

  • Base is leading the way with daily active new unique addresses, while Arbitrum has stagnated significantly

Project Spotlight: Liquity

Decentralized lending protocol Liquity has seen its native token LQTY surge in value recently, doubling as investors recognize its stability advantages from only accepting ETH as collateral

  • Unlike other protocols, Liquity solely utilizes ETH collateral, minimizing risk for users bullish on Ethereum's long-term potential– unlike Maker or Frax, which hold multiple assets

  • Yields on LQTY have been steadily rising throughout this year, and users have been locking their tokens, indicating confidence in the project

Bluechip Overview

  • Many of the top DeFi tokens that drove initial growth in the sector have struggled significantly, even with continual development and new product launches. For example, UNI and SNX have continued hitting lower lows, badly underperforming in the market despite their blue-chip status

  • MKR stands out as one of the only top DeFi tokens that has managed to buck this trend and avoid the severe price drops experienced by peers like UNI and SNX

  • Frax's FXS has surged following the launch of sFRAX, a yield-bearing stablecoin backed by on-chain US Treasuries. This cements Frax as a leader in "real-world assets" DeFi alongside MakerDAO

  • Yields from ETH staking have declined, moving from over 5% to 3.5% due to a lackluster level of activity

Degen Token Watchlist

  • Anticipation is building around one of the latest bots on the scene, NerdBot. Learn about them more in this thread and take note their public sale is on October 23rd

  • Be sure to monitor Banana Gun Bot, a Telegram tool for fast crypto trading and presale sniping. Returning users making use of the bot have remained consistent as can be seen below

  • Injective has been one of the top performers in the Cosmos ecosystem, with minimal drawdowns compared to Bitcoin. This price stability makes it one of the most appealing Cosmos network assets for investors looking for safer holds in the current market, YTD Injective has seen a 321% price appreciation

  • Kujira appears poised for growth, one year post-Terra's collapse given its strong community, solid tokenomics, dedicated team, rising TVL, and lack of major bagholders - the fundamentals and technicals point to it being a promising investment despite current limited marketing

News

  • Immutable extends $67M token vesting by one more year, developer rewards to vest monthly from July 2024

  • Reddit plans to sunset its blockchain-based reward service community points

  • Art technology firm Artfi has generated interest from over 25,000 collectors with its Genesis Pass Whitelist ahead of its official launch. Genesis Pass NFT holders will gain access to fractionalized art

  • Arca submitted a forum post on the Blur governance forum to activate the Blur fee switch

  • Sound.xyz has introduced its tiered editions feature to all users, emphasizing the desire to share music with a broad audience while maintaining scarcity and value

  • China Daily, a prominent newspaper associated with the CCP, is launching its own metaverse and NFT platform. They are offering approximately $390,000 to a blockchain specialist to develop the Zhongbao Shuzang NFT issuance platform within three months

You're Looking at Crypto Gaming the Wrong Way

We were going to focus on a specific project for this week, but after seeing this insightful status from Lady Of Crypto, we thought rather to explore her idea a bit more

  • It's clear that the convergence of gaming and crypto holds immense potential. While the catalyst for crypto gaming's true breakthrough remains uncertain, experiments like Axie are intriguing

  • The mobile gaming sector is witnessing substantial growth driven by technological advancements, particularly the integration of Augmented Reality and Virtual Reality technologies into mobile gaming experiences

  • The integration of crypto and blockchain into mobile technology, exemplified by the Solana mobile, adds a new dimension

  • Be sure to closely follow companies such as Playkey, Immutable, Sky Mavis, Wax, Upland and Mythical Games who will be at the forefront of these developments

The potential of the mobile gaming market is enormous, and it is likely crypto technology will be at the center of these developments.

Blue Chip Token Overview

The prices of blue-chip PFP NFTs have experienced a surge this week, and some new and interesting NFT games have made it on the top gainers list.

Gaming Tokens. Source: Coingecko

Degen Token Watchlist

  • The World Engine, under development by Argus, aims to be a sharded rollup stack for enhancing on-chain game scalability. Make sure to monitor their Twitter account and stay updated on the games they're involved in

  • Magic Eden has introduced tokenized digital collectibles, starting with the first drop featuring 100 tokenized Pokemon cards. These cards are 100% physically backed and redeemable. This could be a profitable opportunity for those interested

  • Zien is launching a new platform on October 25th, offering a Zien Pass for early access to art drops, introducing the $AURA loyalty token, and expanding into hybrid digital-physical art with Expanded NFTs

  • Keystone, created by the Curio team, is a rollup framework based on the OP Stack, primarily tailored to high-performance real-time strategy games like Age of Empires, with support for different data availability layers, beginning with Celestia

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