Weekly Crypto Market Wrap – September 2, 2024
Weekly Crypto Market Wrap – September 2, 2024
Welcome to your weekly crypto market update! Here’s what you need to know for the week of September 2, 2024. Let’s dive into the latest developments and market trends. 🌟
🚀 Nasdaq’s Bold Move: Nasdaq is pushing the envelope by seeking SEC approval to launch Bitcoin index options. This could potentially open new avenues for institutional investors. 📈
📉 Coinbase’s Milestone: Coinbase’s BASE blockchain has hit a significant milestone, reaching 1 million daily active addresses. This reflects growing user engagement and adoption. 🎉
🔄 MakerDAO’s Rebranding: MakerDAO (MKR) is now rebranded as Sky and is set to launch its new USDS stablecoin. This strategic move is expected to enhance its market presence. 🌐
🇦🇷 Ethereum in Education: Argentina is making strides by introducing Ethereum blockchain education in high schools. This initiative aims to foster the next generation of blockchain enthusiasts. 🎓
🌍 X’s Global Challenges: X has gone offline in Brazil, marking the 6th country where X users face issues following non-compliance with controversial Supreme Court demands. Brazilian internet users now face a $9,000 daily fine for accessing the platform via VPNs. 🛑
🔊 Zuckerberg’s Controversy: Mark Zuckerberg has made headlines by claiming that the White House pressured Facebook to censor content related to Covid-19 and Hunter Biden. 📉
📉 Telegram CEO Update: Telegram CEO Pavel Durov has been released on $5.56 million bail. Meanwhile, the TON blockchain has faced several outages following the launch of the DOGS meme coin. 🐕🔧
📈 US Consumer Sentiment: For the first time in five months, US consumer sentiment is on the rise, signaling a positive shift in market confidence. 🏆
Market Insights
As we step into the spring season, we’ve observed increased buying activity in Asia and selling during the US session for BTCUSD and the top 10 coins. Altcoins, particularly in the AI sector, are struggling. This cycle is notably different from previous ones – BTC has been outperforming, while altcoins haven’t gained the same traction. The altcoin market cap remains below its 2021 levels, while BTC continues to set new highs. On-chain data reveals that over 75% of BTC has been dormant for six months, signaling bullish dynamics for the supply curve. 📈
Equities have shown relative stability this week, with the S&P500 remaining flat and the Nasdaq down 0.5%. So what’s holding crypto back? The order flow from Mt. Gox creditor distributions could be impacting both actual and sentiment-driven flow. Additionally, the upcoming US elections in November are influencing market sentiment. Harris currently leads at 45% to Trump’s 41%, though she has yet to unveil substantial new policies for the crypto space. The Democrats’ track record isn’t favorable – Gary Gensler (SEC) is viewed as detrimental to the industry, and there’s talk of a proposed tax on unrealized gains for high-net-worth individuals. This could signal higher taxes for speculative assets. On the other hand, Trump’s policies have been more favorable towards energy, banks, and bitcoin trade. 🗳️
In the backdrop of a potential Fed interest rate cut in September, the market is debating between a 25bps and a 50bps cut. The odds are around 70/30 respectively, and the non-farm payroll report this week could sway these probabilities. 📉
Technical Analysis
The ascending channel from October 2023 remains a key long-term support level, intersecting around $55,000. A drop below this level could target $53,000, the breaking point and range high from February 2024. Conversely, a rise would face resistance but could aim for recent highs at $65,000. The NFP report will be crucial in providing the necessary volatility for BTCUSD. 📊
We maintain a short-biased stance on ETHBTC. A downward move could target $2,100, while an upward move might begin to close the gap from $3,200. The current price action appears heavy, and some stimulus may be needed to drive significant movement. The NFPs later in the week could provide this catalyst. 🔍
What to Watch This Week:
- US ISM Manufacturing PMI: Tuesday
- Bank of Canada Rate Statement and US JOLTS Job Openings: Wednesday
- US Unemployment Rate: Friday
Stay tuned for more updates in our next weekly wrap! 🌟
Feel free to share this post and check back next week for the latest crypto market insights! 🚀
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