Month: October 2021

Bitcoin’s ‘Shocktober,’ New Crypto ATHs, Stablecoins in Singapore + More News

Source: Adobe/SasinParaksa

Get your daily, bite-sized digest of cryptoasset and blockchain-related news – investigating the stories flying under the radar of today’s crypto news.

Investments news

  • Data indicates that a supply shock (driven by long-term holders) contributed to bitcoin (BTC)’s rise to record levels in October, as, despite the latest rally, there has been little profit-taking from long-term holders, Kraken said in their latest report, named Shocktober. “Renewed demand for BTC is increasingly clear when looking at active addresses, new addresses, transaction count, velocity, and other metrics; since September, active addresses, new addresses, transaction count, and 1-year active supply velocity have risen +10.3%, +4.7%, +10.5%, and +4.9%, respectively,” they said, adding that their data indicates that much of this jump in network activity is attributable to BTC “whales.”
  • Rising prices of cryptoassets and increased weekly inflows caused assets under management (AUM) to increase by 45.5% in October to a new all-time high of USD 74.7bn, CryptoCompare said in their latest report. Average daily volumes also rose in October to USD 802m (43.6% increase) as higher prices led to more volatility, creating a potentially more profitable market environment for crypto traders, they added. Total AUM in BTC-based products grew 52.2% to USD 55.2bn, another all-time high. Ethereum (ETH) based products also reached a new all-time high in October, increasing 30% to USD 15.9bn, per the report.
  • Alchemy, a developer platform for blockchain and Web 3.0, announced a USD 250m Series C round of funding, led by Andreesen Horowitz (a16z), valuing the company at USD 3.5bn. Without providing specific numbers, Alchemy said that its revenues increased “15X in the last six months.”
  • The US Securities and Exchange Commission (SEC) has asked at least one asset manager to scrap plans for a leveraged BTC…


The Basics of Buying Cryptocurrency for Online Gaming 


Casino users live in an age where they can gamble with cryptocurrency. Online gambling is one of the few places that have been quick to embrace the use of digital currencies for payments. A fair number of gambling websites accept different virtual coins, such as Bitcoin, Bitcoin Cash and Dogecoin, thus, enabling players to capitalise on the advantages of cryptocurrencies. With their fast transactions, low costs and privacy, it’s not surprising digital currencies continue to attract a growing portion of gamblers. The biggest problem for new users is that cryptocurrency has been painted an overly technical market that some people find intimidating. 

Knowing how to buy digital coins can seem like a big deal to players who want to gamble with crypto. However, once you grasp a few elementals, such as the best places to purchase crypto, the rest falls into place. As crypto…


Safemoon price has 45% upside potential if bulls can break $0.000004

  • Safemoon price saw 111% of gains in just one week. 
  • With the renewed media attention, more buyers are attracted, and buy-side volume is picking up. 
  • When bulls can break $0.000004, expect the uptrend to hit $0.00000489$.

Safemoon (SAFEMOON) price has been in an uptrend throughout October and attracted much media attention after gaining just 111% of market value in a couple of days. With that renewed attention, more buyers, both retail and institutional, are buying Safemoon.

Safemoon price sees buy-side volume explode

Safemoon price has been on a good uptrend throughout October. But the uptrend accelerated after bulls broke and consolidated price above the 78.6% Fibonacci level at $0.00000296. The renewed media attention for Safemoon has created a favorable tailwind that now sees momentum building for a breakout in favor of the bulls. As the buy-side volume exploded in the past couple of days, expect the cap at $0.00000400 to break and a test of $0.00000489.

Safemoon price looks to be well-respecting the Fibonacci retracement from the all-time low towards the high from May. The white rectangles on the chart highlight interesting technical levels…


Litecoin, Fantom Crypto Analysis – FTM Makes New Highs, LTC Bounces Higher

The sentiment in the cryptocurrency market turned positive during October as Bitcoin broke above the previous all-time high of $65,000. But, yesterday we saw a quick selloff on the market, as traders booked profit and closed some of the long positions in many cryptocurrencies which sent the market on a flash crash, with Bitcoin tumbling below $60,000 and Ethereum below $4,000.

Fantom H4 Chart Price Analysis

Fantom also went through a flash crash, which set it back from almost $3.47 to $2.50, but the 50 SMA (yellow) held as support despite being pierced and it reversed higher, making a new high today at $3.49 after the bullish reversal which came pretty fast. $2.50 was the previous high from early this month, and now it has turned into support, so another resistance turns into support for FTM/USD.

Fantom has been quite bullish this month as it increased from around $1 at the beginning of the month to almost $3.50 now. The Fantom developer conference which is taking place this week in Abu Dhabi has attracted a lot of attention and is keeping the demand up for this cryptocurrency. It featured 250 presenters from across the crypto industry, so buyers are jumping at every opportunity…


India unlikely to ban crypto as it is ‘old school’ according to this exec

H2: Time for India to take cognizance of China’s CBDC development?

Nischal Shetty, the founder of India-based crypto exchange WazirX, recently spoke about the country’s crypto regulations in an interview.

Crypto & democracy

Shetty emphasized that ‘no democratic nation’ is going ahead with banning crypto. Instead, the countries are looking at ways to regulate the sector. In contrast to China’s policy decision, he said,

“I think India is definitely going in the stance of regulation and you rarely hear anything related to a ban or anything because it now seems old school that you’re going to ban crypto as a nation.”

Having said that, China is still a front-runner when it comes to CBDC development and adoption. If reports are to be believed, China is ready for a full-fledged CBDC launch by early next year during the Winter Olympics. Is it time for India to take cognizance of its neighbor? Shetty argued that,

“Banks around the world should really take notice and try to do something similar in the CBC (Central Bank of China) area at least.”

Nonetheless, in the context of an Indian CBDC, the WazirX CEO seemed bullish. He said,

“I would say that India should…


FTSE edges lower, ECB on hold, Oil falls, Bitcoin reclaims $60K By

Key Points

  • FTSE 100 closing price of 7,248.5, -0.1%
  • Shell (LON:) drops after results; Lloyds (LON:), WPP (LON:) higher
  • EUR higher after ECB, German inflation
  • USD soft after GDP miss
  • Crude declines on Iran nuclear discussions, US inventories
  • reclaims $60,000, Dog-based coins outperform

By Samuel Indyk – The traded marginally lower as a decline in Shell shares outweighed a rally in WPP and Lloyds.

Shares in the oil giant were lower following a “muddy” set of numbers, according to Hargreaves Lansdown (LON:) Equity Analyst Nicholas Hyett.

“The rapid swings we’ve seen in oil & gas prices over the last 18 months mean the group has had to take a large writedown in the value of the derivatives it took to out hedge itself against a further price fall,” Hyett said. “However, the underlying numbers, and particularly the all-important cash flow numbers, are looking far more upbeat.”

At the other end of the blue-chip index was . The advertising behemoth upgraded its revenue guidance for the full year after better than expected third quarter results.

shares were also higher after the company reported higher profits on release of credit impairments and improved its full year guidance.

“The improving performance within the UK economy, of which Lloyds is often seen as something of a bellwether, has enabled pre-tax profit in the quarter to double to £2 billion from a year before,” said interactive investor Head of Markets Richard Hunter.

On a macro level, focus was on the latest from the ECB. Unsurprisingly, the central bank kept its three main interest rates unchanged and maintained its guidance on QE. In the post-decision press conference, President Christine Lagarde attempted to push back on expectations for a rate hike at some point in 2022. Nevertheless, the EUR rose in the wake of the decision with the ECB being somewhat of an outlier in their view on inflation. German CPI released before the press conference was firmer than…


Bitcoin Back Over $60K as El Salvador Buys 420 BTC

Bitcoin is making a recovery, up 4% in the last 24 hours, trading at around $61,000. This comes as El Salvador’s government announced Wednesday it had purchased more bitcoin for its official account.

On Wednesday, El Salvadorian President Nayib Bukele tweeted that his government had “bought the dip,” adding an additional 420 BTC, which is equivalent to around $25 million. El Salvador’s treasury now holds an estimated 1,120 bitcoin, according to a Reuters report.

“Today the markets were buoyed by news of additional state level purchases from El Salvador, indicating the country’s intentions to continue to acquire,” said Jason Deane, analyst at Quantum Economics.

Underlying sentiment remains extremely bullish for the top cryptos, especially bitcoin, according to Deane.

The world’s largest cryptocurrency reached an all-time high on Oct. 20 around $66,900, a day after the first bitcoin futures exchange-traded-fund (ETF) in the U.S. launched on the New York Stock Exchange. Bitcoin crashed a week later, falling below the $60,000 mark – before retaking the level early Thursday.

“After a legendary sell-off that was predominantly in altcoins, we are seeing some relief and a bounce off initial $58,000 support,” said Matthew Dibb, chief operating officer at Stack Funds.

Looking forward, Dibb said that “the next day will likely continue to be volatile with a large options expiry happening tomorrow.”

Dibb expects bitcoin and ether to surpass recent all-time highs within the next few weeks.

Ether (ETH), the native cryptocurrency of the Ethereum blockchain, reached an all-time high on Oct. 21 of $4,359. At press time, ETH was trading up 4.1% over the past 24 hours to $4,186.

Other altcoins rallying in the last 24 hours include DOGE, which is up 25%, and SHIB, which has surged 30%.


Can BTC Get Back on Bullish Track Despite Daily Close Below Important Support?

Bitcoin’s price made a daily close below $60K, the 21-day, and the 21-day EMA, which is a cautious signal in the near term. There’s a snap-back scenario in the cards where BTC closes back above these levels, but we need to wait for a daily close above them for validation.

There was a large number of inflows yesterday, causing spot reserves to jump by 9435 BTC. Gemini saw particularly big inflows. Right now, bitcoin’s price is above $60K.

Chart by TradingView

Technical Outlook

Overall, the trend remains bullish, despite the short-term weakness. BTC rallied 64% in a month with elevated open interest, and the leverage ratio is also close to peaking. The current shakeout can be considered a bullish signal because it helps to flush out the leverage longs and prepare BTC for the next major move higher.

This makes the overall market more sustainable, as overextended rallies tend to lead to larger drawdowns. It’s still too early to confirm a technical bottom at $58.1K as BTC remains below a key downtrend line at $62K and needs to make a higher high above $63.7K for confirmation.

There’s strong support remaining between $58.3K to $53K in terms of a technical and on-chain perspective.

On-Chain Analysis

Although spot reserves increased by 9435 BTC yesterday, on-chain metrics continue to show no major signs of aggressive distributions from long-term holders (LTHs) or miners.

Chart by CryptoQuant

The 1-to-3-month cohort continues to take profit – mainly younger coins and traders who sold. The Mean Coin Age made another all-time high. Older cohorts, on the other hand, continue holding. The ASOPR fell back towards 1, which indicates that the overall market is breakeven. This has historically been a support level for BTC throughout bull markets. During September, the ASOPR fell below 1 for a while throughout the liquidation event and then pushed back above it.

Chart by CryptoQuant

Miners continue to build reserves, and they show no signs of…


THORChain concludes 2 security audits following summer exploits

Cross-chain liquidity protocol THORChain has fully recovered from two summer exploits that compromised millions of dollars in user funds after the company announced Thursday that it had received passing grades in a new security audit. 

The simultaneous audits, which were carried out by cybersecurity companies Trail and Bits and Halborn, allowed THORChain to implement a five-step recovery plan. THORChain’s contributors now say the protocol is fully operational after a restart brought all the major cryptocurrency integrations and cross-chain trading features back online.

In addition to the audit, THORChain announced that it has commissioned Immunefi, a leading bug bounty platform for the DeFi sector, with a bounty program to identify new vulnerabilities as they arise.

The launch of THORChain earlier this year came with much fanfare, as it marked an important evolution in decentralized exchanges. In July, however, the platform suffered two multi-million-dollar security breaches, the first being a $7.6 million Ether (ETH) exploit that generated significant backlash. As Cointelegraph reported, network activity was halted as developers investigated the extent of the damages….


Hutchins Roundup: Pass-through businesses, Bitcoin, and more 

What’s the latest thinking in fiscal and monetary policy? The Hutchins Roundup keeps you informed of the latest research, charts, and speeches. Want to receive the Hutchins Roundup as an email? Sign up here to get it in your inbox every Thursday. 

The labor share of income in the U.S. corporate sector has been steadily declining in recent decades. Using administrative tax data, Matthew Smith of the U.S. Treasury and co-authors estimate that about a third of this decline has been driven by the rise in pass-through business activity over the 1978-2017 period. Pass-through businesses have tax incentives to classify owners’ labor income as profits or to form partnerships (for financial, legal, and consulting services, etc.) that move labor-intensive activities away from the corporate sector. The authors estimate that had the shift towards pass-through businesses since the 1980s not occurred, the labor share of income in the corporate sector would have been 1.6 percentage points larger in 2017. The authors’ adjustments are concentrated among mid-market firms in services, suggesting that the remaining decline in the labor share is driven by the manufacturing…


Join the Community