THE RUNDOWN
The Rundown Powered By Arcane Research
• Ether (-12%) and BNB (-11%) have underperformed BTC over the last seven days. BNB followed BTC closely up until the weekend but then began underperforming. Monday evening, news reached the market that the SEC was investigating whether BNB was a security when it was sold in 2017, leading BNB to plunge.
• Over the last week, correlations both within the crypto market and to the S&P 500 have declined further. Related to correlations, we see that the entire BTC sell-off since April has occurred during U.S. trading hours.
• Chainlink is the top performer over the last seven days, bringing back fresh memories of LINK’s outperformance of the rest of the market during the 2018-2019 bear market.
• After reaching its highest level since May 2021 two weeks ago, the 7-day average real* bitcoin spot volume has now stabilized at the normal levels seen in 2022, around $4 -$5 billion. FTX continues to grow its market share, as its bitcoin spot volume surpassed Coinbase's for the first time ever in May.
• The crypto flight to safety continues - so far in the month, bitcoin has decreased by 1%. The Large Cap Index has declined 3%, primarily due to disappointing performances by ETH and BNB, the two largest components of the index.
• According to the Fear and Greed Index, crypto market participants haven't gotten a break from extreme fear since May 5th. Such a prolonged period of extreme fear last happened after the Covid crash in 2020, when the Fear and Greed Index indicated extreme fear for 49 straight days.
A Deep Bite
MUST READ: Key US Senators Introduce Crypto Bill Outlining Sweeping Plan for Future Rules
This week, after months of anticipation, two U.S. senators, Cynthia Lummis (R-Wyo.) and Kirsten Gillibrand (D-NY), introduced the Responsible Financial Innovation Act, also known as the Lummis-Gillibrand bill for short.
The bill represents a watershed moment for our country's crypto industry. It is the first major BIPARTISAN regulatory framework for digital assets set forth that, if passes, will bring much-needed regulatory clarity for businesses, token issuers, and investors alike. Not only that, but the bill would essentially recognize digital assets as a legitimate part of the U.S. financial system. More here
Weekly Bites
3 finance giants Citadel, Fidelity, Charles Schwab to launch crypto trading platform
Trading firms Citadel Securities and Virtu Financial Inc (VIRT.O) are collaborating on a cryptocurrency trading "eco-system" that will enable retail brokerages to offer crypto-executions to their customers. The consortium of firms behind the project includes venture capital firms Sequoia Capital and Paradigm, as well as a few retail brokerages. More here
New BIS report: Blockchain scalability and the fragmentation of crypto
Newer blockchains have higher capacity, even if these come at the cost of greater centralisation and weaker security. Differences in the design also preclude blockchain interoperability. Limited scalability and a lack of interoperability not only prevent network effects from taking root, but a system of parallel blockchains also adds to governance and safety risks. More takeways here
‘Can it get any easier?’ Bitcoin whales dictate when to buy and sell BTC
According to on-chain analytics resource Whalemap, Bitcoin whales have all but dictated market performance in recent weeks. In a fresh analysis published on June 7, Whalemap researchers showed that BTC/USD local tops and bottoms have coincided with areas of heightened whale activity. More here
The Key Data Driving Monetary Policy, Yields & Asset Markets
A post from Caleb Franzen, senior market analyst and author of Cubic Analytics, exploring the key data driving monetary policy, yields, and asset prices. The article focuses predominantly on the labor market and measures of economic activity in order to analyze the most likely path for yields. More here
DEA Reveals Launch Date And In-Game NFT Presale For Upcoming “Cookin’ Burger” P2E Game
Blockchain-based multimedia, digital entertainment, and GameFi platform Digital Entertainment Asset (DEA) has set the launch date for the latest P2E title joining its PlayMining platform. Slated for release, Cookin’ Burger, developed by Burger Studios, will debut as the first third-party game on the PlayMining platform on June 30, 2022. More here
New Research Unearths Insights Into Satoshi and Bitcoin’s Early Days
The paper makes no claims about the Bitcoin network today, more than a decade after the end of the period analyzed. But it underscores well-known and longstanding privacy challenges. More here
Tweet Of The Week
Claim: "Bitcoin hasn't been an inflation hedge"
— Dan McArdle (@robustus) June 7, 2022
Reality: Bitcoin responded aggressively to the 2020/21 money-printing & front-ran CPI inflation.
And BTC is *still* way ahead of other assets.
Some charts: 0/
