Crypto

• The summer of 2020 marked a pivotal moment for decentralized finance (DeFi), as it gained significant momentum, reflected by the surge in Total Value Locked (TVL) across DeFi protocols.
• Chart 1: Total Value Locked (TVL) in 2019 and 2020While DeFi continued to grow through 2021, it was the rapid expansion during the summer of 2020 that left a lasting impression on the community, earning the period the moniker ‘DeFi Summer.’Chart 2: Total Value Locked (TVL), All TimeAlthough the actual season may be shifting towards winter, ‘DeFi Summer’ is making a comeback, but the Total Value Locked is still quite far from its 2021 peak.
• However, it is likely only a matter of time before we surpass that all-time high – potentially as soon as the first half of 2025.

• The crypto market has been pretty boring lately, with low volatility and no significant movements in either direction for weeks.
• The past week’s low volatility, combined with the ongoing drop in exchange balances for Bitcoin and Ether, strengthens our view that we are in an accumulation phase.
• This suggests the market is gearing up for a move upward rather than downward.

• In recent years, we have seen a surge in new crypto projects launching with billion-dollar market capitalizations right from the start.
• This trend includes projects like Aptos, Sui, Celestia, and others.
• If you examine the top 100 cryptocurrencies, it is evident that the list increasingly comprises recently launched, highly hyped cryptocurrencies that boast valuations that would make many Nasdaq-listed companies envious.

• Survive the purge, seize the opportunity: Last week’s extreme market volatility presents exceptional forward-looking opportunities for those who remain resilient.
• Liquidation waves: A path to equilibrium: Learn how major market disturbances like last week’s can create ripples that take time to settle, offering strategic consolidation points.
• Unlocks and ETF flows: What’s next for crypto? Discover how upcoming token unlocks and recent ETF trends may shape the near-term outlook for key crypto assets.

• As we noted in last week’s Crypto Crisp, we anticipated a gradual but steady recovery in the market to the levels seen before last weekend’s sharp decline.
• This prediction has proven accurate so far, with some recovery since last week, though we are still far from fully regaining those levels.
• We remain confident that it could take the rest of August to reach those levels again.

• Solana, currently the fifth-largest cryptocurrency, has made a remarkable resurgence, particularly since the beginning of 2023.
• This comeback is extremely impressive given that many had written off Solana after the collapse of Sam Bankman-Fried’s FTX empire in November 2022.
• FTX had been crucial in promoting Solana and establishing its vital network effect from the start.

• It has been a massive bloodbath across the financial markets, not just in crypto.
• The Japanese Nikkei 225 Index experienced its largest intraday percentage drop since 1987.
• The S&P 500 opened about 3.5% down, with the Magnificent Seven stocks plunging around 9% at the opening.

• Financial markets are a humbling mechanism.
• The past two weeks remind us just how difficult predicting the future can be.
• Since our market cycle indicator signalled a crypto slowdown on June 2nd, we have been risk-off.

• August 1st marks the beginning of the final five months of 2024, a year that has already been extraordinary for the crypto industry.
• This year has been unforgettable, with the crypto sector making a significant entrance on Wall Street with the launch of the first U.S. Bitcoin and Ethereum spot ETFs. The U.S. regulatory stance has also become more favorable towards crypto, recognizing it as a pivotal factor in the 2024 U.S. Presidential Election.
• Over and above that, banks and other financial institutions are eagerly lining up to offer crypto services.

• Successful launch of bitcoin ETF’s led to the filing and approval of Ethereum ETF’s
• Ethereum is the second largest cryptocurrency after bitcoin, with distinct differences in technology and operation
• The purpose of an ether ETF is to provide investors with exposure to the growing cryptocurrency market and decentralized technology.

This content is sourced through publicly available sources and has been machine generated. Information displayed is for general informational purposes only.

• We are trading the newly launched U.S. Ethereum spot ETFs.We have decided to allocate ten percentage points of our Crypto Portfolio from our Bitcoin holdings to purchase more Ether for a short-term trade.
• We are buying Ethereum (ETH) at $3,315.18 and selling part of our Bitcoin (BTC) position at $66,203.95.
• This trade will be reflected on the Crypto Portfolio page later today.