The latest moves in crypto markets, in context Was this newsletter forwarded to you? Sign up here. |
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Good morning, and welcome to First Mover. I’m Bradley Keoun, here to take you through the latest in crypto markets, news and insights. (Lyllah Ledesma is off.) Price point: Bitcoin finally posts a winning week, snapping record losing streak. Friday's U.S. CPI report for May could show inflation slowing. Market Moves: Decentralized exchanges are winning on-chain flows, Cameron Thompson reports. This newsletter was produced by Parikshit Mishra. Let us know what you think of First Mover by replying to this email. |
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Bitcoin (BTC) was higher Monday, after snapping a record nine-week losing streak. As of press time bitcoin was up 6.2% over the past 24 hours, to about $31,500. During the seven days through Sunday, the bitcoin price inched up 1.5% – barely mentionable for the notoriously volatile cryptocurrency except for the fact that it was the first weekly gain in 10 weeks. From late March through late May, a steady market erosion took bitcoin from about $48,000 to as low as $25,400. Now analysts are wondering if the latest price bounce might mean the bottom is in. "The new week is off to a promising start," Alex Kuptsikevich, senior market analyst at FxPro, wrote in an email. "It is worth paying attention to the change in the trend." Cardano's ADA token, Solana's SOL and Polygon's MATIC were all enjoying double-digit-percentage gains on Monday. |
Chart of weekly movements in bitcoin's price shows nine-period losing streak followed by last week's bounce. (TradingView/CoinDesk) |
In traditional markets, U.S. stock futures were higher along with European indexes. Traders were awaiting a European Central Bank meeting later this week where officials led by President Christine Lagarde are expected to announce an end to bond purchases and signal rate increases ahead, likely in July – part of a campaign to head off surging inflation. The big economic data point in the U.S. this week will be the Consumer Price Index report on Friday, June 4. The CPI report could provide clues as to how the economy is responding to the Federal Reserve's campaign to slow inflation. According to FactSet, economists estimate the CPI for May probably was probably 8.2% higher than 12 months ago, representing a decrease from April's pace of 8.3% and March's 8.5%. |
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Decentralized exchanges are winning on-chain flows, Cameron Thompson reports. Decentralized exchanges (DEXs) are rising in popularity. From April 2021 to April 2022, web 3 users sent $224 billion in on-chain value to DEXs, outstripping centralized exchanges like Coinbase which combined for $175 billion over the same period, according to Chainalysis. Chainalysis Economist Ethan McMahon told CoinDesk that the move from centralized exchanges (CEXs) to DEXs began in 2020’s DeFi summer and carried through the NFT boom of 2021. DEXs first cleared 50% market share in September 2020, according to the report. In June 2021, the number hit its peak at 80%. Based on the latest report, the market share now stands around 55%. If DEXs continue to increase in popularity, a regulatory crackdown might be on the way. “If [regulation] serves as a hindrance, it may actually reduce the market share,” said McMahon. Read More: Decentralized Exchanges Beat Centralized Counterparts for On-Chain Flows: Chainalysis |
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The SEC wants to hear from investors, like you. As part of Grayscale’s filing to convert Grayscale Bitcoin Trust (Symbol: GBTC) to an ETF, the SEC provides a 240-day review period for anyone to submit comments for consideration.If you support the conversion, write to the SEC by clicking here. Your submission matters because: We can level the playing field. To date, the SEC has only permitted Bitcoin Futures ETFs, while rejecting “physically-backed” or Spot Bitcoin ETFs. The choice should be yours. If you’ve been waiting for the familiarity and protections of a Bitcoin ETF, we believe you should not be forced into a Futures-based product simply because it’s the only one that exists. You can help take GBTC to the next level, conversion to an ETF. It’s already the world’s largest Bitcoin fund and regularly reports to the SEC on a voluntary basis as an SEC-reporting company. Learn more here. This information should not be relied upon as investment advice or a recommendation regarding any security. Visit here for important disclosures. |
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The following are the biggest movers in the CoinDesk 20 digital assets over the past 24 hours: |
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Biggest Gainers Biggest Losers There are no losers in CoinDesk 20 today. |
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Sector classifications are provided via the Digital Asset Classification Standard (DACS), developed by CoinDesk Indices to provide a reliable, comprehensive, and standardized classification system for digital assets. The CoinDesk 20 is a ranking of the largest digital assets by volume on trusted exchanges. |
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Hex Trust is a fully licensed digital asset custodian for financial institutions and organizations. Our bank-grade platform Hex Safe™ integrates top emerging blockchains, token standards, and licensed custody services for NFTs and metaverse assets. Institutional-grade infrastructure: providing the highest standards of protection, scalability, and complianceMonetize digital assets: accessing DeFi, staking, and other on-chain servicesEnter the metaverse: integrating NFTs in your business operations safelyUnlock the full potential of your digital assets. Get started |
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And check out the CoinDesk TV show “First Mover,” hosted by Christine Lee, Emily Parker and Lawrence Lewitinn at 9:00 a.m. U.S. Eastern time. Greg King, founder and CEO, Osprey FundsJosh Fraser, co-founder, Origin Protocol |
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Consensus 2022, the must-attend crypto and blockchain experience of the year, is heading to Austin, Texas, from June 9-12. This is the only festival showcasing and celebrating all sides of the blockchain and crypto ecosystems and their wide-reaching effect on commerce, culture and communities. Register now for the lowest price. |
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Disclaimer: The information presented in this message is intended as a news item that provides a brief summary of various events and developments that affect, or that might in the future affect, the value of one or more of the cryptocurrencies described above. The information contained in this message, and any information liked through the items contained herein, is not intended to provide sufficient information to form the basis for an investment decision. The information presented herein is accurate only as of its date, and it was not prepared by a research analyst or other investment professional. You should seek additional information regarding the merits and risks of investing in any cryptocurrency before deciding to purchase or sell any such instruments. |
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