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 Lyllah Ledesma, here to take you through the latest in crypto markets, news and insights. - Market Moves: BTC and altcoins trade in the green over the last 24 hours. ADA, SOL, AVAX make 15%+ gains.
- Feature: Continuing with the Terra saga, we take a look at the latest exchanges to delist Terra's LUNA and UST.
Today’s newsletter was produced by Parikshit Mishra. Let us know what you think by replying to this email. |
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Bitcoin (BTC) is up 8% over the last 24 hours, climbing back above the $30,000 mark after dropping to lows of $25,000 Thursday. The world’s largest cryptocurrency by market capitalization has still lost over 50% of its value from its all-time high reached in November 2021 around $69,000. After one of the most turbulent weeks in history for the market, the total crypto market cap has decreased over $300 billion over the past seven days. Multiple assets crashed over 30% during the week, but have started to regain ground early Friday. And that doesn't even begin to touch the disaster that was Terra's LUNA as the UST stabelcoin lost its $1 peg. LUNA tumbled 100% on the week. Solana's SOL token, which took a steep hit on Thursday as the wider market fell, trading as low as $35, is now 15% up on the day trading at around $51. Cardano's ADA is trading up 20% on the day, and Avalanche’s AVAX is up 24%. In traditional markets, the Dow Jones Industrial Average fell for a sixth straight day and the S&P 500 took a 19.4% hit from its high of 4,800 in January. The S&P 500 is now at 3,868, and according to a popular rule of thumb used by investors, a dip of 20% or more signals the start of a bear market. Robinhood shares soared after a new filing revealed that Sam Bankman-Fried, CEO of crypto exchange FTX, took a 7.6% stake in the company. |
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According to Florian Giovannacci, head of trading at Covario AG, the crypto market rebound over the last 24 hours for BTC and altcoins is “more a technical bounce following over the top bearishness/capitulation and leveraged short positioning being liquidated (especially for alts),” He said that today’s increase in price for crypto assets will “definitely help sentiment but there’s no news out there to really mark a definitive change of mood.” Looking forward, despite trading in the green for a number of assets on the day, Giobannaccii said correlation to U.S. equity is a key factor for BTC’s price. “Until we see CPI data improving, bears will be in the driving seat.” |
The top 10 coins by market capitalization show mostly gains over the last 24 hours (Messari). |
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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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Binance, OKX Delist Terra's LUNA and UST Citing User Protection |
By Shaurya Malwa and Jamie Crawley Binance, the world's largest crypto exchange, suspended spot trading for LUNA and UST against its own stablecoin BUSD on Friday after rival OKX said it planned to end spot listings of UST and delisted margin and borrowing services for Terra ecosystem tokens such as LUNA, anchor (ANC) and mirror (MIR). "An exponential amount of new LUNA were minted due to flaws in the design of the Terra protocol," Binance founder Changpeng "CZ" Zhao said in an explanatory tweet. "Some of our users, unaware of the large amounts of newly minted LUNA outside the exchange, started to buy LUNA again, without understanding that as soon as deposits are allowed, the price will likely crash further. Due to these significant risks, we suspended trading." OKX planned to terminate exchange-traded UST trading for bitcoin (BTC), avalanche (AVAX), solana (SOL) and ether (ETH) as of 10:00 UTC, adding to earlier cancellations of the margin trading and borrowing function for LUNA, ANC, and MIR. Perpetual swaps were suspended at 8:00 UTC. “Seismic crypto market movements like we’ve seen this week tend to deliver some pretty brutal lessons,” explained Lennix Lai, an OKX director said in an email. “We’re seeing a flight away from direct investment in DeFi protocols in the wake of UST breakdown.” “The reality is that centralized exchanges are set up to provide much greater levels of protection for users whatever the markets are doing,” Lai said. UST slumped to as low as 22 cents earlier this week amid a run on the currency. The prices of its related LUNA token dropped 99.7% to pennies on Thursday from levels above $60 earlier this week. LUNA and other tokens continue to trade on crypto exchanges FTX and Gate at writing time. "Withdrawals for LUNA and UST will open when the network becomes stable," Binance said. |
Investors, you deserve a Spot Bitcoin ETF Since its inception in 2013, Grayscale has never stopped working towards converting Grayscale Bitcoin Trust (symbol: GBTC) to a Bitcoin ETF. 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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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. Benoit Bosc, global head of product, GSR Markets Mike Coscetta, chief revenue officer, Paxos
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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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