MARKETS:
Another tumultuous week in Bitcoin and the broader cryptocurrency market after China began enforcing new laws to shut down mining. They also summoned large retailers and banks to order them to stop accepting cash in exchange for digital currency. China is doing everything in their authoritarian power to kill cryptocurrency within its borders.
Even the most diamond handed OG crypto investors have been shaken by the severity of the latest drawdown. While major cryptos like BTC and ETH have seen 50-60% pullbacks in ~40 days, some smaller cap alt coins have been down 80% over the same time frame.
A lot of buying occurred on Tuesday when a trader opened a $750m long on ETH on Bitfinex around the $1,850 price level. Cathie Wood also announced she purchased 1m shares in Greyscale’s Bitcoin Trust.
Whether we are entering a new bear market or are experiencing a bull market correction is the million dollar question.
NEWS:
The conspiracy theories are already coming out
Microstrategy buys another half billion in Bitcoin
NASCAR driver to get paid in crypto
Interesting choice going with Litecoin
Paraguay to introduce a bill making Bitcoin legal tender in July
Latin American FOMO is real
BBVA, Spain’s second largest bank, to provide Bitcoin trading to large clients
Big Short trader, Michael Burry, predicts ‘mother of all crashes’ for crypto
The fact he calls trading meme stocks ‘dangerous and illegal’ is peak irony when he’s made a living off betting on the economy
I don’t understand his obsession with hating cryptocurrency, but it could inspire a massive short squeeze that backfires. It wouldn’t surprise me if he is secretly long Bitcoin
Bitcoin hashrate drops due to China mining crackdown
This has shaken the markets, but it’s an opportunity for the Americas to mine Bitcoin more profitably
China attempting to cut off cash to crypto rails and trading
China is trying to completely kill cryptocurrency, but they don’t understand how an anti-fragile network works
Fireblocks is a promising startup in the crypto custodian space and has a very strong reputation amongst funds and institutions
What a disaster and many lessons to learn. This may lead to insolvency should StakeHound win it’s $75m suit
PayPal and Visa invest $300m in a crypto fund
Bank of Israel piloting a digital Shekel on Ethereum
FTX continues it's crypto expansion with a major MLB sponsorship
POD ‘O THE WEEK:
You get two!
Where are we in the market cycle? Still bull or are we back to another crypto winter? Su Zhu and Hasu summarize the run up in Bitcoin and alts, the China and ESG FUD, and what’s next. The first half is the most relevant on a macro level, while the second half talks about specific tokens and the move to proof of stake.
Jim Bianco, a Wall Street veteran turned DeFi investor describes the institutional perspective on cryptocurrency and where we are in terms of market growth.