Good morning Banter fam,
Some late-night (and pretty crazy) price action saw longs and shorts both getting REKT as Bitcoin played games with investors right up until the monthly close. A close that sees Bitcoin print its worst ever month. That’s right: worst ever.
We don’t need to spell out the reasons as to why assets are suffering. Nonetheless, Jerome Powell did feel the need to do precisely that, acknowledging the Fed’s overall mismanagement of the inflation problem, which he attributed to what amounts to some basic errors of math:
You’ve got to hand it to Powell: that’s some pretty carefully constructed language, and an effective way to own the Fed’s mistake, without actually accepting responsibility. Hindsight really is a fine thing.
Market update 🌍
WORST. MONTH. EVER.
Literally.
In terms of percentage lost, Bitcoin has suffered its worst ever month on record, with a decline of -37.28% in June. To add perspective, it’s seen a monthly drawdown of more than 30% just seven times in its history.
This isn’t happening in a vacuum: the stock market is also feeling the pain this quarter.
As Charlie Bilello observes, the numbers are grim:
Given the state of the macro environment, Bitcoin, while at historically opportune buying levels, remains uncertain: as this chart shows, we’re hovering just above the 2017 all-time-high: lose it as support and it’s a one way street to goblin town.
High-resolution chart
| US markets close | Gain |
| S&P 500 | -0.31% |
| Nasdaq | -0.81% |
| Dow | -0.11% |
| VIX | +1.10% |
| Protocol (Coin) | Price ($) | Gain (%) |
| Amp (AMP) | 0.01 | +22 |
| Arweave (AR) | 10.24 | +15 |
| The Sandbox (SAND) | 1.15 | +6 |
| Quant (QNT) | 54.46 | +6 |
| Solana (SOL) | 34.37 | +4.5 |
| Numeraire (NMR) | 24.87 | +76 |
| PlayDapp (PLA) | 0.50 | +43 |
| Trust Wallet (TWT) | 0.81 | +17 |
| LooksRare (LOOKS) | 0.31 | +12 |
| Convex Finance (CVX) | 4.31 | +10 |
| Mdex (MDX) | 0.08 | +8 |
| Bitcoin Fear and Greed Index | 11 Extreme Fear |
| “Crypto” Google Trends 90d | 19 |
| “Bitcoin” Google Trends 90d | 41 |
Newswatch 📰
- New Arthur Hayes article – DeFi was not the problem. Just read it.
- FTX acquires BlockFi for $25m. Or did it? Rumors are swirling that BlockFi was acquired by FTX for a whopping $25 million… and they could be unfounded.
- 3 proposals to rescue Celsius from the brink with the help of Bank To The Future. Can it be saved? And if so, do they need to offer it up for community governance?
- OpenSea email leak. Ouch. turns out An employee of OpenSea’s email vendor, http://Customer.io, misused employee access to download and share email addresses with an unauthorized external party. Beware phishing scams!
- FATF urges travel rule. For anyone interested in crypto legislation, this is significant: The Financial Action Task Force is keen to ensure legislation to make the FATF ‘travel rule’ compulsory: it would ensure crypto firms verify who their customers are.
News Tidbits:
- Genesis faces nine-figure losses through 3AC exposure.
At the protocol level ⛓
Compound to go multi-chain. Compound Labs has upgraded its protocol to allow for deployment on all EVM-compatible chains in a strategy labeled “comet” and nicknamed Compound III by the community. The new design was made with borrowers in mind, with improved capital and gas efficiency and a simpler governing system.
Protocol level Tidbits:
- Ethereum (ETH) pools are now live on Stargate Finance (STG) on Ethereum, Arbitrum and Optimism.
- Introducing Polygon Avail, a step towards a modular future.
- Immutable X (IMX) announces self-custodial staking.
- Update on Bancor recovery.
- Napster to launch token on Algorand (ALGO)
NFT & metaverse update 🐵
- Axie Infinity (AXS) announces LAND staking to accrue AXS rewards.
- Binance hires Khaby Lame as brand ambassador.
Banter’s take
All we can really say is be safe out there fam. The volatility we started seeing as of last night is potentially nothing short of massive tides caused by whales, and as a result, many liquidations. It’s definitely not the worst we have seen, but it could have been just the first of many events like this yet to come.
Stay safe, don’t panic, always zoom out, and never, ever let your emotions get the best of you.
Gabri
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Disclaimer
Good Morning Crypto (issued by Crypto Banter) is a newsletter for entertainment purposes only.
All opinions expressed by the publisher, writers, and chartists should not be construed as financial advice, and do not necessarily reflect the views of Crypto Banter. The publisher, writers, and chartists may hold positions in the tokens and assets discussed. Readers are encouraged to do their own research.
