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Weekly Market Insight: July week 3
16 Jul 2024
Headline News
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- Following better-than-expected inflation data and the completion of the German government's Bitcoin sales, Bitcoin saw an 8.87% increase last week. Additionally, Bitcoin spot ETFs experienced an inflow of approximately $1.05 billion. Notably, this inflow remained consistent throughout the week, despite minimal fluctuations in Bitcoin's price from last Monday to Friday.
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- After several delays of the Ethereum spot ETF launch, Bloomberg senior ETF analyst, Eric Balchunas, is still optimistic that Ethereum ETF will likely be launched on July 18th.
Macro-Outlook
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- In his testimony on Capitol Hill, Fed Chair Powell expressed concerns about economic activity and employment. This signals that the factors influencing the timing of rate cuts would soon shift from focusing primarily on inflation to balancing with broader economic data.
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- The US inflation rate in June fell to 3%, compared to 3.3% in May and below forecasts of 3.1%. The University of Michigan consumer sentiment for the US fell to 66, well below the estimation of 68.5. The market expects 92.4% probability to have a 25 bps cut in September.
Upcoming Economic Calendar including,
- Tuesday, July 16th 12:30am: Jerome Powell speech at the Economic Club of Washington D.C.
- Tuesday, July 16th 8:30am: US Retail Sales in June
Weekly-Cryptos-Overview
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- VanEck & 21Shares both have filed 19b-4 forms for Solana spot ETF. The expected final deadline for the SEC to respond will be in mid-March 2025.
Layer 1 and Layer 2s
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- SKALE launched Pacifica V3 upgrade, accelerates block mining speed by 108% and increases transaction throughput by 122%.
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- Gnosis launched the beta version of Shutterrized Gnosis Chain, where the users connect with RPC are protected from malicious MEV in the encrypted mempool.
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- Fantom won the lawsuit against Multichain and the court awarded Fantom $2.19 million for losses suffered.
Dapps
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- Usual Money launched its mainnet campaign, rewarding early users with "Pills" for 4 months duration. Usual's first product USD0 aims to be fully decentralised stablecoin backed by a basket of RWA collateral that invested in reverse repo and US government backed securities.
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- Cega Finance introduced derivative product (Dual Currency Swap) using Pendle's Yield Token (YT) as the deposit asset. The product is the first product that utilised Pendle's YT as deposit asset and further boosts the YT holders APY.
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- Pyth introduced Express Relay, an aggregated marketplace where searchers bid for valuable transactions to have priority inclusion.
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- Up Network announced it is building a Movement phone powered by Movement Labs.
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- SSV Network is now live on Lido's Simple DVT Module, enables stakers from all calibers to participate in Lido.
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- MakerDAO announced the Spark Tokenization Grand Prix, an open competition to board $1 billion RWA. The selected partners will receive up to $1 billion worth of liquidity.
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- API3 OEV Network is now live, allowing protocols that used API3 oracle to capture MEV by creating a market for searchers to bid for oracle updates during events such as liquidation.
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- Storj acquired Valdi to provide GPUs infrastructure for AI training and other inference in data-intensive industries.
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- AIOZ Network launched dVault, its storage dApps that utilises AIOZ Network's storage infrastructure.
Upcoming Alpha and Governance
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- Starknet proposed to enable STRK staking in Q4 with reward from new token minting, where estimated yearly inflation of 1.8% to 2.5%. This feature is the stepstone for future integration of sequencing and validation of Starknet blocks.
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- XOCIETY, a shooting game on SUI, launched its beta test from July 15th to 22nd.
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- Sanctum is launching its CLOUD token in Jupiter LFG launchpad on July 16th. The CLOUD token will then be launched on July 18th.
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- Cosmos v18 upgrade is expected to launch on July 17th, allowing ATOM holders to vote to decide which CosmWasm contracts can be deployed on Cosmos Hub.
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- Treasure DAO proposed acquiring Ryu and DoG Protocol, a gaming studio, for $400K worth of MAGIC. The DAO also proposed magicswap v2, with 0.3% fees to DAO. AMM with NFT and ERC20 combination. Zeeverse will be the first game to adopt with proven transaction volume in the past with this model.
Token Unlock
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- ARB token unlocked on July 16th, amount representing 2.87% of the token supply.
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- APE token unlocked on July 17th, amount representing 2.31% of the token supply.
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- MANTA token unlocked on July 18th, amount representing 1.97% of the token supply.
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- ALT token unlocked on July 25th, amount representing 42.08% of the token supply.
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- OP token unlocked on July 31st, amount representing 2.79% of the token supply.
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