Weekly Crypto Market Update - April 15, 2024

LAST WEEK RECAP:

• U.S. CPI increased 3.5% YoY in March, which is higher than 3.4% estimated and previous value 3.20%
• U.S. PPI increased 0.2% MoM and 2.1% YoY in March, less than 0.3% MoM estimated
• Iran launched drone attack on Israel
• European Central Bank and Bank of Canada held rate steady
• U.S. SEC issued a Wells Notice to Uniswap Labs
• EigenLayer and EigenDA launched on Ethereum mainnet
• Binance listed Bittensor (TAO)

LEGACY MARKETS – DXY

As mentioned last week, the consolidation under resistance could lead to a rally into it and pressure crypto. With the Iran <> Israel catalyst, this move actually played out. For now, 107 is still top of the range and without further escalation unlikely to break.

LEGACY MARKETS – VIX

Same here as mentioned, VIX sustaining the higher levels and rallying would open up the downside. The most interesting observation is how well BTC and ETH held and the major wipeout was mainly in altcoins.

BTC WEEKLY VIEW

BTC even after the weekend wipeout is still consolidating on all time high’s and is looking quite strong. An interesting hypothesis is if tradfi funds will use BTC as a geopolitical hedge now that they have access through ETF’s on the war news. So an increase in inflows is definitely something to watch out for this week.

ETH WEEKLY VIEW

ETH even post drop is still within its new range between 3-4k. So all the drop over the weekend is, for now, a good “buy the dip” opportunity.

ETH/BTC

ETH/BTC is nearing its long-term trend. With BTC halving just a couple of days out, it wouldn’t be surprising to see this finally pick up.

TOTAL3 USD MARKET STRENGTH

TOTAL3 actually saw a massive wipeout. Where BTC and ETH had “mild” corrections, some alts dropped 40-60% over the weekend and wiped out leverage from the market completely. This was a massive opportunity to position for the rest of the cycle.

TOTAL3 BTC MARKET STRENGTH

ALT/BTC also finally reached its range low over the weekend and actually bottom ticked during the altcoin crash. We do think it’s more than due time for some proper ALT/BTC strength at this point.

SUMMARY

• Iran <> Israel conflict leads to major sell-off during the weekend.
• BTC and ETH drops were relatively “mild”. Altcoins saw major OI wipeout in perpetuals (>1B in liquidations)
  

DISCLAIMER:

The information in this report is for information purposes only and is not to be construed as investment or financial advice. All information contained herein is not a solicitation or recommendation to buy or sell digital assets or other financial products.

This post is prepared by Kairon Labs Traders: Joshua van de Kerckhove, and Patrick Li

Edited by: Marianne Dasal