Weekly Crypto Market Update - August 14, 2023

LAST WEEK'S RECAP:

• Bittrex pays $24M fine to SEC.
• Cathie Wood ARK ETF gets pushed out further by SEC.
• Microsoft collaborates with Aptos on new AI blockchain solutions.
• Paypal launching PYUSD stablecoin.
  

LEGACY MARKETS – DXY

DXY re-entered the previous range, while also breaking the down trend. CPI still came in favorable last week, but there’s a slowdown in trend velocity. Most likely, CPI will stay sticky at current levels. Levels of interest are the 101 support and for now 106 range high.

LEGACY MARKETS – VIX

VIX is also showing more signs of life. In equities so far, a lot of earnings have seen large moves, but crypto has been trading fairly closely related to the upside, but also to the downside. The impact of those drops on AAPL for example, has been quite muted on crypto. Most likely, VIX stays elevated at least till post NVDA earnings.

BTC WEEKLY VIEW

BTC is still frozen ,and is still a waiting game for most participants till there’s an increase of volatility in either direction.

ETH WEEKLY VIEW

Timing-wise, ETH is reaching its apex point before volatility picks up again. For now, however, all the action in the market seems to be playing out in 1-50M marketcap low liquidity coins while majors are cooking for larger trend waves.

ETH/BTC

ETH/BTC as mentioned last week ETH/BTC indicated movement before October. However, with the ETH/USD pair aligning for this month, we think volatility picks up this month and for now it’s just sitting and waiting for BTC and/or ETH to start moving.

TOTAL3 – USD MARKET STRENGTH

TOTAL3 is still showing ranging behavior. Likely waiting for a main move from BTC before making its own move. However, we’re noticing more and more alt strength. Mainly in the more illiquid ones that trade on larger exchanges, but are still lower marketcap and thus are easy to move.

TOTAL3/BTC – BTC MARKET STRENGTH

ALT/BTC ratio is still cooking for now. It likely needs more time to build a larger price structure before getting a true higher time frame direction again. It is however to be noted that BTC.D still broke out of a 2-year range to the upside, this could be an indicator of further weakness of the top 100, relative to BTC.

SUMMARY

• Still expecting NVDA earnings, scheduled for the 23rd of August. NVDA has been the market leader the entire year under the AI narrative and will likely have some outsized short-term impact on equities, also meaning it could keep the market in limbo till that point.
• BTC has been frozen for quite some time with very minimal movement.
• We can expect either a good hike next week or a slow burn on some of the altcoins, but market results this week will be the final indicator for that.
  
  

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 any digital assets or other financial products.

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

Edited by: Rizza Carla Ramos