24 Crypto Update, 03 Oct: Crypto market continues its downward trend

Digital asset market extended its losses from yesterday on Wednesday

Bitcoin (BTC) saw a big price dip, ending around $27,400, wiping off a considerable amount of the recent gains that had propelled it past the $28,500 level earlier this week. This drop was mostly driven by an increase in bond yields, particularly the 10-year US Treasury rate, which reached a 16-year high of 4.76%. Additionally, prominent cryptocurrencies experienced significant selling pressure as they approached their 200-day moving averages. This selling pressure can be ascribed in part to the disappointment around the debut of a futures-backed Ethereum ETF.

In the past 24 hours, the overall cryptocurrency market volume amounted to $36.81 billion, marking a 15.12% decrease. Within this volume, the DeFi sector contributed $2.56 billion, comprising 6.96% of the total cryptocurrency market's 24-hour volume. Stablecoins, on the other hand, accounted for a substantial $34.54 billion, constituting 93.84% of the total cryptocurrency market volume in the same period. Bitcoin's dominance currently stands at 49.48%, reflecting a 0.13% increase throughout the day.

Major Event to be watch

Crypto Fear and Greed:

In the past 24 hours, cryptocurrency markets experienced selling pressure, resulting in a 1-point decline in the "Greed and Fear Index." It is currently holding steady at 49, right at the midpoint of its 0 to 100 scale.

Latest Market Update: 

Bitcoin stayed below $28,000 on Wednesday, while popular altcoins like Ethereum, Dogecoin, Ripple, and Litecoin saw losses. Bitcoin SV, yesterday's top gainer, became today's biggest loser, dropping nearly 14% in 24 hours. Ripple emerged as the top gainer, with a 24-hour gain of over 4%.

Major Worldwide News Update:

• Ripple CEO Brad Garlinghouse's intriguing tattoo, featuring XRP and celestial symbols, sparks speculation among enthusiasts about hidden messages and potential price surges. Analysts consider historical patterns and a possible legal victory against the US SEC as factors influencing XRP's future, but it faces resistance below key moving averages, causing uncertainty in its price direction.

• An analyst's study of the top 100 cryptocurrencies from December 2017 reveals significant volatility. Bitcoin and Ethereum maintain top positions, while many altcoins have fallen, with XEM dropping out of the top 100. Some coins like Monero and Dash teeter on the edge, and 27 are classified as potential scams. Only three, Binance Coin, Chainlink, and Dogecoin, have risen in rankings since 2017, cautioning investors about diversification in crypto.

• Billionaire hedge fund manager Bill Ackman has expressed interest in collaborating with Elon Musk's X social media platform. Ackman, a prolific X user, plans to invest in private firms and take them public through his investment vehicle, SPARC. While Ackman is open to collaboration, Musk has not yet confirmed. Investors speculate on the potential impact on Dogecoin, given Musk's influence and X's connection to the cryptocurrency. Some anticipate Dogecoin's price may reach $0.75 if this partnership materializes.

• Ripple's subsidiary, Ripple Markets APAC Pte Ltd, has received in-principle approval for a Major Payments Institution (MPI) license from the Central Bank of Singapore. This milestone demonstrates Singapore's supportive regulatory environment and positions it as a hub for cryptocurrency innovation. Ripple's CEO, Brad Garlinghouse, praised Singapore's leadership in fintech and digital assets, emphasizing the collaborative approach between governments and the blockchain industry in regions like Hong Kong, Singapore, the UK, and Dubai.

• OpenSea, the world's largest NFT marketplace, has launched OpenSea Studio, a platform for creators to easily manage NFT projects. It allows users to control the entire NFT drop process, including minting NFTs directly to wallets, and supports multiple blockchains. Future updates will introduce features like collection pages, editions, and FAQs. OpenSea also recently introduced OpenSea Pro, a free platform that aggregates NFT listings from various markets and provides live cross-marketplace data. However, the platform faced a security breach two weeks ago.

• The United States District Court for the Southern District of New York has officially slated the trial in the SEC's legal battle against Ripple for the second quarter of 2024. Notably, the court dismissed the SEC's request for an interlocutory appeal, citing various reasons, and established April 23, 2024, as the trial commencement date, conditional upon both parties meeting document submission requirements by December 4, 2023. Interestingly, the XRP market exhibited a 4% upswing in response to this court ruling, building upon a prior substantial 72% surge observed following a Summary Judgment issued in July 2023.

• Sam Trabucco, former CEO of Alameda Research, and Anthony Scaramucci, ex-Trump spokesman, may become witnesses in the FTX crypto exchange legal case. Their ties to FTX founder Sam Bankman-Fried could provide valuable insights. Bankman-Fried faces seven criminal charges, including money laundering, in a trial sparked by FTX's collapse and alleged misuse of client funds. The defense is challenging certain testimonies and emotional appeals, aiming for a balanced perspective in the six-week trial.

• Former Celsius CEO Alex Mashinsky is scheduled for a criminal trial on September 17, 2024, following allegations of defrauding customers and misleading them about the crypto lender's financial health. Celsius declared bankruptcy and owes billions to investors. Mashinsky faces charges from both the SEC and CFTC for deceptive practices and tampering with the price of Celsius's native token, CEL. Despite the legal battles, creditors approved a reorganization plan that offers payments in Bitcoin and Ethereum and equity in a new corporate entity. Some creditors expressed concerns about accepting shares in the new venture.

• Jump Trading, a Chicago-based quantitative trading firm, suffered substantial losses exceeding $200 million due to the bankruptcy of FTX, a cryptocurrency derivatives exchange, according to Michael Lewis' book "Going Infinite." FTX, which owed $8.7 billion to over 10 million account holders, had nearly half of that amount concentrated in its top 50 accounts, with some linked to Jump Trading. The book reveals a web of financial intricacies and questionable relationships within the crypto industry.

• Ripple Labs has secured a spot on the Fintech 100 list, affirming its dedication to transforming cross-border payments. RippleNet and XRPL have revolutionized cross-border transactions by enabling real-time settlement and reducing costs. A significant portion of the crypto community believes payments, especially cross-border, will drive widespread cryptocurrency adoption. Ripple's collaborative approach with traditional financial institutions has also contributed to its success.

COIN GABBAR Views: Is it the opportune moment to make a purchase? Will the price of BTC be examining a potential rebound shortly? Is Bitcoin commencing October with a noteworthy upturn? Might this signify the initiation of a fresh bull market? Is Bitcoin teetering on the brink of a significant surge? Stay tuned for the latest news at www.coingabbar.com

Disclaimer: Crypto is not regulated and can offer considerable risks. There may be no regulatory remedies available in the event of any losses resulting from price analysis. As a result, before engaging in any transactions involving crypto products, each investor must perform in-depth examination or seek independent advice.

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