Cryptocurrency Market Overview 30.10.2023
News block
1. Cantor Fitzgerald: bitcoin ETF is already close
According to analysts at Cantor Fitzgerald, a BTC-based spot exchange-traded fund will soon become a reality.
Cantor Fitzgerald, which offers brokerage and investment banking services, is "increasingly confident" that the SEC will approve the launch of a spot bitcoin ETF. Previously, the Commission had a negative attitude towards such products due to fears of manipulation on offshore spot platforms, but new applications from leading US financial companies offer a market surveillance procedure.
Analysts believe that the approval of the spot ETF will be an important short-term catalyst for the growth of the BTC price, adding that the approval will be "a fundamental moment for the long-term adoption and legitimization of bitcoin."
2. Record volumes of spot trading
Against the background of the recent cryptocurrency rally, which pushed BTC to $35,000, daily spot trading volumes reached the highest level since the spring of this year.
Thus, on October 26, the seven-day moving average of spot trading volumes on the leading market platforms exceeded $24 billion:
This has raised the volatility in the cryptocurrency market to a level not seen since April 2023.
Overview of the crypto market
🔸 The current capitalization of the crypto market is $1.310 trillion
🔸 Trading volume for the last day is $148.52 billion
🔸 BTC dominance 51.2%
🔸 Fear and greed index:
- 68 today, 72 yesterday, 66 a week ago
where 0 is extreme fear (may be a sign that investors are too scared - often it's a good time to buy), and 100 is extreme greed (the market needs correction).
The cost of BTC has hardly changed over the weekend. The first cryptocurrency continues to trade above the $34,000 level.
The euphoria around the expected regulatory approval of the spot bitcoin ETF has helped the cryptocurrency grow by almost 20% over the past week. At the same time, the growth of BTC occurred against the background of the fact that shares of technology companies continued to decline — the Nasdaq Composite index has now dropped by more than 10% compared to the July maximum.
Previously, bitcoin showed a strong correlation with the US stock markets, but now it seems that this connection is being separated. The largest cryptocurrency is currently showing more than 100% growth since the beginning of the year, and the activity of options has reached a historical maximum.
The market capitalization of BTC is now $670 billion and is approximately equal to the capitalization of electric car manufacturer Tesla (TSLA) Elon Musk.
Meanwhile, a number of analysts remain cautious about the continued price growth, pointing to the meeting of the Federal Open Market Committee of the US Federal Reserve (FOMC) scheduled for Wednesday this week.
"The market atmosphere can change radically," analysts of the Japanese Bitbank exchange shared. "Recent economic data has demonstrated the strength of the US economy, so the likely scenario is that the Fed will keep its rate unchanged, but much will depend on Powell's rhetoric at the subsequent press conference."
Fund Holdings BTC Index
The Fund Holding index has just reached its highest level in two months. This index measures the total number of BTC coins owned by digital asset holdings, such as trusts, ETFs and other funds.
Against the background of the general positive on the news about the potential approval of the bitcoin ETF in the USA, the value of this index increased from 683.5 thousand to 691 thousand:
Ethereum: Dencun update is postponed to 2024
Ethereum developers have confirmed that the expected Dencun update will not be implemented until the end of 2023.
This is largely due to the fact that the Holesky test network was launched behind schedule.
Recall that it is the Dencun update that includes EIP-4844, which will reduce commissions in Layer-2 solutions tenfold.
Goldman Sachs analysts said they are optimistic about the upcoming Ethereum network upgrade, even though it has been postponed until 2024.
Solana Breakpoint Conference
Today, on October 30, the Solana Breakpoint conference starts in Amsterdam, which will last until November 03. The team is expected to make several important announcements during the conference:
The last few weeks have been very successful for Solana. The SOL coin has grown by more than 30%, and the value of blocked funds (TVL) on the network has recently reached a new ATH:
