Those core values
Cryptic ball: flex the core.
As anticipated Monday, stocks are having a lacklustre week in anticipation of meagre corporate earnings and yet another high CPI print this Wednesday, 12h30 UTC or 6pm IST. Bitcoin followed and is now in dangerous territory. What's next?
- Today's chart art clearly shows bitcoin has lost last week's pump entirely, as the macro correlation continues to play a role in the pricing of all risky assets. In other words, debating whether to long or short support now is useless.
- Why? Because unless you can move markets with your trades this is going to be a guessing game. Still, there are potentially good news in the field of inflation and its impact on tomorrow's trading session: i.e., support should hold.
- While the Consumer Price Index print for June will surely be high, and likely record high, it's even more likely June will be the third month in a row in which we see a fall in the core CPI measurement, which excludes food and energy.
- That further helps cement the narrative that inflation is peaking and that the last month's scare was mostly due to the impacts of the war on oil prices. Let's hope that is the case so that the rest of summer can play out smoothly!
Meantime, for those wanting to ride out the volatility with less risk, I've just found out about the "first fully reserved INR stablecoin": INRT. It's fully backed by rupees in regulated financial institutions and aims to be a cross-chain project!
Chart art: let it soar.
Three things: pump it more.
- Adam Cochran explores what the end of the 3AC contagion could be like.
- The DeFi Man explores protocols which accrue value via cash-flows.
- Route2Fi explores what the next DeFi trading season could be like.