Cryptic ball: senators are waking up.
Most US Senators announced a compromise late Monday that kind of met the expectations of the crypto community regarding the controversial tax provision detailed Monday. However, that amendment required unanimous consent, which was blocked by one angry Senator. The original bill will now see its way through the House of Representatives later this fall, where it can still be "corrected".
Despite all this turmoil, crypto markets soared. While bitcoin and ether are practically where they were two days ago, having successfully tested new support levels at $42k and $3k, respectively, it's now time for alts to shine. Several such projects are pumping hard, with many up 50% over the past week. Why is it? Firstly, it's clear the summer is now over and bears went back to hibernation.
Secondly, this drama highlighted the union of this cryptic ecosystem. The literally dozens of US think-tanks effectively collaborated in record time to explain a complex topic to policy makers, with a reasonable degree of success - not a small feat. Conversely, at the same time it also reminded the industry for the need to more openly discuss regulatory matters and to agree on frameworks that can guide the innovations churned out daily in the many blocks of various blockchains.
Chart art: alts are waking up.
Market musings: tether is waking up.
The previous paragraph may seem dangerous to some, but it is a sign of maturity of this emergent asset class which has been clearly rewarded by the bulls. Now that bitcoin is back above the 200-day moving average (note that ETH has achieved that feat on July 23rd, the day of our Pumplona post), it's time to to talk about the rest of the year. To put it simply, all cryptoassets will soon test their all-time highs.
Note soon likely means September, which gives us a couple months to drive the typical FOMO into another parabolic run that will make the world go wild. So, if you're more concerned about the short-term, the next levels to watch are $50k for BTC and $3.5k for ether, which were key resistances in the previous leg. Naturally, some bears are still awake and trying to go short, but will they be lucky?
We believe not as more institutions are returning from holidays and announcing massive crypto exposure. Lastly, not even a half billion dollar hack to an obscure DeFi project which few people knew about was able to shake alts of their uptrend. Alas, it was even Tether who saved the day by blocking a small amount of the funds which the hacker was able to get away with! Isn't this a crazy space?
Visual block: institutions are waking up.
Three things: the flippening is waking up.
- Learn more about "alternative NFT strategies" with eGirl Capital.
- Learn more about the "largest crypto hack yet" with Mudit Gupta.
- Learn more about "EIP-1559’s ether burn mechanism" with CoinMetrics.
Tweet tip: the audience is waking up.
Meme moment: those with grit are waking up.
New token on B21: welcome, Polygon!
B21 Rewards: an announcement.
Note that starting 7:30am UTC, August 11th, 2021, all the referral and sign-up rewards in the B21 app will remain locked in your account for 90 days.