Welcome to “Uptober”
Key Takeaways
- A FUD-free week combined with shifting regulatory sentiment catalyzes a 33% weekly increase for $BTC and a 28% increase for $ETH. Bitcoin’s market cap returns to $1 trillion and trades above the 200-day moving average.
- Data points to a spot-driven market for Bitcoin as just over $100 million in short positions were liquidated on Wednesday’s move and leverage remains relatively subdued despite the bullish price action.
- $BTC transfer volume data demonstrating a higher percentage of transactions above $10 million in aggregate value suggests increased participation from institutional players.
- Bitcoin dominance appears to be gaining steam as the leading cryptoasset diverges from the altcoin market. This potentially indicates the start of wider rotation out of altcoins and into Bitcoin.
- On-chain supply dynamics may finally be bearing fruit as the current illiquid supply levels may have led to outsized impact from today’s spot demand.
- Bottom Line: Bitcoin and Ethereum’s performance in the face of a seemingly murky macro landscape is a positive sign for investors. We continue to view the remainder of Q4 as bullish for $BTC and $ETH and will continue to approach any near-term pullbacks as opportunities to add to our positions.
What a difference a w...
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