CZ responds to CFTC Suit and MakerDAO approves 'Constitution'
Market Update
- Crypto markets seem to be taking yesterday's Binance news in stride, with $BTC down just 0.40% today at time of writing and $ETH up 1.88%. SPX and NDQ were down 0.10% and 0.63%, respectively. Interestingly, the ETH/BTC ratio appears to be stabilizing ahead of the Shanghai withdrawals on April 12th. ETH/BTC was up 2.33% today and nearly 4% from last week's low. Today's outperformers include liquid staking derivatives $LDO and $RPL, which were up 2.95% and 8.87%, as well as $XRP, up 4.80% as traders speculate ahead of its upcoming case vs. the SEC. After yesterday's Binance news, several decentralized exchanges, such as $GMX (up 4.17% today), received attention from the market. Since the FTX collapse in November, these decentralized exchanges have seen steady increases in volume, and Binance's case with the CFTC could accelerate this trend.
- Binance CEO, CZ, called the CFTC suit filed yesterday an "incomplete recitation of facts" in a blog post last night. CZ stated, "The CFTC filed an unexpected and disappointing civil complaint, despite our working cooperatively with the CFTC for over two years." The lawsuit alleges that Binance operated a derivatives trading operation in the U.S. and offered trades for cryptocurrencies which the CFTC suit referred to as “commodities”. In response to the case, CZ highlighted Binance's top-of-the-line compliance technology, cooperation with law enforcement, and global registrations and licenses. CZ also stated that Binance does not manipulate the market under any circumstance. In addition to the CFTC suit, a federal judge has put Binance's $1B deal with Voyager on hold.
- MakerDAO, the DAO behind the $DAI stablecoin, has approved its 'Constitution' and is moving forward with a significant restructuring it calls 'Endgame.' The approved proposal, written by Maker founder Rune Christensen, outlines the foundation for the protocol's governance, development, and investment of its reserves. The proposal includes breaking up the DAO's current structure into smaller SubDAOs, which are self-governing and self-sustaining entities with their own tokens within MakerDAO's ecosystem. The proposal also plans to boost platform revenues by investing a part of Maker's over $7B of reserves into real-world assets and money-market funds. Despite the governance vote passing, with 76.04% of $MKR voting in favor, there has been some criticism. Some users have criticized the constitution as authoritarian and claim that it forces users to be "muzzled and forbidden from communicating with anyone at or around Maker about Maker" due to the restrictions it imposes on communications from constitutional delegates.
Daily Technical Strategy
Mark L. Newton, CMT
Head of Technical Strategy
Stellar's near-term chart pattern has been slowly but surely improving following its large decline from May 2021. Weekly momentum began to show signs of positive divergence last summer, and with a few days remaining in the month of March, $XLM gains look set to finish positive for the last two out of three months. Near-term, XLM has formed what could be described as a possible reverse Head and Shoulders pattern, which would be confirmed on a weekly breakout above $0.10. This level would line up with 3/21/23 peaks along with representing a meaningful downtrend extending from last summer's highs. Volume has been supportive of gains in recent weeks, having expanded on the large rally from 3/21, and has been higher than average early this week. Overall, gains look likely, but a breakout of 0.10 will be necessary to jump-start its intermediate-term rally. The first meaningful area of upside resistance above $0.10 lies at $0.125-$0.13, while any near-term pullbacks should find strong support near $0.088-$0.09, which can be used to buy weakness. Longer-term, resistance above $0.13 would likely materialize near $0.20, lining up with prior lows made in July 2021.
Daily Important Metrics
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All metrics as of March 28, 2023 12:52 PM
All Funding rates are on bps
Crypto Prices
| Symbol | Market Cap | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
 BTC | $520B | $26,926 | ↓ -0.79% | ↑ 63% | |
 ETH | $213B | $1,738 | ↑ 1.22% | ↑ 45% | ↓ -17% |
 ADA | $12B | $0.3561 | ↑ 3.47% | ↑ 44% | ↓ -18% |
 MATIC | $9.6B | $1.06 | ↑ 1.46% | ↑ 39% | ↓ -24% |
 DOGE | $9.6B | $0.0725 | ↓ -0.27% | ↑ 3.29% | ↓ -59% |
 SOL | $7.8B | $20.22 | ↑ 2.23% | ↑ 104% | ↑ 42% |
 DOT | $7.0B | $5.94 | ↑ 1.62% | ↑ 37% | ↓ -26% |
 LINK | $3.5B | $6.83 | ↓ -0.64% | ↑ 23% | ↓ -39% |
 NEAR | $1.6B | $1.85 | ↓ -0.86% | ↑ 45% | ↓ -17% |
Exchange Traded Products (ETPs)
| Symbol | Premium to Nav | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
| GBTC | ↓ -38% | $15.62 | ↑ 2.56% | ↑ 88% | ↑ 26% |
| BITW | ↓ -57% | $10.17 | ↑ 0.44% | ↑ 89% | ↑ 27% |
| ETHE | ↓ -55% | $7.96 | ↑ 5.71% | ↑ 67% | ↑ 4.69% |
| BTCC | ↑ 0.19% | $4.95 | ↓ -0.60% | ↑ 63% | ↑ 0.83% |
News
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DOSE OF DEFI
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