Binance Adds Support for Ordinals NFTs, Goldman Sachs Crypto Survey Reveals Mixed Results
Market Update
- Equity markets slid lower today as investors await CPI data tomorrow and discussion over the debt ceiling later today. $SPX and $QQQ are trading at -0.4% and -0.6% relative to yesterday's close after opening lower, whilst $DXY and $US10Y are up by 0.3% and 0.4% on the day. Digital asset markets are also following suit, with $BTC and $ETH sliding by 1.5% and 1.0% over the past day. Many have pointed to the surge of memecoins like $PEPE and $ORDI to indicate market frothiness, perhaps signaling that a correction is overdue. Over the past day, $BSV has appreciated by 26% despite the market-wide correction. Some attribute BSV's rise to the fact that ex-BSV teams created most BTC Ordinals projects and the fact that BSV has larger blocksizes (8GB vs Bitcoin's 4MB) amidst high Bitcoin transaction fees.
- Binance plans to support Bitcoin Ordinals in its NFT marketplace from late May, allowing customers to trade without a separate wallet. The move comes amid a surge in Bitcoin transaction fees from BRC-20 tokens, as mentioned noted in last week's and yesterday's note, with block number 788695 witnessing fees exceeding block rewards for the first time since 2017. This increase benefits Bitcoin miners, who rely on both block subsidies and transaction fees for income. The recent growth in Bitcoin Ordinals NFTs and BRC-20 tokens have drawn ambivalent responses from the Bitcoin community. Some see this fee growth as crucial for the future, as fees will eventually become miners' sole income source, ensuring the network's security. Others, however, view these developments as spam and are working to curb it via a 'bug fix.'
- Goldman Sachs' recent crypto survey shows mixed results from family offices. The percentage of family offices uninterested in crypto investments rose to 62% from 39% in 2021. However, the proportion of family offices currently invested in cryptocurrencies has increased from 16% to 26%. While institutional interest appears to be waning, Goldman Sachs remains open to expanding its digital assets team and recently participated in the Canton Network, aimed at providing decentralized infrastructure for institutional clients. Relative to 2021, family offices are interested in increasing allocations to public and private equities and adding fixed-income exposure to capture higher rate opportunities.
Daily Technical Strategy
Mark L. Newton, CMT
Head of Technical Strategy
$LDO looks ready to reverse back higher following an exact 50% absolute retracement of its peak back in February 2023. As daily $LDO charts show below, LDO peaked at $3.34 back on 2/18 and managed to bottom on 5/8 at $1.67, an exact 50% absolute drop, which normally can be important as support. Interestingly enough, yesterday's close failed to undercut the 61.8% Fibonacci retracement of its rally from December 2022 to February 2023, also significant. While Monday 5/8's reversal was the first occurrence of a meaningful push back higher after earlier weakness since the most recent pullback began on 4/15, Tuesday's lift higher helps to form a technically significant pattern which normally can signal that a decline has run its course. Movement back over $2.00 on a close should help to jumpstart a push back to $2.40, and above this level on a close argues for a rally back to $3.25. Overall, $LDO appears like a good risk/reward for longs at current levels, technically, despite the ongoing downtrend at hand.
Daily Important Metrics
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All metrics as of May 9, 2023 1:00 PM
All Funding rates are in bps
Crypto Prices
| Symbol | Market Cap | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
 BTC | $535B | $27,646 | ↓ -0.82% | ↑ 67% | |
 ETH | $223B | $1,850 | ↓ -0.53% | ↑ 54% | ↓ -13% |
 ADA | $13B | $0.3640 | ↓ -1.51% | ↑ 47% | ↓ -19% |
 DOGE | $10B | $0.0730 | ↓ -1.06% | ↑ 4.05% | ↓ -63% |
 SOL | $8.2B | $20.76 | ↓ -1.56% | ↑ 110% | ↑ 43% |
 MATIC | $8.1B | $0.8779 | ↓ -5.04% | ↑ 15% | ↓ -52% |
 DOT | $6.3B | $5.35 | ↓ -0.95% | ↑ 23% | ↓ -44% |
 LINK | $3.4B | $6.54 | ↓ -1.96% | ↑ 18% | ↓ -49% |
 NEAR | $1.5B | $1.63 | ↓ -1.79% | ↑ 28% | ↓ -39% |
Exchange Traded Products (ETPs)
| Symbol | Premium to Nav | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
| GBTC | ↓ -38% | $15.57 | ↑ 0.41% | ↑ 88% | ↑ 21% |
| BITW | ↓ -56% | $10.56 | ↓ -0.17% | ↑ 97% | ↑ 30% |
| ETHE | ↓ -50% | $8.86 | ↓ -0.78% | ↑ 86% | ↑ 19% |
| BTCC | ↑ 0.18% | $5.05 | ↑ 0.20% | ↑ 67% | ↓ -0.21% |
News
MARKET DATA
Coin Telegraph ‘Unjustly enriched:’ Core Scientific knocks back $4.7M claim from Celsius Core Scientific has rejected a multi-million-dollar administrative claim from Celsius Network, arguing it's owed an ev... |
The Block Goldman Sachs finds crypto interest has waned among the ultra-rich Goldman Sachs found that 62% of surveyed family offices are not invested in and are not interested in crypto, compared to 39% in 2021. ... |
CoinDesk Ordinals Upend Bitcoin Mining, Pushing Transaction Fees Above Mining Reward for First Time in Years Several mining pools such as Luxor Technologies and AntPool mined blocks on Monday where fees exceeded Bitcoin’s block subsidy of 6.25 BTC. |
DOSE OF DEFI
Coin Telegraph Aave V3 launches on Ethereum layer-2 network Metis Ethereum layer-2 protocols continue to attract the biggest players in the decentralized finance sector, with liquidity... |
The Block MakerDAO boosts DAI lending capabilities via Spark Protocol roll-out MakerDAO has introduced Spark, a DeFi lending protocol that enables users to borrow dai (DAI) stablecoin. The post MakerDAO boosts D... |
CoinDesk Canto Blockchain Set for Vote on Reduction in Liquidity Incentives, Block Rewards If passed, the mining incentives for each liquidity pool on Canto will be reduced on average by roughly 38%, and data-block rewards known as "security emissions... |
REGULATION
The Block Bittrex files for bankruptcy protection less than a month after SEC charges Bittrex has more than 100,000 creditors, it said in a court filing. The post Bittrex files for bankruptcy protection less than a mo... |
FUNDRAISING AND M&A
CoinDesk NFT Project Pudgy Penguins Raises $9M The fundraise comes after a leadership change that led to an increased focus on utilizing the intellectual property. |
NFTS
The Block Binance adds Bitcoin Ordinals to its NFT marketplace Bitcoin Ordinals trading is coming to Binance, the world's largest cryptocurrency trading platform. The post Binance adds Bitcoin Or... |
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