BTC Finds Support, LDO Breaking Out
Market Update
- Today, we're witnessing a return of familiar correlations as Bitcoin, gold, and equities all stage a mini rally. Today's major macro news was the leap in jobless claims to 261k, a level not reached since October 2021 and notably above consensus. Advocates of continued rate hikes frequently point to the consistent strength of the labor market. However, this new data could signal the onset of a softening jobs market beginning to reflect in the economic indicators. As one might expect, rates are trending lower today, aligning with the modest rally observed. Amid the recent barrage of SEC lawsuits, $BTC seems to be finding stability around its 200-week moving average. However, as anticipated, altcoins continue to lag, likely influenced by recent negative headlines.
- In the wake of this week's high-profile SEC lawsuits, the defendants, Coinbase and Binance, are beginning to show early signs of resistance. Yesterday, in a move of assurance, Coinbase CEO Brian Armstrong promised users that the company's staking service would proceed as normal while the lawsuit was being contested. He further clarified that the company does not intend to delist any of the assets mentioned in the SEC's lawsuit. In a separate but related matter, Binance has thrown an unexpected allegation into the mix, stating that SEC Chair Gensler had once offered his advisory services to the company. With what Binance perceives as a conflict of interest, they believe it would be prudent for the SEC Chair to step away from the case. This initial posturing from both companies hints at a willingness to contest the SEC's actions, setting the stage for what could become an intense legal battle.
Source: Arbiscan.io, Optimistic.ethercan.io
- The past 24 hours for the Arbitrum ($ARB) ecosystem have been a mix of exciting progress and challenging setbacks. On a positive note, the Ethereum L2 launched a native version of USDC stablecoin on its network. This development enables companies or individuals to mint and redeem $USDC directly on Arbitrum, eliminating the need for asset bridging. With this move, Arbitrum has become the ninth blockchain to support the second-largest centralized stablecoin. However, this milestone was tempered by an unfortunate incident last night when a software bug caused the network to halt transaction processing for several hours. This glitch created a substantial backlog of unprocessed transactions, resulting in considerable strain on the network. Fortunately, a swift resolution has been implemented, and the network has resumed its smooth operations. Yet, this hiccup comes at a less-than-ideal time as Arbitrum's closest competitor, Optimism ($OP), has just undergone a significant hard fork, reducing deposit-confirmation times by 90% and gas fees by 40%.
Daily Technical Strategy
Mark L. Newton, CMT
Head of Technical Strategy
Lido DAO has begun to show evidence of a coming rally given its recent ability to have exceeded its downtrend from February 2023 peaks. The initial breakout happened into mid-May, but consolidation proved constructive before beginning to turn back higher. Daily $LDO charts show volume having picked up sharply this week when this exceeded $2.32. That's an encouraging sign technically which should help LDO rally back to challenge former highs from four months ago near $3.30. Momentum is positively sloped and not overbought at current levels. Furthermore, despite prices being near similar levels from last month, the technical structure has improved quite a bit in recent weeks. Unless LDO were to undercut $2.00, higher prices look likely in the weeks to come.
Daily Important Metrics
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All metrics as of June 8, 2023 12:52 PM
All Funding rates are in bps
Crypto Prices
| Symbol | Market Cap | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
 BTC | $514B | $26,511 | ↑ 0.39% | ↑ 60% | |
 ETH | $222B | $1,846 | ↑ 0.26% | ↑ 54% | ↓ -5.94% |
 ADA | $11B | $0.3234 | ↑ 0.78% | ↑ 31% | ↓ -29% |
 DOGE | $9.5B | $0.0677 | ↑ 0.27% | ↓ -3.52% | ↓ -64% |
 SOL | $7.4B | $18.67 | ↓ -0.10% | ↑ 89% | ↑ 29% |
 MATIC | $7.2B | $0.7713 | ↑ 0.43% | ↑ 1.20% | ↓ -59% |
 DOT | $6.0B | $5.01 | ↓ -0.26% | ↑ 15% | ↓ -45% |
 LINK | $3.1B | $5.97 | ↑ 0.14% | ↑ 7.46% | ↓ -53% |
 NEAR | $1.3B | $1.41 | ↓ -0.51% | ↑ 11% | ↓ -49% |
Exchange Traded Products (ETPs)
| Symbol | Premium to Nav | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
| GBTC | ↓ -43% | $13.77 | ↓ -0.43% | ↑ 66% | ↑ 6.07% |
| BITW | ↓ -57% | $10.38 | ↑ 1.96% | ↑ 93% | ↑ 33% |
| ETHE | ↓ -56% | $8.06 | ↓ -0.46% | ↑ 69% | ↑ 9.36% |
| BTCC | ↑ 0.05% | $4.90 | ↑ 0.62% | ↑ 62% | ↑ 1.68% |
News
MARKET DATA
The Block Redemptions surge for Coinbase’s staked ether following SEC lawsuit On-chain data indicates a rapid surge in redemptions of Coinbase's staked ether token, called cbETH, according to 21 Shares. The pos... |
REGULATION
The Block Binance wants Gary Gensler to recuse himself from SEC lawsuit Crypto exchange Binance reiterated concerns of a potential conflict of interest that it highlighted four months ago. The post Bina... |
The Block Former CFTC head joins Circle as chief legal officer Heath Tarbert, who left the CFTC after an 18-month tenure with the financial regulator, joined Circle from market making firm Citadel Securities. ... |
The Block New U.S. crypto rules could take years, CFTC chair tells Congress Even if Congress passes a new law to create tailored rules for digital assets, don't expect those rules to be put in place overnight. ... |
FUNDRAISING AND M&A
The Block Taiko raises $22 million across two rounds for its ‘Type 1 zkEVM’ Taiko Labs, a crypto startup focused on scaling the Ethereum blockchain, raised $22 million across two seed rounds. The post Taiko r... |
Coin Telegraph HyperPlay raises $12M in Series A funding round Griffin Gaming Partners and Bitkraft co-lead investors in a $12 million Series A funding round for MetaMask and Game7’... |
Decrypt.co Lens Protocol Raises $15 Million to Expand Decentralized Social Media Part of the Aave open-source decentralized lending network, Lens encourages users to own their online presence via alternatives to platforms like Twitter. |
WEB 3.0
CoinDesk Jack Dorsey-backed Nostr Creator Collaborates With Employer Zebedee on New Social Media Layer Zebedee users will be able to join a waitlist for alpha access to an updated version of the app which will feature integration with decentralized social media p... |
CoinDesk Polygon Spinoff Avail Network Starts Phase 2 of Its Testnet This second phase will include a more thorough testing environment to encourage validator participation. |
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