Market Update
- This week is shaping up to be a significant one on the macro front, with the JOLTS report on Tuesday, the FOMC meeting and Treasury Quarterly Refunding Announcement (QRA) on Wednesday, PMIs on Thursday, and jobs data on Friday. Despite a downward trend in rates today, possibly hinting at the Fed's tone this week, DXY is climbing, largely due to a weakening Euro. In the equities market, major indices are showing relatively flat performance so far. Meanwhile, gold is experiencing a slight uptick, and BTC is advancing towards $43k, following a weekend of steady prices and improving market sentiment due to slowing GBTC outflows. ETH is moving higher but lagging the rest of the market as it approaches the $2300 level. SOL is notably outperforming, once again challenging $100, driven by increased inflows into its ecosystem following a recent memecoin launch and in anticipation of a massive airdrop scheduled for Wednesday (more on this below). Other assets displaying outsized strength today include INJ, PYTH, TIA, and DOGE.
- The pace of outflows from GBTC has continued to slow. Despite negative flows for GBTC, we are now likely seeing more net neutral outflows (suggesting capital is rotating from GBTC to lower-cost alternatives) rather than outright selling. In any case, this development is a substantial positive for market sentiment.
Source: Bloomberg, Fundstrat
- Spot ETF flows turned positive for the first time in several days on Friday, bringing the total net inflows into spot BTC ETFs to $760 million. Among the nine new ETFs, the leaders in inflows are BlackRock's IBIT with $2.2 billion in inflows, Fidelity's FBTC with $1.9 billion, followed by ARK's ARKB with $596 million, and Bitwise's BITB with $588 million in inflows.
Source: Bloomberg, Fundstrat
- Jupiter, a Solana-based trading aggregator, is currently making waves, having settled over $500 million in trades in the past 24 hours (source: Coingecko), briefly outperforming Ethereum-based industry leader Uniswap v3 in terms of volume. This notable surge in trading activity is aligned with the release of a new memecoin, WEN, developed by Jupiter's team, which has already generated around $130 million (Source: Coingecko) in trading volumes during its ongoing airdrop. The introduction of WEN was strategic, serving as a preliminary test for the network before Jupiter's own airdrop on Wednesday, which is anticipated to be among the largest to date. The buzz surrounding Jupiter's remarkable trading volume, coupled with the WEN airdrop, has significantly boosted Solana's engagement, evidenced by a marked increase in new wallet creations, transaction volumes, and fees on the network.
Source: TokenTerminal, Fundstrat
Daily Technical Strategy
Mark L. Newton, CMT
Head of Technical Strategy
Injective's push back above $34.58 last week was a technically positive development that increases the odds that a rally back to new all-time highs is underway. Its 2024 consolidation has proven brief and successfully managed to hold above former lows made in late December. Additionally, INJ has just exceeded the recent January downtrend which began on 1/9 with its gains over $35.40. Gains back to challenge and exceed $45.27 look likely with an initial target near $49.75, then $61 which would allow its rally from November lows to equal the current push higher from 1/23/24. From an Elliott-wave standpoint, its pattern since last Fall has closely followed a symmetrical pattern that should make this current rally the final fifth-wave of this advance from last Fall before a corrective consolidation gets underway. However, this should initially take the form of a rally back to near $50 and potentially $61 before this gets underway in late February into March. At present, the near-term trend is technically bullish and additional upside follow-through appears likely.
Daily Important Metrics
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All metrics as of January 29, 2024 11:34 AM
All Funding rates are in bps
Crypto Prices
| Symbol | Market Cap | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
 BTC | $849B | $43,299 | ↑ 2.39% | ↑ 2.52% | |
 ETH | $278B | $2,311 | ↑ 1.66% | ↑ 1.56% | ↓ -0.96% |
 SOL | $44B | $101 | ↑ 4.13% | ↓ -0.41% | ↓ -2.93% |
 ADA | $18B | $0.5080 | ↑ 2.94% | ↓ -14% | ↓ -17% |
 DOGE | $12B | $0.0820 | ↑ 2.80% | ↓ -7.91% | ↓ -10% |
 DOT | $8.8B | $6.95 | ↑ 4.11% | ↓ -14% | ↓ -17% |
 LINK | $8.5B | $14.93 | ↑ 3.20% | ↓ -0.24% | ↓ -2.76% |
 MATIC | $7.7B | $0.8061 | ↑ 0.92% | ↓ -16% | ↓ -19% |
 NEAR | $3.1B | $3.04 | ↑ 3.21% | ↓ -16% | ↓ -18% |
Exchange Traded Products (ETPs)
| Symbol | Premium to Nav | Last Price | Daily Change | Year to Date | Relative to BTC YTD |
| GBTC | ↑ 0.37% | $37.25 | ↑ 4.78% | ↑ 1.09% | ↓ -1.44% |
| BITW | ↓ -36% | $24.10 | ↑ 3.88% | ↓ -1.87% | ↓ -4.39% |
| ETHE | ↓ -11% | $19.73 | ↑ 4.50% | ↑ 1.39% | ↓ -1.13% |
| BTCC | ↓ -0.24% | $8.07 | ↑ 3.46% | ↓ -1.34% | ↓ -3.87% |
News
QUICK BITS
CoinDesk Coinbase Upgraded by Oppenheimer as Crypto Exchange Is 'Stronger Than Many People Realize' Analyst Own Lau noted higher trading volume, the recent approval of the spot bitcoin ETFs, and a potential win in the company’s lawsuit against the SEC as the m... |
MARKET DATA
The Block Solana signups surge to record highs while WEN token airdrop nears close Solana signups are surging while aound half of WEN tokens remain unclaimed with just hours left before the deadline. |
CoinDesk Unibot Boosts Token Value With Solana Ecosystem Draw UNIBOT holders are set to receive some 80% of the supply of Solana-based UNISOL through a snapshot and claim mechanism. |
CoinDesk BlackRock’s Bitcoin ETF First to Reach $2B in AUM The BlackRock iShares Bitcoin ETF (IBIT) on Friday became the first of the recently launched spot bitcoin products to reach $2 billion in assets under-managemen... |
CoinDesk Solana Trading Aggregator Jupiter Sees Trading Volumes Jump Ahead of JUP Issuance The decentralized exchange settled over $500 million in trades on Sunday, briefly becoming the biggest DEX platform. |
The Block Crypto funds saw $500 million in outflows last week as GBTC impact subsides Digital asset investment products saw net outflows of $500 million globally last week, though the impact of Grayscale's GBTC subsided. |
REGULATION
The Block Harvest Fund files spot bitcoin ETF application in Hong Kong: report The Hong Kong arm of the major Chinese asset manager applied for such an ETF on Jan. 26, Tencent News reported today. |
