Merge vs Macro
The Good
In what was undoubtedly one of the greatest instances of long-term collaboration and a celebration of human ingenuity, the Ethereum network finally converted from Proof-of-Work to Proof-of-Stake in the early morning hours on Thursday. Contrary to most of the Testnet Merges, there were essentially no hiccups, as the execution layer seamlessly merged with the Beacon Chain and miners powered down their GPUs for the final time (or migrated to another GPU-mined network).
This was an endeavor nearly seven years in the making, with countless iterations, roadblocks, and route changes along the way. As mentioned in our previous notes, regardless of price action through the rest of this year, those with an interest in crypto and who are long innovation should take a few moments to appreciate the work done by the core developers of the Ethereum network. It was a hallmark achievement for open-source development.
As anticipated, the daily issuance of ETH dropped precipitously as the inflation rate for the new PoS network is hovering just north of 1%, as compared to the 4% annualized inflation rate as of just a few days ago.
Reports you may have missed
INFLOWS RESUME On Monday, market sentiments were rattled by a surprisingly strong manufacturing PMI figure, marking the first expansionary reading in 18 months. This led to a rise in rates, with risk assets across the board experiencing selloffs amid renewed inflation concerns and fears that the Federal Reserve might need to implement further measures to cool the economy. However, in our crypto comments video on Tuesday, we outlined a couple...
Adding RON and IMX As a Different Flavor of ETH-beta and Gaming Exposure (Core Strategy Rebalance)
MARKET SHRUGS AT HOT CPI The latest Consumer Price Index (CPI) data indicated a hotter inflationary environment than forecasted for February. Despite the surprise in the numbers, market participants appeared largely unmoved, suggesting that the potential impact had already been factored into their calculations prior to the release. This resilience reflects a broader sentiment that a rates-driven selloff, in response to the CPI figures, is not a significant near-term risk....
RESEND: Bitcoin ETF Equilibrium Price Dynamics: ETF likely to drive significant rise in daily demand
BY POPULAR DEMAND, WE ARE RE-SENDING THIS BITCOIN PRICE IMPACT OF SPOT ETF REPORT FROM JULY 24, 2023 The Bitcoin spot ETF was finally approved. And we are seeing the surge in price of Bitcoin because of attractive supply and demand dynamics.We received multiple requests to resend this report from July 24, 2023 which looked at supply and demand dynamics if a spot ETF was approved.In short, we believe a...
Articles Read 1/1
🎁 Unlock 1 extra article by joining our Community!
You’ve reached your limit of 1 free monthly articles. Please enter your email to unlock 1 more articles.
Already have an account? Sign In 708431-c78a7d-7976a8-4ae591-1f130e
Already have an account? Sign In 708431-c78a7d-7976a8-4ae591-1f130e