Crypto Research

In this week's Crypto Comments video, we discuss developments in spot BTC ETF applications, FTX's recent case motion to sell trust assets, declining staking yields on Ethereum, and a new addition to our Core Strategy. Click HERE for our full Crypto Strategy note.

RATES DUE FOR A BOUNCE (MAYBE) As the crypto market continues to exhibit strength, and despite eradicating one of the market’s biggest unknowns in Binance just last week, it remains essential to be aware of near-term risks. Recently, the bond market has experienced a significant rally, and there's been a notable decline in the DXY. Combined with nominal stimulus in Asia, these factors have contributed to a substantial increase in...

Bullish news continues following an upward revision of the U.S. Q3 GDP to an annual rate of 5.2%, approximately 30 basis points higher than initially reported. Equities retraced early gains to trade flat at writing, while bonds continued to rally. Notably, the yield on the U.S. 10-year Treasury note has fallen below 4.3%, a significant drop from its peak of roughly 5.0% roughly 40 days earlier. This upswing is partly...

Equities, initially in the red, have rallied with the QQQ up by around 20 basis points and the SPX nearing breakeven. The DXY is trending downwards, aiming for its lowest close since August amid another day of lower rates, which is easing the burden on crypto-related equities like COIN, now trading around $120 and nearing another year-to-date high. The recent Binance crackdown also benefits Coinbase, potentially boosting its market share...

WEEKLY RECAP After last week’s surge, funding and deal count fell to robust levels despite the short holiday week. Funding totaled $98 million in 13 deals announced, with the majority again raised by infrastructure. Companies tackling privacy, data, and wallet or L1 scalability improvements continue to get funded as investors remain confident that multiple winners can emerge from already competitive verticals. Our deal of the week, Blast, is another example...

The S&P 500 saw a 1% weekly increase, while the Nasdaq Composite experienced a 0.9% rise during the same period. This marks the fourth successive week of gains for major indexes, the longest streak since June for both the S&P 500 and Nasdaq. Treasury yields reached their lowest levels in several months this week, fueled by optimism that inflation is subsiding and anticipation that the Federal Reserve might cease rate...

BINANCE RISK MITIGATED One of the most significant idiosyncratic risks in the crypto market has been the uncertainty surrounding Binance and potential action from the Justice Department against the world's leading exchange. Earlier this year, we anticipated that any disciplinary actions would likely involve criminal charges against Changpeng Zhao (CZ) and a fine against the exchange. From our September note: _Source: Fundstrat_ Today, these views were realized. CZ appeared in...

Throughout 2023, our research team has recommended seven venture-style investments, primarily focused on small-cap tokens. We have compiled brief updates on each of the projects in our portfolio to examine our initial investment theses and ensure they remain intact. Click HERE for the full report. EXECUTIVE SUMMARY