Next FOMC meeting: July 26 2023.
Twitter has rebranded itself as "Bluebird" following CEO Elon Musk's purchase of the social media giant. The rebranding represents a significant shift in the company's identity and vision under Musk's leadership. With Musk's interest in cryptocurrencies and blockchain technology, this move has sparked speculation about the potential integration of crypto-related features on the platform. Twitter's transformation into "Bluebird" could have broader implications for the cryptocurrency industry, as it may lead to increased mainstream exposure and adoption of digital assets. However, the specific details of Musk's plans for the platform's crypto integration are yet to be disclosed, and market observers eagerly await further developments.
Worldcoin, founded by Sam Altman, has launched a global basic income project by distributing its own token to every eligible person in the world. The ambitious initiative aims to provide financial access and support to people globally by leveraging blockchain technology. To achieve this, Worldcoin plans to distribute tokens through a unique biometric identification process, enabling fair and secure access to the program. However, concerns about privacy and the logistics of implementation have been raised, given the scale and complexity of such an undertaking. This project highlights the potential of blockchain and cryptocurrencies in addressing global financial inclusion challenges, but its success will depend on addressing technical, regulatory, and ethical considerations.
Celsius Network, a cryptocurrency lending platform, has reached a settlement with the U.S. Securities and Exchange Commission (SEC) regarding the CEL token's status. The settlement will enable Celsius to register the CEL token as a security and facilitate its trading for U.S. users. This resolution comes as regulatory scrutiny in the cryptocurrency space intensifies, especially concerning tokens that may be classified as securities. By addressing these regulatory concerns, Celsius aims to provide its users with a compliant and legally secure platform for accessing financial services. The settlement with the SEC represents a significant step towards ensuring regulatory compliance in the crypto lending industry, as other platforms may also face similar challenges in navigating the evolving regulatory landscape.
On Monday, S&P 500 futures rose slightly as investors awaited key earnings reports and a significant policy decision from the Federal Reserve. Market participants are concerned that the busy week ahead could challenge the recent market rally. It is anticipated that the Federal Reserve will raise interest rates by a quarter percentage point in its meeting on Wednesday, and investors will closely listen to Chair Jerome Powell's comments to understand the central bank's future direction for the economy.
During this week, around 40% of the Dow and 30% of the S&P 500 companies will provide their financial updates, including notable companies like Alphabet, Microsoft, and Meta.
In other news, Elon Musk, the owner of Twitter, initiated a rebrand of the platform, changing its famous bird logo to an "X." The move aligns with Musk's vision to transform the platform into an "everything app," with a focus on audio, video, messaging, payments/banking, and powered by artificial intelligence. Musk also co-founded PayPal, which was previously called X.com before it rebranded in 2001. He repurchased the domain from PayPal in 2017.
Moving on with crypto, we’ve noticed an uptick in altcoin activity over the weekend as BTC squeezed to $30,350 on light volume before the move faded lower. It doesn’t seem that investors are interested in taking more risks ahead of the Fed and ECB monetary policy decisions this week.
This morning wasn’t the best way to start the week. Market participants witnessed multiple offers on the Binance order book worth a total of 7000 BTC or $200 million right before the dump. Prices rebounded off the $29,000 mark as bids were piling up near that price level. Liquidations in the past 24hours have surged by over 200% to $150 million.
Worldcoin Project is now live with several exchanges having listed the token or stated their intention to do so. Launched by Sam Altman from OpenAI with 2 million beta users, Worldcoin involves the use of eyeball scanning technology for identity verification. The project aims to provide global access to cryptocurrency by giving every person on Earth an equal amount of Worldcoin tokens. There are many benefits and concerns surrounding the project's implementation and its impact on financial inclusion and privacy. (https://worldcoin.org/)
On-chain data shows that whale investors began to place big bets on LINK around June 2023. According to IntoTheBlock, Chainlink only attracted 26 Whale Transactions on May 31.
Since then, the whales have gradually increased their trading activity, reaching 238 Large Transactions at the close of June 20. This represents a remarkable 815% surge in whales’ trading activity.
Large Transactions aggregates the daily number of daily confirmed transactions exceeding $100,000. This provides insights into the trading activity of large institutional investors and high-net-worth holders.
This significant rise in Chainlink whale transactions over a two-month period is bullish for a few reasons. Firstly, institutional investors are investing in Chainlink in preparation for the Bitcoin ETF approvals to spark demand for information to flow between DeFi and the TradFi space.
LINK/USDT - On the daily chart, the supply region highlighted in last weeks analysis has provided a sell-off reaction, which now sends price in the direction of the demand region near the 7.00 price level where buyers are likely to step in again.
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