🐂 Powell is a Bull. BTC to $120K Next?

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• Use borrow mode: 70% LTV against your whole portfolio, “only borrow, never sell”

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Good afternoon, everyone.

The big J time finally arrived. But more on this later, let’s check price action.

We’re approaching a big cluster of liquidation at the $111k level, and this chart depicts perfectly where we currently stand. It’s possible to see swiped lower, even under $110k, but right now, I would focus on the possibility of a market-wide bounce (IF we don’t close below $111k).

To add to this, a point is to be made around CME futures printing three red dailies in a row, which is, considering the historical odds, a perfect place for a mean reversion, at minimum.

If we’re looking for outperformers for the bounce play, ETH makes a lot of sense. Looking at futures market volumes, ETH clearly dominates BTC. SOL, however, shouldn’t be overlooked as well, as it was one of the strongest majors during this downturn.

Unfortunately, whether we get a couple of weeks of bouncy action or not, a real danger now lies in the stablecoin dominance chart. Here’s a good map to use, and observe carefully. Suppose stablecoin dominance manages to paint out a bottom and start bouncing during the next weeks, especially into the September FOMC date, there’s a possibility of yet another multi-month long downturn or consolidation at best.

Now, there’s a strong counter-argument to be made here. The last multi-month-long downturn happened during the first quarter of this year. The reason for that was the fact that the global liquidity index, which is reflected in risk assets’ price action on a three-month lag, was going down for the whole of Q4 2024.

Here’s my full argument with a chart attached. Let us know what you think!

And - while I’m publishing this, last thing - Jackson Hole sent us, Powell is dovish, and we all are going to make it. But seriously: daily and weekly closes above $113.9k will initiate a market-wide bounce. Prayers up.

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The important bits.

• Mira Network announces partnership with Myshell AI, read here

• Jumper ecosystem now spans over 53 blockchains, full dashboard here

• Almanak research report published by Jacob Zhao, read here

• Almanak reached $4.3M in presale deposits, join here

• Fuel Networks updates on the FUEL L2 Staking Migration, read here

• Tari explains how to stop mining attacks on Monero, read here 

• Shadow Exchange offers 1,667% APR on x33/S pools, earn here

• Plasma’s campaign with Binance Earn is set at $1B USD₮, join here

• INFINIT adds new one-click DeFi strategy, try it out here

• Sophon presents their “Sophon Name Service”, learn more here

• Ethena Risk Committee have established the Eligible Asset Framework, read here

• Prime Intellect, AirBNB for compute, explained in new blocmates article, read here

• HYPE unlocks (24% of total supply) are starting November, explained here

• Token Mill launch day guide published on blocmates, read here

Even more important bits.

• US House slips CBDC ban into defence spending bill, read here

• Philippines HB 421 has been filed to establish a Strategic Bitcoin Reserve, read here

• Ethereum treasury firm SharpLink approves a $1.5B stock repurchase plan, read here

Charts and stats of the day.

• The Total Stablecoin Market cap has been nonstop going up all year, chart here

• BlackRock is now the largest known BTC custodian, read here

• S&P 500 barely moved in price compared to gold since 1971, chart here

• 94% of Kanye West's $YZY memecoin was controlled by insiders, read here

• Crypto Treasury Company Liabilities tracker dashboard is now available, find it here

• Tokenized RWAs on Ethereum have surged ~20x since January 2024, chart here

Telemetry data of the day.

PumpFun + Heaven trending tokens for the last 24h:

If you want to access more of this type of data and trade freshly graduated tokens on PumpFun of Bonk, visit Telemetry here (it`s free).

Plasma is here.

Plasma’s native XPL token finally arrived.

First, if you want to fully understand Plasma, here’s a blocmates research article covering everything you need to know. Simply put, Plasma is a biggie when it comes to the stablecoin narrative, and as we know, that one is easily the most important one of this year.

As I’m typing this, XPL has a fully diluted valuation of $4.2B. I would expect some bottom-finding action with an upside turnout, especially if wider markets bounce after Jackson Hole volatility.

The interesting thing to note here is that even though presale buyers are already in profit, most of them feel underexposed due to hitting the presale allocation limits. Presale investors will also get back their USDT after hitting the presale limits, and it would make sense to see those funds flow into the now-listed XPL.

If this caught your attention, XPL is now available to trade on Hyperliquid.

Lastly, here’s the unlock schedule for you to watch:

• Insider (SocialFi)

Here’s a weekend homework for everyone. As we head into the most volatile (and most profitable and risky), we need to prepare our strategy properly. Read and learn.

stay safe homies,

Hix0n 🫡