Dear BLUE users,
Glad to be back with more positive news. BLUE achieved gains for a third week in a row! BLUE rose from $235.97 to $241.06 (USDT), for a gain of 2.16%.
You may also listen to this weekly update at our podcast BlueTeko.
What happened?
According to analytics by CoinShares, last week was the 6th week in a row for net positive inflows in digital asset investments ($3 million). As we have been reporting in previous weeks, the cryptocurrency market has been highly correlated to the American stock market. Even thought inflation continues to be a major concern, the stock market has slightly recovered. Analysts suggest that risk-assets are already priced-in to negative news, and that the crypto market, in particular, is currently deleveraged, thus it is relatively stable, while oversold levels are attracting investment.
Perhaps the biggest news this week was the announcement of the partnership between BlackRock and Coinbase, which will allow BlackRock institutional investors access to Bitcoin. BlackRock is the world’s largest asset manager, with over $10 trillion dollars under management.
Our largest gainer this week was Avalanche (AXAX), rising 16.01% against the US dollar. Analytics suggest the price increase has been related to a surge in NFT trades on the Avalanche blockchain. NFTs trade volume in Avalanche has increased throughout the year, taking market share from Ethereum and Solana.
What’s next?
Our short term expectations have not changed. We expect cryptocurrencies to trade within a range while consolidating. However, the upcoming Ethereum 2.0 merge might create further upside as the date approaches (currently expected on September 19th). We are keeping a close look to Ethereum 2.0 developments.
BLUE starts this week at $241.06 (USDT), a gain of +509.22% since its inception.
<img border=”0″ data-original-height=”591″ data-original-width=”945″ height=”400″ src=”https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEiQfP8GOUc0hBqM6IooRn77c9ErQnNP_rX2tQL8tOacwhqD0Uhlw8QUg1xjE1kYOeOPNR2rBvKSHVfP1fAxy4ww0gGZPKOpR-dEn2XNFrOzApoFs2K5exzc1yq-tEwLjcnn1mKTRDMHbOiXWXzC-EWeFa12QMUeoLnLlEOnzHehB-SvuIqPgYfwcO-1/w640-h400/chart%20(12).png” width=”640″>
“Buy when there is blood in the streets”
Baron Rothschild made a fortune buying in the panic that followed the Battle of Waterloo against Napoleon.Although insensitive, this phrase lives on as the basis of contrarian investing. Technical analysis shows BLUE at a support zone.
BLUE is currently 72% down since its all-time high. Is this a misfortune …or an opportunity?
*This blog post cannot be copied, used, taken or disseminated as investment advice.
