13th January 2022 > > BTC accumulation.

tl;dr

Miners and HODLers are accumulating BTC.

Market Snap (at time of writing)

Market Wrap

BTC up 5% in the last 48 hours gives some hope that that futures-based liquidation sell-off from as early December has run its course.

US inflation reported yesterday was a hefty 7%, which is a sharp turnaround. However, as a high number was widely expected, this news had virtually no impact on markets.

Curious Cryptos’ Breaking News – House of Lords reports on “Britcoin”

More on this tomorrow, but tl;dr is that there are way more sensible people in the House of Lords than one might expect there to be found in a government institution.

Curious Cryptos’ Commentary – BTC miners are hoarding

Glassnode have reported that BTC miners have been accumulating BTC onto their balance sheets since we saw that high of $69k:

It should come as no surprise that miners have belief in the long-term value of BTC, and if they have cash reserves to pay for electricity, it is a no-brainer for them to accumulate for now.

But their business model relies upon ever increasing capital investments in faster and bigger machines, and more of them. That is very cash-intensive, and these accumulated BTC must come out to pay for that investment.

The popular crypto press has welcomed this accumulation as an expression of support for BTC. As usual, I am in a minority of one – I think this overhang will make it more difficult for us to see significant price gains in the next two months or so.

Curious Cryptos’ Commentary – HODLers are hoarding

Glassnode have also reported that HODLed or Lost Coins are at a one year high:

Now this is a totally different kettle of fish to the miners’ situation. Personally, I have never sold even one Satoshi, and I am not about to start now. Accumulation by HODLers effectively takes that BTC out of circulation for the medium term. This gives upward pressure on the price.

Reserve Treasury Protocols (before they all go to zero)

Reminder – Olympus and Wonderland are, to the best of my knowledge, live viable projects. XEUS, FORT and JADE turned out to be scams, though they are still live scams. Scams are not uncommon in these Wild West fringes of Decentralised Finance (DeFi).

Photon appears to have won the prize for being the most extraordinary scam. In under 18 hours it went to zero. An`d as far as I can tell – and I am no blockchain analytics expert – they walked away with less than $30k.

It is very upsetting we have scumbags like that around.

Open positions:

Closed positions: