16th November 2023 > > Tokenisation & techies.

tl;dr

News of tokenisation is coming at us thick and fast, driving global crypto adoption. News that techies sell snake oil isn’t – to be frank – real news, but it is still a warning sign to be taken notice of.

Market Snap

Market Wrap

This has been an extraordinary week so far.

On the 11th we were at $37,400 with neutral perpetual futures funding rates. The leveraged children came out in force driving perps to an almost all-time high of 0.0238% before they inevitably got liquidated such that by yesterday perps were back at neutral and today, we are already higher than the 11th in terms of price. This is a tremendously resilient performance showing a deep buying bias despite the SEC rejecting another spot BTC ETF overnight. There is a supply squeeze, with almost all those coins sold at capitulation levels ($16k to $25k) as we exited the crypto winter now hosting a “not for sale” sign.

With global interest rates heading south (except for the EU which is always six months or more behind everyone else) the start of 2024 is looking benign for risk assets, all other things being equal.

Curious Cryptos’ Commentary – Tokenisation

I told you tokenisation was going to be a big thing.

J.P. Morgan – whose CEO Jamie “you cannot fire me” Dimon remains a crypto naysayer – has announced an initiative in association with Apollo to explore tokenisation of investment portfolios:

https://www.jpmorgan.com/onyx/project-guardian

This is part of the Monetary Authority of Singapore’s Project Guardian. Its aim is to leverage blockchain technology in the management and execution of clients’ investments across multiple public and trustless blockchains:

“We identified key pain points in the asset and wealth management industry regarding the current state of portfolio management, and envisioned how tokenization could power a future of simpler, broader access to diversified, high performing investments.”

Tokenisation is rapidly setting itself up as one of the key drivers of wholesale crypto adoption. If you are yet to be convinced, I thoroughly recommend reading the 56-page report attached to the press release above. Just this one time though, you are on your own – I am off to the swimming pool as soon as the next comment has been composed because it gets just too darn hot in Thailand.

Curious Cryptos’ Commentary – Techie fun poking time

I know, we have more than enough evidence to show that technical analysis is snake oil.

But bear with me, this one is a beautiful demonstration of utter nonsense. Unfortunately, some poor souls listen to these fraudsters, which is why I keep reminding everyone to ignore their siren calls.

“Imagine if it happened that fast, when everyone thinks they have months to years to accumulate XRP. XRP has formed the same 1M Japanese candlestick setup as late as 2017, right before a 900% candle.”

This analysis is by a Level 3 certified Chartered Market Technician, whose name I won’t share to save their blushes. I guess Level 3 is awarded to those who can find the exam room and can also find their way out again. Level 2s never left, and Level 1s never arrived.