Hello Kassandra Community,
Welcome back to another edition of 'Kassandra Forecast: Your Web3 Weather Report!'
As the FOMC decisions ripple through the crypto world, we're here to provide you with the most current and insightful updates. This week is a must-read, especially if you're eyeing the market's reaction to macroeconomic events.
Lost in the Web3 maze? We've got your back. Our analyses break down the intricate jargon and algorithms so you can understand the crypto climate without a financial degree.
You'll want to bookmark this—each week, we aim to deliver actionable insights you can't afford to miss.
Are you ready to dive into this week's crypto currents?
Let's get the ball rolling👇
Crypto Market Pulse
As of today, the crypto world is a mixed bag. The global market cap is sitting at $1.09T, dipping 1.97% in the last 7 days. Trading? Oh, it's bustling at $42.4B.
BTC, still the king of the hill, commands a 49.27% market dominance, with ETH trailing at 17.44%. BTC is teasing us, lingering at the upper end of its liquidity zone between $25,300 and $27,100. And you bet the trading volume is buzzing above the norm.
But here's the kicker: The FED just dropped a bombshell. Rate hikes? Nah, they're on pause. Recession? Not on the horizon until at least 2027. This revelation could be the nudge BTC needs to make its next big move.
In crypto, as you know, the tides can turn in an instant. Any strong BTC action will be the market's North Star, guiding us to what comes next.
The Kassandra Pulse: Interest Rates & Crypto
The most awaited FOMC meeting has concluded, and the financial world is abuzz with its implications. Key takeaways from the meeting include:
The FOMC members remain divided on further interest rate hikes for this year.
Market expectations for interest rate cuts and liquidity return did not materialize, signaling potential market apathy and possible corrections.
Projections point to a possible interest rate cut closer to the end of 2024, with an expected inflation rate of 2.6% for the same year.
The FED's new stance has dispelled market expectations for immediate liquidity, setting the stage for two potential scenarios:
- No Crisis Scenario: The FED manages a smooth transition, maintaining a positive real interest rate with the first-rate cut expected at the end of 2024.
- Crisis Scenario: The persistence of a positive real interest rate becomes unsustainable, prompting the FED to inject liquidity into the capital markets.
As the crypto market tends to resonate with global financial shifts, the patience to ride through this low-liquidity period could be your ticket to catching the next big wave.
What Else is Trending in Crypto?
- Telegram Opens Crypto Wallet: Telegram has integrated the $TON Space crypto wallet for its 800 million monthly active users.
- MetaMask's New Snaps Feature: MetaMask introduces Snaps, extending its utility to non-EVM blockchains like Cosmos, Solana, Tezos, Starknet, and Algorand.
- Nasdaq's Ethereum ETF: Nasdaq files with the SEC to list an Ethereum ETF managed by Brazilian asset manager Hashdex.
Kassandra's Web3 DeFi Decoder: Quick Hits
Kassandra fam, are you up to speed with the ever-evolving DeFi landscape?
Don't worry; we've got you covered.
Get a quick rundown of the stories that are shaping the DeFi narrative.
- Arbitrum Reloads Odyssey: Earn Badges While You Trade
- Injective's inEVM: A New Home for Ethereum and Solana dApps
- Optimism's OP Airdrop #3: 500M Tokens Still Up For Grabs
- Eclipse Mainnet: When Solana Met Ethereum
- Yearn Finance Unveils yETH: Your New Go-To for Liquid Staking
Kassandra's Watchlist: Upcoming Events in Crypto
As we look forward to the week ahead, while there are no major macro events on the horizon, plenty of opportunities and token unlocks could still shape the crypto market. Here's what to keep your eyes on:
Crypto Watchlist for the Week Ahead
- $BTC: Binance vs SEC hearing and FOMC rate decision could cause market-wide impact.
- $ARB: A new 50M $ARB ecosystem incentive program approved; watch for potential selling pressure.
- $FXS: Keep an eye on Frax V3 audit results; a successful audit could mean an imminent launch.
- $DYDX: dYdX V4 release expected; rumored to include a revenue-sharing mechanism.
- $WLD: After a huge pump, valuation seems high; caution is advised.
Crypto Token Unlocks
- $ID: 6.5% of circulating supply unlocking on Sept. 22. (Market impact: $3.54m)
- $1INCH: Unlocking soon. (Market impact: $14.13k)
- $ACA: Unlocking in 3 days. (Market impact: $216.88k)
- $DYDX: Unlocking in 4 days. (Market impact: $4.27m)
- $PENDLE: Unlocking in 5 days. (Market impact: $229.38k)
Thank you for reading
Incredible week, Kassandra community! From FOMC decisions affecting the crypto realm to the latest DeFi innovations, we've brought you second to none insights.
Join us on the Kassandra Finance community, where the horizon is painted with endless possibilities for decentralized finance.
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