Newsletter: Week 4
Upcoming & Current Events:
- Our first Podcast episode was recorded last week, and should be live by weeks end!
- Have you heard of NFT’s? Stay tuned, big things coming!
Market Update:
Micro View:
It has been a bloody week! BTC fell 13.4% since last week, and we have seen some alt coins lose twice that. We have seen a slight rebound from the low around 33,5K. However for a price reversal to take effect and remain significant, some argue a higher trading volume will be needed. Zooming out we see the trading volume peeked in the initial 2021 bull run, which was well before BTC’s all time high. Will we be able to see this influx in volume in the coming weeks? Only time will tell. (Chart break down)
Macro Takes:
As mentioned in previous newsletters, the increased correlation between cryptocurrencies and the stock market has, in part, led to the downtrend we are currently seeing where the stock market crashed from the news that the United States Federal Reserve would be tightening on monetary policy faster than had been expected (Read More)
CBDC’s
The United States launched a deeper investigation into CBDCs (central backed digital currency)! CBDCs are a way for Nation States to gain some control of the otherwise decentralized space, which is a potential problem since a Nation States monetary policy holds no power on decentralized currencies. The fed is asking for input from the community, so if you’d like to give feedback you can do so here 😉 If you want to read deeper into a CBDC’s effect on monetary policy turn to pg 13 of their report.
Written by
Erik Gunnarsson
Investor Joe:
Previous positions remain unchanged. This week Joe continues his DCA strategy with 100$ split as:
Quick Take:
With this weeks the bloodbath its allowed Joe to pick up both BTC and ETH at their lowest points, yet for Joe! An example of why ‘DCAing’ can be more effective than lump sum investing. However with the continued uncertainty, Joe will not go for any smaller alt coins this week.
