Blockchain
First Mover: Buying Bitcoin’s Dip, Betting Against Tether and Weighing the Jobs Report
Crypto traders appeared to be buying the dip after Thursday’s 11% plunge. ALSO: There’s a contract for that: How to hedge Tether’s credit risk.

You’re reading First Mover, CoinDesk’s daily markets newsletter. Assembled by the CoinDesk Markets Team and edited by Bradley Keoun, First Mover starts your day with the most up-to-date sentiment around crypto markets, which of course never close, putting in context every wild swing in bitcoin and more. We follow the money so you don’t have to. You can subscribe here.
HOLIDAY NOTICE: First Mover will publish next on Tuesday, Sept. 8. Happy Labor Day to our U.S. readers.
Price Point
Bitcoin (BTC) was up in early trading to $10,500, rebounding after Thursday’s 11% tumble, the biggest single-day decline since March.
The sell-off, which took prices as low as about $10,000, coincided with a rout in U.S. stocks, rekindling long-simmering discussions over whether the largest cryptocurrency was a safe haven like gold or merely another risky asset. Prices for ether (ETH), the native token of the Ethereum blockchain, slid 13%, potentially a sign of an unwind of the recent fervor in decentralized finance, or DeFi. U.S. 10-year Treasury yields fell and the dollar gained in foreign-exchange markets, indicating a flight to safety by traditional investors.
Joe DiPasquale, CEO of the cryptocurrency-focused hedge fund BitBull Capital, told First Mover in an email that “$10,000 still stands as a strong support and has absorbed selling pressure fairly well in the last two instances.” John Kramer, a trader at crypto over-the-counter firm GSR, told CoinDesk’s Daniel Cawrey that “many investors will see this as an opportunity to buy the dip.”
Market Moves
After years of debating whether tether (USDT) is fully backed 1-for-1 with U.S. dollars, the stablecoin’s critics and defenders alike can now put their money where their mouths are.
Opium, a derivatives exchange, has introduced credit default swaps (CDS) for USDT. The product, launched Thursday, insures the buyer in the event of default by Tether, the issuer of the world’s largest stablecoin and fifth-largest cryptocurrency overall.
As Opium’s blog points out, USDT is the lifeblood of the borderless cryptocurrency marketplace. The oldest stablecoin, USDT remains the largest such cryptocurrency by market cap and a top-five coin overall with $13.8 billion in issuance. Traders often use it to move money in and out of exchanges quickly to take advantage of arbitrage opportunities.
“You can use it to protect yourself against (or speculate on) a systemic failure of the most widely used stablecoin in crypto,” Opium said of the new CDS contract, in a blog post to be published Thursday.
There are nagging questions about the issuer’s creditworthiness. The firm behind USDT is under investigation by the New York Attorney General’s office for alleged misappropriation of funds, and Tether revealed in April 2019 that only 74% of USDT was backed by “cash and cash equivalents.”
Paolo Ardoino, chief technology officer at Tether, said through a spokesman: “Tether is solvent. Therefore, this solution is not really interesting to us or our community.”
The solution might be interesting to traders who just want a little extra assurance.
-William Foxley
Bitcoin Watch
Bitcoin’s options market has flipped bearish with the cryptocurrency registering its first double-digit decline in six months on Wednesday. Prices fell to a low of $10,006 before recovering to $10,500.
- The one- and three-month put-call skews that measure the cost of puts relative to that of calls have surged above zero, a sign of investors adding bets (put options) to position for a more profound price drop.
- Joel Kruger, a currency strategist at LMAX Group and macro trader at MarketPunks, who had warned earlier this week when prices were closer to $12,000 that a correction might be looming, also sees scope for additional price declines on the back of risk aversion in equity markets.
- “The next key support comes in the form of the June low at around $8,900,” Kruger told CoinDesk in a Telegram chat and added further that bitcoin would eventually realize its potential as store of value.
– Omkar Godbole
Token Watch
Ether (ETH): Vitalik Buterin, co-founder of Ethereum, released an ” improvement proposal” to address soaring transaction fee rates as network congestion rises.
Bitcoin (BTC): “Supercycle” thesis from Stack Funds predicts breach of $14K in next 100 days.
Tether (USDT), USD Coin (USDC): Stablecoins are the closest thing to digital cash that exists today, Castle Island’s Nik Carter writes for CoinDesk.
Chainlink (LINK), Tezos (XTZ): BitMEX plans futures on LINK and XTZ, the first new coins to appear on the exchange in over two years.
Gnosis (GNO): Investment firm Arca calls for tender offer of prediction market’s tokens as market value trades at 0.3% of project’s treasury balance, the Block reported.
CoinDesk Research’s latest Monthly Review features 15 charts that highlight bitcoin’s performance relative to macro assets, its relationship to the dollar and other fiat currencies, and Ethereum’s growing congestion problem. Download the report.
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Source: https://www.coindesk.com/buying-bitcoins-dip-tether-jobs-report
Blockchain
How NFTs, DeFi and Web 3.0 are intertwined


While blockchain itself provides the technology constructs to facilitate exchange, ownership and trust in the network, it is in the digitization of value elements where asset tokenization is essential. Tokenization is the process of converting the assets and rights to a property into a digital representation, or token, on a blockchain network.
Distinguishing between cryptocurrency and tokenized assets is important in understanding exchange vehicles, valuation models and fungibility across the various value networks that are emerging and posing interoperability challenges. These are not just technical challenges, but also business challenges around equitable swaps.
Asset tokenization can lead to the creation of a business model that fuels fractional ownership, the ability to own an instance of a large asset. While discussing asset tokenization in a previous article, I also mentioned the value of an instance economy in democratizing finance, commerce and global access, as well as in creating a broader global marketplace at a scale never before seen.
With digital assets and their fungibility in a blockchain ecosystem, there are various drivers of valuation. These include: 1) tokens based on crypto economic models that are driven by supply and demand, and the utility of the network; 2) nonfungible tokens, or NFTs, which have an intrinsic value such as identification, diplomas and healthcare records — essentially, tokens that are simple proof validations of the existence, authenticity and ownership of digital assets; and 3) fungible tokens that are valued on various bases, such as the sum total of economic activity in the network (cryptocurrency), its utility (smart contracts and transaction network processing), assigned values (stable coins and security tokens), and so on.
In this article, I address the complex issue of the hyperbolic and rapid rise of NFTs, after a similarly meteoric rise of decentralized finance, or DeFi, creating amazing innovations — with immense promise of democratization, new business models and global marketplaces with global access — all fueled by the basic premise of decentralization and fundamental constructs of tokenization and wallets. While NFTs may be characterized as one-of-a-kind cryptographic tokens with some intrinsic value to a holder or to a market (art, collectibles), the NFT movement is indicative of a larger token revolution that will not only fuel massive innovation and growth in Web 3.0 protocols but also test the resolve of the DeFi movement, along with its ability to intersect and provide platforms and an exchange vehicle for all token types.
Growth in Web 3.0 protocols
The first two generations of web protocols were largely about disseminating information and connecting people. They fueled a massive growth in information and collaboration, and did wonders for connecting the world. However, those web protocols were never designed to move things of value. Also, as the Web 2.0 era reached its fullest potential, vulnerabilities such as “fake news” and the “batched relay” of the movement of assets via a series of intermediaries emerged. Threats to the commerce and financial infrastructure of the system risk destabilizing it.
Web 3.0 promises to safeguard all things we value: information, truth and digital assets — both fungible and nonfungible. Whereas Web 2.0 was driven by the advent of social, mobile and the cloud, Web 3.0 is largely built on three new layers of technological innovation: edge computing, decentralized data networks and artificial intelligence.
The growth of NFTs has not only empowered the ability for artists, skilled professionals and entrepreneurs to encapsulate innovation in a tokenized form but has also fueled the democratization of the platform as one of the promises of blockchain technology. The underlying infrastructure includes decentralized storage technologies, efficient consensus protocols, off-chain computing, and oracle networks to provide connectivity and validation to existing systems.
Collectively, the Web 3.0 set of technologies envisions a connected, trustless, accountable network for efficiently delivering value, thus crafting an infrastructure for things of worth. NFTs represent both transferable entities and nontransferable tokens that we value. The latter include things such as our identification, healthcare records and passports, things that represent us and allow us to participate in the digital economy with our own unique, digital identities.
As we dare to envision a shift toward a world with decentralized control, governance based on distributed technology that challenges every business model, and governance structure built upon centralized business frameworks, we do have to ponder some things. Not only the shift itself, but the motivation, incentive and monetization elements that fuel and power the economic infrastructure to move things that have value — thereby keeping up with our changing perception and subsequent realization of that value.
Intersecting with finance — DeFi
DeFi is the movement in the blockchain applications space that leverages decentralized network technology to disrupt and force a transformation of old financial products into trustless, transparent protocols, facilitating digital value creation and dissemination with few to no intermediaries. It is widely understood and accepted that — due to new synergies and co-creation via new digital interactions and value-exchange mechanisms — blockchain technology lays the foundation for a trusted digital transactional network that, as a disintermediated platform, fuels the growth of marketplaces and secondary markets.
While DeFi aims to deliver the promise of finance democratization, NFTs test the resolve of DeFi by delivering a competitive yet inclusive asset class, plus avenues to provide a medium of exchange, fungibility by other fungible asset classes, and liquidity to a traditionally illiquid market.
Asset classes resulting from DeFi protocols and NFTs avail themselves of the advantages of fractional ownership of the assets, blurring the lines between asset classes and using constructs like digital wallets as a receptacle for them. This is all supported by underlying layers of Web 3.0 that provide security and availability via decentralization, as well as trust and immutability via consensus, extending these principles to basic computer infrastructure like storage and interconnect.
Commercialization of Web 3.0 protocols, which manifest as fungible utility tokens, further blurs the lines with diverse financial innovation products introduced by DeFi (such as base assets and derivatives), products that are also tokenized. So, while decentralization is the underlying theme — and the wallet and the token are fundamental constructs — these blurring lines are quite profound.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
The views, thoughts and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.
Nitin Gaur is the founder and director of IBM Digital Asset Labs, where he devises industry standards and use cases and works toward making blockchain for the enterprise a reality. He previously served as chief technology officer of IBM World Wire and of IBM Mobile Payments and Enterprise Mobile Solutions, and he founded IBM Blockchain Labs where he led the effort in establishing the blockchain practice for the enterprise. Nitin is also an IBM Distinguished Engineer and an IBM Master Inventor with a rich patent portfolio. Additionally, he serves as research and portfolio manager for Portal Asset Management, a multi-manager fund specializing in digital assets and DeFi investment strategies.
Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://cointelegraph.com/news/how-nfts-defi-and-web-3-0-are-intertwined
Blockchain
Has the rally ended for altcoins like LINK, ADA, and NPXS?

With most altcoins rallying at the current point in the market cycle where Bitcoin is making a comeback, there are a few altcoins that may have ended their price rally. Among these, LINK ranks in the top 10 cryptocurrencies based on market capitalization.
LINK’s oracles may have filled the void left from the removal of XRP from Grayscale’s fund. However, that does not seem to have had an impact that would last long enough to boost the price on spot exchanges. The asset is currently trading at the $32 level, down from its ATH. Though there is anticipation that the price will rally to its ATH, the dropping trade volume across exchanges signals otherwise.
After being added to Grayscale’s fund, LINK’s price went up steadily, however, a boost from institutional demand may not be enough to boost the asset’s price. 93% HODLers are profitable before the asset takes a dip in the current cycle

Grayscale LINK Holdings || Source: Bybt
LINK’s institutional demand has had only a partial impact on price, and the trend reversal depends on the HODLers profitability at the current price level and the rally of altcoins led by ETH. Historically, Bitcoin’s rally has had a negative impact on LINK’s price and that remains to be seen as Bitcoin traders above $60000 once again this weekend.
Another top altcoin, Cardano has offered HODLers an ROI of over 440% in 2020. This altcoin has been considered to be the one to HODL in the long term based on on-chain analysis and trader sentiments. In the current cycle, 65% HODLers are profitable at the price level of $1.23. This is one of the top altcoins in which the concentration by large holders is low, below 50%, currently at 24%.
Additionally, at this point in the rally, there is a significant drop in ADA’s trade volume across exchanges. This drop in liquidity may lead to a drop in price over the following week. Though large transactions in the past week have been above $30 Billion, the volume is dropping consistently.

ADA price chart || Source: Messari
Unlike ADA and LINK, in the case of NPXS, the price is back to the same level as a month ago. The 24-hour trade volume has taken a plunge with a near 100% drop in 24 hours, and this is a unique position in NPXS’s price cycle. Moreover, the on-chain sentiment is bearish and this may be the ideal time to buy altcoins like these that are consolidating. The confidence is consistently high in top markets on spot exchanges, and the dropping trade volume is a sign of consolidation.
Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://ambcrypto.com/has-the-rally-ended-for-altcoins-like-link-ada-and-npxs
Blockchain
Kraken Daily Market Report for April 09 2021

Overview
- Total spot trading volume at $1.02 billion, down from the 30-day average of $1.34 billion.
- Total futures notional at $417.0 million.
- The top five traded coins were, respectively, Bitcoin, Tether, Ethereum, Ripple, and Polkadot.
- Strong returns from Waves (+23%), Basic Attention Token (+17%), Keep (+13%), and Filecoin (+12%).
April 09, 2021 $1.02B traded across all markets today Crypto, EUR, USD, JPY, CAD, GBP, CHF, AUD |
||||
---|---|---|---|---|
XBT $57928. ↓0.21% $379.8M |
USDT $0.9996 ↓0.02% $197.7M |
ETH $2060.0 ↓1.0% $115.3M |
XRP $1.0285 ↓2.9% $70.9M |
DOT $40.512 ↓2.1% $27.6M |
ADA $1.2002 ↓1.6% $24.8M |
WAVES $16.972 ↑23% $20.9M |
USDC $1.0000 ↑0.02% $20.8M |
FIL $173.42 ↑12% $20.7M |
LTC $219.62 ↓3.0% $16.3M |
XTZ $6.6226 ↑7.5% $13.4M |
LINK $31.279 ↓4.6% $12.5M |
BAT $1.5112 ↑17% $11.8M |
TRX $0.1153 ↓6.5% $11.7M |
SC $0.0296 ↑0.6% $10.9M |
MANA $1.0222 ↑2.9% $10.6M |
XMR $275.91 ↑2.1% $9.67M |
BCH $630.11 ↓2.1% $7.69M |
XDG $0.0611 ↓1.1% $7.48M |
XLM $0.4833 ↓4.4% $7.44M |
OMG $10.224 ↑0.04% $7.33M |
KSM $448.87 ↓2.6% $7.11M |
EOS $6.1909 ↓4.1% $6.45M |
ALGO $1.3699 ↑1.3% $6.04M |
STORJ $2.5171 ↓3.8% $5.37M |
ATOM $20.952 ↑2.0% $4.96M |
FLOW $35.168 ↓0.5% $4.69M |
UNI $29.463 ↓2.5% $4.36M |
NANO $5.6553 ↓0.07% $3.24M |
QTUM $15.518 ↓7.3% $3.24M |
KEEP $0.7752 ↑13% $3.09M |
ZEC $192.44 ↑4.2% $2.58M |
OCEAN $1.7433 ↓4.4% $2.54M |
ICX $2.6261 ↑5.7% $2.36M |
LSK $7.0662 ↑2.8% $2.36M |
KAVA $6.9189 ↓4.9% $2.33M |
OXT $0.8013 ↑1.0% $2.17M |
DASH $264.69 ↓1.1% $2.14M |
CRV $2.9409 ↓4.2% $1.96M |
DAI $1.0001 ↓0.01% $1.95M |
COMP $451.87 ↓0.8% $1.89M |
YFI $45278. ↓4.2% $1.66M |
GRT $1.7240 ↓1.7% $1.64M |
REP $55.361 ↑9.9% $1.56M |
ANT $12.048 ↓0.6% $1.5M |
AAVE $358.40 ↓3.3% $1.47M |
REPV2 $55.869 ↑9.2% $1.19M |
KNC $3.3166 ↓0.15% $1.15M |
SNX $19.258 ↓3.3% $1.1M |
ETC $18.662 ↓4.8% $875K |
EWT $17.223 ↓4.9% $867K |
MLN $96.553 ↑5.3% $704K |
PAXG $1747.8 ↓0.9% $655K |
BAL $51.559 ↓4.0% $387K |
GNO $169.66 ↑1.3% $134K |
TBTC $60244. ↑1.2% $26.7K |
#####################. Trading Volume by Asset. ##########################################
Trading Volume by Asset
The figures below break down the trading volume of the largest, mid-size, and smallest assets. Cryptos are in purple, fiats are in blue. For each asset, the chart contains the daily trading volume in USD, and the percentage of the total trading volume. The percentages for fiats and cryptos are treated separately, so that they both add up to 100%.
Figure 1: Largest trading assets: trading volume (measured in USD) and its percentage of the total trading volume (April 10 2021)
Figure 2: Mid-size trading assets: (measured in USD) (April 10 2021)
Figure 3: Smallest trading assets: (measured in USD) (April 10 2021)
#####################. Spread %. ##########################################
Spread %
Spread percentage is the width of the bid/ask spread divided by the bid/ask midpoint. The values are generated by taking the median spread percentage over each minute, then the average of the medians over the day.
Figure 4: Average spread % by pair (April 10 2021)
.
#########. Returns and Volume ############################################
Returns and Volume
Figure 5: Returns of the four highest volume pairs (April 10 2021)
Figure 6: Volume of the major currencies and an average line that fits the data to a sinusoidal curve to show the daily volume highs and lows (April 10 2021)
###########. Daily Returns. #################################################
Daily Returns %
Figure 7: Returns over USD and XBT. Relative volume and return size is indicated by the size of the font. (April 10 2021)
###########. Disclaimer #################################################
The values generated in this report are from public market data distributed from Kraken WebSockets api. The total volumes and returns are calculated over the reporting day using UTC time.
Coinsmart. Beste Bitcoin-Börse in Europa
Source: https://blog.kraken.com/post/8593/kraken-daily-market-report-for-april-09-2021/
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