We start with our 3 big ideas from the week. These are observations from traders and investors that have some unique or differentiated insight.
Big Idea #1: Financial markets as a replacement for the pent up demand for competitive sports
Big Idea #2: Traders still love volatility (certainly true for BTC!)
Big Idea #3: Rebranding the Bitcoin halving as “Quantitive Hardening” to reinforce its difference from expanding central bank balance sheets
From here, we turn to look at what has been happening in the markets over the last week.
6. Speaking of traders loving volatility - last quarter Bitcoin trading volume was up by 61% across 22 large exchanges.
5. As the markets have rallied this week, some argue for skepticism while others think that the massive move down a few weeks ago was pricing in worse case scenarios.
4. Regardless of interpretation of immediate prices, the concern of many crypto folks is more long term
3. Interestingly, a lot of discussion this week had to do with bitcoin’s recent correlation to equities, and what the implications are for how the value proposition is framed.
2. Another key theme has been *which* cryptos are actually being adopted during this time. Interestingly, there have been significant inflows into USD-stablecoins as the world clamors for dollars.
1. Whatever volatility has transpired so far, it’s clear that we’re not done yet. The crypto heads are coming in hot and heavy with the “money printer go brrr” memes, but really all that matters is what happens next...