Appold Market Watch - Week ending 18 October 2024

Market Update & Industry News - Week ending 18 October 2024

🔷 U.S. Bitcoin exchange-traded funds (ETFs) reportedly gained around $2bn of net inflows this week, with no negative flow days. BTC demand has pushed the price up by over 8% over the past five days, with cumulative assets managed by Bitcoin ETFs in the U.S. now standing at around $52 billion. 

Appold view: Institutional demand for BTC exposure in a traditional finance market structure continues to drive demand for these exchange-listed products, aided by the SEC approval of ETF options, along with general market sentiment for this asset class.

🔷 CoinDesk acquired CCData, the parent company of CryptoCompare, which provides digital asset data and analytics. The acquisition will expand CoinDesk’s services in market data, price indices, and research, enhancing its offerings for institutional clients. The deal will allow CoinDesk to leverage CCData’s expertise in providing real-time, high-quality digital asset information and analysis. 

Appold view: Congratulations to the CCData team on the acquisition. This is a good strategic move by Bullish-owned CoinDesk, expanding its exposure into institutional markets with a strong digital asset data and index solutions service. 

🔷 The U.S. Securities and Exchange Commission (SEC) approved the listing of options on spot Bitcoin Exchange-Traded Funds (ETFs) on the NYSE. This decision allowed the trading of options tied to Bitcoin ETFs on the exchange, marking a regulatory milestone in the digital asset market 

Appold view: This move continues to raise Bitcoin’s profile and acceptance within institutional markets. It could help enhance ETF liquidity and tighter spreads and improve risk management by enabling better hedging opportunities.

🔷 Ripple launched a new stablecoin, RLUSD, backed by U.S. Dollar deposits, U.S. government bonds, and cash equivalents, challenging industry giants in the digital assets space. 

Appold view: There has been a lot of activity around blockchain protocols and financial institutions looking to create their own stablecoins. Tether.io (USDT) and Circle (USDC) continue to dominate the market with around 90% market share, and we don’t anticipate this changing any time soon.

#Marketwatch #Blockchain #Investments