A surprise for Shiba Inu holders

August 26, 2024

Reading time: 5 minutes

AI tokens outshine Bitcoin as investors await Nvidia's 28 August earnings

Key points:

  • Bitcoin retreated after a rally fueled by positive comments from Jackson Hole.

  • AI tokens, such as FET and TAO, experienced significant gains.

News - BTC experienced a slight pullback on Monday, dipping below the $64,000 level after a rally fueled by positive comments from the Jackson Hole Economic Symposium.

Why is the market up? The recent surge in risk assets followed U.S. Federal Reserve Chairman Jerome Powell's announcement of an impending monetary easing cycle, scheduled to begin next month.

While major cryptocurrencies like Ether, Solana, and XRP saw modest gains over the weekend, they have experienced slight retracements in the past 24 hours.

AI craze is far from over - Artificial Intelligence (AI) tokens have emerged as the standout performers on Monday, capturing the attention of Asian traders. FET, the token of the 'Artificial Superintelligence Alliance', and Bittensor (TAO) have seen significant gains, likely driven by anticipation of Nvidia's upcoming earnings report.

Nvidia, a leading player in the AI space, is set to announce its quarterly results on 28 August. A good result from the company’s end will drive more investment in AI tokens.

Toncoin plunges as Telegram co-founder Pavel Durov gets arrested in France

Key points:

  • The arrest stems from allegations of complicity in drug trafficking, CSAM, and fraud.

  • Elon Musk publicly advocated for Durov's release.

News - The cryptocurrency market was rocked by the arrest of Pavel Durov, the co-founder of Telegram Messenger LLP, on Saturday evening. The French police apprehended Durov at an airport near Paris, leading to a significant decline in the value of Toncoin, a cryptocurrency linked to Telegram.

TON goes on a downward journey - Toncoin experienced a sharp drop of 16.64% in the past week, losing approximately $2.7 billion in market capitalization. This downturn made Toncoin the only cryptocurrency among the top 20 to trade in the negative territory.

The arrest warrant for Durov stems from a criminal complaint filed by OFIM, a French law enforcement office. The complaint accuses Durov of complicity in drug trafficking, distribution of child sexual abuse material (CSAM), and fraud due to Telegram's alleged lack of moderation and cooperation with authorities.

What’s more? Elon Musk, a prominent tech entrepreneur, publicly advocated for Durov's immediate release on social media platform X.

The French authorities allege that Telegram has become a haven for organized crime due to its lack of moderation and cooperation.

Shiba Inu community prepares for DAO launch to empower SHIB holders

Key points:

  • The DAO will empower holders to vote on future initiatives.

  • Two primary councils will govern the DAO: Charity and Culture & Heritage.

News - The Shiba Inu memecoin community is gearing up for a significant milestone with the upcoming launch of a decentralized autonomous organization (DAO).

In a recent announcement on social media, the Shiba Inu team revealed plans to establish a DAO, granting holders the ability to vote on future initiatives and influence the project's direction.

Key details - The DAO will be governed by two primary councils: the Charity Council and the Culture & Heritage Council. These councils will play a crucial role in steering community initiatives, ranging from charitable endeavors to preserving the unique culture associated with the Shiba Inu memecoin community.

Other tokens within the SHIB ecosystem, including Bone ShibaSwap (BONE) and Doge Killer (LEASH), will also contribute to the DAO governance process. BONE holders will have a primary focus on expanding education and innovation, while LEASH holders will prioritize proposals related to inclusivity and transparency.

Tether dominates as Stablecoin market cap reaches all-time high

Key points:

  • The total stablecoin market capitalization has reached a new all-time high of $168 billion.

  • Tether remains the dominant stablecoin, accounting for a significant portion of the market cap.

News - The stablecoin market has reached a new milestone, with its total market capitalization surpassing the previous all-time high of $167 billion set in March 2022.

This surge, driven primarily by traditional stablecoins like Tether and USD Coin, indicates growing investor confidence in the crypto space.

Analysts’ take - Despite a recent decline in trading volume, attributed to regulatory concerns surrounding USDT in Europe, the overall trend for stablecoins remains positive.

Analysts suggest that a combination of factors, including increased retail participation and potential institutional interest, has contributed to this significant growth.

Tether has been at the forefront of this upward trend, consistently gaining market capitalization throughout the year. USD Coin has also seen steady growth, although it remains below its previous all-time high.

As the market evolves, it is expected that stablecoins will play an even more significant role in shaping the future of cryptocurrencies.

Did you know?

  • A survey conducted by Harris Poll on behalf of Grayscale from 30 April to 2 May 2024, revealed that 32% of voters are more open to crypto investing since early 2023. Compared to November 2023, 23% of voters now view crypto as a good long-term investment (up from 19%), and 47% plan to include it in their portfolios.

  • On 10 May, JPMorgan Chase disclosed in an SEC filing that it has invested in Bitcoin ETFs from Grayscale, ProShares, Bitwise, BlackRock, and Fidelity, holding around $760,000 in shares. The bank also reported owning 25,021 shares worth approximately $47,000 in Bitcoin Depot, a crypto ATM provider.

  • In 2022, a decentralized autonomous organization (DAO) called PleasrDAO raised a whopping $4 million in cryptocurrency to acquire a rare copy of the first-ever printed pizza menu from 1894.

Top 3 coins of the day

Key points:

  • LINK’s value increased by 24% over the past week.

  • However, bears dominated its short-term market structure.

What you should know - LINK’s price has seen a significant recovery, surging by 34.40% from its recent lows. The price recently broke out of the descending channel that it was previously confined to, signaling a potential bullish reversal. Currently trading at $12.29, LINK has successfully breached the resistance level near $12, which could now act as support. The volume profile shows consistent trading activity, supporting the recent upward move. Additionally, the Awesome Oscillator (AO) has turned positive, indicating a shift in momentum to the upside. If LINK maintains this momentum, the next target could be the $14-$15 range. However, traders should watch for potential consolidation or pullbacks around the current levels before the next leg up.

Pepe (PEPE)

Key points:

  • PEPE led the memecoin sector with a maximum 7-day gain of 28%.

  • Technical indicators hinted at a mixed market momentum.

What you should know - PEPE is currently experiencing a period of consolidation, trading at $0.00000896, just below a key resistance zone as shown in the attached chart. This resistance area, highlighted on the chart, has historically capped price advances, and PEPE has struggled to break through it convincingly. The RSI sits at 52.15, indicating a neutral market sentiment with neither overbought nor oversold conditions. This suggests that the current consolidation phase could continue in the short term. On the downside, PEPE has a strong support level at $0.00000522, where there is significant liquidity. If the price fails to breach the resistance zone, a retest of this support level is possible.

Immutable (IMX)

Key points:

  • IMX posted an impressive gain of 38.12% in the last week.

  • It was trading at $1.50, at the time of this reporting.

What you should know - ImmutableX (IMX) is currently trading at $1.491, facing a strong downtrend characterized by lower highs. The price is approaching a resistance zone around the $1.60 to $2.00 range, which has historically acted as a significant barrier to upward movement. The Bollinger Bands indicate that the price is nearing the upper band, suggesting that IMX might be overextended in the short term. The Awesome Oscillator shows positive momentum, but the strength of the trend remains questionable given the persistent downtrend. If IMX can break through the resistance zone, it could signal a reversal of the downtrend. However, failure to do so may result in a pullback towards the $1.20 support level.

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