Daily Digest 9/8

Insight on the biggest news and charts that provide context for whats going on in the market today.

Yesterdays flash crash was most influenced by margin traders getting liquidated. The reason for the quick bounce back was that HODLers were not jumping out.
The strong amount of people holding and continuing to buy shows that the market is still healthy as whales were not the ones forcing the sell off.
Because we have seen an increase in regular investor activity there is also the trade off of users over leveraging. This was a slight reset for the whole derivatives market.

Greenidge Generation wants to renew their license that they acquired in 2016 from the Department of Environmental Conservation.
The companies location in Dresden has been under scrutiny from people saying that the mining activity “ undermines New York state’s climate goals and harms the surrounding environments.
If they are not approved by the DEC then they will no longer be able to mine Bitcoin. The facility currently mines about 4 BTC per day.
Greenidge is also looking to partner withSupport.com and if successful Greenidge will be a publicly traded company on the NASDAQ.

The FDIC wants to partner with Anchorage to be the custodian for storing and selling any Bitcoin or other digital assets they acquire from banks that are failing.
The FDIC getting involved in crypto in any capacity at the start is good news. Since crypto is becoming bigger and more easily accessible through banks it only makes sense that the FDIC would get involved for consumer protection.
Having the FDICs seal of approval may also attract more retail investors as its an added safety measure to protect them from losses.

Since the start of August the average price for the sale of an art based NFT has rocketed up by 300%. As of September 6th the average NFT art sale is over $100,000.
NFT gaming has not enjoyed the same amount of sales mostly because the games themselves are free to play for the most part. Games like Axie Infinity are free to play but where the craze began was over earning the small love potion for playing the game which does not involve sales but caused the project to spike in price as well. This inflated price is tough to judge because of many factors.
ETH gas fees can be one of those issues because resellers are going to try and make back what they spent on gas when reselling. From there it will cause floor prices to keep rising to keep pace with gas prices.
High gas fees are also deterring people from buying in recent weeks.

U.S. Infrastructure Bill and Crypto Taxes