Daily Digest 9/7
Insight on the biggest news and charts that provide context for whats going on in the market today.
FTX Token Hits All-Time High Amid Crypto Exchange's NFT Launch
FTX continues its push to be one of the biggest exchanges in crypto by opening launching their NFT marketplace that supports both Ethereum and Solana.
They are the third exchange to open an NFT marketplace after Binance in June and Okex in August.
This news on top of the multiple partnerships and sponsorships that FTX has signed with the MLB, NBA, NCAA, and more over the past year has pushed the FTT token to new highs around $80.
Cardano Plunges as Critics Take Aim at Smart Contract Launch
Cardanos launch of smart contracts has people excited for the future of decentralized applications that can be built on the network; however, Minswap dex had to shut down its servers due to a large amount of users on the app at the same time.
This led to critics of Cardano questioning whether they will be able to compete with existing players like ETH. Since Eric Wall made the claim on Monday that “Cardano was not built for the current DeFi landscape,” ADA has seen its price decrease.
Charles Hoskinson responded by saying its just “noise and FUD.”
For Cardano to be able to compete in the future once fully complete their Dapps will have to be able to handle the amount of users ETH applications currently do.
El Salvador buys the dip as Bitcoin price flash crashes to $42.9K
Bitcoin had a bit of a flash crash this morning on the first day that El Salvador has BTC legal tender. The price dropped from $52,000 to $43,000.
This could be because some traders had decided to take profits and use this day to sell the news. This drop also caused many long positions to be liquidated.
The Salvadorian president took this drop as an opportunity to buy the dip as he picked up another 150 BTC and now holds 550 BTC.
In total they have about $28 million worth as the price currently stands.
As the market took a slight crash this morning it also caused many people to be liquidated out of their long positions. Across the top derivatives exchanges, such as Binance and FTX, a total of 306k users were liquidated for about $3 billion. Similarly to the crash in May we saw that a huge factor was overleveraged accounts getting wiped out. While this was more of a flash crash due to BTC miners selling off and people selling the El Salvador launch. The Market has already started to recover but those three combinations of factors definitely made for a crazy morning.
Quick look at the projects with the most social engagement today across major social media platforms. High engagement can be an indicator of market euphoria.