Readiness number one
Last weekend did not change the technical pattern of bitcoin, Ethereum and a number of other altcoins. The market is still in a growing trend and reaching new historical highs will not take long. The market does not look overheated in the context of financing rates for indefinite contracts. For bitcoin futures on CME, the quotes went into backwardation, although with the launch of the ETF they were in an aggressive contango. The sale of coins by long–term holders, as a result of which their balance became neutral for the first time in a long time, did not change the trend of reducing exchange balances – demand remains active and absorbs all sales.
The driver remains elevated inflation expectations
The Fed meeting and data on the US labor market led to some reassessment of the trajectory of the Fed’s key rate hike, but not fundamentally. Sales against this background choked on the approaches to the psychological level of $ 60,000 – the bears did not have enough strength to go lower. The adoption by the lower house of the US Congress of an infrastructure plan with unfavorable amendments for the industry did not cause much emotion – lobbyists still have chances to make changes when adopting the next package of infrastructure spending.
On November 14, Taproot with Schnorr signatures will be activated on the bitcoin network, which will enhance the scalability, privacy and functionality of smart contracts. In its significance, this event may be equal to SegWit in 2017, which gave birth to the Lightning Network. Taproot can also help improve the second-level payment protocol, contributing to the realization of the forecast of its audience growth to 700 million users by 2030.
Other growth points of the ecosystem remain DeFi, NFT and blockchain games. Solana moved to the fourth place in the top 10 amid the launch of a $100 million fund aimed, among other things, at gaming projects. Funding was provided by FTX, Lightspeed Venture and Solana Ventures. Eager to join the top ten Avalanche – TVL in DeFi protocols has reached almost $9.5 billion. The rally of metaverse tokens after the news from Facebook (NASDAQ:FB) – SAND and ENJ – has stopped at the current stage.