Good morning, Asia. This is what makes news in the market:
Welcome to Asian morning briefings, daily summary of top stories throughout the US time, and an overview of market movements and analysis. For a detailed overview of the US market, see Coindesk’s Crypto Daybook Americas.
Bitcoin is trading for under $110,000 and as Asia continues trading week, it has changed its hands at $109.7k.
The move challenged the general market narrative of summer stagnation, highlighting the lack of suppressed volatility and immediate catalysts, shortly after a memo from the QCP capital.
A recent telegram note from QCP points to a yearly low to patterns of implicit volatility and calm price action, noting that BTC is “stuck in close range” as summer approaches.
They write that in order to “waken the profits of the broader market,” a clean break of over $110k, less than $10,000, is needed.
Still, QCP warned that recent macro development failed to cause directional convictions.
“Even as U.S. stocks recovered and sold gold in the wake of a stronger than expected employment report on Friday, BTC remained remarkably caught up in cross-currents without a macro anchor,” the memo said. “Without a compelling story to raise the next leg, signs of fatigue appear. The permanent open interest has softened, and the influx of spot BTC ETFs have begun to tapered.”
That context makes the current movement even more surprising.
Over the weekend, Bitcoin surged 3.26% from $105,393 to $108,801 to $108,801 to $108,801 to $108,801 to $108,801, according to Coindesk Research’s technical analysis model. BTC decisively beaten over $106,500, establishing new support at $107,600, rising to Monday’s session, reaching $110,169.
The breakout matches the background of the tense macro. US-China trade talks in London and the $22 billion US Treasury bond auction later this week injected uncertainty into global markets. These events could promote fresh volatility, but QCP warned that recent headlines will mostly lead to a “knee response” and will disappear soon.
The current question is whether BTC’s $110,000 move has real staying power, or is the rally moving ahead of the foundation?
A “massive shift” in institutional staking may drive ETH’s next meeting
While Ethereum critics have long underscored centralized risks, the narrative has declined as institutional adoption accelerates, accelerates infrastructure maturation, and recent protocol upgrades directly address past limitations.
“Market participants pay for decentralization as they are economically profitable in terms of security and key protection,” Mara Schmiedt, CEO of Institutional Ethereum Staking Platform, told Coindesk. “If you look at (the metrics of decentralization), all of this has improved significantly over the past few years.”
Currently, ETH worth $492 million is betting by Liquid Collective. This is co-founded to promote institutional betting by alluvial co-founding
This figure may seem modest compared to Ethereum’s total bet of around $93 billion, but what’s interesting is that it comes mainly from institutional investors.
“We are in the cusp of truly significant changes in Ethereum due to our regulatory momentum and the ability to unleash the benefits of safe staking,” she noted.
At the heart of Ethereum’s institutional preparation is the recent upgrade of Pectra, an important development that Schmieite describes as “large” and “undervalued.”
“I think Pectra was a massive upgrade. In fact, I think it’s underrated in that a huge amount of change is being introduced into the staking mechanics,” Schmiett said.
Additionally, triggerable drawers in the execution layer (an important component of Pectra) promote institutional participants, including ETF publishers, and are a critical compatibility upgrade.
This feature allows partial verification devices to be directly removed from the Ethereum execution layer, tailored to institutional operational requirements such as the T+1 reimbursement timeline.
“Eltriggerable drawers create a much more effective path to the exit for large market participants,” Schmiett added.
Ultimately, Chemiett said, “I think there will be more (eth) in the institutional portfolio going forward.”
News Round Up
Trump Media may be the cheapest Bitcoin play among public stocks, Nydig says
According to a new NYDIG report, Trump Media (DJT) could be one of the cheapest ways to get Bitcoin exposure in the open market, Coindesk recently reported.
As more and more companies adopt micro-strategy strategies to stack BTC on their balance sheets, analysts are rethinking how to value these so-called Bitcoin finance companies.
The commonly used modified net asset value (MNAV) metric suggests that investors are paying a premium for BTC exposure, while Nydig’s Greg Cipolaro claims that only MNAV is “a terrible shortage.” Instead, he points out the NAV stock premium. NAV is a factor in debt, cash and corporate value as a more accurate gauge.
On that scale, Trump Media and Semler Science (SMLR) are the most undervalued of the eight companies analyzed, trading at a stock premium of -16% and -10%, respectively. In other words, their stocks are less valuable than the bitcoin they hold.
This is in stark contrast to MicroStrategy (MSTR), which rose nearly 5% on Monday as Bitcoin exceeded $110,000, but DJT and SMLR remained mostly flat.
Circle Stock is a quadrant after IPO of ETFs that compete with bitwise after IPO
Coindesk submitted a proposal on June 6th that two previously reported major ETF issuers, Bitwise and ProShare, would launch a fund traded on an exchange linked to Circle (CRCL).
Proshares aims to be a leveraged merchant that delivers daily CRCL performance. At the same time, we plan a Bitwise cover call fund that generates revenue by selling options to the shares held, two very different ways to take advantage of the explosive rise in stocks.
CRCL surged another 9% in volatile trading on Monday, continuing to attract attention from both traditional financial investors. The proposed ETF is effective on August 20th, with SEC approval pending. If approved, they will further blur the line between crypto and traditional finance, providing investors with new tools for playing one of the hottest post-IPO names this year.
Market movements:
- BTC: Bitcoin is trading at $109,795 after a 3.26% breakout driven by US-China trade talks and a $220 billion facility purchase from the Treasury auction, volume promotion and macro uncertainty.
- ETH: Ethereum closed 4.46% from $2,480 to $2,581, confirmed support at $2,580, and set potential breakouts above $2,590.
- gold: Gold is trading at $3,314.45, and the modest dollar keeps the price attractive as investors watch US-China trade talks in London.
- Nikkei 225: The Asia-Pacific market rose on Tuesday, with Japan’s Japan 225 rising 0.51%.
- S&P 500: The S&P 500 rose slightly on Monday, boosted by Amazon and Alphabet as investors monitored US-China trade talks.
Other locations in the code
- Plasma’s XPL Token Sale attracts $500 million when investors chase after Stablecoin Plays (Coindesk)
- Coinbase says account lockouts have dropped by 82% (Blockworks)
- Argentine President Miley exonerated Libra’s meme coin probe (decryption)
