Crypto has been nuts lately and everyone Has been trying to get a sense of what The heck is happening what the hell is Happening well who better to explain Things than exchanges who have front row Seats to the show that's why today we'll Be summarizing a report from one of the Largest crypto exchanges out there it Explains what's been going on in the Market and also gives us an idea of what Could come next stay Tuned the report that we'll be Summarizing today is the monthly Market Insights report for June 2024 which was Published by kucoin research we'll be Giving you the juiciest details here but We'll leave a link to the full report For you in the description if you want To read it for yourself now the report Begins by looking at how recent macro Factors have boosted confidence in major Central banks such as the Federal Reserve and how that could begin to ease Monetary policy between now and the end Of the year the reports authors also Note the strengthening of the stock Market with some indices even reaching All-time highs and notes nvidia's strong Earnings report which has helped to fuel Tech stocks crypto on the other hand Experienced a rebound something clearly Seen with BTC on the weekly recent price Action notwithstanding the authors then Highlight how following speculation in
Miday the SEC unexpectedly approved the 19 B4 forms for several spot ethereum ETFs on the 24th of May indicating that The SEC had reviewed and approved Various aspects of the ETF offerings These include their trading rules Listing standards and their fee Structures however this doesn't mean the ETFs themselves have been approved at The time of shooting the SEC has yet to Give the green light for the ETFs to be Listed in the same way as the spot Bitcoin ETFs we saw earlier this year in Fact the SEC have just announced their Decision to delay the ETFs because well It's the SEC in any case the authors Explained that the ETF news has and I Quote significantly boosted Market Confidence in eth and its ecosystem Uplifting ethereum itself and related to Assets on the ethereum blockchain well That's certainly one way of putting it I Mean just look at that God candle where East price had jumped by almost 20% in a Single Day any way the next part of the report Looks at the inflows and outflows of These spot Bitcoin ETFs which saw their Collective AUM returned to the $60 Billion Mark in May the authors also Highlight that there was around $200 Million of inflows per day whereas there Was only $ 29.7 million of daily selling Coming from Bitcoin miners which works
Out as around 450 BTC a day of course we Have also seen some sizable ETF outflows Since then In retrospect this isn't surprising as The open interest in BTC contracts have Increased dramatically but not for BTC Options this suggests that investors are Still cautious they back this up with The fear and greed index which shows That we have come a long way from the Extreme greed levels we saw in the Middle of March but let's face it it Could be better in fact at the time of Shooting the fear and greed index has Fallen from its high of 9 % to around 40% which puts us at the lower end of The neutral scale quickly heading Towards fear it's crazy how much things Can change in just a couple of months eh At least we know that you guys are Excited to be in the wonderful world of Crypto why else would you have liked This video wait you haven't liked the Video yet and you haven't hit the Subscribe button and ping the Notification Bell quick I'll just take a Sip of water while you guys sort that Out So ma'am where exactly were you on the Night of the murder I was right here Detective all night long you got anyone Who can back that up you mean an alibi Yeah that's the one no I was all of my Lonesome and what exactly were you doing
All on your lonesome if you don't mind Me asking well keep it under your hat Detective but I was looking through the Coin bu deals page what's a coin Bureau Deals page when it's at home it's only The place where you'll find the best Discounts and Promos in all of crypto What do you mean I mean trading fee Discounts of up to 70% and sign up Bonuses of up to $1,000 on some of the best exchanges Holy smokes they got discounts on Hardware wallets too by any chance they Sure do detective like you wouldn't Believe well that sure sounds kind of Swell lady but just you give me one good Reason why I should believe a single Word you say you don't have to take my Word for a detective take a look at the Link down below and see for yourself she Wasn't kidding those deals really were Something else turns out that crypto Ain't such a bad place after all you Just got to know your way Around ah okay that's better right where Were we yes the next part of the report The author's note a rise in criticisms About projects with a low initial market Cap and a high FTV because this often Means that the tokens are launched at a Higher price making it difficult for Retail traders to turn a profit in case You are wondering FTV stands for fully Diluted valuation and is the value you
Get when you multiply a crypto's price By its maximum Supply it's an important And yet underrated metric which you can Learn more about in our recent video the Link to that is in the description Anyway this frustration has resulted in Many Traders turning to more obscure low Cap gems as well as meme coins Including those centered around Celebrities as it so happens we also did A recent video about celebrity meme Coins you can follow us down that rabbit Hole using the link down below I know We're really spoiling you for Choice Here today aren't we but aside from Throwing money into the mcoin casino Investors have also turned their Attention to the recent surge in tap to Earn projects namely not coin which the Authors know as being the only asset Launched by the binance launch pool in May this launch was different because Not token launched within 100% of its Circulating Supply already in Circulation as you'll probably be aware Knot's launch was intriguing to say the Least because in theory it created a lot Of sell pressure from the millions of Players whose phone screen had a Permanent indent from all of the tapping In practice however not's price and Traded volume actually saw significant Growth which has boosted the attention Towards other similar tap in games that
Can be found on Telegram now in the next section of the Report the authors discuss changes in The trends in layer tws mainly within The ethereum ecosystem the first change The authors note is that after the SEC Approved those 19 B4 filings e price Shot up by 21% in May to over $3,800 as such the tvl or total value Locked of ethereum's layer 2 ecosystems Jumped up by 20% % reaching just under $48 Billion however this is only in terms of Their USD pairs the authors also note That the tvl for l2s also went down by 4.4% against their eth pairs which Suggests the activity level on these Chains hasn't really budged when you Think about it this makes sense it's no Secret that retail investors haven't Really flopped back into crypto just yet So as bullish as those ETF approvals are Looking It doesn't mean that we'll see an influx Of new users exploring ethereum's tech One step at a time though he folks Anyway this ties into the second change Noted by the authors they say that Despite l2's having as they put it a Pessimistic Outlook there are some layer 2 projects that have seen some positive Developments in fact the authors Highlight that layer twos that don't yet Have their own token such as Basse and
Linear have shown significant growth There's a good chance that this is Because more people that are using these Chains in hopes of farming airdrops After all this is pretty much what Drew So many people into not coin that we Mentioned earlier because people were Essentially farming points to earn a Future award say wouldn't it just be Great if there was a video somewhere That showed you how you could Farm your Own airdrops and wouldn't it be even Better if you could just find that that Video by clicking the link in the Description Below anyway the authors then go on to Say that the activity level in the base Ecosystem can clearly be seen to be Growing and that it's actually captured Most of the hotspots within the layer 2 Space they then deliver a bit of a Bombshell in their words and I quote Following the Danon upgrade the increase In gas fees of eer to as well as the Price performance of optimism and Arbitrum have not been ideal this has Led to increasing skepticism about the Layer 2 sector they then go on to say That people are less concerned with Transaction efficiency and are more Interested in high performance assets Such as mean coins and reaking solutions Now this is more significant than you Might think because ethereum's road map
Is heavily centered around rollup Solutions like optimism and arbitrum the Author's suggestion that people aren't Interested in these Solutions naturally Places doubts on the future direction of Ethereum anyway the authors then mention That with eth's recent surge the market Has also seen a variety of meme coins Related to the US presidential election Particularly those centered around Trump Being well being Trump the authors also Highlight the return of roaring Kitty And the effect this had on various meme Coins related to kitties and GameStop You got to hand it to DJ they sure do Know how to keep things entertaining the Thing is these events have not only Drawn investors to riskier assets They've also resulted in more people Using the ethereum blockchains to find These gems which has turned supercharg Trading activity on dexes like Unis swap The authors also note that in the Bitcoin layer 2 space there has been one Standout that sorts tvl increase by over 100% in May you'll have to read the full Report to find out which project that Was will remind you you can find the Link to the report in the description Don't worry though because we will be Coming back to the Bitcoin ecosystem Later in this video now the next part of The report highlights the key Transformations in top projects they
Start with layer zero which introduced a 14-day self-report civil activity Program in case you weren't aware a Cil Attack is when a bad actor uses multi Mple accounts or nodes to manipulate a Network in order to take advantage or Even control of that Network in layer Zero's case if someone were to sou Report they can receive 15% of the Expected allocation and won't be named Or shamed however those who are Identified as a civil attacker by others Receive no allocation and their names Are published for everyone to see what Unfolded from here was a bit chaotic the Authors explained that anti-il efforts Evolved from self-reporting to Mutual Reporting for bounties and with a Financial incentive dangling like a Carrot on a stick things got a little Out of hand as the author puts it and I Quote examples include employees from Farming Studios reigning to report Internal accounts large airdrop Addresses from certain projects being Reported and users targeting clusters of Civil addresses belong to high-profile Users or influencers for concentration Reporting basically it became all a Little bit of a dog eat dog scenario Wherein people were scrambling to blow The whistle on anyone in order to farm Rewards moving on from layer zero the Authors know another farming attempt
This time in relation to arbitrum which Saw over 600,000 addresses receive free Tokens since then the air drop farming Has become a highly competitive Landscape with many projects seeing high Amounts of onchain interactions before Their token launch however the report Knows this to be a little bit of a Double-edged sword on the one hand Airdrop farmers who boost their address Activity will be inadvertently Supporting on the onchain data for Larger projects on the other hand Farmers can quite often be negative when They don't get the allocation they Expect or when plans for airdrops are Delayed and yes there are really people Out there plenty who complain about Essentially free money this is is why a Lot of project teams treat airdrop Farmers with indifference they're well Aware that just as many participants are Just in it for the gains and might not Be looking afterwards to help promote The Project's development or Community Anyway in the next part of the report The authors turned their attention to The ton ecosystem highlighting again That not coin had helped drawing a lot Of attention specifically not coin's Interaction with telegram helped to Easily draw around 6 million daily Active users which help promote the ton Ecosystem and boost its liquidity all
While keeping the cost involved with Customer Acquisitions to a minimum the Authors continue by saying that not Coins listing on binance represents a Shift in how centralized exchanges Approach listing new coins that's Because NCoin proved that these Platforms will support projects with Widespread user engagement rather than Focus on Innovative Tech or VC backing Of course not coin wasn't the only Telegram game that did well kazen was Another example with over 900,000 daily Active users kazen helped drawing over 6 Million users to telegram according to The report and you can bet your bottom Dollar that more games like these will Appear inevitably pushing Ton's price Even higher we happen to believe that Ton is one of the most underrated crypto Projects on the market market right now And you can find out why by using the Link in the description now the next Part of the report takes a look at the Bitcoin ecosystem in May brc2 Originals Saw little in the way of interaction as More people were instead tuning their Focus on runes as well as Bitcoin at Layer tws staking and raking protocols And shared security sectors running on The Bitcoin Network as the report States And I quote ordinals and brc2 will need More Innovative Technologies and Products to regain market conditions
That being said the authors also note That the legendary Bitcoin Pizza day Could also have rekindled interest in BRC 20 inscriptions however the primary Focus has been the recently launched Runes protocol which went live at the Same time as the Bitcoin housing event In April as a fun fact runes was created By controversial developer Casey rmore Who also created ordinals you can learn More about runes by watching our recent Video and if you already know where to Find that the link is down below anyway One Rune asset highlighted in the report Is one called Dog go to the Moon with The ticker dog it is a little bit of a Crazy long name for a token but hey That's all part of Run's charm Now dog Was pointed out because of how close it Got to catching up with Audi which is The original and largest bsc2 a token For market cap for reference dog managed To hit a market cap of $800 million While Audi sat at $850 million at the Same moment in time cutting it very Close indeed the authors note that in Audi's defense the market cap did climb Back to a$1 billion market cap but also Comments that this doesn't change the Fact that more user and developer Traffic was taking place on the runes Protocol but ladies and gentlemen that Casey rhm off you he is like the gift That keeps on giving even if you're not
A massive fan of what he's dishing out Anyo the next part of the report looks At investment and funding rounds that Took place in May a total of 156 Investment and financial projects were Disclosed with a value of just over $1 Billion this was actually a decrease of Around $7 million from compared to April But who's really complaining when it's Only a billion dollar according to the Report a proportion of the series a Funding rounds decreased from 10% to 7.77% whereas strategic stage financing Projects showed a slight increase from 15.73% to 18.45% notably the authors also Highlight that institutional investors Would rather exit a project following a Public listing in other words Institutions would prefer to dump their Bags on retail plebs like you and me to Make a quick bug how very thoughtful of Them the authors then note that evm Based blockchains remained the most Popular projects for financing which Includes projects like ethereum Obviously as well as arbitrum and Polygon meanwhile salana stood out as The most financed nonm chain maintaining Its fifth Pace position other chains Include Phantom which entered the top 10 List and ton coin most likely for Reasons that we mentioned earlier next The authors give a nod to Chinese
Institutions in particular Anoka Brands Which invested in 15 projects and okay Expenses which invested in 11 projects Notably the most popular narratives here Were modularity liquid staking Derivatives and layer 2 Solutions anyway It's always good to diversify right now The final section of this report looks At changes that took place in the Crypto's regulatory landscape namely There were three key developments in May That could each play a part in the Future of cryptocurrencies and digital Assets the first of these changes took Place in the US where the House of Representatives passed the financial Innovation and technology for the 21st Century act which is abbreviated to fit 21 thanks Satoshi for that because that Honestly that's a bit of a mouthful Jokes Aside fit 21 is important because It aims to outline some of the key Regulatory Frameworks for digital Assets In the US in fact fit 21 is so important That the authors know crypto Giants such As coinbase Kraken and a16z jointly Wrote into to the house leaders to Express their support of passing the Bill so then why did this bill get so Much attention well in a large part it's Because fit 21 aims to give more Oversight to the commodi Futures Trading Commission or cftc rather than Gary Gansler and his buddies over at the SEC
In case you wondering this is huge Because the cftc is considered to have a Far less anti- crypto approach than the SEC the authors also note that the bill And a quote also establishes consumer Protection measures including rules Regarding the custody of customer assets And their investment in the event of Bankruptcy as well as risk prevention Measures but I mean let's be honest it's Mainly the SEC thing unfortunately Though the cftc Commissioners have Already expressed that implementing fit 21 will take some time because it could Take months or even years for the US Regulators to develop the regulations Needed Before the bill can become law Again one step at a time any who the Next change comes from Hong Kong where In the Securities and Futures commission Has announced 11 applicants have been Granted virtual asset service provider Licenses more commonly known as a vas License this regulatory framework is Designed to protect retail investors by Making sure that companies are providing A safe and secure environment while also Preventing illicit activities like money Laundering or financing very very very Bad people if you catch my drift as well As providing safety this also has Addressed the benefit of increasing Confidence in the crypto space and helps Hong Kong position itself as a global
Crypto Hub attracting businesses and Talent to the region apparently though Not every company sees vasp licenses as A solution because several companies Have also withdrawn their vast Applications these aren't listed in the Report but they include Spark fintech Limited an affiliate of bybit and Perhaps most notably okx the reasons for These withdrawals are unclear although Several industry experts have speculated That the complexity and costs that are Associated with compliance with these New regulations are the main Factor anyway the third and final Regulatory change comes from Turkey who Are planning to submit a new law to Regulate crypto assets in an effort to Reduce the risk involved with crypto Trading turkey's new law will also help Others to align with other International Regulatory bodies while also bringing on New taxes of crypto Transactions it's no wonder then that Mhmed simek the minister of finance of Turkey has been heavily backing this law Coming into play now this law would be Pretty significant if you watched our Recent summary of aaa's crypto adoption Report you might recall that turkey is The third largest adopter of Cryptocurrency in no small part due to Hyperinflation in fact in 20124 the Projected annual inflation change is
Almost 60% it's no coincidence then that Turkey has been trying to prevent Further damage by preventing crypto's Usage even going as far as to ban Cryptocurrency payments in April 2021 Anyway the point here is that when a Country with this much adoption in Introduces new laws you can be sure the Rest of the world will be watching so Then that brings us all to the end of This report but what does this all mean For the future of crypto well if it Wasn't already obvious it's clear that Even without the sudden influx of new Retail investors the cogs are still very Much turning there are developments not Only within projects themselves but also In terms of Regulation and recall this Report is only for one month of the year And it's really safe to say that a lot Has happened in that time the thing is Each of these developments mean that Crypto markets really are primed to go Parabolic once again and once retail Just finally come flooding back and make No mistake they are coming I mean think About it while retail has been away There have been speculation about Whether we're even really in market and Yet despite all of this we've also seen Those all important spot Bitcoin ETFs Being approved we've also seen BTC Hitting its new all-time high and let's Not forget it's incredibly likely that
We're about to see a similar story with Ethereum combine this with an improved Regulatory backdrop and what you're left With is a recipe for more people to come To the party and for more people than Ever before to stick around sure the Fear and greed index might be painting a Bleak picture on the surface but again This is more bullish than bearish that's Simply because this could very well be The last chance we have to accumulate Whatever cryptos we believe to have the Most potential before we see prices go To the moon it's almost a cliche to say We're still early but if you're still Here despite the lack of exper interest Then congratulations because you have Front run billions of dollars of Investment even at this point in the Market cycle if you manag to watch our Recent bitcoin price prediction video You'll know exactly how early we still Are all we need to do in the meantime is To be patient this is the perfect time For you to do your own research stack Those sets and hoddle just remember to Keep all of your gains safe by storing It on a hardware wallet and if you're Looking for the best place to find those Hardware wallets then look no further Than the coin Bureau deals page where You can actually find discounts on some Of the best devices in the industry and The link to that wonderful resource is
In the Description and that is all for today's Video guys did you enjoy the video let Us know in the comments below we love to Hear your feedback while you're there Don't forget to smash the like button And subscribe and turn on those Notifications so you don't miss the next One if you know someone who would love Our content like this consider taking a Second to share this video with them Thank you all so much for watching this Is Jessica over and out [Music]
