EQUOS — Morning Update — October 27th

The topics haven’t changed but the intensity has. With the coronavirus spread showing no sign of stopping, and, the stimulus bill going nowhere, investors turned risk-off in a dramatic fashion. There are other noteworthy news but less impactful: the Ant IPO is set to raise about $34.5 Bn in Shanghai and Hong Kong; US-China relations are worsening by the day; the US is about to sell around $2.4 Bn of anti-ship missiles to Taiwan.

From Friday’s close to Monday’s intraday low, the S&P 500 dropped almost 3%, retracing some of those losses by the end of the session, closing 1.8% down. Similarly, the Nasdaq, which had already fallen about 1% on Friday, continued yesterday, down 1.35% from last week’s close. In Asia, equities look set to follow the US session down.Treasuries were bought ‘en masse’ and the 10-year yield dropped but remained above 0.8%. Gold is holding on for dear life, just at $1,900.

It remains to see how long it will last but in the crypto space, we’re having a blast. Not that prices moved significantly over the weekend but, rather, that we’re staying put amid the traditional market moves.

BTC is currently flat at $13,050. XMR, remains steady at $132, after a string of positive days. XLM, ADA, DASH are all down about 2.5%. ETH, more volatile, dropped about 2.9% overnight, closing at $394. LINK which briefly breached through the $12.60 resistance is back down at $11.80 (down 2.8% on the session). LTC, which had risen close to 30% since Thursday last week, is down 3%, at $57. BCH is down 4.5%. DOT, on the other hand, made a wonderful comeback, up about 9% on the session, currently at $4.7.

BTC dominance is currently up, at 62.33%. It’ll be interesting to see how that shifts (or not). With the focus clearly being on BTC but also a large option expiry this Friday (about $800 M worth), things could move sharply in the coming days and/or over next weekend.

While we might get caught in the ups and downs of short-term price action or the relative under/overperformance of one coin versus the other, I can’t help but feel very enthused by the crypto space right now: the way it’s holding strong compared to traditional markets, the strides it’s made in USD terms, the shift in perspective by market participants about cryptocurrencies in general (~$10 B worth of BTC is held by publicly listed companies).

Most holders of BTC right now are actually in profit; that’s always nice.

--

--

--

Passionate about financial markets, long-term investments, the occasional short-term trade and disruptive technologies.

Love podcasts or audiobooks? Learn on the go with our new app.

Recommended from Medium

Five Crypto Stats You May Have Never Thought Of

Breaking Down Tokenization in Europe

Are Blockchain Mutual Funds the Future of Investing?

The Orcs — TCG meets NFT

CAN NFT CHANGE YOUR LIFE?

Passively Invest in Crypto

WELT DER WUNDER LOOKS TO EXPEDITE GROWTH THROUGH SECURITY TOKEN OFFERING

Get the Medium app

A button that says 'Download on the App Store', and if clicked it will lead you to the iOS App store
A button that says 'Get it on, Google Play', and if clicked it will lead you to the Google Play store
Justin d’Anethan

Justin d’Anethan

Passionate about financial markets, long-term investments, the occasional short-term trade and disruptive technologies.

More from Medium

Exghost — PG Walkthrough

My Cobblestone Cottage of Validation

Jerry Gracio’s Bagay Tayo

How Bitcoin Works: A Simplified Guide