Bitcoin and the crypto market remain in an uneventful short-term state. While we have seen a dramatic spike downwards earlier this month, BTC is still in a trading range. On a short-term timeframe, we can see that Bitcoin is making lower lows and lower highs. With increased pressure in the stock market, it is possible we could see another leg down for Bitcoin and the crypto market into December.
XRP continues to impress us with its strong price action. The market is optimistic about a positive resolution to the Ripple-SEC lawsuit. After the collapse of FTX, we have seen more demand from retail investors and crypto companies practically begging regulators to provide more oversight for this new asset class. Meanwhile, mainstream news publications still continue to label the founder and CEO of FTX SBF a hero, all in spite of the fact that he misappropriated funds and effectively created a massive Ponzi scheme, using customer funds to build his own ‘personal fiefdom’ (per the bankruptcy lawyers). With the vitriolic sentiment in the crypto market, we expect to see regulators face an increased amount of pressure to provide the crypto industry with reasonable guidelines. We believe that regardless of the outcome between Ripple and the SEC, this recent ordeal will set a new legal precedent in the crypto space.
Even though the FTX saga has highlighted the points of failure in the crypto industry, we also view it as a tremendous opportunity. Throughout the past few weeks, we have seen crypto investors take greater lengths to protect their assets by self-custodying them and using decentralized exchanges. AllianceBlock is a DEX that we have covered in the past, and has the potential of being widely adopted by financial institutions and investors. AllianceBlock is trying to create a globally compliant decentralized capital market, which will enable institutions and investors to engage in Web 3.0 in a compliant way. With partnerships from some of the most notable institutions in the crypto space and traditional finance, we believe that this project has the potential of becoming a staple DEX in the world of crypto. This in turn will lead to a higher level of demand for their native token ALBT.