With BTC setting a new all-time high and many altcoins showing signs of strength, it’s time to start paying close attention. Some of you will be looking for opportunities to buy, others might be looking for the right moment to sell - whatever the case, there’s a lot more you need to consider than just the chart.
One of the great things about the blockchain is the wealth of data it makes available to those who take the trouble to look for it. A lot of this data is just noise, or not all that helpful, but some is absolutely indispensable and gives those who use it a vital edge over the vast majority who don’t.
In today’s video, we reveal the top five on-chain indicators you need to be aware of when evaluating a crypto project’s potential. We explain why they’re important and where you need to go to find them. If knowledge is power, then you’re about to get supercharged!
You can watch that video here.
📈 Crypto Market Forecast 📈
Stocks down, bonds down, crypto up. Macro analysts are starting to notice something that many crypto holders have known for over a month: crypto, and particularly Bitcoin, is starting to decouple from other assets. However, we could just be seeing a repeat of what we saw the last time Bitcoin decoupled in early April. To refresh your memory, BTC held strong while stocks fell, then BTC rallied, but stocks eventually caught up.
It’s possible that history will repeat, simply because of the incoming economic data. For starters, the revised Q1 GDP figures will be published this Thursday. As some of you will know, Q1 GDP initially came in negative, giving rise to concerns about a recession. What you may not know is that this negative GDP print was basically caused by a surge in imports, which skewed the headline figure to make it look worse than it was.
The revised figures coming out later this week could therefore show that the US economy in Q1 was stronger than meets the eye. At the same time, the recent downside surprise in the CPI suggests that we could see another downside surprise in the PCE as well, which gets published this Friday. In other words, this week’s macro data could show that the US economy is doing well, or at least chugging along, while inflation falls.
Believe it or not, but this is the ideal backdrop for markets to rally - the so-called ‘Goldilocks’ scenario. Of course, this means that the Fed will be less likely to cut rates than the markets are currently pricing in. Namely, it could result in bond yields going higher, which should be a headwind for the markets. As some macro analysts have pointed out, however, we’ve seen markets rally even with rising yields before.
In fact, if you look at interest rates and bond yields in 2017, you’ll notice that they were actually rising quite rapidly in the second half of the year. Not only that, but the Fed was simultaneously shrinking its balance sheet, much like it is today. This is empirical proof that stocks and crypto can rally even when interest rates are rising, bond yields are rising, and the Fed is doing QT. As such, it’s possible it could happen again.
This makes sense when you consider that we’ve been in an environment of fiscal dominance since the start of the pandemic. In plain English, it’s not the Fed, but the Treasury that’s become the primary source of liquidity in the markets. As you may have heard, Trump’s spending bill recently passed the House. If it passes the Senate, then this will result in another surge in fiscal spending that could take the markets higher.
Obviously, this assumes that there won’t be significant turbulence in the bond market, which appears possible. As you may have also heard, a recent auction of 20-year US bonds did not go very well. Put simply, not many investors were willing to buy long-term US debt, presumably because of Trump’s massive spending bill. The catch is that this is precisely why Bitcoin started to rally in subsequent days.
As Ben Cowen noted in a recent video, it’s possible that Bitcoin actually leads liquidity rather than lags it, as many macro analysts believe. This is arguably true when it comes to something like extreme US bond market volatility. That’s just because most Bitcoin investors know that the moment there’s too much bond market volatility, the Fed and/or Treasury will step in to stimulate, or at least give a signal to that end.
In this sense, the upcoming passage of Trump’s spending bill could be the catalyst that takes Bitcoin and the rest of the crypto market higher. The reason why the rest of the crypto market should benefit is stupidly simple: most people will look at Bitcoin’s price tag and think “150K? I can’t afford that! And even if I could, how much higher could it really go? I won’t get rich with Bitcoin. I see this Ethereum thing is pumping, and XRP too. Maybe I’ll buy those…”
🕹 Consumer Crypto Hardware 🕹
Almost a year ago, we wrote that consumer crypto devices were going to be the next big trend of this cycle. At the time, the thesis was simple – Solana’s Saga phone was a proof of concept that device holders could get airdropped assets worth more than what they paid for the device itself. Since everyone likes free money, the attention flowing towards projects offering similar consumer hardware devices was bound to scale.
In other words, it was inevitable that competitors (and Solana itself) were going to replicate what Solana did with the Saga phone. We believed that betting on consumer hardware devices from the most promising altcoin ecosystems could end up yielding similar rewards. In a Sept 2024 issue of this newsletter, we highlighted Solana and Sui as being the two most promising altcoin ecosystems for this consumer hardware device narrative.
Fast forward to today, very little has changed in our thesis – Solana and Sui still remain the altcoin ecosystems of choice when it comes to betting on consumer crypto hardware devices. The only difference worth noting is that it’s more evident now that both Solana and Sui have given significant thought towards building fundamentally good products.
In other words, the consumer crypto devices being launched by these ecosystems are becoming more than just airdrop vouchers. This is a good thing. After all, financial incentives can give you a head start, but what takes you beyond the finish line is real utility. Today, we’ll break down exactly how both these projects are attempting to build something offering just that.
In the case of Solana, they announced a successor to the Saga phone called the Solana Seeker. The Solana Seeker is set up to be a more affordable device, selling at half the price at which the Saga was launched. So far, Solana Mobile has already sold over 150,000 Seeker devices. This is almost six times the number of Saga units sold.
In a recent X post, the Solana Mobile team revealed that it’s expanding its native web3 features by introducing TEEPIN (Trusted Execution Environment Platform Infrastructure Network) to the stack. Specifically, TEEPIN will introduce a three-layer architecture that allows for an open, decentralised mobile platform. It does this by leveraging secure hardware that already exists on modern smartphones and governing access on-chain. Solana founder Anatoly Yakovenko explains that this essentially democratises the governance of its native operating system. He claims that the onchain program can enforce what software is run on the device, what devices are in the network, the business models on the device and how they deliver value to users, or capture value.
Along with TEEPIN, the Solana Mobile team also announced the launch of $SKR – the native token of the Solana Mobile. While details remain scarce, SKR is expected to function as a utility token powering the economy of the Solana Mobile ecosystem. Anatoly claims that the goal of Seeker is to build a top tier mobile ecosystem that can compete with Google and Apple.
In the case of Sui meanwhile, some of you may remember that its Suiplay0x1 device is a handheld gaming console made in partnership with Playtron – a startup attempting to revolutionise the gaming industry with its device-agnostic gaming operating system (PlaytronOS). Notably, PlaytronOS will allow gamers to play any web2 and web3 games across various platforms (including mobile, PC and consoles) on the same device.
This is an attractive feature by itself. But, at the recent Sui Basecamp event, we received more details explaining how Playtron’s partnership with Sui will benefit users. Specifically, Playtron CEO Kirt McMaster announced the launch of the Game Dollar (G-Dollar) - a dollar-pegged stablecoin issued by Playtron and the M0 Foundation.
In case you didn’t know, every Suiplay0x1 and Playtron device comes with a zklogin feature that will allow users to create a wallet on the Sui network. This Playtron wallet on Sui will function similar to in-app wallets of other consumer brands like Starbucks, Steam, Roblox, etc. At the event, McMaster explained that this wallet, along with its new programmable stablecoin, will power purchases, subscriptions and rewards across its native game marketplace and other gaming ecosystems.
You see, by creating their own stablecoin, Playtron can cater rewards specifically for their ecosystem. In case you didn’t know, stablecoin issuers often use the reserve assets backing their stablecoins to generate yield. For instance, a portion of this yield could be used by Playtron to provide discounts on games listed in their native marketplace. It could also be used to provide an additional revenue stream for any game developer that integrates the G-dollar within their game’s native economy. This gives them a unique edge to overtake legacy companies like Sony and Nintendo in attracting existing and new titles to launch on their platform. The more games you have, the more users you attract. If all goes well, the earliest backers of this experiment could be rewarded handsomely, while also owning the best a handheld console can offer.
Both the Solana Seeker and Suiplay0x1 are expected to ship in Q3 this year. The Solana Seeker could arrive first, with shipping confirmed to start from August 4th. The Suiplay0x1 has a vague shipping timeline of sometime “this summer.”
Regardless of which comes first, consumer crypto hardware devices are going to be all the rage in the next few months.
🔥 Hot Deal Of The Week 🔥
With Bitcoin all-time-highs recently smashed, now might be a good time to look at altcoins, especially before BTC dominance crashes and that long-awaited alt season finally starts!
To do that, you’ll of course need to use a top-notch exchange. One that several members of our team have been using is OKX. That’s not only because OKX is a long-established tier 1 exchange with access to hundreds of altcoins, but also because we have been able to secure a really special deal over there where you can get a 40% fee discount for life!
👉 Sign up and reposition your portfolio with OKX!
🔮 Video Pipeline 🔮
* North Korean Devs: How North Korea is infiltrating western tech firms?
* Top Crypto Mistakes: The 10 most common and costly mistakes you could make!
* Berkshire Hathaway: Warren Buffet’s legacy and what it might mean for markets?
* Crypto Liquidity: What is it and how does it drive market cycles?
🏆 What's New at CoinBureau.com This Week? 🏆
* Understanding Solana Blinks and Actions: A Comprehensive Guide
* Top MetaMask Alternatives: Find the Right Crypto Wallet for You
* What Is Binance Alpha? Inside Binance’s Early-Stage Token Platform
* The ROI of Crypto Courses: Worth It or Not?
📖 Quote of the Week 📖
Congratulations on Bitcoin breaking through all-time highs. Up until a few weeks ago, many doubted such heights could once again be scaled. But, to the true believers, it was never in doubt.
“Obstacles are those frightful things you see when you take your eyes off your goal.” - Henry Ford
Team Coin Bureau
Disclosure: Authors may own cryptoassets named in this newsletter. These are unqualified opinions, and a Coin Bureau newsletter, is meant for informational purposes only. It is not meant to serve as investment advice. Please consult with your investment, tax, or legal advisor.
The Coin Bureau Editorial Team are your dedicated guides through the dynamic world of cryptocurrency. With a passion for educating the masses on blockchain technology and a commitment to unbiased, shill-free content, we unravel the complexities of the industry through in-depth research. We aim to empower the crypto community with the knowledge needed to navigate the crypto landscape successfully and safely, equipping our community with the knowledge and understanding they need to navigate this new digital frontier.
