OpenSea receives a Wells notice from the SEC 🙏

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📅 Today

🔍️ Market Outlook

• Overall Bias - Cautious 🙏 

• BTC broke the key $62,400 level, but failed to re-test and hold it as support.

• The 200 Daily Moving Average at $62,000 is now a crucial level to monitor for Bitcoin.

• A failure to hold this price as support would mean more consolidation for BTC.

• It is wise to not take any new leveraged positions till this moving average support is confirmed and till BTC dominance reverses it’s uptrend.

• A weekly close above $62,000 would mean that the bulls are trying to show some strength.

• However, if this level is lost on the weekly close, bears would be in control once again.

OpenSea Expecting SEC Lawsuit Over NFTs 👀 

OpenSea has received a Wells notice from the SEC threatening to sue them because they believe NFTs on their platform are securities.

It is still unclear which NFT collections in particular might be labeled as securities should the SEC bring forward a lawsuit against OpenSea.

They have pledged $5 million to cover legal fees for NFT artists and developers that may soon receive Wells Notices from the SEC.

Many believe that the SEC will have a much harder time justifying how it can regulate art NFTs and digital collectibles, but not physical artworks and souvenirs

However, should the agency sue OpenSea, it wouldn’t mark the first time that it has gone after an NFT project. Last September, the team behind Stoner Cats, an NFT-based cartoon series produced by actress Mila Kunis, settled with the regulator for $1 million.

Nvidia on fire 🔥 

Nvidia reported $30 billion in revenue for Q2, 3.8% higher than expectations.

The largest company in the world absolutely smashed it’s earnings, including :

• Adjusted EPS: $2.70 (vs. expected $2.09)

• Revenue:$10.32 billion (up 171% YoY)

• Gross margin 75% (-3pp Q/Q).

Key Drivers behind these impressive numbers include high demand for AI chips like A100 and H100.

These numbers show that the AI hype is still very much alive, meaning that AI crypto tokens could very well outperform other narratives whenever we get the next leg up for Bitcoin again.

📕 Educational

Are rate cuts setting up the next BTC bull run? 📈

The market is now expecting a 64% chance of a 25 bps rate cut & a 36% chance of a 50 bps rate cut in September from the US FED, according to Investing.com.

We have now gone 13 months since the last Fed rate hike without a cut, marking the second longest period since the 1970s.

This is only behind the June 2006 to September 2007 period when it took 15 months between the last rate increase and the first reduction.

To put this into perspective, the average length between the last hike and first cut is 8 months.

The Fed is set to cut rates in September which would mark 14 months from the last rate hike.

Rate cuts & QE are generally bullish for risk-on assets like stocks and equities. Other fundamental catalysts like the recently concluded Bitcoin halving & the US election also seem to have aligned well with rate-cuts, setting the stage up for BTC to shine in Q4 2024, and early 2025.

📊 Stat of the day

📈 Chart of the day

Rationale & Confluences

• Weekly timeframe horizontal support.

• Daily timeframe horizontal support.

• Macro 0.618 fib support.

• Daily timeframe discount zone.

• Daily timeframe bullish orderblock.

• Daily timeframe bullish RSI divergence.

• Good zone to DCA for the long-term.

• Source : Cointraction

🤣 Meme of the day

Accurate 🤣 

That concludes our update for today!

We appreciate you joining us for the latest news. Our aim is to provide the best in class insights and highlights that keep you well-informed and ready. Remember to follow us on Instagram for additional updates and giveaways. Until then, see you next time!

Disclaimer : None of the content shared in the newsletter is financial advise. Always do your own research and analysis before investing.