 |
| 17 March 2022 Bitcoin volume surges on Fed day |
| LMAX Digital performance |
| LMAX Digital volume rocketed higher on Wednesday after a very slow start to the week. Total notional volume for Wednesday came in at $1.1 billion, 42% above 30-day average volume. Bitcoin volume printed $800 million on Wednesday, 75% above 30-day average volume. Ether volume came in at $193 million, 25% below 30-day average volume. Looking at average position size over the past 30 days, we’re seeing average bitcoin position size at $11,754 and average position size for ether at 5,841. Volatility has been consolidating at the low end of the range in 2022. We’re now looking at average daily ranges in bitcoin and ether of $2,241 and $167 respectively. |
| Latest industry news |
| It seems as though most of the FOMC hawkishness was well priced in, because there was no negative market reaction to the news of a 25bp rate hike and 6 more hikes to come this year. This left the market trading higher on the back of Fed Chair Powell comments in the presser. Powell was upbeat on the economy, saying it was strong enough to endure the tightening cycle. He also added risk for recession was “not particularly elevated,” while allaying concerns the Fed was far behind the curve in fighting inflation. The reaction has been crypto supportive in the immediate aftermath because yield differentials have moved back out of the US Dollar’s favor. Still, we’re not too sure how much longer the market will be feeling good about the Fed Chair’s comments, with the reality of higher rates a reality that should be more unnerving to investors, especially in such an instable climate with inflation continuing to surge. With that said, we wouldn’t rule out the possibility for more downside pressure on crypto assets in 2022, before the market finally finds a bottom and starts its next big push to the topside. Technically speaking, in order to be feeling good about a bullish breakout in the price of bitcoin, we would need to see bitcoin establish back above the February high. |
| LMAX Digital metrics | ||||
| Price performance last 30 days avg. vs USD (%) | ||||
 |
||||
| Total volumes last 30 days ($bn) | ||||
 |
||||
| BTCUSD volumes last 30 days ($bn) | ||||
 |
||||
| BTCUSD avg. trade size last 30 days ($k) | ||||
 |
||||
| ETHUSD avg. trade size last 30 days ($k) | ||||
 |
||||
| Average daily range | ||||
|
||||
 |
||||
 Social media |
||||
| @crypto Novogratz explains why he thinks Sen. Warren is wrong about Bitcoin’s use. | ||||
| @TheBlock__ Gaming startup Lava Labs’ valuation tops $100 million in Series A raise. | ||||
| Crypto Bulletin sign-up | ||||
| Subscribe | ||||