Bitcoin is making a fresh new all-time high but the life on-chain remains a house on fire while Bitcoin is stealing away all of the attention right now. We’ve also had the Dencun upgrade that is supposed to lower costs on Ethereum L2s (mainnet remains unaffected). However, Blast was not prepared for this and stopped producing blocks. Incredible.
Meanwhile, faithful UNIBOT holders got it handed to them because the Unibot team has been acting irrationally over the past months and it finally boiled over with the drama with their Solana team and they decided for a split which saw the UNIBOT token tank.
Additionally, we’re getting closer to the Grass airdrop, and looking at Whales Market it has the potential to become a six-figure airdrop, don’t miss the chance to participate and do so here.
Market Digest
Dencun upgrade goes live
Blast stops producing blocks (not ready for Dencun upgrade)
BlockFi settles with FTX and Alameda for $874.5M
Maker DAO hikes fees which increases borrowing rates across DeFi
Swell announces “restaked rollup”
Fjord Foundry raises $4.3M
Coinbase plans to raise $1B in capital through convertible notes sale
Ethereum institutional thesis
Unibot distances themselves from Solana Unibot team
Microstrategy announces private offering of $500M of convertible senior notes
Never a slow week here and even during good prices for crypto, people manage to find a way to become unhappy.
Bridge Flow
Capital continues to be onboarded to Ethereum and being distributed across other ecosystems. Looks like people are capitalizing on the speculation of the ZkSync airdrop and are pushing the final amount of capital there before a potential snapshot is taken. Probably going to be one of the most anticipated airdrops of the year but I struggle to see any of that capital being sticky as the ecosystem hasn’t emerged in a similar mold to the Optimistic rollups before they airdropped their tokens.
DEX Volumes
DEX volumes tapered off last week after explosives weeks prior. However, it has been trending up across the board again this week with on-chain activity increasing in velocity. Activity largely remains on Solana and the Ethereum mainnet. Arbitrum is starting to pick up but Base is not even in the race yet. Which is a good sign if you think it should go up from here.
Pair Volumes
RBN is unsurprisingly the most traded alt of the week on the Ethereum mainnet as AEVO went live and is trading 1.5x higher than RBN despite being able to be converted 1:1 to RBN. Either AEVO has to come down or RBN has to go up, either way, you can hedge this by buying RBN and shorting AEVO (although funding likely will be high for this trade).
PEPE will most likely be here throughout the bull market as the most used meme by everybody and the leading Ethereum memecoin. MKR is rebranding and doing a token split to help the unit bias. rSHFL is the new gambling token as Shuffle is finally launching their token which was a lucrative airdrop for many.
AERO is dominating the Base volume as the DEX powerhouse of the ecosystem. DEGEN seems to be making a comeback and WELL is receiving some volume as well although it is very surprising to not see TYBG and doginme which definitely should be on this table as well. Will have to dig deeper.
ARB is on everybody’s radar as the upcoming unlocks have all ARB investors wary. GMX continues to be heavily traded and is finally starting to break out of its range and will probably bring all perp DEXs with it. JOE is one of the few DEX tokens that have managed to break its 2021 ATH after the hard work that has been put in by the team over the past years.
NFT Trading Volume
It has not been a great week for NFTs, with only specific outliers of collections being green. However, the top traded collections have all been red this week which is a sign of attention that shifted elsewhere, which also means that there is an opportunity to scoop some on this pullback.
Interesting mints
Peplicator is the one that stands out which is a Pepe NFT collection by Matt Furie himself. Surged when they minted out but has cooled down significantly since.
Ordinals have been quiet lately and now is probably a good time to pick some up. Especially if you have been looking at Nodemonkes or Bitcoin Puppets.
Net Inflow
Many people fled from alts to ETH over the past week as the market looks heavy after having run hard which led to a small flush across alts, this is demonstrated in the 2 top addresses which are wstETH and the ETH2X Index by Index coop. rSHFL was the LBP version of the SHFL token that recently launched that has been heavily traded and MKR received significant purchases with the announcement of their token brand. RBN is unsurprisingly here due to the disparity in AEVO price.
AERO continues to be the strongest token in the ecosystem and BRETT has followed as the leading memecoin in market cap so far.
DEGEN doubled in value overnight and has been the strongest performer on Base and seems to have survived MevCollectors terror. The Farcaster cult was stronger after all.
doginme experienced a heavy selloff but looks to be gearing up for a 2nd leg now while NORMIE is the new hottest memecoin on Base. In regards to actual projects, GB and WELL seem to be the low-cap protocols that are of interest to the majority.
With Mainnet fees starting to become too expensive for many and L2s looking attractive, GMX is starting to receive heavy inflow. I’ve iterated this many times, GMX increasing in value is a good indicator of the general health of the Arbitrum ecosystem and natives should hope to see it pump as it normally leads to the general ecosystem pumping. Otherwise, it’s the MGP token, MAGIC, and JOE that are receiving any kind of inflow as Arbitrum is starting to wake up.
Sleuthing
Despite everything else moving more, this whale has accumulated $15M worth of Uniswap tokens over the past 2 weeks. Does he know something?
If he bought them in anticipation of hoping the fee proposal would pass, bad luck but let’s see how this evolves.
Token Unlocks
Perpetual Protocol - 0,58% of supply worth $1,07m on March 15th
Arbitrum - 83,12% of float worth $2,385b on March 16th
Paraswap - 0,83% of supply worth $$887,911 on March 16th
ApeCoin - 0,0066% of supply worth $16,67m on March 16th
Rarible - 0,3% of supply worth $196,500 on March 17th
SuperRare - 0,33% of supply worth $$589,100 on March 17th
The shakeout seems to be over for now, as always less is more in a bull market, and staying true to your high-conviction bets rewards you, in the long run, no matter what you see on the timeline. Godspeed to all bulls as we go deeper into this bull market. See you next week!
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