🧘♂️ALERT: Big Crypto Updates
Market Meditations | January 31, 2022
Lessons for the Week
It’s been a quiet weekend. Likely the upcoming Chinese New Year celebrations have caused lower volume and activity in Asian markets. However, with a new week comes new updates, opportunities and insights.
Technical Analysis. BTC, MANA, ENJ and SAND Charts.
Minecraft NFT Scam. Separating fact from fiction.
Arizona Crypto Bill. Big progress for America?
Crypto Calendar. What to look out for this week. Events and Highlights.
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? A Tale of 4 Cryptos
Macro Structure: Downtrend intact since November.
Key Support. $36k.
Key Resistance: Major resistance at $40k. Minor resistance at $38k (previous high which we have bounced off of).
Highest Probability Bet: Continuation to the downside. Next major support at $30k.
Macro Structure: Dangerous. Avoid long until we reclaim $2.8 (pivot point).
Key Support: $2. Below this level, who knows how far down we go…
Key Resistance: At the 30 Day Moving Average.
Highest Probability Bet: Rejection at resistance and further downside.
Macro Structure: General downward trend. Bouncing around between $1.5 and $1.8.
Key Resistance: Lots of resistance on the way up. $2 and $2.2.
Macro Structure: General downtrend. Between $3 and $4. Reasonably choppy.
Key Support: $3 and $2.3 after that.
Key Resistance: Approaching resistance at the 0.382 retracement level.
Highest Probability Bet: Above $4, perhaps a decent play headed toward $5. Generally messy.
? Minecraft NFT Scam?
Last week, Blockverse launched an NFT that appeared to be affiliated with Minecraft and sold millions worth of coins. After selling $1.2 million in tokens, they deleted everything!
On January 23, Blockverse sold roughly 10,000 NFTs for $1.2 million. These enable users a unique P2E (play to earn) on Minecraft (We should note that this project is only unofficially connected to Minecraft).
With the NFT, you will be given access to a private server (minecraft) that is only open to those who own the exclusive Blockverse NFT.
After a few days, the creators deleted Blockverse’s website, the game server, and the official Discord.
Following a couple of days of silence, creators commented that the game was legit, saying: “Our contract was verified, the game infrastructure was fully set up, and [the] launch went well.”
Anger grew within the community when people were asking questions about the server being fixed, and why fees were so high. Creators were receiving harassment, threats, and doxing. They then believed the best course of action was to shut it all down.
Is this a scam? Creators of Blockverse still say that they believe in their project and that they hope to get back on track. Though they are hinting at potentially “re-initiating” the project, it doesn’t appear to be honest to keep money while everything is shut down.
?⚖ ️The States of Crypto
A state official is looking to strengthen the stance of Arizona and bring it to the top of the list of pro-cryptocurrency states. Senator Wendy Rogers, a Republican, introduced a bill aiming to categorize Bitcoin as legal tender for the state.
The on-page bill titled SB 1341 seeks to amend the list of accepted legal tender to include BTC. If passed, the bill would make Bitcoin acceptable as payment of debt, public charges, taxes and other dues.
As currently interpreted, the U.S. Constitution prohibits states from creating their own legal tenders, making it questionable whether the bill could be put into effect, even if it passes.
California, Wyoming, Florida, Texas and Colorado have also developed a reputation for taking steps to attract the crypto industry through various programs and proposed legislation.
It doesn’t look as if the proposed bill is overwhelmingly likely to be passed, as it stands at odds with some of the language in the U.S. Constitution. If passed by the Arizona State Senate and House, it would still need to be signed into law by Governor Doug Ducey.
Even with turbulent prices and volatility largely unpredictable, state sentiment surrounding crypto continues to grow. Arkansas and Tennessee offer incentives and options featuring crypto, while Texas Governor Greg Abbot appealed to BTC miners as a potential solution to the state’s electrical grid weaknesses.
Monday, 31st January
The Reef Card management app, planned to be released mid-January 2022, was released in an experimental form for Google Chrome and other browsers built on Chromium.
Secret Network launches the Terra bridge during January, bringing interoperable privacy to $Luna and $UST holders.
Tuesday, 1st February
Feb 1st at 12pm EST, Filecoin Green will be hosting a virtual meetup to discuss a variety of topics surrounding sustainability and green approaches to the protocol.
?? Lunar New Year
Chinese New Year 2022 falls on Tuesday, February 1st 2022 and celebrations culminate with the Lantern Festival on February 15th 2022. Expect lower volume and activity in Asian markets. 2022 is the year of the Tiger.
Friday, 4th February
February 4th – 5th, the International Conference on Emerging Technologies in Computer Engineering hosts a conference at SKIT college in Jaipur, India focusing on Data Science & Blockchain Technology.
?? US Job Reports
The employment data for January is due Friday morning. With Omicron forcing many Americans to call out sick that month, no one is quite sure what to expect.
??♂️✍️ Stories in this newsletter were written by Kyle F., Misael Calleja, Nick T., Max P., Kimia K., Ellen B. and Koroush AK. Graphics were produced by Ellen B.
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