Trakx Weekly Update: November 18

Key Crypto Market Figures

CTIs Weekly Performance

Crypto prices were bid over the past seven days as the Trump-inspired rally continued as evidenced by the 12% gain in the Trakx Top10 Crypto CTI. The best performing index, however, was the Meme CTI. It topped the performance table for a second consecutive week, gaining an additional 32%. By contrast, the Recovery CTI was the worst performer last week, losing 4%.

Nation State Speculation

As mentioned last week, top of the list of crypto wishes is for the US to establish a Bitcoin reserve and, given the bullish price momentum, it did not take long for speculation to grow as to whether other nation states would consider a similar move. Most speculation centred on on the petro states in the middle east such as Saudi Arabia, the UAE and Qatar. Given these countries have accumulated large investment portfolios in overseas tradfi markets, purchasing digital assets for the purposes of diversification certainly makes a great deal of financial sense. Further fuelling such speculation is the fact that Abu Dhabi – the UAE capital – plays host to the Bitcoin MENA 2024 conference early next month and that a lot of influential crypto players will be in town.

Crypto is Dogey

The meme coin rally received a major boost after President-elect Trump announced that Elon Musk together with business entrepreneur and early presidential candidate, Vivek Ramaswarmy, would jointly head up the newly created Department of Government Efficiency. While the name is entirely appropriate it was clearly a non-too-subtle nod to Elon’s favourite dog-themed crypto token. Crypto investors celebrated the news by ramping up the price of Doge by a third, meaning the token has tripled in value over the space of barely a month. Of course, in memecoin land, such moves are contagious and other dog-themed meme coins like Shiba Inu and Dogwifhat also surged, a move captured in our Meme CTI.

RIP PNUT

Dogs were not the only animal in vogue in the crypto markets last week. In late October, Peanut, an eastern grey squirrel rescued in 2017 whose owner turned into an Instagram star, was seized and euthanised by the New York State Environmental Department. Peanut’s death not only triggered outrage on social media but it inspired the creation of PNUT – a Solana-based meme coin. Aided by the bullish overall market, and a desire by crypto players to express their solidarity with Peanut’s owner, PNUT’s market cap surged to more than $2bn and in the process netted one crypto degen a cool $3 million off an initial $16 investment – not a bad return for a couple of weeks!

Sources: Trakx, Coingecko, Alphavantage

Market Trends

• Bitcoin breaks $93,000 amid rumors that Saudi, UAE, or Qatar is buying: Protos
• Pennsylvania introduces bill to use $7 billion state fund for Bitcoin Strategic Reserve purchases: CryptoSlate
• Dogecoin Leads the Pack—But These Dog Coins Are Running Up Gains Too: Decrypt
• Pnut memecoin trader turns $17 into $3 million. Here’s how they did it: DLNews
• Polymarket’s Probe Highlights Challenges of Blocking U.S. Users (and Their VPNs): Coindesk

Trakx CTIs Performance

Sources: Coingecko and AlphaVantage

*Return of bitcoin is calculated since 01/05/2020, while CTIs performances were calculated since their respective launch date.
**Includes simulated performance.
***The risk signal is determined according to the historical volatility level, the higher the riskier.

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Disclaimers: No Investment Advice. Index returns and statistics are for illustration only. Index returns do not reflect any transaction costs or expenses. Past performance does not guarantee future results. The information provided in this newsletter does not constitute investment advice, financial advice, trading advice, or any other sort of advice and you should not treat any of the newsletter content as such. Trakx.io does not recommend that any cryptocurrency should be bought, sold, or held by you. Readers shall conduct their own due diligence and consult their financial advisors before making any investment decisions.