Honeybadger's Den: Fearless Finance Unleashed!
LFG!
Welcome, Honeybadgers!
Throw open the door to the Den, and step into the inaugural edition of "Honeybadger's Den: Fearless Finance Unleashed!" We're amped to have you alongside as we embark on this thrilling exploration of the cryptocurrency ecosystem.
Like the fierce honey badger, we're not easily swayed. We're about cracking the tough nut of the crypto world, digging for truth, and cutting through the fog of complexity. We're about to provide you with an unfiltered view of the financial landscape, turning over every rock in the quest for clarity in the cryptoverse.
So, what's waiting for you in the Honeybadger's Den?
Headline News: Your one-stop-shop for the latest and greatest from the crypto world. Significant market moves, policy changes, and tech advances - we've got them all covered.
Market Analysis: We take apart the market trends, analyze the risk, and deliver a detailed price analysis of top cryptos.
Featured Crypto: Each edition will spotlight a crypto - its history, practical uses, and an in-depth investment analysis.
On-Chain Analysis: We follow the whales, dissect the strategies of top traders, and unravel the movements of hedge funds and institutional investors.
Trader's Spotlight Interview: Here's where we get up close and personal with successful traders, sharing their journey, strategies, and lessons learned. (next edition)
Trading Tools Review and Analysis: We walk you through trading tools, providing detailed reviews, and step-by-step how-to guides.
Live steam schedule: Will update the live stream schedule here
Reader Questions: We answer your queries and shine a spotlight on your insightful questions or comments. (Next edition)
We're all in this together, fellow Honeybadgers. Your curiosity, your questions, and your insights are the lifeblood of the Den. We're on a wild ride into the world of crypto, and we're thrilled to have you with us.
Stay fierce, stay relentless, and welcome to the Den!
Disclaimer nothing i say in this newsletter should be construed as financial advise
Policy and Regulation
Greetings, Crypto Crusaders!
Time to spill the tea on the World Economic Forum's (WEF) latest white paper. They're cooking up a global regulatory approach to crypto-assets, and let me tell you, it's spicy!
The WEF is catching on that crypto isn't just a passing fad. It's intertwined with the traditional financial system, and they're calling for an international group hug to tackle the regulatory challenges.
Here's the rub: Cryptos are as varied as food around the world. You've got your sushi coins, your taco tokens, and everything in between. And with all these flavors, understanding the risks gets a bit foggy.
They're also sounding the alarm on the mishmash of regulatory frameworks that's as organized as a cat herding contest. They reckon this chaos stops us from keeping a firm grip on the crypto ecosystem.
So, what's the WEF's game plan? A white paper with recommendations for three key players: international organizations, regulators, and our own crypto companies. They didn't just pull these ideas out of a hat, either. They've been rubbing shoulders with policymakers, regulators, and industry bigwigs to come up with these suggestions.
Let's cut to the chase. They want international organizations to:
Classify cryptos and related activities
Set best practices and regulatory standards
Roll out a passport system for crypto companies
For the regulators, they're suggesting:
Coordination among different authorities
Development of robust regulatory guidelines
Use of technology for real-time monitoring
And for the crypto industry:
Development of interoperable technologies
Establishment of best practices for risk mitigation
Promotion of responsible tech innovation
They're also throwing shade at Ethereum (ETH) for its dominance in the decentralized applications (dApps) space. They're warning of a concentration risk, but also noting the rise of other chains, like Avalanche (AVAX), which could offer similar functionality without being tied to Ethereum.
Link to their Whitepaper: https://www3.weforum.org/docs/WEF_Pathways_to_the_Regulation_of_Crypto_Assets_2023.pdf
Alright, folks, grab your popcorn and let's take a joyride through the loony landscape of US politics. You know, the kind of ride where you think, "This is too bonkers to be true," and yet here we are, riding that crazy train.
So, President Sleepy Joe and Speaker Kevin "I swear I'm not Paul Ryan" McCarthy have been playing footsie under the debt ceiling table. And while they've been distracted by their little game of political Twister, it seems they've inadvertently kicked a certain proposed tax into the abyss. I'm talking about our dear friend, the Digital Asset Mining Energy (DAME) tax.
DAME, DAME, DAME... sounds like a noir movie, doesn't it? But, in this case, DAME is the shifty dame planning to slap a 30% excise tax on crypto mining companies. An idea cooked up to supposedly save us all from the horrors of... crypto mining.
But, wait! What's that? A knight in shining armour? Pierre Rochard of Riot Platforms comes riding in, questioning the whereabouts of our noirish dame. Congressman Warren Davidson, a man who clearly enjoys a good spoiler, quickly spills the beans. "Yes, one of the victories is blocking proposed taxes." Goodbye, DAME!
But hold on, hold on, hold on! Before you go popping that champagne, let's not forget this debt ceiling circus is still in town and the clowns... I mean, Congress... have yet to have their say.
Now, for those of you with a TikTok-induced attention span, let me fill you in on the DAME tax. This bad boy was all set to apply to both the weight lifters of the crypto world, Proof-of-Work networks like Bitcoin, and the lean, mean, Proof-of-Stake machines like Ethereum. Never mind the vast difference in their energy consumption – all must bow to DAME.
However, a ray of hope pierced through the gloom during the Bitcoin 2023 conference in Miami. Senator Cynthia Lummis stood firm, stating that this DAME of a tax "isn't going to happen." Talk about a plot twist! While the White House is calling for shackles on miners, asserting that it's for the good of the people and the environment, Senator Lummis highlights the potential risk to national security and energy security.
But let's be real, folks. What's this all about? It's about control. It's about snuffing out anything that shakes up the power structure. Crypto threatens to unravel their fiat toilet paper empire, and they're scared. As Robert F. Kennedy Jr. said,
"The environmental argument is a selective pretext to suppress anything that threatens elite power structures."
Source: https://twitter.com/RobertKennedyJr/status/1653808852972740608
So, dear readers, the question is, will we let them suppress us? Or will we continue to ride the crazy train of cryptocurrency, showing them that we're not just passengers, but the damn conductors?
Technological breakthroughs:
2023 is revving its engines, ready to make a mega splash in the world of Liquid Staking Derivatives (LSD) nah not the trippy one. If you're not sure what that means, just think of it as a way to earn extra crypto without lifting a finger. Pretty cool, right? Well, it's about to get even cooler because both base layer and L2 LSD protocols are all set to change the game.
I want to introduce you to something that's been catching my eye - Parallax's Meta-LSD Strategy. Imagine if your crypto could earn you even more crypto while you sleep. That's LSDfi in a nutshell.
The Power of Staking Staking is the name of the game in crypto land. It's all about keeping your crypto safe and spreading the power around. The all-stars of this are apps and protocols that use LSD yield-building blocks. Parallax is focusing on what's called the L2 layer of LSD. Basically, they're putting their money on:
The big guns like Lido, Rocketpool, and Stakewise, and,
The underdogs that use the big guns to make even more crypto, like unshETH and fraxETH.
Reinventing LSD Parallax is aiming to make products that are easy to use and ready to hit the ground running when the market is up. Parallax's Meta-LSD Strategies are going to sit on top of L2 LSD protocols. They're going to take a bit from a lot of different pots - diverse income streams, automatic compounding, risk diversification, extra yield from platform revenue, and a PLX token boost. It's like a buffet of profit!
Meta-LSD Strategies Explained Think of LSDfi as a playground. It's where LSD is used to create new financial building blocks. These building blocks open up new opportunities to make more crypto. Parallax is simplifying this process by allowing you to put your money into one structured product - kind of like a one-stop shop for LSD yields.
Meta-LSD in Action Let's imagine Bob has some crypto. He sees that Lido is offering a 4% yield, but Bob is a go-getter. He sees some other places that offer a yield of 20–30%. Bob wants to get the best bang for his buck.
This is where PLX MetaVaults come in.
Bob puts his crypto into a meta-LSD structured product. Here's what happens:
Bob deposits any stablecoin, which is like a safe and steady crypto.
He swaps for base assets and puts them into 2–3 LSD protocols.
His investment automatically grows a little bit every few hours.
He gets even more rewards thanks to PLX rewards and platform fees.
He can take out all his assets from all strategies back into his stablecoin of choice – all with just one click.
Introducing the Meta-LSD Vault Parallax is working on building:
unshETH: 19–30% APY.
Instadapp: 7–8%.
PLX: 15–20%.
That's a pretty neat return if you ask me! And they're looking to include more protocols by Q3 2023.
Peek into the Future Here's a glimpse into the future of what Parallax is planning:
Boost Your Yield with yPLX: Once yPLX launches, they're planning to offer incentives to push APY up. Locked APY in accounts can shoot LSD vaults up to 30–35%.
Designed for Flexibility: All user positions are locked as NFTs, which means you can use them in different ways and even build upon them.
Create Your Own MetaLSD Strategy: By late Q4 2023, you'll be able to choose which platforms and asset allocation you want in each strategy.
Safety First: PLX is focused on user safety with smart contract audit technology, bug bounty programs, and strong security measures.
So there you have it, folks. Parallax's Meta-LSD Strategy is setting its sights high, ready to make a mark in the crypto world. It's an exciting time to be in the crypto space, and I'm thrilled to bring you along on this journey.
Market Analysis
OPUST
Ladies and Badgers of the crypto cosmos, I've got the scoop on the latest market move that's got everyone scratching their heads. Ever noticed how OP has been plummeting faster than a lead balloon? Well, I took a deep dive into the situation and found some intriguing tidbits.
Some of the big players, such as Wintermute, seem to be mixing things up. I've spent the last 24 hours scrutinizing on-chain data via Arkham, and folks, the numbers don't lie: Over $6 million worth of OP tokens have been shifted over to OKEX and Binance. This might just be the puzzle piece that explains the sudden market dive we're seeing.
Why, you ask? Strap in, cause it's about to get more interesting. Turns out they were front running the the upcoming token unlock. And it’s not just any ordinary unlock; we're talking a mammoth 46.1% of the total supply, or about 250 million tokens. But with Wintermute's recent token dump, it’s safe to say we’re dealing with less now.
Remember, folks, in the tumultuous seas of crypto, it’s always crucial to stay informed on recent unlocks. As for OP, I’ll be keeping my eyes on the charts and my ear to the ground, especially after the 31st after the big unlock. Stay tuned for more updates and always HODL on!
BTCUSD
Bitcoin has been up to its usual tricks again, leaving traders dazed and confused. It's as if it painted a neon billboard in the sky, featuring a head and shoulders pattern, only to turn around and give the bearish shorts a swift kick where it hurts. Classic Bitcoin, right?
I've seen this rollercoaster ride play out countless times, yet I still find myself picking my jaw up from the floor when it happens. We're left scrambling to pull up our metaphorical pants, asking ourselves, "How did we not see that coming?"
The million Satoshi question now is - are we on the brink of a bullish breakthrough? There's a fresh wave of optimism washing over the crypto-sphere, fueled by the possibility of the debt ceiling deal being greenlit. This could see a tsunami of liquidity flooding into the market. Or are we just in the thick of the usual trader chop, getting tossed about in volatile seas?
Lets dive into the charts and the data for clues…
Hyblock's latest intel paints a vibrant picture of the battlefield for Bitcoin. We've knocked off the top liquidity pools and replaced them with a fresh set of rivals, covering both the lower and higher ends of the spectrum. As it stands, no clear signposts point the way forward. Yet, as any seasoned crypto swashbuckler will tell you, being a contrarian often pays off in this digital wild west.
Find Bitcoin darting toward higher liquidity pools first? I'm donning my bearish hat and scouting for short positions. If it dips to the lower pools, it's time to ride the bullish wave and hunt for longs. Currently, the price action is a wanderer in no man's land, and I've decided to play it safe, pocketing the profits from any long positions until the crypto smoke clears.
Zooming out, my global perspective leans bullish, expecting a triumphant charge upward. We seem to be in the throes of a convoluted wave 4, which should subsequently propel us beyond the 32k mark - a journey to the centre of the crypto universe!
Where are the Bitcoin deposits?
But let's also talk about the fascinating behavior of Bitcoin holders. Central exchanges are experiencing a Bitcoin drought - the least BTC deposits since the salad days of January 2017! Is this the iron resolve of die-hard hodlers or just a hangover effect from the FTX shit show?
Central exchanges seem more exposed than ever in my crypto journey, starved for volume like a desert waiting for rain. I see this as a positive shift for Bitcoin - a return to the core ethos of personal sovereignty over one's crypto assets. A sign of maturation in the wild, wild west of cryptocurrencies.
the Short-Term Holder Realized Price. In the simplest of terms, this little gem reflects the average price at which coins, that have been moved within the last 155 days and not tucked away in exchange reserves, were bought.
Now, don't confuse this with just any average price. We're specifically dealing with the 'cool kids' of the crypto space - the ones who have been making recent moves and aren't necessarily in for the long haul. These are the coins that are most likely to be sold or spent on any given day.
Imagine it like this - the Short-Term Holder Realized Price is like a thermometer for the market, helping us gauge what recent market entrants might be planning. If the going rate for crypto soars way beyond this realized price, we might see those recent buyers itching to cash in. On the flip side, if the market price dips below their buying average, they're probably playing the waiting game, hoping for the market to bounce back.
Now, here's the exciting part - we're still above this Short-Term Holder Realized Price! You heard that right, folks. It's currently acting like our safety net, providing a layer of support to the market price. As long as this line holds strong, we can keep our bull caps on, because the upward trend is still in play.
Featured Crypto
Hey folks! We all know in this wild ride of crypto, hype is as transient as a shooting star. One moment it's there, lighting up the sky, and in the next, it's vanished.
But you know what's more thrilling than fleeting hype? Solid, tangible growth! That's where I'm laying down my chips. I'm putting my faith in the projects that aren't just making noise but are showing us the goods with a growing user base.
And boy, have we got some heavy hitters in the mix! So, here's a mega shout out to these relentless builders, who've been breaking their backs, not just making headlines but truly taking this industry to the next level:
Let's take a quick look at the daily active users growth in the past 180 days -
👏First up, we have the mighty @traderjoe_xyz, blowing us out of the water with a jaw-dropping increase of 472%. Talk about setting the bar high!
👏Not far behind, we've got @arbitrum, showing us how it's done, boasting a whopping 201% increase in active users. Way to go!
👏Next in line, we have the good old @Uniswap. Consistently reliable, showing a steady growth with a cool 54% bump in active users.
👏And finally, let's not forget @avax, powering through with a respectable 87% increase in active users.
Source:Tokenterminal.com
Alright crypto fam, we've got some numbers to crunch today! We're diving into the stats of Trader Joe, a spicy project that's been cooking up some innovation in the decentralized trading space. Let's run through some key figures:
🔹 Market Cap (circulating): Sitting at $147.36M, down by about 29.83%.
🔹 Revenue (30d): Has gone up by a commendable 51.91%, landing at $98.37k.
🔹 Market Cap (fully diluted): At a respectable $216.65M, down by 28.44%.
🔹 Revenue (annualized): A steady increase of 2.5%, pegging the number at $1.20M.
🔹 Total Value Locked: At $97.93M, down by about 11.75%.
🔹 P/F Ratio (fully diluted): It's up by a whopping 71.9%, sitting at a 10.03x.
🔹 Trading Volume (annualized): Has dipped by 41.18%, hovering around $9.27B. 🔹 P/S Ratio (fully diluted): A significant drop of 53.1%, now at 150.80x.
🔹 Fees (30d): A decrease of 61.54%, coming in at $1.48M.
🔹 Fees (annualized): Down by 43.63%, reaching $18.00M.
🔹 Active Users (daily) (30d average): A healthy increase of 33.3%, touching 11.81k users.
🔹 Core Developers (30d average): A positive growth of 18.1%, reaching 20.03 developers.
🔹 Code commits (30d sum): A slight decrease of 6.6%, totaling at 114 commits.
But who or what exactly is Trader Joe? Let's peel back the layers on this one!
Trader Joe is your neighbourhood friendly decentralized trading platform, hailing from the Avalanche network. It's like the Swiss Army Knife of DEX services, with DeFi lending and leveraged Trading all rolled into one super sleek platform. It allows users to trade via its AMM exchange, partake in yield farming, staking, and borrowing.
Launched on June 29, 2021, Trader Joe isn't your run-of-the-mill DEX. It's here to spice up your trading life by offering basic DeFi services like staking, yield farming, and lending. The platform has a Zap feature that lets users swap for LP tokens in just one click. Plus, it's one of the first DEXs planning to implement limit orders, a step that could tackle the issue of price slippage in decentralized exchanges.
The best part? Trader Joe is community-driven, governed by its own token, JOE. Holders can earn rewards in the form of fees collected from liquidation and swaps when they stake JOE to get xJOE rewards.
The JOE token is a quintuple threat, acting as a:
🔹Trade Token
🔹Farm Token
🔹Stake Token
🔹Borrow Token
🔹Governance token
But Trader Joe's not stopping there. It's got a three-phase plan for innovation: 🔸Phase 1: Tweaking the traditional AMM model with several improvements.
🔸Phase 2: Offering lending and leveraged trading.
🔸Phase 3: Bringing unique and innovative DeFi offerings to the community.
In terms of technical's this coin looks strong and could see a rally up until 0.94
So, keep your eyes on Trader Joe, folks! This one's serving up some seriously enticing stuff on the DeFi platter!
Trading Tools Review and Analysis:
Alright, crypto warriors! It's time for your weekly dose of alpha, coming at you hot and fresh. This week, we're getting into the thick of things with insights from TRDR.IO. It's time to pull back the curtain on a tool that's not necessarily a newbie in the world of data trading, but it might be something you've not fully explored yet: Aggregated Long and Short Ratios.
As the eagle-eyed among you may have noticed, this metric has been absolutely smashing it over the past few months. It's been hitting the mark with the precision of a seasoned archer, making it a tool that you simply can't afford to ignore. But remember, it's not all about just following the ratios blindly. This isn't a get-rich-quick scheme where you just click a button and watch the cash roll in. Nah, my friends, to truly harness the power of this golden goose, you've got to do a little bit of the heavy lifting.
There are a few nuances you need to be aware of, and this is where things get even more interesting. You see, to fully reap the benefits of this tool, you've got to bring in a few other indicators into the mix, like order flow. Once you've got this cocktail of indicators just right, you're in for a treat. This, my friends, is where the magic happens.
When utilized correctly, the combination of aggregated long and short ratios along with order flow can provide a killer edge in your trading game. It's like discovering a secret weapon in your arsenal, one that can seriously boost your trading strategies.
So go ahead, dig into the gold mine that is aggregated long and short ratios. It might seem daunting at first, but once you've got the hang of it, you'll be well on your way to mastering the crypto trading game. Remember, this isn't about chasing quick wins. It's about gaining a solid understanding of the tools at your disposal, and using them to your advantage. And that, my friends, is how you truly win at this game.
So slick!
And there you have it, folks! The first edition of our crypto newsletter comes to a close, and we hope you've found it insightful and inspiring. In this world of crypto, there's always something exciting happening, something to explore, and we're thrilled to embark on this journey with you.
From dissecting market trends to spotlighting innovative projects, and highlighting the features of various platforms, we've covered a lot in this edition, but believe us, we're just getting started. The crypto universe is vast and ever-evolving, and we're committed to bringing you the most relevant updates, valuable insights, and thought-provoking analyses.
So, as we wrap up this inaugural newsletter, we invite you to join us in our quest to navigate the cryptoverse. Stay tuned for our next edition where we'll dive deeper, explore further, and continue our pursuit of demystifying the world of cryptocurrencies.
Remember, in crypto, as in life, the journey is just as important as the destination. Here's to the journey, here's to us, here's to the future of finance!
Happy trading and see you in the next edition! And finally see you for live streaming find the stream schedule on twitter
Best,
Honeybadger
