Crypto News: ETH, Coinbase, Stablecoins, US Bonds & MORE!!

Foreign Bureau Weekly News Roundup my name is Guy and my name is Jessica here are the Top stories in crypto this week crypto Market chop some coins and tokens rally While others crash due to ongoing Uncertainty around the industry when Will crypto prices finally pump or dump If any trouble an expert on curve Finance spills into ethereum's defy Ecosystem as degen's rush to repay their Loans why are stable coins looking so Unstable drop the bass coinbase's layer 2 scaling solution sees significant Traction despite countless scams and rug Pulls how its upcoming release could Impact the crypto Market Stocks crash after interest rates on Long-term U.S government debt hits their Highest levels since last summer what Causes and what comes next and a closer Look at last week's top performing Cryptos and where they could be headed Next all this and More in just a moment Last week the crypto Market moved mostly Sideways due to an absence of Significant crypto or macro news this is To be expected considering we're in the Middle of summer when nobody is really Paying attention to the markets Google Search Trends suggest that interest in Crypto is particularly low right now now The only macro factor that seems to have Moved the market was the bank of Japan's

Reportedly unscheduled Bond buying Operations on Monday This had the Practical effect of Printing money some of which likely Found its way into crypto considering That prices jumped around that time The only crypto factor that seems to Have moved the market was the Revelation That the SEC had asked coinbase to De-list all cryptos except BTC before Suing the exchange This likely led to renewed concerns that The SEC would continue cracking down on Altcoins despite the recent ruling in The Ripple case These concerns were likely Amplified by The news that the SEC had sued hex Founder Richard Hart of course alleging That he sold one billion dollars worth Of unregistered securities There was speculation that the SEC would Be announcing other crypto crackdowns in The coming days but well this hasn't Happened yet Speculation aside it's clear that There's still lots that needs to be done On the regulatory front when it comes to Crypto this is likely the key Contributor to the price action we've Seen recently On the one hand there are those filings By BlackRock and other asset managers For a spot Bitcoin ETF which are of Course extremely bullish on the other

Hand however the SEC and other Regulators around the world have Continued to crack down on the crypto Industry Jurisdictions like the EU also seem to Be considering additional regulations The result is uncertainty that's Prevented institutions from investing in The crypto industry directly so this Begs the question of when the crypto Market will finally pump or dump Well the BTC chart suggests that the Answer is Su at least on the weekly as You can see BTC is sitting just above The moving average on the Bollinger band And is also squeezing suggesting that Volatility is imminent whether the break Is to the upside or the downside Obviously depends on the catalyst One possible Catalyst could be the CPI Print for July which is due this Thursday If it comes in higher than expected Crypto could dump if it comes in lower Than expected crypto could pump a Classic 50 50. the caveat is that macro Factors haven't been affecting the Crypto Market nearly as much as Crypto-specific factors these days as Such it's more likely that the Catalyst For a pump or dump will be crypto Related and there's no shortage of Candidates to pick from ETF approvals regulatory crackdowns Etc

Eth's recent weakness against BTC Suggests that the Catalyst could come From ethereum's ecosystem even then it Begs the question of what and when Well the answer to the former is Probably something related to Regulations around defy or stablecoins Which I'll come back to in a moment The answer to the latter is anyone's Guess but eth's longer term price action Against BTC suggests that it could be This month Eth's price action in Fiat terms Meanwhile suggests the same eth saw its First weekly close beneath the Bollinger Band moving average in two months if it Stays below it eth could be in trouble And by the way if you enjoy this crypto Ta then you must check out coin Bureau Trading Dan is a professional Trader and He covers numerous cryptos on The Daily Link is in the top right Now even if we set the technical Analysis T leaves aside it's clear that Not all is entirely well in ethereum's Ecosystem these days as some of you may Have heard there have been serious Concerns around curve finance a Decentralized exchange centered around Stable coins and also staked eth the Tldr is that kerf suffered an exploit Which caused users to pull billions of Dollars out of the protocol The price of Curves CRV token plummeted

Leading to concerns that curve founder Michael eggerov could be liquidated on The hundreds of millions of dollars of Loans he took out against CRV For context Michael reportedly borrowed Roughly 100 million dollars in crypto Using over 400 million dollars of CRV as Collateral across multiple D5 protocols It's believed that Michael used some of This money to buy a 40 million mansion In Australia earlier this year welcome To crypto Michael's massive crv-backed loans led To concerns that the affected D5 Protocols would be unable to effectively Liquidate I.E cell the CRV collateral Should the price fall below his Liquidation threshold thankfully Michael Managed to sell lots of CRV over the Counter or OTC and pay back some of the Loans at the same time the exploiter Started to return the crypto that he or She or they had stolen from curve and Other D5 protocols with the same exploit It's safe to say that there's been a lot Of speculation about who the exploiter Is and what their motives were we may Never know Regardless it's believed that the curve Saga is why stablecoins have experienced So much weakness over the past few days If you're subscribed to our Weekly Newsletter however you'll know this Probably isn't the cause

Case in point the curve Saga is over but Stable coins are still sagging relative To their pegs naturally there's no Shortage of theories circulating on Twitter or rather X about why most Stable coins are sitting slightly below A dollar the most popular Theory seems To be that some large entity is using Usdc as an off-ramp from usdt and other Stable coins since they can't cash out Now this doesn't make much sense Considering that the market caps for Both usdc and usdt haven't changed that Much over the last week and don't seem To be as closely correlated as people Claim this is also why the theory of Someone rotating from usdt to die is Wrong dies market cap is also flat the Answer to this mystery lies in a Critical question what factor would Cause all stable coins to slightly depeg Or rather what do all of these stable Coins have in common For starters they're all backed mostly By U.S government debt including dye Since it's mostly collateralized by real World assets The majority of the trading volume for All these stable coins also takes place On binance As it so happens it was reported that The doj said that it wanted to charge Binance with fraud but was concerned That this would cause a run on the

Exchange and result in an FTX level Collapse but much worse but this makes Even less sense than the stablecoin Rotation Theory that's because there Wasn't a run on binance when it was Charged by the SEC or the cftc at least Not a meaningful one and not only that But binance recently received regulatory Approval in Dubai something that Wouldn't likely happen if it was Insolvent So this leaves just one other possible Explanation Now another thing that these stable Coins probably have in common is that They are mostly held and traded by Market makers it's possible if not Likely that a major Market maker in Crypto is on the brink of blowing up Think Alameda research but bigger now if You have any theories as to who that Might be why not drop a comment down in The description and smash that like Button while you're at it Now in the midst of all this madness Some crypto Traders have been making Millions off of meme coins on base Coinbase is layer 2 for ethereum so far These have basically been paper gains Since it's only possible to bridge Crypto to the layer 2. but come Wednesday it'll become possible to Bridge back this has everyone wondering What coinbase will do about the Bad

Actors that rug pulled some of the Biggest meme coins the most notable Being bald Some believe that coinbase will require Kyc to bridge out of Base others believe That coinbase will do no such thing Well we'll know in 48 hours this is all More significant than you think though Because if coinbase does decide to Implement kyc to use bass then it sets a Precedent for other ethereum layer 2s to Do the same take a second to consider That most layer twos are centralized as Well as being based in the United States Regulators could require them to do the Same So this ties into something that we Discussed in our video about Bitcoin Ordinal nfts and brc20 tokens over time The base chains for the biggest Blockchains will become too expensive For the average person to use This will force most people to use more Centralized layer twos which could also Be more compliant In the case of bass it seems more likely Than not considering coinbase is a Publicly traded company that's heavily Regulated even if Regulators don't Demand that coinbase Implement kyc on Base coinbase's spot Bitcoin ETF Partners could be it for ESG reasons or Regulatory concerns of Their Own Now logically implementing kyc on base

Could have a profound effect on its Adoption and inflows To put things into perspective bass Currently holds over 100 million dollars In crypto arbitrim the largest ethereum Layer 2 by total value locked currently Holds almost 6 billion dollars in crypto Some would argue that the kyc concerns Have prevented Bass from seeing even More inflows ahead of its imminent Launch however others would argue that Kyc will be the Catalyst for inflows That will turn base into the largest Layer 2 on ethereum That's simply because institutions would Be likely to adopt it if this happens Then we would quickly see other layer 2's follow suit to get their share of Institutional inflows now this would go Against the core ethos of cryptocurrency But it would simultaneously set the Stage for unprecedented opportunities For profit think 1000x gains on quality Crypto projects Again this assumes that coinbase will Implement kyc on base and it's important To point out that this may not happen on Day one If base continues to be plagued by scams And rug pulls and perpetrators go Unpunished as has been the case on other Layer twos then well some kind of kyc is Essentially guaranteed some would say That the purpose of these scams and rug

Pulls is precisely to push coinbase into Doing something that would shift the Overton window for crypto compliance After all the meme coin masterminds went Into it knowing they would probably Never be able to withdraw Conspiracy theories aside the crypto Market may not be moving much these days But the stock market certainly is the S P 500 Index has been on a face melting Rally since March but the correction Seems to have finally come the index Fell over two percent last week doesn't Sound like much I know but it's a lot For stocks The correction is believed to have been Due to the most critical macro Factor There is yields on long-term U.S Government debt that is U.S bonds for Reference Rising yields means falling Bond prices rising yields means Corporations get squeezed and falling Bond prices means that Banks start to go Under so this begs the question of what Caused yields to rally and the answer Seems to be threefold First Investors are starting to believe That inflation could stay higher for Longer This means that they demand higher Interest rates on U.S bonds to Compensate for these higher levels of Inflation if you're wondering why Investors believe that inflation could

Stay higher for longer check out our Recent summary of the fed's press Conference using the link in the Description Now the second reason why yields rallied Is because investors are starting to Believe that the economy will remain Resilient Put differently they believe that the FED isn't raising rates high enough to Slow down a strong economy if the Economy remains this strong then Inflation could come back The third reason relates to another Topic we covered recently and that's the Debt ceiling deal for those unfamiliar The US government is currently in the Process of refilling its bank account at The Fed It's doing this by issuing government Debt so far it's mostly been short-term Debt that they've issued Sometime later this month however the Treasury Department is expected to start Issuing U.S bonds longer term debt It's believed that investors are pricing In they're selling presumably Anticipating that the selling pressure Will cause bond prices to fall if there Aren't enough buyers who show up to the Bond auction now here's where things get Interesting According to macro analyst Jared dillian The treasury has never failed to find

Buyers for its Bond auctions The risk of this happening though seems Higher given the current geopolitical Climate fewer and fewer foreign Governments want to buy U.S government Bonds the bank of Japan is also in the Process of allowing interest rates on Japanese debt to rise which is causing Japanese investors to sell some of their Trillions of dollars of foreign Government debt in other words even U.S Allies aren't buying that many U.S bonds These days So who else is left to buy Well this ties into something else that Jared pointed out and that's that there Was no shortage of buyers for U.S bonds During the 2008 financial crisis that's Because U.S bonds are the safest assets An investor can buy if we enter another Risk-off environment in stocks this will Create the bond buyers the treasury Needs now funnily enough the chart for Apple stock is looking absolutely brutal It appears to have fallen out of a Massive Rising Channel after hitting an All-time high given that apple is the World's largest company by market cap it Could be a sign of what's coming for Other stocks all that's missing is some Kind of catalyst Say did you know that U.S bonds are one Of the only assets that haven't properly Rallied since 2020. some would say that

Rally is long overdue the U.S government Is definitely hoping for one to happen Probably nothing Anyways let's now turn to Jessica and See what's been going on with last Week's top performing cryptos and what Could be next for them Thanks Guy well last week's top Performing cryptos were zenfin Shiba Inu Shiba swaps bone okx's okb and optimism Starting with zenfen AKA XTC Network the Xcc coin rallied for unknown reasons its Limited exchange support makes it really Difficult to say if this price action is Genuine xcc's long-term price chart Suggests that it's not Xcc has pumped by almost three times Over the last month with no obvious Explanation as to why if you know why Then drop a comment down below because We would love to know too Next up we have Shiba Inu whose ship Token appeared to have pumped on the News that binance approved ship as Collateral for loans Shiba Inu will also Soon to be rolling out its own layer 2 Scaling solution for ethereum dubbed Shibarium As you can see ship just barely inched Above the Bollinger band moving average On the weekly if it can stay above these Levels it could continue to Rally but it Faces lots of resistance on the way up Ship is extremely overbought on the

Daily as well suggesting that a reversal Is imminent As for Shiba swap's bone it has also Continued to Rally in anticipation of The upcoming launch of shibarium that's Because bone will be used to pay for Transaction fees on the layer 2. oddly Enough shibarium will reportedly Leverage digital ID remember what guy Said about kyc on base Anyway similarly to shib Bone faces lots Of resistance around these levels the Difference is that bone isn't currently Listed on any major centralized Exchanges this could make it harder to Get above these resistance levels Note that an exchange listing could Occur after the shibarium launch not Because okb is okx exchange token there Isn't much we can say about this price That's because it ultimately depends on Okx namely its trading volume Four what is worth lkb appears to be in A long-term uptrend Just be aware that this uptrend could Come to an abrupt end if anything Happens to okx remember what guy said About their potentially being issues With a big Market maker Finally we have optimism's op token Which appears to have pumped because of World coin if you watched our video About the controversial crypto project You'll know that it's wld token exists

On optimism coinbase's base was also Reportedly developed with the help of The optimism team unfortunately op is Having a hard time getting above that Pesky bonjaban moving average on the Weekly and seems to have been rejected Right on the dot the upcoming Lodge off Base could be enough to boost it above That moving average but of course this Is not guaranteed by any means And folks if you want to know why Cryptos are pumping in real time be sure To join the coin Bureau telegram channel The link will be in the description And that's all for today's coin Bureau Weekly crypto review if you enjoyed it You know what to do hit that like button Subscribe button and Bell icon too don't Forget to check out our deals page where We have massive discounts and airdrop Bonuses of up to forty thousand dollars On some of the best exchanges only for The viewers of this channel you can find The link to that resource and many more In the description below thank you so Much for watching and we'll see you all In next week's episode Foreign