SwissOne Capital: Early September 2022 Crypto Boost
Baar – While market activity and volumes in the past several months have been waning, it is always important to take a step back and gain perspective. The Metaverse which includes the universe of NFTs linked to art pieces, fashion brands and other luxury items to name a few was almost non-existent less than 2 years ago. You can imagine our surprise when we stumbled across the data in the table below. Clearly, these global brands have woken up to an entirely new form of revenue generation and marketing opportunities. We do not see a reduction in investment into broadening the scope of this opportunity any time soon.
Of course at the peak of the market trading volumes were significantly higher, however, no less than 18 months ago monthly volumes were recorded between $15-20m on average. In August 2022 (on down month), volumes recorded came in at over $500m. These sort of figures should not go unnoticed as they represent a significant level of adoption and creation of a completely new investment class.
As the financial world continues to meander these highly precarious times so humankind will seek out methods to create and store value. For centuries, the greatest value derived by humankind as been its ability to imagine and then create. Value is placed in reputation and consistency to produce high quality products and services. In the current environment and the current trend toward more and more value being created in the virtual space (such social media), more and more value is being placed on creators within this Metaverse ecosystem.
We suspect this is merely the beginning of a significant shift in the assets or people where we place value and invest. Watch this space.
It should not be take for granted that none of this data would be possible without protocols such as The Graph. We breakdown how this is all made possible in our Coin Focus below in this edition of the Crypto Boost.
We are excited to bring a new strategy to investors within the Metaverse within the coming months. Please do not hesitate to reach out to us if you have any queries in this regard.
Bitcoin Technical Outlook: The technical analysis does not look great for the next month. While we may see a short term bounce from the recent market weakness, the drop below $19.8k level shows a continuation of the bear market trend. Therefore, previous lows of $17.5k must be revisited at some point and tested over the next month or so. The macro picture continues to lead the BTC market and given the highly uncertain macro and political backdrop the market is not yet out of the woods. (SwissOne Capital/mc/ps)
