A leading digital asset research firm’s Chief Investment Officer (CIO) is seeing signs of a coming crypto rally.
In a new research post, Arca CIO Jeff Dorman says that despite crypto’s recent volatility, there is a light at the end of the tunnel.
[adinserter block="1"]“While the road ahead remains rocky, the cracks in the infrastructure and sentiment are showing signs of healing.
By Monday of last week, a meaningful bounce was already underway with BTC rising to $115K, and ETH and SOL jumping 9% each.
Trading volumes registered a week-over-week uptick (total exchange volume up ~15%) and open interest on decentralized perpetual platforms started building again after the major washout.”
According to Dorman, all signs point to the most recent downturn being a reset rather than a collapse.
“This alone is testimony that the system is not broken, it’s resetting. When markets crack, you want to see layered recovery:
- Liquidity returning
- Participation resuming
- Interest building
And that’s exactly what we’re seeing. The exchange ecosystem isn’t dead, the on-chain derivatives plumbing isn’t collapsed.”
In early October, the total crypto market cap reached a monthly high of $4.38 trillion.
Since then, it has dipped as low as $3.7 trillion, and is currently valued at $3.84 trillion, a 12% drop from early October.
Follow us on X, Facebook and TelegramDon't Miss a Beat – Subscribe to get email alerts delivered directly to your inbox
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any assets including cryptocurrencies, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Generated Image: Midjourney
