Avalanche to Host ArtCrypted Marketplace as Interest in Ethereum Wanes

Key Insights:

  • Avalanche (AVAX) becomes the chosen blockchain host for the digital art platform ArtCrypted.
  • ArtCrypted plans to be the first 1/1NFT art marketplace on Avalanche, with a June launch.
  • ArtCrypted joins a growing list of NFT marketplaces choosing Avalanche over Ethereum (ETH).

Interest in NFTs has continued to grow following the eyewatering $69m sale of Beeple’s First 5000 Days. Avalanche (AVAX) has become a blockchain of choice for NFT marketplaces looking beyond Ethereum (ETH). ArtCrypted is the latest NFT marketplace to opt for Avalanche.

This year has seen a marked increase in interest in NFTs and a rise in the number of NFT marketplaces.

Once OpenSea dominated, Coinbase, Binance, LooksRare, and others launched marketplaces to compete for market share.

As the battle for dominance continues, marketplaces are also looking beyond the Ethereum blockchain to host their NFT marketplaces. While Ethereum remains the dominant host, a growing NFT space and interest in alternative blockchains could see Ethereum alternatives materially eat into Ethereum’s long-lasting dominance.

Other blockchains gaining traction in the NFT space include Avalanche, Cardano (ADA), Polygon (MATIC), and Solana (SOL).

Avalanche Becomes a Viable Ethereum Alternative for NFT Marketplaces

This week, ArtCrypted announced the launch of the ArtCrypted NFT marketplace on Avalanche (AVAX).

Taking to Twitter, ArtCrypted said,

“In the search of transforming our project, we decided to create our own Marketplace to build a community focused on unique 1/1 art on the @avalancheavax blockchain.”

ArtCrypted Marketplace went further to highlight the goals of the new NFT marketplace in a series of seven tweets.

ArtCrypted is looking to evolve the market by delivering on community needs. To achieve this, ArtCrypted aims to place artists and collectors at the center of the project to build a community driven by a passion for art.

As part of the goal to deliver unique art, ArtCrypted targets Latin American artists, believing in “the talent and potential of artists” in their region.

ArtCrypted selected Avalanche with belief in the future of the Avalanche project, saying,

“With their subnet technology, we’re guaranteed a superior performance and more stability, at a minimum fraction of the energy cost compared to the other PoW blockchains.”

ArtCrypted also pointed out that Avalanche,

“Allows us to have very low fees compared with other blockchains, this way, artists only need to worry about creating.”

Other NFT marketplaces on the Avalanche blockchain include YetiSwap, Kalao, and NFTrade.

NFT activity on the various marketplaces on the Avalanche blockchain will need to ramp up for AVAX positive price action. The launch of ArtCrypted is a step in the right direction.

AVAX Price Action

At the time of writing, AVAX was down by 1.14% to $29.49.

AVAX struggles at sub-$30 despite ArtCrypted news.
AVAX 220522 Daily Chart

Technical Indicators

AVAX will need to move through the day’s $29.52 pivot to make a run on the First Major Resistance Level at $30.87. AVAX would need the broader crypto market to support a breakthrough Saturday’s high of $30.56.

An extended rally would test the Second Major Resistance Level at $31.92 and resistance at $32. The Third Major Resistance Level sits at $34.32.

Failure to move through the pivot would test the First Major Support Level at $28.47. Barring an extended sell-off, AVAX should avoid a return to sub-$28. The Second Major Support Level sits at $27.12.

A move through the pivot would give AVAX a look at $32
AVAX 220522 Hourly Chart

Looking at the EMAs and the 4-hourly candlestick chart (above), it is a bearish signal. AVAX sits below the 50-day EMA, currently at $32.64. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also fell back from the 200-day EMA, AVAX negative.

An AVAX move through the 50-day EMA to $35, however, would bring the 100-day EMA and $40 into play.

A break out from the 50-day EMA would bring $35 into play.
AVAX 220522 4-Hourly Chart

Manchester City FC Partners with Quidd to Launch New NFT Collection

Key Insights:

  • English Premier League side Manchester City FC partners with Animoca Brands subsidiary to launch a new 3-D NFT collection.
  • Manchester City FC has been a strong advocate of Web3, with a Sony partnership taking the club to the metaverse.
  • On the cusp of winning the English Premier League title, the Manchester City Fan Token (CITY) sits just behind Paris Saint-Germain, with a market cap of $29.5 million.

Manchester City Football Club is one of the leading English Premier League (EPL) sides and currently sits at the top of the table, with one game remaining. This week, City and Animoca Brands subsidiary Quidd launch a new NFT collection.

The club is a strong advocate of Web3 and is particularly active in the digital space, with plans to expand into the metaverse.

Manchester City FC and Quidd Marketplace Launch NFT Collection

On Friday, Animoca Brands announced a new collaboration between subsidiary Quidd and Manchester City FC.

Taking to Twitter, Animoca Brands tweeted,

“Tomorrow our subsidiary @quidd launches @ManCity’s Debut Collection with first-of-its-kind, fully interactive, beautifully-styled 3D cards. You don’t want to miss that!”

According to the Quidd marketplace,

“The collaboration features four drops starting on May 20th and extending through the end of the season. Fans will discover not only the 3D player cards – a first in sports collecting – but also sets that highlight major moments in the club’s recent history, with archival details found when spinning the card around to its back.”

For avid Man City fans and NFT collectors, a Signature Gold Set is also on offer. According to Quidd,

“There will also be a Man City Debut Signature Gold set, where only the top 500 ranked collectors in the Man City Debut set at exactly 11am EST / 4pm BST on Monday, May 23 will unlock 1 print of each of the 6 cards.”

 

The latest NFT collaboration follows a partnership with Sony to take Premiership football to the metaverse.

Socios Fan Tokens Enjoy a Breakout Week on Listing News

This week, Fan Tokens got a boost in response to news of  BitPanda listing seven Socios Fan Tokens on Wednesday.

Manchester City Fan Token (CITY) was one of the seven. The remaining six included Paris Saint-Germain (PSG), Juventus Fan Token (JUV), Atletico De Madrid Fan Token (ATM), Santos FC Fan Token (SANTOS), FC Porto Fan Token (PORTO), and FC Barcelona Fan Token (BAR).

Socios fan tokens are on the Chiliz (CHZ) Chain, a Proof-of-Authority Ethereum-based sidechain.

Adding to the upside for Fan Tokens were enhancements to drive fan engagement.

On Tuesday, Chiliz announced the launch of Scoville Testnet Phase 2. Key feature enhancements include the launch of PepperSwap, a decentralized exchange (DEX), and Fan Token Test Surveys.

For the fans, the Fan Token Test Survey delivers a mouth-watering prospect. The ultimate goal is for Fan Token holders to vote on club decisions.

According to CoinGecko, Paris Saint-Germain ranks #1 with a market cap of $30.06 million. Manchester City Fan Token sits at #2, with a market cap of $29.46 million.

In 7-days, Paris Saint-Germain Fan Token has surged 96.9%, with Manchester City Fan Token up 58.9%.

CITY Ranks #2 ahead of tomorrow's EPL game.
MarketCap Table 210522

CITY Price Action

At the time of writing, CITY was down 1.09% to $7.7350. A mixed start to the day saw CITY rise to an early morning high of $7.8375 before falling to a low of $7.4725.

A move back through to $8.00 would signal another breakout day ahead. Near-term, the bulls will be eyeing a run at May’s high of $12.7700.

Price action for the weekend will be depend on tomorrow’s final game of the EPL season.

A Manchester City FC win over Steven Gerrard’s Aston Villa would seal the English Premier League title and support a weekend breakout session. A City loss and a Liverpool FC win against Wolverhampton Wanderers would give the reds the title and a shot at the much-hyped quadruple.

A City victory would bring $12 into play.
CITYUSD 21522 Daily Chart.

Tesla Forecast – Stock Price Vulnerable to Collapse Over Twitter Uncertainty

Tesla Technical Analysis and Price Forecast

TSLA daily chart

Shares have fallen back to support near $700. This area held in February. With widespread market weakness, we believe Tesla is more vulnerable than ever to a sharp breakdown – prices MUST hold $680 in May.

Takeaway

Tesla could break key support in the coming days. A daily close below $680 could spark significant selling.

Chart

Description automatically generated

To be fair I thought Tesla should have broken below $700 back in February, but prices held. Will it hold again? I’d be surprised.

Key Price Levels

The first level of support arrives at $550; below that, a quick trip to $420 would be in the cards.

Tesla and Twitter

The uncertainty regarding Elon Musk’s acquisition of Twitter is becoming an anchor that could drag Tesla shares lower.

We think a potential trigger event could be Elon Musk needing to sell more TSLA to finance TWTR. If selling becomes epic – we could see a waterfall type decline.

AG Thorson is a registered CMT and expert in technical analysis. He believes we are in the final stages of a global debt super-cycle. For regular updates, please visit here.

SEC Fires Back at Ripple with Its Reply on the Hinman Speech Documents

Key Insights:

  • On Wednesday, the SEC filed a reply to support its claim that attorney-client privilege protects internal documents relating to the Hinman speech.
  • Last week, Ripple responded to an SEC brief claiming attorney-client privilege in what has become the focal point of the case.
  • XRP and the markets will now await a court ruling, which could decide the outcome of the SEC case against Ripple.

The SEC v Ripple case has had some pivotal moments in recent months. Yet, the SEC continues to go full circle and revisit court rulings relating to William Hinman’s 2018 speech.

From an SEC perspective, the focus is undeniable. In early May, Ripple defense lawyer Matthew Solomon opposed at least the sixth SEC motion, “filing in opposition to Defendants’ August 10, 2021, motion to compel.”

Solomon stated,

“Since the Defendants filed this motion to compel nearly nine months ago, the Court has twice overruled the SEC’s improper deliberative process privilege objections. Notwithstanding that, and close of fact and expert discovery, the SEC continues to withhold all documents related to a former SEC official’s June 14, 2018 speech.”

The Solomon opposition was in response to a court decision granting the SEC’s request to file a reply brief in connection with the SEC’s attorney-client privilege claims about the Hinman speech documents.

Hinman, former SEC Director of the Division of Corporation Finance, remains a central figure in the SEC v Ripple case.

In a 2018 speech, Hinman said that Bitcoin (BTC) and Ethereum (ETH) are not securities. The SEC is looking to shield documents and emails relating to internal discussions and Hinman’s famous speech.

In response to last week’s Ripple reply to the SEC brief, the SEC responded to the Ripple reply overnight.

SEC in an Everlasting Battle to Shield William Hinman’s Speech Documents

On Wednesday, the SEC filed its anticipated reply to support its claim that attorney-client privilege protects Hinman’s speech-related documents.

Defense Attorney James Filan shared the filing on Twitter, saying,

“The SEC has filed its reply in support of its April 29, 2022 letter claiming that the attorney-client privilege protects internal SEC documents relating to Hinman’s speech.”

Salient points from the filing introduction included,

  • Dozens of attorneys across the SEC’s offices and divisions used their legal expertise and knowledge of confidential SEC matters to draft and edit the Speech – something these attorneys could not do in response to a personal, non-work-related request.
  • Therefore, regardless of whether the final Speech contained “personal views,” as opposed to official agency policy, the attorney-client privilege protects the legal advice Director Hinman obtained from SEC counsel during the development of the Speech.

The filing then went on to argue its case, with a focus on four key areas, these being,

  • Director Hinman communicated with SEC staff to obtain their legal advice.
  • Director Hinman and SEC staff were necessarily acting in their official capacities when they drafted and commented on the speech.
  • Disclosure would reveal SEC confidences.
  • The SEC has standing to assert the attorney-client privilege.

In conclusion, the SEC stated,

“The SEC stands ready to submit its proposed redactions for in camera review at the Court’s discretion.”

Both parties and XRP investors will need to await a ruling that could test XRP support near-term.

SEC v Ripple to Dictate XRP Price Action

At the time of writing, XRP was down 0.77% to $0.4018. A mixed start to the day saw XRP rise to an early morning high of $0.4124 before sliding to a low of $0.3916.

This morning’s pullback follows on from a 7.39% slide on Wednesday.

XRP on the back foot after SEC filing.
XRPUSD 190522 Daily Chart

Technical Indicators

XRP will need to move through the $0.4166 pivot to target the First Major Resistance Level at $0.4301. XRP would need broader crypto market support to break out from the morning high of $0.4124.

In the event of an extended rally, XRP should test the Second Major Resistance Level at $0.4550. The Third Major Resistance Level sits at $0.4935.

Failure to move through the pivot at $0.4166 would bring the First Major Support Level at $0.3915 into play.

Barring another extended sell-off throughout the day, XRP should avoid sub-$0.3850. The Second Major Support Level sits at $0.3782.

Failure to move through the pivot would leave XRP under pressure.
XRPUSD 190522 Hourly Chart.

The EMAs and the 4-hourly candlestick chart (below) send a bearish signal. At the time of writing, XRP sits below the 50-day EMA, currently at $0.4427. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also pulled back from the 200-day EMA, XRP negative.

A move through the 50-day EMA would support a return to $0.50. While sentiment from the broader crypto market will influence, a court ruling on the SEC’s claim of attorney-client privilege will be the key.

near-term XRP price action hinged on court ruling in SEC v Ripple case.
XRPUSD 190522 4-Hourly Chart

Tesla Is Up By 3%, Here Is Why

Key Insights

  • Elon Musk tweets that “20% fake/spam accounts, while 4 times what Twitter claims, could be *much* higher”.
  • Traders wonder whether he tries to negotiate a better price or walk away from the deal. 
  • If the deal falls apart, Tesla stock could gain upside momentum.

Tesla Stock Rebounds After Musk Says He Needs Proof That Fake/Spam Accounts Are Less Than 5% Of Twitter Users

Shares of Tesla gained upside momentum in premarket trading after Elon Musk tweeted that his offer to buy Twitter was based on the assumption that Twitter‘s SEC filings on the number of fake/spam accounts were accurate.

He also noted that Twitter’s CEO refused to show proof that fake/spam accounts were less than 5% of the total account number. Musk added that the deal could not move forward until he sees proof of Twitter’s statements.

Traders are trying to guess whether Musk is trying to walk away from the deal without paying the breakup fee or trying to negotiate a better price.

Both scenarios are bearish for Twitter stock, so it’s not surprising to see that Twitter is losing ground in premarket trading.

For Tesla stock, the recent news is bullish. Traders are worried that Musk will have to sell more Tesla stock to finance the deal, so a lower priced deal or a full collapse of the deal would serve as bullish catalysts.

What’s Next For Tesla Stock?

There are two main catalysts for Tesla in the near term. The first catalyst is the fate of the Twitter deal. If the deal is scrapped, traders will have no worries about potential stock sales from Musk, which will provide more support to Tesla shares.

The second catalyst is the situation with coronavirus in China, which has already put pressure on both production and demand for Tesla cars. At this point, it looks that developments in China could serve as a bigger catalyst for the stock, so traders will need to keep a close eye on the country in the upcoming weeks.

It should be noted that Tesla’s valuation has recently declined to more attractive levels, so the stock may be sensitive to positive catalysts. In this light, Tesla will have a good chance to gain additional upside momentum in case Twitter deal continues to fall apart.

To keep up with the latest earnings updates, visit our earnings calendar.

UK Treasury to Selectively Legalize Stablecoins as a Means of Payment

Key Insights:

  • UK Treasury set to legalize stablecoins as a means of payment despite the TerraUSD (UST) collapse.
  • In the wake of the UST collapse, the Treasury plans to legalize fully-backed stablecoins such as Tether (USDT) and USD Coin (USDC).
  • The UK government is looking to drive innovation while other jurisdictions continue to hinder growth in the space.

In April, UK Economic Secretary John Glen announced plans to include stablecoins as a means of payment.

Taking to Twitter, Glen said,

“This places the UK financial services sector at the forefront of technology, creating conditions for stablecoin issuers and service providers to operate and invest.”

Since the April announcement, the Queen gave stablecoins her blessing during the Queen’s Speech at the House of Lords.

Speaking on behalf of the Queen, Prince Charles delivered support for plans to legalize stablecoins as a means of payment.

UK Treasury To Legalize Stablecoins as a Means of Payment

According to a report from the weekend, the UK Treasury plans to legalize stablecoins as a form of payment.

Chancellor Rishi Sunak said it will,

“Ensure the UK financial services industry is always at the forefront of technology and innovation.”

A UK Treasury spokesperson said,

“Legislation to regulate stablecoins, where used as a means of payment, will be part of the Financial Services and Markets Bill, which was announced in the Queen’s speech.”

The news followed a tumultuous week for stablecoins and the crypto market. Stablecoin TerraUSD (UST) saw its dollar peg shatter, with UST falling to a week low of $0.0437 before steadying.

UST to be excluded from Treasury legislation.
USTUSD 160522 Daily Chart

The meltdown left Terra LUNA at close to zero, with $500 billion wiped off the total crypto market cap before support kicked in.

One key difference, however, is government plans to legalize stablecoins fully backed by currency and other liquid asset reserves.  These include Tether (USDT) and USD Coin (USDC).

Stablecoin TerraUSD links to Terra LUNA via an algorithm that failed, leading to a collapse in both.

While TerraUSD and Terra LUNA grabbed the headlines last week, Tether also added to the market stress.

On Thursday, Tether fell to a day low of $0.9511 before returning to close to dollar parity. The fall from parity drove fears of another stablecoin collapse before returning to $0.99 levels. Tether saw a similar move on Sunday, falling to a week low of $0.9408 before steadying.

The markets were less concerned with Sunday’s fall, however,  which was modest compared with a February 28 current-year low of $0.8679.

Treasury to approval USDT as means of payment
USDTUSD 160522 Daily Chart

While the UK looks to legalize stablecoins as a means of payment, US lawmakers appear divided.

US Treasury Secretary Yellen Calls for More Regulatory Oversight

Amidst the crypto market turmoil of last week, US lawmakers delivered a different message on the crypto front.

US Treasury Secretary Janet Yellen called for crypto regulations while noting that dollar-pegged stablecoins have yet to reach a scale “where they’re financial stability concerns.”

SEC Chair Gary Gensler took the opportunity to lay claim on the crypto market rather than support innovation.

As governments and regulators grapple with the need for regulatory oversight and to support innovation, some are more ahead of the curve than others.

Dubai is one jurisdiction that has taken the lead in supporting innovation in the digital space. Earlier this month, Dubai’s virtual assets regulator became the first to enter the Metaverse with a virtual HQ.

Terra Lab CEO Do Kwon Returns to Twitter after 2-Day Absence

Key Insights:

  • In a tumultuous week for cryptos, the TerraUSD peg with the dollar shattered and Terra LUNA collapsed.
  • Mid-week, the message was of hope, with Terra Lab CEO and co-founder Do Kwon talking of an imminent fix.
  • TerraUSD stabilized at $0.1 levels, while LUNA floundered at $0.0001 levels after delistings by major exchanges.

Terra Lab CEO and Co-Founder Do Kwon went dark on Twitter following the collapse of stablecoin TerraUSD (UST). This week, UST de-pegged from the dollar in catastrophic style, with UST tumbling to a week low of $0.0437.

The impact on the broader crypto market was significant, with as much as $722 billion wiped out before a partial recovery ensued. On Thursday, the total crypto market cap sunk to $1,082 billion, its lowest level since February 2021.

While the broader crypto market took a hit, Terra LUNA was the biggest victim, falling by close to 100% to $0.0001 levels.

TerraLUNA collapses.
LUNA 140522 Daily Chart

Hopes of a re-peg lingered mid-week, following messages from Terra Lab CEO and co-founder Do Kwon.

Terra Lab CEO and Co-Founder Do Kown Returns to Twitter

Following a series of tweets on Wednesday, Do Kwon went Twitter dark until this morning.

The Terra Lab CEO started a series of tweets by saying,

“I’ve spent the last few days on the phone calling Terra community members – builders, community members, employees, friends, and family, that have been devastated by UST depegging.”

He added,

“I am heartbroken about the pain my invention has brought on all of you.”

Do Kwon followed the initial tweet with five others, discussing proposals on possible options to move forward and his views on decentralized economies.

He also stated that,

“Neither I nor any institutions that I am affiliated with profited in any way from this incident. I sold no luna nor ust during the crisis.”

For the Terra Lab community and crypto investors that suffered, the possible way forward is of more interest.

Earlier in the week, Do Kwon had provided investors and the community some hope before going silent.

On Tuesday, Do Kwon advised the markets that a fix was imminent, tweeting,

“Close to announcing a recovery plan for $UST. Hang Tight.”

 

Do Kwon followed this, tweeting,

“Getting close… stay strong, lunatics.”

Do Kwon Terra Ecosystem Revival Plan

Digesting proposals from the community, Do Kwon shared his views on a way forward in a Terra Ecosystem Revival Plan.

He led into the possible options by saying,

“Even if the peg were to eventually restore after the last marginal buyers and sellers have capitulated, the holders of Luna have so severely been liquidated and diluted that we will lack the ecosystem to build back up from the ashes.”

He went on to say,

“While a decentralized economy does not need decentralized money, UST has lost too much trust with its users to play the role.”

Do Kwon then highlighted the reasons for preserving the Terra ecosystem and its community before proposing a way forward for the community to form a consensus.

The proposals included,

  • A 40% allocation (400 million) of one billion tokens to Luna holders before the de-pegging event.
  • 400 million tokens (40%) to UST holders pro-rata at the time of the new network upgrade.
  • 100 million (10%) to Luna holders at the final moment of the chain halt.
  • 100 million (10%) to the Community Pool to fund future development.

The tweets followed news of a global asset management company entering talks to aid Terra Lab in restoring the UST peg.

Swiss Asset Management Giant GAM Holding Refutes Terra Lab Talks

On Thursday rumors hit the wires of Swiss Asset Management giant GAM entering into talks with Terraform Labs in a $3 billion UST rescue bid.

Media outlets reported GAM announcing that it could invest between $2-3 billion to burn excess supply of UST to help Terra restore the UST’s peg to the dollar.

The story turned out to be false, however. On Friday, GAM Holding AG announced that it is not in negotiations with Terraform Labs to support the Luna stablecoin.

The short statement stated,

“A press release purporting to come from GAM Holding was issued at 23:00 UK time on 12 May. There is no truth in the story and GAM did not issue a press release. GAM has strict controls on the dissemination of press releases, and we are investigating the source of this story and how it became to be published.”

The refute removed any hope of a quick fix and a LUNA and UST recovery.

At the time of writing, LUNA was up 63.6% to $0.0001949, with TerraUSD up 26.8% to $0.1625.

TerraUSD languishes at sub-$0.20.
USTUSD 140522 Daily Chart

Twitter Is Down By 11%, Here Is Why

Key Insights

  • Twitter shares found themselves under strong pressure after Elon Musk paused the deal. 
  • Musk said that he wanted to make sure that spam/fake accounts represented less than 5% of users. 
  • Traders are worried that there is some other reason for his decision, and sell the stock. 

Twitter Falls After Elon Musk Says That The Deal Is Temporarily On Hold

Twitter stock was back into spotlight today after Elon Musk tweeted  that the Twitter deal was temporarily on hold “pending details supporting calculation that spam/fake accounts do indeed represent less than 5% of users”.

Musk also added a link to a Reuters report , which discussed Twitter filing that contained the information about the percentage of false or spam accounts.

It is not clear why the exact percentage of false/spam accounts has suddenly started to play a major role in the deal. Previously, Musk looked determined to buy Twitter for $54.20 per share, so the traders are left guessing what has gone wrong with the deal.

What’s Next For Twitter Stock?

Not surprisingly, Twitter stock found itself under significant pressure at the start of the trading session. Traders are worried that Musk’s words on false/spam accounts are just an excuse to pause the deal, and that there is another reason for his decision.

The market was never certain that the deal would go through. Twitter stock closed near the $45 level on Thursday, 17% below the price offered by Musk.

The discount to the offer price would grow as the level of uncertainty has clearly increased. At the same time, it remains to be seen whether Twitter stock could fall towards the yearly lows near the $31.50 level.

Shorting the stock below $40 would demand a lot of courage as there is a material chance that Musk or some other investor would ultimately buy Twitter for $54.20 per share. Without serious short-selling and sales from current investors, Twitter stock may stabilize in the upcoming trading sessions despite the disappointing news.

For a look at all of today’s economic events, check out our economic calendar.

Madonna and Beeple Collaborate to Launch NFT Collection

Key Insights:

  • Music superstar Madonna and world-renowned digital artist Beeple collaborate to launch a new NFT collection.
  • Madonna is no stranger to NFTs, with her Twitter profile picture an image of a Bored Ape Yacht Club NFT.
  • Beeple’s EVERYDAYS: THE FIRST 5000 DAYS NFT sold for an impressive $69.3m.

Madonna launches a new NFT collection in collaboration with Beeple. The music industry and the digital world continue to unite, with big names from the music industry advocates of NFTs and Web3.

Other music icons that have entered the NFTs space include Nirvana and David Bowie, with Snoop Dogg and Ice Cube active in Web3.

Such has been the furor over Web3 that Warner Music Group (WMG) purchased land in the Sandbox (SAND).

It is of little surprise, therefore, that Madonna leaps into virtuality.

Madonna and Beeple Collaborate to Launch a New NFT Collection

This week, Madonna and Beeple announce a new three single-edition NFT collection titled “Mother of Creation.”

Taking to Twitter, Madonna announced the new NFT collection, which will be up for auction on the SuperRare NFT marketplace on Wednesday, May 11 at 3 pm PST / 6 pm EST.

Madonna also said that all proceeds would benefit The Voices of Children Foundation, The City of Joy, and Black Mama’s Bail Out.

 

In a video interview, Madonna said that she worked with Beeple on the project for one year, creating something “utterly connected to the idea of creation and motherhood.”

Madonna added,

“Using the opening of each video is essentially me giving birth, whether I’m sitting on a tank in a post-apocalyptic city or I’m in a hospital bed in a very sterile laboratory environment, I’m doing what women have been doing since the beginning of time, which is giving birth.”

Beeple also took to Twitter, tweeting,

“INSANELY HONORED to have collaborated with @Madonna on this project. Excited for the world to see this one.”

 

According to the Mother of Creation website,

“These 3 NFTs are a labor of love a year in the making, as both artists partnered to connect to the idea of creation and motherhood through these visualizations.”

The website also states,

“The triptych was created with infrastructure supported by Moonpay, who will also contribute $100,000 to each charity.”

The latest launch comes amidst a torrid time for the crypto market, with Web3 cryptos also taking a tumble.

Sandbox (SAND) Price Action Bearish as Web3 Cryptos Sink

At the time of writing, SAND was up by 6.19% to $1.80. A mixed start to the day saw SAND fall to a morning low of $1.64 before rising to a high of $1.81.

SANDUSD 1005 Daily
Downside pressure remains despite this morning’s gain.

Technical Indicators

SAND will need to move through the day’s $1.81 pivot to target the First Major Resistance Level at $1.93. SAND would need broader market support to break out from $1.85.

In the event of an extended rally, SAND could test resistance at $2.00 and the Second Major Resistance Level at $2.16. The Third Major Resistance Level sits at $2.51.

Failure to move through the pivot would bring the First Major Support Level at $1.58 into play. Barring another extended sell-off, SAND should avoid sub-$1.55. The Second Major Support Level sits at $1.46.

SANDUSD 1005 Hourly
Web3 activity provides little comfort in sell-offs.

Looking at the EMAs and the 4-hourly candlestick chart (below), it is a bearish signal. SAND sits below the 50-day EMA, currently at $2.05. This morning, we saw the 50-day EMA pull back from the 100-day EMA, delivering downside pressure. The 100-day EMA also fell back from the 200-day EMA, SAND negative.

A move through the 50-day EMA would support a look at $2.25.

SANDUSD 1005 4 Hourly
Technical indicators flash red.

Snoop Dogg Buys into Ice Cube’s Big3 League Basketball Team With NFTs

Key Insights:

  • Snoop Dogg and Ken Howery plan to buy into Ice Cube’s BIG3 basketball team with NFTs.
  • Last week, DeDogsDAO, a Solana NFT project, purchased 25 NFTs to buy BIG3 team, the Killer 3s.
  • Basketball’s love affair with NFTs continues to blossom, supported by the NBA and the BIG3 League.

Snoop Dogg and Ken Howery, co-founder of PayPal, jump into Ice Cube’s BIG3 league with plans to purchase Bivouac. In partnership, they will buy 25 Fire-Tier NFTs to acquire the team.

Basketball is at the forefront of innovation and Web3 adoption. The NBA’s Top Shot was among the first sports NFT marketplaces launched in 2020.

Snoop Dogg is particularly active within the NFT space, which continues to draw in big names.

Snoop Dogg and Ken Howery buy Ice Cube’s Big3 team Bivouac

On Saturday, BIG3 announced the news of Snoop Dogg and Ken Howery’s plans to purchase all 25 Fire-Tier NFTs of Big3 League team Bivouac.

According to the announcement, “today, the BIG3 announced that Snoop Dogg – the legendary entertainer and member of Mt Westmore – and Ken Howery – co-founder of PayPal and successful venture capitalist – have teamed up to purchase 25 Fire-Tier editions of Bivouac, receiving ownership-like value and utility in the team.”

Ice Cube said:

“We are absolutely thrilled to have Snoop, Ken, and their communities on board with the BIG3.”

Adding:

“Having someone with Ken’s knowledge and experience wanting to be a part of our league demonstrates that we are moving in the right direction. Snoop is an undisputed legend who has jumped headfirst into the Web3 space and clearly understands the importance and the value of what we are trying to create.”

Snoop Dogg hit Twitter, saying:

“BREAKING: @SnoopDogg AND PAYPAL CO-FOUNDER @KenHowery TO PURCHASE ALL 25 FIRE-TIER NFTS FOR BIVOUAC BIG3 TEAM.”

On April 23, Big3 tweeted a Whitepaper on Big3 team ownership.

The announcement said:

“The owners of Big3 Ownership NFTs will receive rights and deliverables of high actual value and utility in five areas: Ticketing, Merchandise, Experience & Activations, Direct Communication, and Voting Rights.”

Snoop Dogg and Ken Howery form part of a growing list to purchase teams in the BIG3 League.

Ice Cube’s BIG3 League draws in a big crowd of Web3 advocates

Following the news, Ice Cube announced another group buying all 25 Fire-Tier NFTs for the BIG3 League’s TriState.

Taking to Twitter, Ice Cube tweeted:

“Group led by @sundeep @VunnyLingham and @Kevinrose have purchased all 25 Fire-Tier NFTs for @BIG3_TriState and have secured @moonbirds as the community sponsor behind it.”

Last week, Solana blockchain NFT project DeGods purchased the Big3 basketball team, the Killer 3s. DeGods bought the team for around $625,000, by purchasing 25 “fire tier” NFTs.

Through BIG3, Ice Cube is building an even stronger link between basketball, fans, and Web3.

Under Amour Goes NFT with NBA 3-Point Record Holder Stephen Curry

Key Insights:

  • Under Armour returns to the NFT space with Stephen Curry 3-pointer NFTs.
  • In December, Under Amour dropped an NFT collection to celebrate Curry’s NBA 3-point record.
  • The latest move underlines the NBA’s strong ties with digital assets and Web3.

This week, Under Armour (UAA) returned to the NFT space, with NBA legend Stephen Curry. The US National Basketball Association (NBA) is an advocate of digital assets and Web3.

In 2020, the NBA and Dapper Labs launched the NBA NFT marketplace Top Shot, built on the Flow (FLOW) blockchain.

Going into this year’s NBA playoffs, the NBA strengthened its ties with web3 to drive fan engagement with the launch of NBAxNFT, an NBA Discord. NBAxNFT provides a platform for the NBA and fans to talk Web3.

Under Armour is also no stranger to NFTs.

Under Armour Goes Digital with Stephen Curry 3-Pointer NFTs

Overnight, Under Armour took to Twitter to announce a new NFT collection, tweeting,

“First you Change the Game for Good, then you mutate it. Every 3 @stephenCurry30 hits during the playoffs is a chance to own a piece of history. Learn more at: https://lab.currybrand.com/currycounter.”

 

According to lab.currybrand.com,

“For every three-pointer Stephen Curry makes in a playoff game, three free digital basketballs are claimable by the most engaged fans. Be fast. Others will be trying as well.”

Fans can purchase the Ethereum-based basketball NFTs on the NF3 Counter (Curry Counter).

The NF3 Counter is a fan engagement platform rewarding Curry fans during his battle through the playoffs. For every Curry three-pointer, fans can claim free digital basketballs.

There is only one claim per wallet per game. After minting, owners can view their NFTs on OpenSea, where fans can buy, sell, and trade the basketball NFTs.

The latest launch is not Under Armour’s first brush with Web3.

In December, Under Armour launched an NFT collection to celebrate Stephen Curry’s three-point record on December 14.

Under Armour announced the drop on Twitter, saying,

“In celebration of the greatest 3-point shooter in the UNIVERSE, we are dropping 2,974 pairs of @stephencurry30’s record-breaking shoe in the Metaverse. The “Genesis Curry Flow” NFT drops at 8pm EST: 2974.Currybrand.com.”

 

By owning 1 Polygon (MATIC) based Genesis Curry Flow, holders are entitled to 1 Decentraland (MANA) shoe, 1 Sandbox (SAND) shoe, 1 Gala Games shoe, and 1 Rumble Kong League shoe.

In November 2021, Under Armour launched Curry Brand to compete with Nike and the Jordan brand.

Terra (LUNA) Feels the Force of a Bitcoin Slide to sub-$35,000

Key Insights:

  • Terra (LUNA) tumbled by 12.0% on Saturday, following a Friday 6.1% slide.
  • This week, the Luna Foundation Guard (LFG) purchased an additional $1.5bn in bitcoin, which has stumbled to sub-$35,000.
  • Technical indicators are bearish for LUNA, with LUNA sitting below the 50-day.

On Saturday, Terra (LUNA) slumped by 12.0%. Following a 6.1% slide from Friday and a 4.4% decline on Thursday, LUNA ended the day at $68.07.

Market sentiment towards inflation and Fed monetary policy hit riskier assets on Thursday and Friday. Bearish sentiment spilled over the crypto market, with bitcoin (BTC) sliding to sub-$35,000.

Luna Foundation Guard Bitcoin Holdings Leaves LUNA on the Ropes

This week, the Luna Foundation Guard (LFG) purchased an additional $1.5 billion in BTC.

Do Kwon, co-founder, and CEO of Terra Labs, also announced the $1.5 billion BTC purchase on Twitter, saying,

“LFG acquired 1.5B worth of bitcoin over the last few days.”

Do Kwon went on to tweet,

“Worry not about #Bitcoin – it is a fungible freedom to counter fungible state violence in fiat.”

Adding,

“And its rise will be inevitable as long as humanity yearns to be free.”

 

In February, the LFG created a BTC denominated reserve for TerraUSD (UST), which supported the LUNA rally to an all-time high of $118.03 on March 4.

Bitcoin’s reversal has adversely impacted LUNA in recent days, with LUNA underperforming the broader crypto market. At the time of writing, LUNA is ranked #9 on CoinMarketCap, with Cardano (ADA) now holding the #8 spot.

According to Defi Llama, Terra’s total value locked currently sits at $23.78bn, down 15.8% over 24-hours. Terra’s (LUNA) total market cap at $22.55 billion, however, is down 10.5%, suggesting more LUNA downside.

Defi Llama - Terra TVL

While bitcoin’s fall to sub-$35,000 and TVL divergence has impacted, there is also influence from the UST pegging mechanism to the US dollar.

At the time of writing, UST was up 0.19% to $0.9954. UST fell by 0.57% on Saturday, with UST sliding to a day low of $0.9831 before ending the day at $0.9935.

USTUSD 080522

A UST fall below $1.00 forces the sale of LUNA, adding further downward price pressure on LUNA.

Unlike Tether (USDT), UST’s peg to the US dollar is maintained through algorithms rather than cash and debt reserves.

To support the UST peg at $1, traders sell LUNA for UST when the price of UST sits below $1. This reduces the supply of UST and increases the supply of LUNA. The reduced supply of UST supports a move back towards $1.

LUNA Price Action

At the time of writing, LUNA was down 3.54% to $65.66. A bearish start to the day saw LUNA slide to an early morning low of $61.71. The First Major Support Level at $61.68 delivered early support.

LUNA 080522 Daily
LUNA faces the prospect of sub-$60.

Technical Indicators

LUNA will need to move through the day’s $69.58 pivot to target the First Major Resistance Level at $75.95. LUNA would need broader crypto market support for a return to $70.

An extended rally would test resistance at $80 and the Second Major Resistance Level at $83.85. The Third Major Resistance Level sits at $98.12.

Failure to move through the pivot would bring the First Major Support Level at $61.68 back into play. Barring an extended sell-off, LUNA should steer clear of the Second Major Support Level at $55.30.

LUNA 080522 Hourly
Failure to move through the pivot will leave LUNA under pressure.

Looking at the EMAs and the 4-hourly candlestick chart (above), it is a bearish signal. LUNA sits below the 50-day EMA, currently at $80.85. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also fell back from the 200-day EMA; LUNA price negative.

A move through the 50-day EMA would shift near-term sentiment.

080522 4 Hourly
Indicators flash red, with LUNA sitting well below the 50-day EMA.

SEC Wins a Small Victory in Its Case Against Ripple Lab

Key Insights:

  • On Wednesday, Judge Sarah Netburn granted the SEC’s request to file a reply brief in its bid to shield Hinman’s speech documents
  • Earlier in the week, Ripple Lab lawyers opposed an SEC request to file an additional brief to support its Hinman speech claims.
  • Key technical indicators bearish. XRP sits below the 50-day EMA.

This year, a 2018 William Hinman speech and all documents relating to the speech have become the focal point of the SEC case against Ripple Lab.

The SEC has filed numerous motions to shield the 2018 Hinman speech documents on the grounds of attorney-client privilege.

In the famous speech, William Hinman, former SEC Director of the Division of Corporation Finance, said that Bitcoin (BTC) and Ethereum (ETH) are not securities. The SEC is looking to shield documents and emails relating to internal discussions and Hinman’s famous speech.

Judge Grants SEC’s Motion to File a Reply Brief on Hinman Documents

On Wednesday, the SEC won another small victory in its case against Ripple Lab.

Defense lawyer James Filan shared news of the latest court ruling on Twitter.

Filan tweeted,

“In a Text Only Order, Magistrate Judge Netburn has granted the SEC’s request to file a reply brief in connection with attorney-client privilege claims regarding the Hinman speech documents. The SEC is due to reply on May 18, 2022.”

While this may be a blow for the Ripple Lab defense team, a resolution should allow the case to progress more swiftly, though countermotions are likely from either side, depending upon the next court ruling.

The court ruling in favor of the SEC came despite strong opposition from Ripple Lab lawyer Solomon.

On Tuesday, Ripple Lawyer Matthew Solomon opposed at least the sixth SEC motion, “filing in opposition to Defendants’ August 10, 2021 motion to compel.”

In opposition, Solomon had stated,

“Since the Defendants filed this motion to compel nearly nine months ago, the Court has twice overruled the SEC’s improper deliberative process privilege objections. Notwithstanding that, and close of fact and expert discovery, the SEC continues to withhold all documents related to a former SEC official’s June 14, 2018 speech.”

XRP showed little reaction to this week’s motions and rulings.

XRP Price Action

At the time of writing, XRP was up 2.02% to $0.6103. The early gain partially reversed a 7.36% tumble from Thursday. Market jitters over inflation and Fed monetary policy weighed on XRP and the broader market.

XRP shows no reaction to Hinman ruling.
A move through to $0.65 would shift sentiment.

Technical Indicators

XRP will need to move through the $0.6120 pivot to target the First Major Resistance Level at $0.6432. XRP would need broader crypto market support to return to $0.64.

In the event of an extended rally, XRP should test the Second Major Resistance Level at $0.6881 and resistance at $0.70. The Third Major Resistance Level sits at $0.7642.

Failure to move through the pivot would bring the First Major Support Level at $0.5671 into play.

Barring an extended sell-off throughout the day, XRP should avoid sub-$0.56. The Second Major Support Level sits at $0.5360.

XRPUSD 060522 Hourly
Failure to move through the pivot would leave support levels in play.

The EMAs and the 4-hourly candlestick chart (below) send a bearish signal. At the time of writing, XRP sits below the 50-day EMA, currently at $0.6284. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also pulled back from the 200-day EMA, XRP negative.

A move through the 50-day EMA would support a return to $0.65.

XRPUSD 060522 4-Hourly
XRP remains under pressure with the 50-day EMA the first key test.

Luna Foundation Guard Announces Purchase of $1.5bn in Bitcoin

Key Insights:

  • Overnight, Terra’s (LUNA) Luna Foundation Guard (LFG) announced a series of Bitcoin (BTC) purchases totaling $1.5bn.
  • The BTC purchases, reportedly over the last few days, came during a choppy time for BTC and the broader crypto market.
  • Technical indicators are bearish for LUNA, with LUNA sitting below the 50-day.

The Luna Foundation Guard (LFG) has been in bitcoin (BTC) purchase mode since it announced plans to hold $10 billion in BTC reserves for TerraUSD (UST). In February, the LFG created a BTC denominated reserve for UST.

UST is pegged to the USD. The pegging mechanism involves the issuance and burning of LUNA tokens. At times when the price of UST sits above $1, users can mint UST by burning LUNA. Burning LUNA then reduces the supply of LUNA, which increases the value of LUNA.

To reach its $10 billion BTC reserve target, the LFG has actively been purchasing BTC. This week, the LFG announced another sizeable purchase.

The Luna Guard Foundation Buys Bitcoin Reserves Totaling $1.5bn in BTC

Overnight, the Luna Foundation Guard (LFG) announced the purchase of another $1.5bn in BTC.

The LFG retweeted several tweets from the media on the latest series of BTC purchases.

According to CNBC,

“The Luna Guard Foundation has acquired $1.5 billion in bitcoin to bolster the reserves of its most popular stablecoin, known as U.S. Terra.”

CNBC went on to say,

“The reserve now holds about $3.5 billion in bitcoin, which puts the UST Forex Reserve in the top 10 bitcoin holders in the world. It also holds north of $100 million in Avalanche, another cryptocurrency.”

According to the report, the LFG purchased $500 million from Three Arrows Capital, a crypto hedge fund. The other $1 billion came from an OTC swap.

 

Do Kwon, co-founder, and CEO of Terra Labs, also announced the $1.5 billion BTC purchase on Twitter, saying,

“LFG acquired 1.5B worth of bitcoin over the last few days.”

 

Do Kwon went on to tweet,

“Worry not about #Bitcoin – it is a fungible freedom to counter fungible state violence in fiat.”

Adding,

“And its rise will be inevitable as long as humanity yearns to be free.”

News of the purchase had a muted impact on LUNA, which succumbed to broader crypto market forces.

LUNA Price Action

At the time of writing, LUNA was down 0.10% to $82.28.

LUNA remains under pressure following Thursday’s 4.43% decline that reversed a 4.46% gain from Wednesday.

On Thursday, market jitters over inflation and Fed monetary policy left LUNA and the broader crypto market in negative territory.

LFG purchase has muted impact on LUNA

Technical Indicators

LUNA will need to move through the day’s $82.92 pivot to target the First Major Resistance Level at $87.27. LUNA would need the broader crypto market to support a breakout from $85.

An extended rally would test resistance at $90 and the Second Major Resistance Level at $92.15. The Third Major Resistance Level sits at $101.38.

Failure to move through the pivot would bring the First Major Support Level at $78.03 into play. Barring an extended sell-off, LUNA should steer clear of sub-$75. The Second Major Support Level sits at $73.69.

LUNA 060522 Hourly
Failure to move through the pivot will leave LUNA under pressure.

Looking at the EMAs and the 4-hourly candlestick chart (above), it is a bearish signal. LUNA sits below the 50-day EMA, currently at $84.89. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also fell back from the 200-day EMA; LUNA price negative.

A move through the 50-day EMA would shift near-term sentiment.

LUNA 060522 4 Hourly
Indicators are bearish with LUNA sitting below the 50-day EMA.

APE Joins DOGE to Take Cues From Crypto Influencer Elon Musk

Key Insights:

  • On Wednesday, Elon Musk briefly changed his Twitter profile image to a Bored Ape Yacht Club image, driving APECoin (APE) into a frenzy.
  • Musk has a similar impact on Dogecoin (DOGE) and Shiba Inu Coin (SHIB), and even Bitcoin (BTC).
  • The Elon Musk influence brings into question the ethos of decentralization.

Elon Musk, the world’s richest man, is no stranger to cryptocurrencies. In January 2021, the Tesla (TSLA) CEO showed his power over the crypto market by simply changing his Twitter account description to #bitcoin.

On Jan. 29, the Bitcoin (BTC) response was evident, surging from a day low of $31,996 to a day high of $38,632 before easing back.

Elon Musk Hits BTC via Twitter
Hourly chart shows the influence of Elon Musk.

In February of last year, Musk delivered further BTC price action with news of Tesla acquiring $1.5 billion in BTC. Once more, the Musk influence was evident, with BTC responding to the news.

Tesla news delivers BTC spike
BTC spikes on news of Tesla purchasing $1.5bn in BTC.

Since then, Musk has continued to show his influence on the crypto market, with DOGE, SHIB, and now APE at the mercy of Musk’s Twitter account.

Musk Twitter account causes APECoin frenzy

On Wednesday, Elon Musk flexed his crypto muscles via his heavily influential Twitter account. By simply changing his Twitter profile picture to a Bored Ape Yacht Club NFT image, APECoin surged from $14.51 to a day high of $17.64, before easing back. APE holders enjoyed a 21% breakout within a 45-minute time span.

Elon Musk fueled price action
Musk Twitter account hits APE

APE joined a growing list of cryptocurrencies that have fallen under Elon Musk’s spell. Dogecoin (DOGE) and Shiba Inu Coin (SHIB) have long been under the influence of Elon Musk.

APE joins DOGE as an Elon Musk dependent

Over the last 12-months, Musk’s influence on DOGE and SHIB has been unquestionable. Last month alone, DOGE investors faced heightened volatility as the global financial markets responded to Musk’s Twitter purchase.

On April 5 and April 25, two spikes were evidence of the Musk Spell. The April 5 breakout came in response to news of Musk taking a $3 billion stake in Twitter.

The April 25 breakout came in response to renewed talk of Musk buying Twitter, which briefly took DOGE into the crypto top ten by market cap.

Elon Musk and Twitter News
Price spikes driven by Musk news updates.

Musk brings into question the ethos of decentralization

Since Tesla’s purchase of $1.5 billion in BTC, questions have surfaced over the influence of one person on the crypto market.

There has yet to be any regulatory scrutiny on the Musk influence despite the US Securities and Exchange Commission’s stance on cryptocurrencies.

For the crypto market, the Musk influence raises questions over the ethos of decentralization. The impact of a Musk Tweet on APE, BTC, DOGE, and even SHIB removes the concept of decentralization.

While crypto investors going long may appreciate the Musk influence, investors shorting APE, DOGE, and SHIB walk a treacherous path, with Musk able to create a price spike with a simple tweet.

Cronos (CRO) on Breakout After Crypto.com Driven Sell-off

Key Insights:

  • Crypto.com native token Cronos (CRO) is on an early breakout to lead the broader crypto market through the early session.
  • On Sunday, CRO came under selling pressure following news of Crypto.com slashing staking yields.
  • Technical indicators are bearish, with CRO sitting well below the 50-day EMA.

Crypto.com (CRO) is on a breakout this morning. On Monday, Cronos (CRO) tumbled by 11.94%. Following a 10.59% slide on Sunday, CRO ended the day at $0.2759.

The sell-off came in response to Crypto.com updates on staking rewards from the weekend.

CRO tanks in response to Crypto.com cutting staking rewards

On Sunday, Crypto.com announced a reduction of CRO card rewards for the Crypto.com Visa Cards, effective June 1, 2022.

For the Obsidian Card tier, which requires a minimum stake of $400,000 in CRO, Crypto.com cut the reward from 8% to 5%.

This morning, CRO found support, however, in response to news of a Crypto.com about-turn on CRO staking rewards.

Crypto.com CEO turned to Twitter, saying:

While today’s update has provided some support, CRO remains some way off levels seen before Sunday’s announcement.

CRO price action

At the time of writing, CRO was up 4.86% to $0.2893. A bullish start to the day saw CRO rise from an early morning low of $0.2751 to a high of $0.3022 before easing back.

CROUSD 030522 Daily
CRO in recovery mode after 5 sessions in the red.

Technical indicators

CRO will need to avoid the $0.2874 pivot to target the First Major Resistance Level at $0.3095.

Broader market sentiment would need to improve to support a move through the morning high of $0.3022.

In the event of an extended rally, CRO should test the Second Major Resistance Level at $0.3430. The Third Major Resistance Level sits at $0.3992.

A fall through the pivot would bring the First Major Support Level at $0.2536 into play. Barring another extended sell-off throughout the day, CRO should avoid sub-$0.25. The Second Major Support Level sits at $0.2314.

CROUSD 030522 Hourly
A fall through the pivot would bring support levels into play.

The EMAs and the 4-hourly candlestick chart (below) send a bearish signal. Following five consecutive sessions in the red, CRO sits below the 50-day EMA, currently at $0.3503. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also pulled back from the 200-day EMA, CRO negative.

A move through the 50-day EMA would shift market sentiment and support a near-term return to $0.40 levels.

CROUSD 030522 4-Hourly
A move through the 50-day EMA would support a return to $0.40.

BTC Markets Goes Couture in Australian Fashion Week Partnership

Key Insights:

  • Australian crypto exchange BTC Markets partners with Afterpay Australian fashion week (AAWF) to deliver couture NFTs.
  • In collaboration with Australian fashion designer Daniel Avakian, AAWF will bring together the physical and virtual worlds of fashion.
  • Australian fashion week follows a 4-day fashion week in March, where big names, including Estee Lauder, debuted in Decentraland (MANA).

This year, we have seen the fashion industry continue to embrace NFTs and the metaverse. Fashion houses including Louis Vuitton, Gucci, and Victoria’s Secret are no stranger to NFTs and the metaverse.

With the fashion industry seeing NFTs and the metaverse as a reach to the global couture audience, NFT activity and virtual shows are on the rise.

BTC Markets Partners with Australian Fashion Week to Launch an NFT Dress

Today, BTC markets announced that it is the ‘Official Partner of Afterpay Australian Fashion Week.’

Via Twitter, BTC Markets tweeted,

“A week-long exhibition of Australia’s incredible designers will collide with #crypto, with lots of cool giveaways to come – watch this space!”

 

This year, Afterpay Australia Fashion Week will run from May 9-13.

Once more, crypto exchanges eye major events as opportunities to build brand awareness and engage with target audiences.

BTC Markets CEO Caroline Bowler shared the announcement on Twitter, tweeting,

“Taking Crypto to the Catwalk! Another first from @BTCMarkets – official Cryptocurrency partner for Afterpay Australian Fashion Week. We’ve also got an awesome collab with Daniel Avakian to share along with lots of other goodies to announce!”

Bowler will also be a speaker at Afterpay Australia Fashion Week’s “The Talks” on Tuesday, May 10.

Australia Fashion Week announced the event stating,

“Fashion week has entered the metaverse, with NFTs and augmented reality gaining popularity amongst consumers who want more ways to shop and engage with brands. The session will break down the fashion-tech trends.”

AAFW Follows Fashion Houses into the Metaverse

It has been a busy 2022 for fashion as more major fashion houses embark on the virtual journey.

In March, Vogue and UNXD collaborated to deliver a four-day fashion week on Decentraland (MANA) titled MVFW.

Visitors and global brands virtually attended fashion shows, live music events, and after-parties. Attendees could also buy and wear digital clothing, with some digital catwalk collections redeemable for physical pieces.

Big Brand names, including Gucci, have paved the way for the broader fashion industry. In May 2021, Gucci and Roblox hosted “Gucci Garden,” a virtual version of a real-world installation in Italy, which offered themed rooms to commemorate Gucci’s centenary.

In February, Gucci announced that it purchased LAND on The Sandbox (SAND). Gucci planned to offer interactive fashion experiences, where attendees could buy and use fashion items in the metaverse.

DeGods DAO Buys a Big3 League Basketball Team with NFTs

Key Insights:

  • DeGods buys Big3 basketball team Killer 3s for $625,000.
  • The Solana NFT project purchased 25 NFTs to acquire a team in Ice Cube’s basketball league team.
  • Technical indicators are bearish for Solana (SOL), with SOL sitting below the 50-day EMA.

Team and player interest in NFTs and the metaverse have surged as sports look to capitalize on Web3 to drive fan engagement.

Basketball continues to jump deeper into the digital asset space following the launch of NBA Top Shot in 2020. Last month, the NBA launched ‘The Association,’ an 18,000 NFT drop to celebrate the NBA playoffs.

The NBA is not the only basketball league targeting NFTs. Big3 is a 3-on-3 basketball league founded by Ice Cube and Jeff Kwatinetz. The Big3 is a twelve-team league with players including former NBA and international stars.

Since launching in 2017, Big3 has been on a journey, looking to bridge the gap between fans and basketball with an NFT ownership program. Fans can buy a stake in the teams by purchasing tiered NFTs.

DeGods DAO Buys Big3 Basketball team Killer 3s with 25 Fire Tier NFTs

Last week, Solana blockchain NFT project DeGods purchased the Big3 basketball team, the Killer 3s, for around $625,000. DeGods DAO purchased 25 ‘fire tier’ NFTs to acquire the team.

Taking to Twitter, DeGods tweeted,

“The DeDAO has acquired a professional basketball team.”

DeGods went on to say,

“For the first time in NFT history, a community has acquired a professional basketball team.”

 

Following the purchase, DeGods plans to “offer tickets, merchandise, and part-ownership in $DUST (and a lot more).

On April 23, Big3 tweeted a Whitepaper on Big3 team ownership.

According to the announcement,

“The owners of Big3 Ownership NFTs will receive rights and deliverables of high actual value and utility in five areas: Ticketing, Merchandise, Experience & Activations, Direct Communication, and Voting Rights.”

The announcement goes on to say,

“Each team will have 25 “Fire” tier owners (who receive All of the experiences and benefits listed below) and 975 “Gold” tier owners, priced at $25,000 and $5,000, respectively. Big3 is new to the NFT space, but we have always been committed to empowering our fans, creating an interactive and engaging sporting experience, and pioneering new ways to provide the Big3 community with unique engaging experiences.”

 

SOL Price Action

At the time of writing, Solana was down 0.46% to $89.27. The early pullback follows a 5.94% gain from Sunday that partially reversed a 9.88% tumble on Saturday.

SOLUSD 020522 Dailly
SOL eyes a run at $100 after Saturday’s meltdown.

Technical Indicators

SOL will need to avoid the $88.99 pivot to make a move through the First Major Resistance Level at $93.79.

Broader market sentiment would need to improve to support a return to $90.

In the event of an extended rally, SOL should test the Second Major Resistance Level at $97.93 and resistance at $100. The Third Major Resistance Level sits at $106.87.

A fall through the pivot would bring the First Major Support Level at $84.85 into play. Barring another extended sell-off throughout the day, Solana should avoid sub-$80. The Second Major Support Level at $80.04 should limit the downside.

SOLUSD 020522 Hourly
Avoiding the pivot would support a run at the major resistance levels.

The EMAs and the 4-hourly candlestick chart (below) send a bearish signal. SOL sits below the 50-day EMA, currently at $95.35. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also pulled back from the 200-day EMA, SOL negative.

A move through the 50-day EMA would bring $100 into play.

SOLUSD 020522 4-Hourly
A move through the 50-day EMA would support a return to $100.

Wikimedia Announces an End to Crypto Donations after a 3-Month Debate

Key Insights:

  • Wikimedia, behind Wikipedia, officially announces it will no longer accept crypto donations on environmental grounds.
  • 71.17% of fewer than 400 users voted in favor of ending crypto donations.
  • Technical indicators are bearish, with BTC below the 50-day EMA.

Bitcoin (BTC) mining has been the hot topic of 2022. The China ban on Bitcoin mining has led to a sharp increase in government and regulatory scrutiny over the impact of proof-of-work mining on the environment.

Concerns over crypto mining have led to calls for a ban on Proof-of-Work mining by lawmakers in the EU and the US.

Corporations have also responded to demands for a move away from Proof-of-Work cryptos.

Wikimedia Announces an End to Accepting Crypto Donations

Over the weekend, Wikimedia, the non-profit organization behind Wikipedia, announced an end to accepting crypto donations.

The decision comes in response to Requests for comment/Stop accepting cryptocurrency donations.

According to Wikimedia,

“A little under 400 users participated in the voting and discussion concerning the proposition that the Wikimedia Foundation stop accepting cryptocurrency donations.”

The request for comment was open from January 10, 2022, to April 12, 2022.

Wikimedia noted that arguments in favor of a ban included,

“Issues of environmental sustainability, that accepting cryptocurrencies constitutes implicit endorsement of the issues surrounding cryptocurrencies, and community issues with the risk of the movement’s reputation for accepting cryptocurrencies.”

Common arguments in opposition to a ban included,

“The existence of less energy-intensive cryptocurrencies (proof-of-stake), that cryptocurrencies provide safer ways to donate and engage in finance for people in oppressive countries, and that fiat currencies also have issues with environmental sustainability.”

A total of 232 users, accounting for 71.17% of the total vote, voted in support of the proposal.

The decision follows news of the Mozilla Foundation ceasing to accept Proof-of-Work crypto donations.

In response to a backlash over Mozilla’s position on cryptos, Mozilla updated its policy on Crypto donations.

In April, Mozilla took to Twitter, sharing its updated policy.

According to the revised policy on crypto donations,

  • Mozilla will no longer accept ‘proof-of-work’ cryptocurrencies, which are more energy-intensive.
  • Mozilla will accept ‘proof-of-stake’ cryptocurrencies, which are less energy-intensive, and will develop and share a list of cryptocurrencies we accept by the end of Q2 2022.

Bitcoin Price Action

At the time of writing, Bitcoin was up 0.29% to $38,592.

BTCUSD 020522 Daily
Volatility will likely pickup as the markets begin considering FED monetary policy.

Technical Indicators

Bitcoin will need to avoid the day’s $38,205 pivot to target the First Major Resistance Level at $38,944. Bitcoin would need broader market support to break out from the morning high of $38,813.

In the event of another extended rally, Bitcoin could test the Second Major Resistance Level at $39,407 and resistance at $40,000. The Third Major Resistance Level sits at $40,616.

A fall through the pivot would bring the First Major Support Level at $37,736 into play. Barring an extended sell-off, Bitcoin should avoid sub-$36,500. The Second Major Support Level at $36,997 should limit the downside.

BTCUSD 020522 Hourly
A fall through the pivot would bring sub-$38,000 into play.

Looking at the EMAs and the 4-hourly candlestick chart (below), it is a bearish signal. Bitcoin sits below the 50-day EMA, currently at $39,058. This morning, the 50-day EMA pulled back from the 100-day EMA. The 100-day EMA also pulled back from the 200-day EMA, BTC negative.

A move through the 50-day EMA would support a return to $40,000.

BTCUSD 020522 4-Hourly
A move through the 50-day EMA would support a return to $40,000.

F1 Team Mercedes-AMG Petronas Partners with FTX for Miami Grand Prix

Key Insights:

  • Mercedes-AMG Petronas and Crypto Exchange FTX Partner for new NFT drop at the Miami Grand Prix.
  • Mercedes follows F1 team McLaren, which dropped NFTs in 2021 and in January 2022.
  • Crypto platforms continue to forge stronger bonds with sports to build brand awareness.

It has been a busy 2022 for crypto exchanges that have forged strong bonds with sporting franchises to build brand awareness.

In February, FTX bought airtime at Super Bowl LVI featuring Larry David. Binance (BNB) and Crypto.com (CRO) have also been active in the sports world through advertising and sponsorships.

FTX is in the spotlight this month, partnering with F1 racing team Mercedes-AMG Petronas.

FTX and Mercedes-AMG Petronas F1 Team Partner at Miami GP

On Friday, crypto exchange FTX announced a partnership for the Miami Beach race weekend.

From May 6 to May 8, 2022, FTX and Mercedes-AMG Petronas will take “the thrill of racing onto the beach with all-day entertainment and a soundtrack to match, including epic headline acts closing the show each day.”

In addition to getting up close and personal with a Mercedes-AMG Petronas F1 car, there will also be an NFT gallery, where attendees can buy and create their own NFTs before enjoying game experiences and more.

Via the FTX Off The Grid website, F1 fans and NFT enthusiasts can claim their free NFT ticket to upgrade their experience.

FTX also took to Twitter to announce the three-day event.

 

Mercedes-AMG Petronas announced the launch of the first in a series of NFT drops powered by FTX.

According to the announcement, eleven digital artwork NFTs will feature Mercedes-AMG Petronas cars. Mad Dog Jones exclusively designed and created each NFT.

Several NFTs be available for auction on the FTX platform during the Miami Race Weekend. The remaining NFTs will go to auction later in the F1 season.

For F1 fans, the “NFTs will each be bundled with a physical item.”

The announcement goes on to say,

“Two are bundled with Mercedes-AMG Petronas Formula 1 rear wings wrapped in the artwork from the NFT, that were driven on track in Miami. The third NFT is bundled with a full size 2022 Mercedes-AMG Petronas Formula 1 replica car, wrapped in the NFT artwork.”

The auction for all three NFTs starts on Sunday, May 9. The proceeds from the auction will go to Ignite, “a joint charitable initiative from Mercedes-AMG Petronas and Mission 44, to support greater diversity and inclusion in motorsport.”

Mercedes-AMG Petronas Follows F1 Team McLaren into the NFT Space

In January, FX Empire reported F1 team McLaren and Sweet partnered to drop the McLaren Racing Collective.

On the Sweet NFT marketplace, collectors and F1 fans could trade digital car components and build an MCL35.

The 2022 NFT drop followed a summer 2021 drop where McLaren Racing gave fans the chance to collect 22 digital images to build an MCL35M 2021 F1 car.

One avid McLaren fan procured all 22 digital components to build a Gulf X McLaren Livery MCL35M 2021 collectible. The McLaren Race Collective is on the Tezos (XTZ) blockchain.