Market Analysis
The pre-and-post-election Trump trade sent Bitcoin to new highs, but the jig is up. Traders now shift their hope to the resumption of QE and expanding global liquidity.
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Liquidity News
In the cryptocurrency market, liquidity fundamentally refers to how simple it is to exchange one coin for another (or government-issued fiat currencies). Order books, similar to those seen on a stock market, are one method to achieve liquidity. Here, buyers and sellers of assets enter orders, detailing the price and quantity they are willing to pay for the asset they wish to acquire or sell. The asset’s price is then determined by an exchange, such as a centralized exchange, matching buy and sell orders.
A market maker, an agent who is always prepared to purchase and sell specific assets, can be used as an alternate method of supplying liquidity to the market. For example, decentralized finance (DeFi) has centralized exchanges that serve as market makers, like Binance (a company). However, a decentralized counterpart that replaces a centralized market maker is one of the intriguing features of DeFi. For instance, tokens can be swapped using a decentralized exchange (DEX) like Uniswap rather than a centralized exchange.
Furthermore, to establish a liquid DeFi system, liquidity pools are important. In order to have enough funds in a liquidity pool, liquidity providers (LPs) are needed, who put a large sum of money into the pool. Because liquidity providers help the protocol provide liquidity, they receive a reward in return. This reward is generated by the transaction fees, which are paid by the pool’s users.
- Defined
RWA tokenization is modernizing traditional finance by making historically illiquid assets more accessible and efficient.
19989 - News
Layer-1 blockchain Berachain’s total value locked has surged to $3.26 billion, surpassing Arbitrum and Base to become the sixth-largest DeFi network.
9922 - Opinion
You may have heard restaking compared to a risky financial maneuver. That’s not exactly right. There are key differences, with profoundly different types of risk.
2088 - Market Analysis
Bitcoin may make a run for all-time highs if a key support level holds, new BTC price analysis concludes.
4363 - Opinion
Intent-based solutions offer a promising approach to tackle DeFi’s liquidity fragmentation, simplifying crosschain interactions and enhancing user experience.
1701 - Analysis
CZ critiqued CEX listing processes, arguing that the current way of doing things leads to price manipulation. As token launches surge, liquidity is becoming increasingly strained.
2391 - News
Liquity v2 recorded $17 million in outflows after advising users to exit Stability Pools amid an internal investigation into a potential issue.
11193 - Recap
As new chains emerge, existing crosschain models may struggle to keep up with user demands. SYNTHR accepts this challenge with its innovative infrastructure.
22977 - News
THORChain’s node operators approved a plan to convert $200 million in debt into equity tokens, but community members are raising concerns over its long-term viability.
6203 - News
Bybit’s crypto liquidations alone amounted to over $2.1 billion, according to the exchange’s CEO.
15946 - Opinion
A wave of new projects and innovations is bringing increasing utility to the Bitcoin ecosystem.
7975 - Use Case
An omnichain approach to DeFi aims to unify liquidity and enable zero-slippage swaps, boosting scalability, speed and security.
20778 - News
Stablecoins and liquid staking tokens are continuing to drive TVL growth across DeFi.
2307 - News
The incoming Trump administration’s crypto regulations and the US Federal Reserve’s monetary policy path remain the biggest factors influencing Bitcoin’s price trajectory.
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