Crypto Market Downturn: What's Behind It?

📉 Crypto Market Crash as Bitcoin Falls Below $50K

Major Market Selloff: Bitcoin plunged to as low as $49,221, its lowest since February, while Ether dropped to as low as $2,171. Other top tokens, like SOL and TON, also saw significant declines, contributing to an overall ~18% drop in the crypto market.

Reasons Behind the Crash: The crash can be attributed to the Bank of Japan's July 31st rate hike to 0.25%, which spurred a Yen surge and led traders to exit riskier assets. Additionally, rumors of Jump Trading liquidating assets amid a CFTC investigation created further instability, shaking investor confidence.

Additional Market Pressure: Previously adding to the decline, weak U.S. job numbers and geopolitical tensions could have sparked the selloff. Uncertainty around the upcoming U.S. election has also added to market anxiety, exacerbating the downward trend. Read More.

️ On today's Top Picks:

  1. 🌞 Justin Sun denies rumors of his positions being liquidated.
  2. 🪂 Zircuit launches Mainnet Phase 1 & $ZRC airdrop.
  3. 📈 CBOE Volatility Index hits highest level since Covid-19.
  4. 🪟 Windows Smart App Control & SmartScreen flaws uncovered.

Read time: ⏰ 6 minutes


Crypto News


• ⭐️ Cryptocurrencies plunge amid Yen reversal, Jump liquidation, & uncertainty.

Jump Crypto liquidates its positions amid US CFTC investigation.

• ⭐️ Justin Sun denies rumors of his positions being liquidated; adds he rarely engages in leveraged trading strategies.

US Senator Warren pressures US CFTC to ban event contracts allowing bets on political events. 

US CFTC Subpoenas Ben ‘BitBoy’ Armstrong’s former company Hit Network in fraud investigation.

Capula Management, Europe’s 4th largest hedge fund; discloses $500M in Spot Bitcoin ETF holdings.

Ethereum $ETH gas fee reached 710 gwei amid today's price action.

Jupiter $JUP passes Supply Reduction Proposal; 3B $JUP (30% of supply) to be burnt over time.

ZKX investors & market makers blindsided by sudden shutdown; ZachXBT alleges rug pull.

Alpha


Binance Labs unveils second batch of projects admitted into Season 7 of the Binance Labs Incubation Program.

Hyperlane integrates support for Zora enabling NFT bridging & interchain apps.

Superseed launches Testnet Phase Two alongside campaign on Layer3.

Astherus integrates support for Scroll; recently selected for Binance Labs Incubation.

PumpBTC, a liquid staking protocol on Babylon, teams up with Berachain.

Airdrops


Hinkal Airdrop Strategy by Earndrop.

• ⭐️ Zircuit launches Mainnet Phase 1 & $ZRC airdrop claim.

deBridge Foundation unveiled as deBridge $DBR airdrop approaches.

ICYMI Movement Labs Airdrop Strategy by Olimpio.

ICYMI Mantra to launch Season 2 50M $OM GenDrop.

Finance News


• ⭐️ CBOE Volatility Index $VIX hits highest level since Covid-19 pandemic.

Dow Jones $DJI tumbles 2.6%, Nasdaq Composite $IXIC drops 3.43%, and S&P 500 $SPY falls 3% in global market sell-off.

Japan's Stock Market suffers worst losses since 1987 as Nikkei & TOPIX indices fall ~8%.

Taiwan's Stock Market suffers worst losses since 1967 as Taiex index plunges ~8%

Silicon Valley Bank's former owner SVB Financial Group receives permission to turn over assets to creditors & end its bankruptcy.

Google $GOOG loses antitrust case over search and text advertising.

CrowdStrike $CRWD denies responsibility for Delta Air Lines $DAL flight disruptions.

Security and Exploits


SlowMist Weekly Security Report highlights ~$5.99M in reported losses.

• ⭐️ Windows Smart App Control & SmartScreen flaws uncovered by researchers.

Nomad Bridge Exploiter spends 39.75M $DAI to buy Ethereum $ETH.

Token Unlocks


• Heroes of Mavia / 1.15M $MAVIA / ~$1.4M / AUG 06
• dYdX / 1.55M $DYDX / ~$1.7M / AUG 06
• Hashflow / 13.62M $HFT / ~$2M / AUG 07
• Immutable / 32.47M $IMX / ~$35.7M / AUG 09
• Ethena / 14.89M $ENA / ~$4.3M / AUG 11
• IOnet / 2.11M $IO / ~$3.6M / AUG 11
• Aptos / 11.31M $APT / ~$60.2M / AUG 12


Funding


Fundraising: Last Several Days in Crypto by AlphaPacked.

The Degen Farmer

Top stablecoin yield farms of the day, more than $3,000,000 in TVL. DYOR and step up your farming game!

PROTOCOLASSETSAPY
Aura logoAura (Ethereum)SUSDEUSDC182.67%
Uniswap V3 logoUniswap V3 (Ethereum)DAIUSDT86.55%
Storm Trade logoStorm Trade (Ton)USDT54.44%
Avantis logoAvantis (Base)USDC47.61%
Morpho Blue logoMorpho Blue (Ethereum)USUALUSDC+41.94%
Abracadabra Spell logoAbracadabra Spell (Arbitrum)MIMUSDCUSDT36.91%
Orca logoOrca (Solana)USDCUSDT35.72%
Synthetix V3 logoSynthetix V3 (Base)USDC35.02%
. . .

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That’s it for today’s edition! See you soon.

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