Our weekly Institutional Insights explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

 explores the latest market developments — market performance, industry news, exchange-traded fund (ETF) flows, trending topics, upcoming events and token unlocks — to help you supercharge your crypto trading.

Macro Overview — U.S. September Payrolls Top Estimates

In September, U.S. job growth exceeded expectations, with nonfarm payrolls rising by 254,000 — the highest increase in six months — while the unemployment rate unexpectedly fell to 4.1%. Hourly earnings grew by 4% year-over-year, signaling robust wage growth. This positive payroll report alleviates concerns about a deteriorating labor market, as demand for workers remains strong and layoffs are low. The Federal Reserve is less likely to implement a significant interest-rate cut in November, as Fed Chair Jerome Powell noted that protecting the labor market has influenced recent monetary policy decisions.

The report highlighted gains in leisure, hospitality, healthcare and government sectors, although manufacturing saw job cuts for the second consecutive month. The underemployment rate fell to 7.7%, marking its first decline in nearly a year. Despite some uncertainties, including potential impacts from strikes and Hurricane Helene, analysts suggest that the outlook for a soft landing of the economy has improved. While the participation rate held steady, the prime-age worker rate dropped slightly. Overall, these developments indicate a resilient labor market, potentially influencing future Federal Reserve interest rate decisions.

Weekly Crypto Highlight — AAVE ETF Coming?

Grayscale has initiated the Grayscale Aave Trust, providing investors with exposure to AAVE, the token linked to decentralized lending protocol Aave. As the 44th largest cryptocurrency by market capitalization, AAVE plays a crucial role in the 

 (DeFi) sector. This trust will operate as a closed-end fund, distinguishing it from Grayscale's existing exchange-traded funds (ETFs) for Bitcoin and Ethereum.

Grayscale has articulated that the Aave protocol seeks to disrupt traditional finance by applying 

, thereby enhancing the efficiency of lending and borrowing processes. Although DeFi protocols inherently carry risks, Aave's established reputation and thorough audits alleviate some investor concerns. Grayscale's expansion into trusts for various cryptocurrencies, including 

, follows recent approvals for Bitcoin and Ethereum Spot ETFs, signaling a broader trend.

Despite minimal prospects for the approval of Solana and XRP Spot ETFs, the introduction of the Aave Trust suggests rising interest from traditional financial institutions in established DeFi protocols. This trend indicates growing recognition of the potential of DeFi within the conventional financial landscape.

Total Bitcoin Spot ETF Flows.Source: CoinGlass, as of Oct 4, 2024

Bitcoin’s price dropped from $66,000, finding support around $60,000, while Bitcoin Spot ETFs experienced outflows early this week. However, BTC has since recovered some losses, rising back to $62,000 as the broader equity market reacted positively to a stronger-than-expected September payroll report.

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Weekly Institutional Insights — Hot September Payroll Reports Reignite Market Sentiment

Inspired by a baby pygmy hippo from Thailand, MOODENG demonstrates how internet culture and its viral phenomena can drive the success of meme coins.

In an unbelievable turn of events, an anonymous trader managed to 

 into a jaw-dropping $7.5 million, all by trading Moo Deng (MOODENG) — the 

 inspired by a viral pygmy hippo from Thailand. Launched on Sep 10, 2024 (exactly two months after the eponymous hippo’s birth), the Moo Deng meme coin has rapidly gained a cult following in the crypto community, proving just how powerful the fusion of internet culture and cryptocurrency can be.

This article dives into the fascinating rise of the Moo Deng meme coin and explores its quirky charm, unique features and prospects in the wild world of cryptocurrencies.

Moo Deng is a meme coin project inspired by a viral pygmy hippo from Thailand. Launched on 

 in September 2024, it quickly captured the attention of the crypto community, reflecting the influence of internet culture on cryptocurrency trends.

Moo Deng, the pudgy three-month-old pygmy hippo, is the unlikely star behind the Moo Deng meme coin project. Born in July 2024 at Khao Kheow Open Zoo in Thailand, she shot to internet fame thanks to her zookeeper, Atthapon Nundee, who couldn’t resist sharing the calf’s daily antics on social media. It didn’t take long for netizens to fall in love with Moo Deng’s adorable tantrums and playful personality. Fans started creating and sharing their art and memes — and just like that, the chubby hippo became a global sensation.

Her viral fame led to the creation of the Moo Deng coin on the 

. This unexpected blend of cuteness and internet virality shows just how wildly influential online culture can be, shaping trends across industries in the most delightful ways.

The Moo Deng project seeks to create a fun, engaging space that draws new users to the Solana blockchain. It’s riding the wave of the viral Moo Dong meme, hoping to spark more interest in 

 (DeFi) and get more people involved in crypto. Beyond that, Moo Deng also strives to provide a platform for community-driven projects and charitable causes, promoting social responsibility among its users. 

The Moo Deng meme coin operates on the Solana blockchain, tapping into the adorable appeal of its namesake pygmy hippo to boost community engagement and investment. Users can easily buy, sell and trade Moo Deng tokens on 

This meme coin thrives on social media trends, with a dedicated fan community sharing memes, images and updates that keep the buzz alive. Unlike traditional cryptocurrencies, MOODENG’s value often fluctuates based on online chatter and community excitement, rather than conventional market fundamentals. 

To show their support for the Khao Kheow Open Zoo, where Moo Deng lives, the team behind MOODENG has pledged to donate 100% of the trading fees generated through the Moonshot app to the zoo. In addition, the project has embraced community-driven initiatives, allowing token holders to vote on its proposals and participate in charitable activities. 

As with many meme coins, Moo Deng experiences rapid price swings, often driven by speculative trading and the thrill of community involvement. Just as with 

 before it, the success of Moo Deng hinges upon maintaining momentum in a volatile market where its value is shaped by the whims of investors and the joy of the online community.

MOODENG, the Solana-based native token of the Moo Deng meme coin project, is designed to fuel the Moo Deng community. It acts as a medium of exchange for trading, staking and incentivizing user engagement.

With a fixed total supply of 989,971,791 tokens, MOODENG's scarcity could help drive up demand and boost its value. The token's distribution strategy focuses on community rewards, marketing efforts and liquidity provision, ensuring healthy trading activity and long-term growth. This balanced approach aims to attract new investors intrigued by the project’s unique blend of viral culture and community-driven initiatives.

In just weeks since its launch, Moo Deng (MOODENG) has skyrocketed past a $300 million market capitalization and hit an all-time high of $0.3387 as of Sep 28, 2024 — an incredible 1,146% increase from the week before. This meteoric rise makes it one of the few meme coins to reach such heights in recent times. As of Oct 4, 2024, MOODENG has climbed into the ranks of the top 300 cryptocurrencies by market cap, 

The token's charm comes from the viral fame of its namesake, and this cultural phenomenon has led to substantial trading activity. In the past 24 hours alone (as of Oct 4, 2024), MOODENG's trading volume has reached $104 million.

While meme coins are known for their volatility, Moo Deng’s current value and trading activity show no signs of slowing down — thanks to its unique branding, engaged community and the renewed interest in meme-based cryptocurrencies. An unofficial 

 on X has already attracted over 59,000 followers, highlighting Moo Deng's rising popularity.

Thanks to this adorable little hippo, the Khao Kheow Open Zoo has welcomed a 50% increase in visitors, prompting plans for a 24-hour livestream of Moo Deng to satisfy public demand. Moo Deng’s fame has also spread to her immediate family: her mother, Jona, along with siblings Moo Toon and Moo Waan, now have their own tokens, too.

Looking to trade Moo Deng tokens? Bybit now offers the MOODENGUSDT Perpetual contract. To get started, you’ll first need to create a Bybit account, then fund it with cryptocurrency and navigate to the 

While MOODENG's rapid rise and enthusiastic community support make it an exhilarating prospect, remember that meme coins are speculative by nature and often volatile. Without any intrinsic value, the price of this token is largely swayed by online trends and social media hype, making it a bit of a wild ride. As with all cryptocurrency investments, potential investors should 

Moo Deng’s rise as both a cultural phenomenon and meme coin demonstrates the power of internet culture in shaping new trends. While the token’s growth has been rapid and exciting, its future depends upon continued community support and interest. As with any cryptocurrency, potential investors need to stay informed and consider the risks before getting involved.

Intermediate

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Moo Deng (MOODENG): A Solana-Based Baby Hippo Meme Coin

Grayscale has launched the Grayscale Aave Trust, providing investors with exposure to Aave, a decentralized lending protocol on Ethereum and the 44th largest cryptocurrency by market cap. 

The SPX index was down by 0.17% as the market was impacted by rising oil prices, which surged over 5% following President Biden's support for Israel potentially striking Iran’s oil facilities. Additionally, U.S. labor market data showed signs of cooling, with a rise in jobless claims and fewer planned layoffs. Investors are now awaiting the September jobs report for further insights. Coindesk Indices, an index measuring broader cryptocurrency market performance was down by 0.35%, with Bitcoin rising by 1.40% and Ether dropping by 1.90%, in the past 24 hours.

Today's top performer is STX, which surged 3.6% following Stacks' success of their Bitcoin Builders event after a successful Asia tour and announcing the next Developer Event.

Stacks (STX), launched on January 2021, enhances Bitcoin with smart contracts and decentralized apps as a layer-1 solution, aiming to decentralize the internet and reduce big tech's dominance. It uses the security of Bitcoin to back its ecosystem, allowing for the creation of modular dApps. 

, which introduced thousands to the Stacks Bitcoin Layer 2 ecosystem. They are now seeking input on where to hold their next Bitcoin Builders event globally.

Check Out the Latest Prices, Charts, and Data of 

, providing investors with exposure to Aave, a decentralized lending protocol on Ethereum and the 44th largest cryptocurrency by market cap. The trust operates like a closed-end fund, allowing accredited investors to buy shares that track Aave's price. This follows Grayscale's earlier approvals for Bitcoin and Ethereum ETFs. Aave, a major DeFi protocol, aims to optimize lending and borrowing through blockchain and smart contracts, reducing intermediaries. Grayscale also offers trusts for other cryptocurrencies, including XRP, Bitcoin Cash, and Chainlink.

Yesterday, the total flow for BTC Spot ETFs was -$90.2 million, with no flow for GBTC and a -$90.2 million outflow from non-GBTC funds.

, allowing sENA and rsENA holders to start earning rewards from Ethereal DEX. Ethereal's waitlist is now live, and the first 1,000 users will gain access to an exclusive early user Telegram group.

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Grayscale Launches Aave Trust, Expanding Investor Access to DeFi Lending Protocol

Our weekly crypto derivatives analytics report dives into macro events, the current state of crypto and trading signals from spot trading volume and futures, options and perpetual contracts.

The U.S. presidential election is creating a volatility premium for options expiring after Nov 5, 2024. While longer-term volatility smiles have consistently favored out-of-the-money (OTM) calls, short-term options have recently mirrored this trend. This suggests that the decline in spot prices at the end of September hasn’t significantly dampened sentiment in the derivatives markets.

Please check out some of the report’s highlights.

Futures Activities Subdued After Month-End Expiration

Spot price volatility leading up to the Sep 27, 2024 futures expiration resulted in the highest trading volumes in futures contracts in over a month. This surge was primarily focused on BTC contracts, reflecting a trend we've seen throughout much of the market's recent history. The expiration of a substantial quarterly contract at the end of September caused a decline in open interest, as not all traders opted to roll their positions into later expirations. Consequently, futures activity is currently much lower compared to that in perpetual swap markets.

While the expiration of the September contract led to a significant drop in futures open interest, the effect on perpetual swap contract markets was comparatively mild. Although we observed a decline in perpetual open interest at the end of the month, this was likely due to the closure of long positions as spot prices retreated toward the lower end of their recent range. 

This shift halts an upward trend in open interest that had been approaching all-time highs, but it doesn’t indicate a major decline — especially considering the high trading volumes recorded over the last two days of the month.

BTC ATM Implied Volatility Falls Sharply Since Fed Rate Cut

Positioning in BTC options markets continues to be heavily influenced by the U.S. election narrative. This is most evident in the term structure, which indicates significantly higher volatility expectations following the election, while short-term options are trading at much lower levels. The rise in implied volatility for these shorter tenors contrasts with the recent decline in actual volatility, which has reached lows for the month as spot prices remain relatively stable. 

Over the past week, trade volumes have mirrored this shifting sentiment, showing similar activity in both puts and calls. However, neither trade volumes nor open interest levels have surpassed recent figures, reflecting the range-bound nature of BTC spot prices, which remain influenced by broader macroeconomic factors.

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Bybit X Block Scholes Crypto Derivatives Analytics Report (Oct 2, 2024): Positive Sentiment Persists Following Recent Decline in Spot Prices

Glossary

FUD refers to fear, uncertainty and doubt, which can be a common tactic used to strike fear in users in order to manipulate cryptocurrency prices downward.

In the ever-evolving world of cryptocurrency, the term "FUD" has become a staple. FUD, short for Fear, Uncertainty, and Doubt, is a tactic used to influence perception by disseminating negative, misleading, or false information. It's crucial for investors and enthusiasts to understand the impact of FUD on the market.

FUD is often employed to create a state of fear, leading to hasty decisions like the selling of assets. In a market as volatile as cryptocurrency, FUD can significantly affect prices and market sentiment.

Media outlets and social media play a pivotal role in spreading FUD. Sensational headlines or unsubstantiated rumors can quickly lead to market panic.

A classic example of FUD in action is when misinformation about regulatory changes or governmental crackdowns on crypto is spread, leading to a rapid sell-off.

It's essential to differentiate between FUD and legitimate concerns. Not every negative news piece is FUD; some may raise valid points about

Educating oneself about cryptocurrency basics, such as understanding

, can empower investors to make informed decisions.

FUD can lead to immediate price drops and increased

. For instance, false reports about a country banning crypto can cause a temporary crash.

Persistent FUD can erode trust in certain cryptocurrencies or the market as a whole, impacting long-term growth.

Contrarian investors sometimes see FUD as a buying opportunity, identifying moments of irrational market fear to acquire assets at lower prices.

In 2021, a rumor about increased regulation led to a significant drop in Bitcoin prices. However, savvy investors who recognized this as FUD took advantage of the lower prices.

 and fundamentals of cryptocurrencies can help in making sound decisions during such scenarios.

FUD is an unavoidable part of the cryptocurrency landscape. By staying informed and maintaining a level-headed approach, investors can navigate through FUD, leveraging it to their advantage when possible. Remember, knowledge is power in the crypto world.

Understanding and countering FUD is just one aspect of navigating the cryptocurrency market. For a deeper dive into various cryptocurrencies, blockchain technology, and trading strategies, explore

FUD

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