GB Market Commentary 08/11/2021
by Frederick Evans
After 3 weeks of consolidation, Bitcoin has finally made a move – it has broken out of an ascending triangle pattern (shown below) and is approaching new ATHs. In addition, the total crypto market cap has hit $3 trillion for the very first time. This is a huge milestone for the industry, as it will appear less risky to asset managers due to the market maturing. This is how many analysts predict that Bitcoin will reach figures of over $100,000 through a virtuous feedback loop – as the market cap rises, it becomes more acceptable for risk managers.
The market is currently led by gaming and metaverse projects but the good news for this sector has not stopped. Solana Ventures, Lightspeed Venture Partners and FTX announced a $100 million fund to invest in start-ups that are focused on blockchain gaming studios.
Sam Bankman-Fried (CEO of FTX) said in an interview last week that he thinks that gaming companies integrating blockchain technology will be bigger than projects attempting the ‘play-to-earn’ model themselves. This comes as gaming giant Ubisoft announced it has plans to create its own blockchain games to enable more play to earn.