Calm Holidays

Crypto Market Week in Review (30 December 2022)

Markets

This week the markets were in a holiday regime. Stocks were slightly up, and bonds somewhat declined. There was no major news during the week.

Coinbase stock reached a new all-time low this week, losing 24% in December alone and 86% this year. Coinbase's plunge in December is largely in line with other underperforming stocks and may be explained by tax loss harvesting.

Coinbase share price (USD)

On the contrary, the token of OKX exchange (OKB) rose 9% this week, advancing to the highest level since January. It has lost only 18% this year, hugely outperforming most cryptocurrencies and crypto-related assets. We wonder if OKB rally this week reflects improving business prospects of the exchange or is explained by some kind of window dressing in a low-liquidity market.

OKX token price (OKB/USDT)

Bitcoin remained flat since the last Friday, and Ethereum declined by 1.5%. The implied volatility of both Bitcoin and Ethereum traded sideways, hovering near all-time lows. The volatility curve remained in a significant contango in the short term, suggesting that the options market expects the New Year holiday to be as calm as Christmas one.

Bitcoin 7-day and 30-day at-the-money implied volatility

*This communication is intended as strictly informational, and nothing herein constitutes an offer or a recommendation to buy, sell, or retain any specific product, security or investment, or to utilise or refrain from utilising any particular service. The use of the products and services referred to herein may be subject to certain limitations in specific jurisdictions. This communication does not constitute and shall under no circumstances be deemed to constitute investment advice. This communication is not intended to constitute a public offering of securities within the meaning of any applicable legislation.