Weekly Market Wrap — August 27, 2021

Digital Asset Research
Aug 27 · 5 min read

Welcome to the Weekly Market Wrap, which now arrives each Friday.

The Weekly Market Wrap is DAR’s new newsletter on crypto market performance and the week’s news, trends, and data.

Want to receive the Weekly Market Wrap each Friday by e-mail? Sign Up Here

Data Source: DAR, TradingView¹

Digital asset markets were relatively flat this week with the total industry market cap hovering slightly above $2 trillion. The price of Bitcoin (BTC) closed at $46,948.95, up 0.54% on the week, while Ethereum (ETH) closed at $3,111.54, down 1.12% on the week.

Macro Comparison

Bitcoin and Ethereum have both posted strong positive returns when looking across the past 30 days. In that time period, Ethereum is up 39.6%, while Bitcoin has returned 24.1%.

See a comparison of net returns across Bitcoin, Ethereum, gold, and the S&P 500 over the last month in the chart below.

Over the last week, Bitcoin’s correlation to Ethereum, the S&P 500, and gold has remained consistent. Bitcoin continues to see a strong positive correlation to Ethereum and the S&P 500, as well as a strong negative correlation to gold.

See how Bitcoin’s performance was correlated to Ethereum, gold, and the S&P 500 over the last month in the chart below.

Bitcoin and Ethereum both saw a slight decline in volatility this week, continuing a slow downward trend that’s been seen across the past 30 days.

See how 30-day rolling volatility has compared across Bitcoin, Ethereum, gold, and the S&P 500 over the last month in the chart below.

Top News Recap

  • PayPal Launches Crypto Trading Service in the UK — The Block
  • Binance Enforces Mandatory KYC on All Users Amid Mounting Regulatory Pressure — The Block
  • Citigroup Gearing Up to Trade CME Bitcoin Futures: Sources — Coindesk
  • Two Issuers Withdraw SEC Submissions for an ETH ETF — The Block
  • MicroStrategy Announces New Bitcoin Buy Worth $177 Million — The Block

Weekly Best and Worst Performers

WAX (WAXP) was the best performing token over the past week, up 96.75% on the week, while GoChain (GO) was the most significant laggard, down 24.49% on the week.

When looking at the week’s top and bottom performers across a longer time period, we see that all of the week’s bottom performers have delivered positive returns over the past 30 days. Two of the week’s bottom performers, GoChain (GO) and Dent (DENT), were on the list of positive performers last week.

Bitcoin Performance by Region

Bitcoin’s performance across regional trading sessions was up over the past week. The most significant downturn of the week happened on August 26 during the Asian session when Bitcoin’s price fell by 4.36%. The most positive price action of the week happened on August 20 during the North American session when the price of Bitcoin rose by 5.11%.

Sector Volatility vs Return

Performance across all DAR sectors except Stable & Fiat Backed continues to be positive when looking at average daily returns over 30 days. Performance and volatility have been similar across sectors, with most sectors seeing average daily returns of 1.00%-1.75% and volatility between 5%-7%.

See how volatility compared to returns across different sectors of the digital asset market over the last month in the chart below. With 400+ classified assets, DAR’s Industry Taxonomy allows clients to perform analysis across market segments and more.

DAR Benchmark Asset Volume Breakdown

When looking at a comparison of DAR Benchmark Asset volume across Vetted Exchanges over the last 30 days, we see that assets outside of Bitcoin and Ethereum have continued to increase their share of relative volume.

To learn more about DAR’s Verified Volume Data, click here.

Cardano (ADA) has continued to sustain higher volumes recently. Over the past week, Cardano has seen its share of DAR Benchmark Asset trading volume on Vetted Exchanges with Bitcoin and Ethereum excluded exceed 60% of relative volume before falling.

¹ Value as of yesterday 4p ET; indices and financial products market data from TradingView daily close

² DAR price at 4p ET and % change from prior day’s values

Contact us for details on Vetted and Watchlist Exchanges or prices and volumes for 1000+ crypto assets. We also welcome feedback on this newsletter.

https://www.digitalassetresearch.com/newsletters

If you would like to submit an announcement or a news item for inclusion in this newsletter, please reach out to news@digitalassetresearch.com.

All publication decisions are at the discretion of the DAR editorial staff.

Digital Asset Research

Institutional-Grade Cryptocurrency Research

Digital Asset Research

Digital Asset Research (DAR) provides crypto asset research, pricing, and market data to institutional investors.

Digital Asset Research

Written by

Digital Asset Research (DAR) provides crypto asset research, pricing, and market data to institutional investors. digitalassetresearch.com

Digital Asset Research

Digital Asset Research (DAR) provides crypto asset research, pricing, and market data to institutional investors.