Mudrex Crypto Market Outlook | January 16 – January 22 2024


  • Move over BTC; eyes shift to Ethereum ETFs
  • TrueUSD’s dilemma
  • Hong Kong’s Hashkey secures $100M in Series A funding
  • Biggest winner and loser of the week

Key Observations


Latest on the spot ETF

Figure 1: Ethereum to take off?

All is looking pretty well now that the SEC has approved 11 ETF applications. This has seen an inflow of close to $4B to date, with BlackRock and FIdelity accounting for almost half of this mark. Bitcoin’s price did run up to 48k before pulling back to 42k. Analysts anticipate a supply shock in the coming days, and the halving event in 3 months further goes on to back this theory.

Ethereum maxis are increasingly hopeful of getting an ETH spot ETF approval in a similar fashion. However, SEC-led Gary Gensler has reservations about Ethereum after commenting on the asset as a security.

ETH has a major reason to look up – the Dencun upgrade, whose first testnet is scheduled to go live this week. The upgrade will make Ethereum’s layer 2s faster and cheaper. This could have a profound effect on alternative EVM-compatible layer 1s, which could lose market share to Ethereum’s L2s after Dencun.

TrueUSD witness sell pressure, $340M dump results in depeg

Figure 2: $340M dump leads to TUSD depeg

Justin Sun-led TrueUSD has seen brighter days. Holders have been cashing out TUSD to Tether after reports emerged that TrueUSD was experiencing difficulties posting real-time attestations of its reserves. This FUD suggests that the stablecoin may have been undercollateralized. As a result, TUSD first fell significantly below its peg to $0.984.

The de-pegging event comes amid an outsized volume of TUSD sales on the crypto exchange Binance. Within the past 24 hours, traders have sold TUSD tokens amounting to over $339.2 million, surpassing the buy orders totaling $296.8 million. This led to a net outflow of $42.3 million during this period.

Hong Kong’s Hashkey secures $100M in funding on $1.2B valuation

Figure 3: Hashkey secures Series A funding

Hong Kong’s HashKey Group has raised nearly $100 million in its Series A financing round at a pre-money valuation above $1.2B.

HashKey further went on to add that it plans to use the newly raised capital to develop its Web3 ecosystem, enhance compliance, and expand its product offerings for its licensed business in Hong Kong. They did not disclose the investors involved.

HashKey Exchange became one of the first crypto exchanges to obtain a license under Hong Kong’s new licensing regime, which permits crypto trading platforms to offer retail services.

HashKey is exploring the launch of potential spot crypto exchange-traded funds. The company said it may participate in potential spot crypto ETFs by engaging in crypto transactions associated with ETFs or even providing crypto custody service.

Top gainer of the week: Ethereum Classic (ETC) up by 30.98% ⬆️

Figure 4: ETC technical analysis


Technical analysis: ETC has reclaimed a 2022 high after the recent rally. ETC is undergoing a possible correction, with the support level of 22.7 emerging as a likely destination. ETC should attempt to break through 28.75 to display any sign of buoyancy.

Oscillator indicators: 1 bearish, 9 neutral, 1 bullish

Moving average indicators: 1 bearish, 1 neutral, 13 bullish

Biggest loser of the week: Stacks (STX) down by 18.07% ⬇️

Figure 5: STX technical analysis


Technical Analysis:

STX has seen a dump after the selling pressure with the drop-down to $1.62, resulting in an 18% dip. STX is anticipated to break through $1.72 before moving up. However, it may test the support at $1.50 if current levels fail to hold.

Oscillator indicators: 1 bearish, 8 neutral, 2 bullish

Moving Average indicators: 4 bearish, 1 neutral, 10 bullish


The cryptocurrency market was marked with important events. Bitcoin ETF led the bulls to $48k after 2022 before pulling back to $42k. Ethereum investors are hopeful about the ETF approval and the new upgrade. Meanwhile, the Hashkey group from Hong Kong has secured Series A funding, which is a great sign for adoption.


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