MATIC Overview
067: Elon Paper Hands, MATIC Opportunity, Relief Bounce
Hope everyone is enjoying summer and getting plenty of sun, tequila, and mental rest.
Markets have endured a nice respite from the panic and selling we saw over the last several weeks.
Stocks performed well this week, particularly tech, as select strong earnings helped push larger indices higher. The DXY/Dollar weakened from recent highs as Wall Street worries about the gas situation in Europe and large impact learnings start to roll out.
Crypto markets rebounded alongside major tech names as the market appears to be giving us a nice robust relieve rally. Remains to be seen if this continues or if we keep trending towards the impending recession that so many economic experts and banks are expecting.
Netflix (NFLX) stock is performing well on the heels of a better than expected earnings print - some key takeaways from earnings include a new acquisition, impacts of a strong U.S. dollar, positive future subscriber guidance, and tweaks to the ad model
Bank earnings were atrocious with some shops reporting -25-40% profit growth figures
Tesla has sold 75% of their Bitcoin for $936MM
President Biden has contracted Covid 19 despite two vaccines and two booster shots, the White House is reaming silent on the potential source of his infection
Coinbase (COIN), Gemini, and OpenSea that have all announced staff reductions in recent weeks, with COIN suggesting over 25% of their workforce will be let go (remember that these large exchanges inherently go against the entire principles that crypto represent, use them ONLY to buy and sell.
Cathie Wood’s ARKK has seen assets under management drop from about $28 billion to less than $9 billion according to a recent July report. Her funds took advantage of many of the high growth and innovation name that benefited from the Covid pandemic and loose fed policy. She has significantly reduced exposure to Baidu (BIDU) and Spotify (SPOT).
Tesla (TSLA) stock rallied this week after better than reported quarterly results, soaring almost 10% on Wednesday
Energy stocks saw sell offs broadly as weak crude prices/forecasts hampered optimism
The legendary recession indicator on Wall Street - the Yield Curve - which shows how interest rates on various U.S. government bonds compare, usually 2 month and 3Y/10Y notes is inverted, showing the bond markets are far from normal right now.
The German government has just agreed to bail out the gas firm Uniper with a 15-billion-euro ($15.24 billion) rescue deal after they fell victim to predatory Russian economic strategy amongst the conflict in Ukraine
Terra Co Founder Daniel Shin’s house was raided by Korean authorities
****An inversion has preceded every U.S. recession for the past half century, so it’s seen as a harbinger of economic doom. And it’s happening now (New York Times).
US Politics continue to be covered in hyper Partisan ways in the US media by the usual suspects, Fox News, CNN, MSNBC, and others. Many are wondering who the Democrats can feasibly run in the next election and worries about a red wave during mid terms have left leaning news outlets and media companies pumping endless propoganda.
AOC and Rep. Ilhan Omar both pretended to be handcuffed and arrested for show at a recent Abortion Rights rally.
Nancy Pelosi has come under more scrutiny on the trading and investing actions her and her husband have taken after the pair exercised NVDA call options ahead of a monumental semiconductor chip bill that would add positive catalysts to the market for the foreseeable future. NVDA stock rallied hard this week and the press took to a conference to ask Pelosi if her husband has ever made unsavory investment decisions based on her influence and knowledge.
If you follow my crypto commentary you know a few things.
I have been in the space since 2017
I hold mostly Bitcoin, Ethereum, Chainlink, and Polygon (MATIC)
I have a long term bias
I keep 70% of my holdings in cold storage
I believe crypto/defi will swallow traditional finance
My life hasn’t dramatically changed yet (key word yet) because of crypto, but I do have some excellent entries on core projects/assets and many of my outlooks and plays have been formed by some of my digital mentors in the space like BowtiedBull, Chainlink God, Pentoshi, Crypto Cobie, and others.
It bears repeating, Twitter is one of the best resources around for keeping up with market sentiment, project developments, and other relevant/helpful news.
See unlike most people - I keep a 5-10 year time frame in mind, I know that this space is going to undertake several iterations, massive drawbacks, legal headaches,
The MATIC network is a protocol to increase the scalability of the Ethereum blockchain and add new use cases.
So what is Polygon and how will it make you money?
Let’s dive in and remember this isn’t financial advice, or maybe it is….. but you should always do your own research and pick investments based on your specific financial health, goals, and risk appetite. I will provide the best overview I can for you to make an educated decision based on what I know, my research, and the resources I have at my disposal.