The AB Newsletter is for informational purposes only. Do not construe any of the following as investment, financial, or other advice. You make your own decisions.
The AB Moonletter🚀 is a culmination of research & perspectives from the diverse capacity of the AB Team. Ultimately our focus & mission is financial freedom. Letter #11🤑 includes:
Sections:
Massive ETH ETF’s - What Does That Mean?
Calling All Sports Betters🗣🏀⚾️
GameFi PUMPING - Gaming x Finance
Altcoins: Our Recent Buys & Watchlist
1. Massive ETH ETF’s - Whats It Mean?
There seems to be a perfect storm brewing for crypto as markets move towards January 2024. Now both BlackRock AND Fidelity (worlds 1st & 3rd largest Asset Managers) have doubled down on crypto, filing for an Ethereum (ETH) spot ETF. Cmon…give us props…
What does this really mean? An ETH ETF (Exchange Traded Fund) would be a brand new vehicle allowing for $trillions of capital to flow into ETH from major financial institutions, banks, pension funds, the list goes on. These mega institutions will be legally forced to buy and hold ETH in order to back their ETF products. This will grow ETH’s market cap by many billions. And since ETH is programmed to be a deflationary asset (decreasing supply), this long term inflow will lead to significant price increase.
This begs several questions — How long before $trillions trickle down to other assets in the industry? Will we see an ETF for several other cryptos? Or, better yet, an ETF of a diversified crypto portfolio? Sounds cool…. almost like a crypto fund🤔.
Traditional Finance (TradFi)
Traditional markets have enjoyed a strong November thus far as investors digest key economic updates and prepare for the holiday season. The latest inflation data came in cooler than expected at 3.2%, the lowest we've seen since July. Cooling inflation has investors seemingly excited about the future, as the conversation quickly turns from "higher for longer" to "when will the Fed pivot and cut rates?"
Futures are now pricing in a 0% chance of further rate hikes, with probabilities of rate cuts jumping as early as May 2024. It's important to note that these futures fluctuate drastically on a weekly basis, and the Fed has maintained its commitment to an inflation target of 2%.
The Fed's stance suggests they would prefer the economy to enter a mild recession rather than allow inflation to creep back up—a strategy that appears to be working until something breaks. Regardless, all major indices (plural for index) have rallied for three consecutive weeks and will look to reclaim prices not seen since July.
While traditional and crypto markets are not as closely correlated as some may think, the news of cooling inflation and potential rate cuts provides an additional catalyst for risk assets in general, as investors salivate over the idea of cheaper borrowing costs. All signs point to up for major crypto assets the future.🤑
Author: AB Rocket Pilot, 8_Bit
2. Calling All Sports Betters🗣🏀⚾️
Advantage Blockchain is furthering our research into the world of analytical sports betting. No, we don’t have a problem. Believe it or not, sports betting has evolved to become an advanced, data-driven industry where success is often predicated on the ability to leverage sophisticated statistical models and vast analytics.
As most great experiments start, the AB team is personally funding a small capital portfolio to seriously test and measure several advanced strategies. We plan to report all findings and insights to you the reader, for free, because we love you.
Below are a few bets from just 3 days of activity. We take straight bets, + odd straight bets, and player prop parlays based on matchups. As you can see, we stick to small amounts for + odds that create positive expected value (similar to ‘asymmetric investing’ strategy). We stick to a unit size ($10-$20) and rarely go above 2 units, yet positive payouts on opportune bets can produce multiple units of winnings.
Analytical sports betting has evolved into an investment market of its own. Imagine once its fully on-chain…. (infrastructure is currently being built).
To be clear, our official AB Fund vehicle has no exposure to sports betting, as AB Fund manages fully liquid onchain assets only (more on AB Fund strategy here).
If theres interest, AB Moonletter🚀’s will continue to provide our audience with insights, results, and alpha on high level sports betting strategies. Next month we will cover bankroll management, which is the most important concept in analytical sports betting. Lack of bankroll management is why most betters lose money fast chasing wins.
No, our end goal isn’t to get you in some paid group to see our picks. Our genuine mission is to educate our audience by providing insight into what professional investors are doing. We hope to help the world do better critical thinking, improve risk management & ultimately strengthen integrity in investment strategies.
Author: 0xChex
3. GameFi PUMPING (Gaming x Finance)
The GameFi sector is experiencing a significant surge, notably outpacing the broader rally in Bitcoin and various altcoins.
Key projects such as Illuvium (ILV), Echelon Prime (PRIME), Sidus Heroes (SIDUS and SENATE), FrenPet ($FP) and Immutable (IMX) have experienced dramatic price increases, with some surging hundreds of % in price growth.
These positive surges can be attributed to the substantial venture capital investments in crypto gaming projects, which exceed $15 billion since 2021. The market is now seemingly adjusting to reflect this. That, or gamers just got their allowance.🤣
A significant market catalyst has been the announcement of Illuvium’s PvP launch scheduled for late November, and its inclusion in the Epic Games Store (creator of multi billion grossing Fortnite). The Epic Games Store, a major platform in the gaming world with over 100 million users, and is known for its exclusivity and high-quality game offerings.
Additionally joining the Epic Games Store, Shrapnel (SHRAP) is a recently introduced token that further reinforces this trend. Endorsements and exposure from one of the world’s largest gaming platforms signal a promising future for the industry.
And don’t even get us started on Fren Pet. Seriously…don’t ask.
Jokes aside, we are now apparently approaching the launch of high-quality crypto games. Watch crypto gaming closely — once there is ONE hugely successful, fun game on the market — mass interest and investments in the space will go parabolic.
Author: Digital Douk
4. Altcoins: Buys & Watchlist
Disclaimer: Our buys/watchlist should not be takin as financial advice/investment suggestion. We share this information in the nature of education & transparency. We value the ability for our network to be aware of new projects & ecosystems we’re actively researching, participating & investing in. Always invest responsibly. And remember… Fundamentals > Pumpamentals !!
Recent Buys
Base Swap (BSWAP) @ $0.38 📈
Osmosis (OSMO) @ $0.61 📈