The Pulse

Taxation Tumult: The US Internal Revenue Service (IRS) has been proactive in shaping tax regulations for cryptocurrencies. A recent reminder was issued to taxpayers to report all digital asset-related income for the fiscal year 2022, consistent with the prior year's requirements.

On August 25, 2023, proposed regulations were released detailing the responsibilities of brokers in reporting customer sales and exchanges of digital assets. This move seeks to clarify the debated term "broker" and is set to significantly influence the DeFi (Decentralized Finance) sector.

Inflation Insights: The US Consumer Price Index (CPI) experienced a 0.4% increase in September, slightly above projections. This was majorly attributed to the rising costs of gasoline, groceries, and rents. The annual inflation rate remained at 3.7% for September, marking a moderation from its peak of 9.1% in June 2022. The slowing inflation growth, influenced in part by the drop in used car prices, suggests a potential transitory phase.

Heavy Hitters

Loom's Lively Leap: The Loom Network's native token, LOOM, has seen a dramatic surge, rising over 500% since September 19 and trading at approximately $0.27 at the time of the last report.

In the past month, the Loom Network has surged by 400%, and in the past week alone, it has risen by 64%. This momentum has not only propelled Loom Network into the top 100 cryptocurrencies but also highlighted its potential in the current market scenario.

On the other hand, a deeper LOOM crypto price prediction analysis reveals that a failure to outpace the $0.20 resistance area could deem the bulls a fatal trajectory.

The announcement of LBANK and Binance listing the token is said to have boosted attention towards the project and brought in higher trading volumes.

News Nuggets

Arbitrum's Initiative: As blockchain ecosystems continue to grow, Arbitrum has launched a grant program, allocating 50 million $ARB to active projects. This move is expected to boost user engagement and liquidity.

Celsius's Commitment: In a recent restructuring plan, Celsius has pledged to clear its debts with creditors by the end of 2023. A substantial repayment of at least $2.03 billion in crypto is planned, marking a significant step towards achieving financial stability.

SocialFi's Security Setbacks: The SocialFi domain has encountered security challenges, resulting in considerable losses. The contrasting outcomes for friend.tech and Stars Arena emphasize the critical need for stringent security protocols to maintain user trust and ensure platform stability.

Crypto Shenzhen:  China announced that it will be investing $14 Million in 3 years for the development of a Digital Yuan Ecosystem. This is a move from the government to further promote and strengthen the adoption of the CBDC released back in May 2021.

Worldview

Unified Urgency: The G20's endorsed roadmap marks a pivotal step in establishing a coordinated global regulation. This initiative aims to address potential risks and enhance transparency in the crypto industry.

Fed Rate Hikes: The U.S. Federal Reserve’s Federal Open Market Committee (FOMC) announced day before yesterday that a final rate hike could hit the market before wrapping up the monetary tightening cycle. CME’s FedWatch notes that the rate traders expects about a 10% chance that the rate hike will be announced in Fed’s November Meeting, although the chances go up to 30% by year end.

Week's Wrap

The cryptocurrency domain continues to merge with global economic and regulatory landscapes, reflecting its evolving maturity. The G20 nations' collaborative approach to crypto regulation highlights the global emphasis on responsibly leveraging the crypto wave. With the IRS refining its tax regulations, it's crucial for industry participants to remain updated on these changing frameworks to adeptly navigate the crypto journey.

The Alvatix Analytics team has published a detailed technical report on the recent downward trend of Solana. It covers the key factors and indicators that influenced the market sentiment and price movement of this cryptocurrency. If you have not read it yet, we highly recommend you to do so.

We invite you to explore precise entry and exit points by participating in Alvatix's upcoming beta launch. Join the waitlist today!

Stay informed, stay ahead.