Top 3 trending altcoins to buy in 2022 | The Market Report

Sam.

Hello, friends, and thanks for hanging out with us today on the market report here on cointelegraph Line your host, Benson. And we're joined again by resident experts Jordan Finisith, Marcel Peckman and Sam Borgi. Jordan uses his background in psychology and human behavior to spot the emerging trends in crypto. Sam Borgi is our business editor at cointelera, where he brings a decade of experience in economic analysis and financial market writing. Marcel Peckman applies his 17 years of experience trading derivatives options and futures to to the crypto derivatives markets. Folks, we are below 40k. Elon Musk is buying Twitter. What is going on this week? It's a wild week. Here we are again. How are we feeling this week, fellas?

It was looking good up to an hour ago, but now that we're below 39,000, we're at 30, 38, 300. It's not looking that good. But step back for a bit. Remind ourselves. Inflation is going up. The Federal Reserve has gone out of control. They cannot raise interest rates right now. It would crash economies. And the only way is to leave inflation to go up and leave interest rates low between 2%, 5% while inflation runs to 10%. And this is the perfect scenario for bitcoin and cryptocurrency. So relax, chill, it's all good.

Yeah. When I was going to bed last night, I checked the markets. I'm like, ooh, there's some green. I might actually be able to write stories tomorrow, not have to like scour the Internet just to find an article. And I wake up, it's like, dang it. But yeah, I think long term we still, nothing's that changed that much. I think there's just a lot of chaos going on in the world right now. So we got to wait for this to pass.

Yeah, Just remind yourself that you're an investor and not a trader. That way you don't have to deal with these short term fluctuations. I mean, given everything that's happening right now with interest rates, with the Fed, with the economy, I don't really see any kind of ingredients for a rally in the next three to six months. Of course, I could be wrong. Something could change. You know, some, someone could adopt Bitcoin. You know, corporate treasury might add Bitcoin. You know, anything can happen. But looking at the macro picture right now and the correlation between bitcoin and stocks, I don't see any ingredients right now for any kind of system sustained rally anytime soon. So yeah, be patient.

Hoping for those summer months to bring the heat back to the Markets here, guys. We need the heat somehow some way. But thank you for all, all of you that are tuning in right now from around the globe. Drop in where you are tuning in from. If you haven't liked and subscribed Cointelegraph, you gotta do that. We're here Tuesdays, 12pm Eastern for the market report. Action packed show today. We're going to be getting into top three trending altcoins that you want to have on your radar. Marcel is going to give us some coaching here. He's going to tell us what's going on with the markets. What are those professional traders doing? And you want to listen in because Marcel is going to show you some really good info. Walking through some charts. But first things first here we are going to get through our market roundup, the news of this week. What's going on the Twitter sphere. You want to know it, we're going to bring it to you. So let's go ahead. Danilo, let's jump into our news roundup this week. Sa. It's sam. We got your crypto news fast and first. So you got to make sure you are scouring our Twitter Cointelegraph for some of the biggest crypto headlines. That's what we're here. We're here for you all. I see Shelter Corgi is back. We got folks tuning in from Indonesia. I see we have folks South Africa. Welcome to the show today because you're going to stay tuned for this. Marcel is going to jump into some charts and he's going to walk us through what's going on. Bitcoin e the greater macro landscape and tell you what all those professional traders are doing out there. He's got his ear to the ground. So we're going to hand this over to Marcel and he's going to dive into the goods for us here today. Welcome for all those that are tuning in. Love to have you here. Stay active in the comments today. We are going to be watching that. Marcel, we're going to let you take this away. So Donilo.

Yeah, Benton. So yesterday was a close call as bitcoin tested the $38,000 level and seems like we're gonna do it again today. But we gotta admit that traditional markets also had a relief bounce last night after the bell. For example, oil prices touched $95 intraday the lower and are back to $100. So oil price a little bit up. So Danilo, I want to share my screen with bitcoin price right now please. Bitcoin has been on an ascending channel for the past three months. And the support level has been tested multiple times, as you seen here, happening in January, happening in February, and happening again right now in April. If we break below this ascending channel, it might indicate short term weakness. So, yeah, there's reason to believe that Bitcoin and crypto traders are worried right now. But the big question is, is that something crypto related or are we talking about a broader general risk of a collapse in S and P stocks and riskier assets? So the first indicator that I like to use to measure how Bitcoin traders are positioned right now is the Bitcoin futures. So the futures premium. So whenever this indicator is below 5%, it means there's no premium on the futures market. So for example, if there's excessive leverage demand for buyers, this indicator will easily go above 10 or 12%. And whenever this indicator shows there's no demand for leveraged buying, the futures premium on Bitcoin will go below 5%, maybe to zero or even negative. Right now the indicator, the futures premium or basis rate stands at 2.7%, which is bearish and has been like that for the past couple of months. So thank you, Danilo, for sharing. So the bottom line here is, yeah, those crypto traders are slightly bearish right now. But we still haven't answered the first question. Is it a risk of the SP collapse or is something specific of crypto markets? What's your opinion, guys?

I don't see any issue right now per se in the crypto market. I think right now this is a symptom of what's happening more broadly in the macro picture. That's why I mentioned at the outset I don't really see much of a scenario in the short term where crypto really rallies. And that's due to what's happening with the broader macro picture with interest rates, with quantitative easing, with the state of the economy, etc, whether we like it or not, we all wanted the institutions to come, and while they came, they're here. And you're starting to see Bitcoin and crypto be more correlated with those traditional assets than before. So unless we see a decoupling with the NASDAQ for Bitcoin, for example, I don't see any real headway for gains anytime soon.

Excellent point, Sam and Danilo, I want to share a screen again, please. What Sam is saying about correlation, and I want to show you in this chart, it means whenever Bitcoin and S and P are moving in tandem, for example, S&P goes up, Bitcoin goes up. S and P goes down, bitcoin goes down, then the correlation is high, which means the correlation would be near 100%. Perfect 1%. When we see a negative correlation, as we've seen earlier this year or back in November, it means that when S and P goes up, bitcoin goes down, or the opposite. And right now, over the past two months, the correlation has been high, reasonably high, above 60%. As Sam explained, having a high correlation with traditional markets, it's not something inherently good or bad. It just means that crypto traders are more worried about a traditional finance market collapse than something specific about crypto. Some legislation, something, a news break. But that's not what's happening right now. So whenever we have a high correlation in both markets or every risk market is going downturn, S and P is going down, Chinese markets are going down, housing markets starting to go down, and Bitcoin is going down, it tells us that, yes, bitcoin traders, the futures premium is low. They're not using leverage to buy it. But that's not something specific about our market, so you shouldn't be too worried. Yes, bitcoin traders are bearish right now, but that comes mostly from the fear of a traditional finance market crash. That's my opinion. Thank you, Danilo.

But like, when you look at these numbers, Marcel, is there the expectation that people think the market could crash? And then why do people feel right now that the traditional markets are maybe unstable or have that expectation that it could go lower?

Well, I think Sam can answer that more completely than me because he covers more markets. But what I see from the S and P and tech stocks, people do feel that if the Federal Reserve further raises interest rates, those equity markets, especially the more leveraged companies, the prices will go down current, down the s and P500, and consequently Bitcoin. But Sam can get his bigger opinion here.

Yeah, yeah, Ben. I mean, the Fed is taking away the punch bowl, or at least they're threatening to take away the punch bowl. And I think that's the main impetus for a lot of this risk aversion. I mean, we saw it with Powell a few days ago when he, after the bell, he made a few comments about the need to fight inflation. Markets tanked afterwards. So right now, I mean, that's kind of the main issue. Now, if I'm going to add a silver lining to all this, if you take a look at what the expectation is for rate hikes, in my opinion, there's not a chance in hell the Fed's going to raise that number of Times, I don't think it could sustain that. I think there's, like, they're predicting, what, eight rate hikes, you know, within a forecast period? I don't see that happening. I mean, as Lynn Alden said, they'll keep raising rates until something breaks, and eventually something will break. And we saw it breaking last time they tried to raise interest rates. I mean, even before COVID if you go back To September of 2019, we started to see chaos in the repo market. And they came into the repo market to save overnight interest rates from skyrocketing. So once something breaks, you could probably expect them to put on the brakes with respect to quantitative tightening.

Interesting. Wait, Marcel, I do have one more question for you. So you mentioned, like, the relief rally overnight in regards to, like, the traditional markets. Is that typically due to these, these rallies in Asia? Like, where, where is that kind of rally coming from? Or where do those typically start when it happens after the bell in regards to, like, the markets?

Okay, Benton. So when institutional clients, the pension funds and the big mutual funds are trading, if a position they hold is down, I don't know, 15% or 20% from the price they paid, they have something called stop loss, they are obligated to exit the position according to the fund rule. So it's not the decision that the fund manager takes. Yeah, it's down 20% this week, so I'm going to sell more and make it down 30%. It's not an easy decision to make, but when it happens, when the stop loss is triggered, they're forced to sell. And in the intraday, this exacerbates the movements. If a Stock is down 12%, it will go down 18 or 20%. But as the market closes, so after the bell in the aftermarkets or, or in Asian markets, there tends to be a slight recovery whenever there's a huge drop, as we've seen on the S&P 500 yesterday.

Very interesting. Thanks for your insights today, Marcel. Any other questions here? We had a little bit extra time.

I was gonna say, like, do you think there's, like, a weakness, not so much from traders, but retail buyers? I know that retailers often drives, like, big market moves and stuff, but seems like a lot of retail now is dealing more with inflation. They're not looking to buy any kind of asset. They're looking to sell assets to maybe deal with real life. Do you think some of that might be going on as well, like, causing the widespread weakness in the markets?

Yeah, Jordan, if you use the NFT markets, which are heavily shifted to retail investors. And we see that the, the number of wallets involved on NFT trading has declined and, and even the, the notional traded on NFT markets declined from. There's less demand for cryptocurrency investors investing and bitcoin investing. Right now it makes sense like, well, we think there's a 20% odd or 10% odd of a general market crisis who in their sane mental state, okay, so let's buy risky assets, let's buy cryptocurrencies, let's buy NFTs. They're not going to do it. They're going for the safe assets, maybe even for gold or even a cash position. So yeah, there's less interest from retail investors. And this causes, whenever there's a correction, it causes further drops because there are no new buyers to support.

Maybe one more quick one. Marcel, do you have any idea of what could lead to the bitcoin decoupling from the S&P 500? What do we need to see for that decoupling to happen? Or is that just, you know, wishful thinking in the short term?

Sam? I think when governments and countries try to implement the cbdc, the central bank digital currency, and gather more control over its citizens than people who flew, who flew away, drive away and buy bitcoin and cryptocurrency, that that's the trigger for this year in my mind.

I like that explanation.

We know our thoughts about CBDCs, that's for sure. But if that triggers a new rally, who knows, maybe I might be for CBDCs. I see folks chiming in the chat again. Thank you all for tuning in from around the globe today. We got the top three trending altcoins that you should be watching for. 2022. We're going to get into Sam's token this week. He's going to be highlighting Terra Luna and really going in deep about what's the value prop for the project, the token itself, its utility. You're going to want to stick around and hear what Sam has to say about Terra Luna. Danilo, let's go ahead and let him take it away.

Great. So if we're talking about top trending altcoins, altcoins that could trend for the remainder of 2022. It's very difficult not to have Terra Luna at the top of your list. I mean, Terra has attracted so much interest and so much excitement and so much attention from the community. I mean, if you're a Terra holder, if you hold the Luna token over the past year, you've done Very, very well. So for me, Terra is still a coin that should be on people's radar heading into the remainder of the year. There's many reasons for that. Before I explain that, I just want to remind everyone what Terra is. The Terra ecosystem offers a stable, a stablecoin system and a native blockchain. So the Luna token has multiple roles in the ecosystem, including governance, maintaining the policy, the price of the Terra stable coins, as well as reducing volatility. The value proposition of Terra, I think it was Shuzu recently posted on on Twitter. It's basically the value proposition. It's a cross chain Dex stablecoin backed by Bitcoin. So that's a pretty appealing value proposition, especially when you take a look at what the ecosystem is doing right now with Bitcoin and how it's accumulating Bitcoin. Merchant acceptance of ust, which is now one of the largest stable coins in the world, is actually gradually on the rise. We're starting to see more acceptance of UST through a company called Jinku, which is a crypto payments provider. It recently integrated UST as a payment option. And as I mentioned, UST is now actually the third largest stable coin in the world behind Tether and behind usdc. So lots of interest for ust and that's of course is going to be reflected or it's going to reflect interest as well in the Luna cryptocurrency. Luna Foundation Guard One of the biggest stories that Luna Foundation Guard has is plan to spend about $10 billion on its BTC reserves. The purpose is to backstop short term USD redemptions and to build a decentralized forex reserve. So a lot of us, you know, Bitcoin Maxis or those who love Bitcoin and believe it's going to represent the future monetary layer for the global monetary system, that's a very attractive option. The idea that a stablecoin operator or an Algos is actually adopting Bitcoin as a base layer for its monetary regime that doesn't come without risk. But that's one way in which you can actually utilize Bitcoin. What we're seeing now with this is that all of this could lead to higher UST demand, which we're seeing, and higher UST demand actually would force more Luna tokens out of active supply. When Luna tokens are swapped for ust, for example, a percentage of Luna is burned. So if you take a look at the Terra ecosystem, what you see is the TVL, the total value lock continues to grow, expand at 33.6 billion according to D5 llama. That's near an all time high in terms of TVL on the Terra blockchain. But there are some potential dangers. I mean you can't really look at a project like this and not see what the risks are. One of them is the fact that there's huge demand for UST and that's pushed Luna's price higher as we saw for the practically for the whole year. But mostly that's because of Anchor's 20 APY. I mean we've all heard of Anchor Protocol and the massive APY that you can earn. But is this sustainable? You know, can we expect 20 API indefinitely? We're starting to see, you know, some evidence that that might not be the case. Is demand inflated because of this? That's another question that we have to ask. And is there a risk with backing UST with Bitcoin? The fact that they both assets have a different risk profile that might cause some issues down the line. And another issue also is that Luna saw an all time high, you know, relatively recently. I'm not quite sure whether now might be the best time to enter. But again, if you're looking at it from a long term perspective, there definitely is a lot of excitement surrounding the ecosystem. That's my general overview of Terra right now.

And I see we have a couple of questions. Marcel, why don't you go ahead and jump in here first.

Okay, Sam, so let's start by this. Don't you think it's a little bit weird that a Single person, Duke1, handles a 10 billion dollar fund and his decisions like yeah, let's buy bitcoin to back it. Oh, let's buy this one to back the stablecoin. Don't you think that's a little bit odd?

Yeah, it's concerning. I mean the centralization aspect is concerning. It's also concerning that the fact that it seems like these decisions are being made on the fly, you know, kind of thing. Well, we're just making this change, we're making that change. We're adopting this, we're adopting that. I understand that crypto development and project development, it's an iterative process. It's not always, you know, step by step. There are many, you know, ways you can, you can decide to go one way or the other. But yeah, the fact that it's kind of like a fly by night decisions, we're going to fix it on the fly, that's definitely cause for concern. I completely agree with that.

Yeah, I get concerned with like these saviors bitcoin crypto saviors like Doe Kwan, we had Andrew Konjay, all these different people come along, we're like, yeah, it's a new crypto savior. Yeah, they're gonna give bitcoin the real, the use case and then we move on to the next thing. Yeah, I'm just concerned about long term. I know Tron already came out with their copycat for terror. It's like, oh, crap, are we going to go through this kind of thing?

Well, what I find hilarious is that, you know, Luna foundation guard and Michael Saylor and all these, they've literally taken hundreds of thousands of bitcoin out of circulation and it hasn't affected the price one iota. Well, we buy it over the counter. Right?

So.

But you, like, come on, you'd expect at some point that this would have a positive impact on the price, but it seems like retail demand or, you know, the D gen traders just. There's no demand there right now, so it's not affecting the price. I just find that to be hilarious. You know, you have hundreds of thousands of bitcoin out of circulation permanently. No, no impact on price. Almost. Almost zero impact on price in the short term. It's. It's really quite remarkable.

Yeah, it's kind of confounding sometimes. I look at that, I look at that mix. Sorry, Ben, hold on. Like, there's 51 million millionaires on the planet. There's only going to ever be 21 million Bitcoin, and yet this demand is still not there. I'm like, dang it, what's it going to take to get there? Sorry, go ahead, Benton.

I was going to say it's interesting to see how if you're removing supply out of circulation, if you don't have that demand side, it doesn't make as big of an impact. I think, as we all hope and wish for, even when it comes to token burns and tokenomics and those kind of things, just in general. My one question though for you, Sam, is like, it seems like this, this model that Terra is doing seems kind of this game of musical chairs where there might be this facade where it's like that 20% APY on stablecoins. I love Terra Luna and I love the ecosystem, but my one concern is how long can this game last? Or these Ponzi nomics, the musical chairs game, how long can that theoretically last in the long run?

Yeah, I, I share those concerns as well. I mean, I think that didn't they have to replenish their reserves back in February? I Believe. So it's definitely a concern, especially where if you take a look at, you know, if demand is artificially being inflated because of this massive APY or this promise of an apy, and then you have a whole host of other potential challenges with the stablecoin market in general. You know, it's not. I mean, there aren't as many consumer protections as there are in the traditional financial sector. Right. So that's one another area of concern. So, I mean, I, I think that they're doing a lot of good and I really do like their mandate. I like what they're doing around bringing D5 to the masses. But there are some concerns that I think you probably just can't fix on the fly. Right.

Very insightful today, Sam. Yeah, go ahead, Marcel. You're on mute.

You're meeting yourself.

Now, I just want to highlight that I don't agree with Benton that the Luna UST 20% yield is a Ponzi because it's backed by the most solid thing in the world, which is bitcoin. So I completely stand with Do Kwon. You're doing a terrific job. Keep it going, man.

All the bitcoin maxis love it.

If the, if the price of Bitcoin drops like 20k, like some people, like doomsayers out there are predicting, what do you think that would do to Terra?

Well, it's. We're never falling below 40, 000 again, Jordan. I mean, oops. We just did, didn't we? Oh, dear. Yeah, that's another risk you have. The assets have a different risk profile. And I mean, look, I'm, I'm. I'm balls deep in bitcoin. I love bitcoin. I can, I can, you know, I can take the volatility. Right. But when you're developing a protocol like this, I mean, they are different risk profiles and it's easy to kind of, you know, promote this type of model, you know, on one sense. But I do think that there are more risks than the marketing jingo will let on. So.

Fair enough. Great points today. Great overview of Terra Luna, the token and ecosystem as a whole. Love hearing from Sam about what he's got for these projects each week. Now, folks, it's time where I present to you one of the top trending altcoins, in my opinion, this week, which is Apecoin. You all know it, so let's go ahead and jump into this week. All right, well, why Apecoin? Well, its current project valuation is right around 15 billion. I have some other reasons why I also like apecoin and the greater ecosystem as a whole. We've seen the bored Ape Yachts NFTs where they have the celebrity endorsement, they have the audiences, they have the ears of the audience of the celebrities being able to get involved with bored ape yachts. Now what I am seeing here is the similarities between apecoin ecosystem and what Tesla did. So if you're looking at the Tesla ecosystem product pyramid, at the top of the pyramid you have the Roadster which is the most sought after product, they have its most highest price product. Same thing goes for the bored Ape Yachts NFTs, all the celebrities had them, they're super high price. That is the pedestal that everyone wants to achieve. Now at in the middle of the pyramids for both Tesla and the Acorn ecosystem you have the derivatives products, the the mutant apes and all the other kind of like ape related NFT products. Same thing with Tesla, the mid grade cars, all of the affordable stuff. And then at the bottom of the pyramid you have the Tesla shares or stock. Same thing goes now with the bored ape or ape coin ecosystem is now people who can't get the bored apes or can't buy the mutant apes can still participate in the greater ecosystem by buying apecoin and feeling part of the community. Now when I'm actually looking at apecoin and what's happening with their ecosystem, they are putting a lot into their vision and what I'm seeing is their metaverse. So the burgeoning ecosystem that will unlock more utility for apecoin where users will be able to pay for assets, buy property, rent property, get loans and be able to use that token with more utility. Now that's not happening right now, but that is the vision of what they've outlined in their investors deck which I'm about to pull up here in just a second. Now there are proposals for apecoin to become sort of governance token for the apecoin ecosystem or Metaverse that has yet to be solidified. But I do think the more utility that's getting added to apecoin the better. My last point of why I really like apecoin is that Animoca Brands backs this project and ecosystem. Anything that Animoca Brands gets behind I'm a huge fan of. They've had a great track record of successfully investing in major projects. Sandbox is another example. Danilo, if you wouldn't mind just pulling up my screen real quick, I want to outline what's actually happening with the apecoin ecosystem. They are going to be building a Metaverse and so this is part of their investors deck. You can find this online. Today's metaverses are trying to make something new, but they're really just creating something boring. So their whole point is that these metaverses are kind of like individual worlds. What the apecoin ecosystem is trying to do is create a metaverse for all metaverses, where they're going to be incorporating NFTs, where you can actually make that part of your character and bring that into the apecoin world, or the Ape verse, whatever they're calling it. And so for me, that provides a lot of value and utility for the overall project itself, is being able to create the metaverse. And a lot of trust is being placed in the apecoin board. So the verdict will still be out until they give you a solid product. But we can go ahead and unshare there.

Okay, Benson, so assuming they successfully launched this metaverse, which they haven't even started building, how exactly do they plan to compete with Facebook, Meta, Google and Decentraland, which are much bigger companies funded or experienced, such as Decentraland?

I think that's a great question. And as the metaverse space starts to kind of like formalize, we've seen it in this nascent state, the big players are obviously trying to get a piece of that. What they don't have is all the celebrity endorsements and what the bored Ape yachts and the apecoin ecosystem already have. And I think that's a little bit more of an organic approach. You're going to have some more of those traditional players try to come in, throw a lot of money into it and build out solid products. But I think what, what Apecoin is going to be doing is, is kind of going brick by brick more organic and competing, kind of like a long term, as opposed to just throwing money at, at development and kind of like whipping up maybe a product that's not going to be as universal as what they're trying to do.

When you just, when you started and you started describing it as a pyramid, I'm like, that's the perfect shape to describe what I've seen with the prices of this thing. But yeah, go ahead.

No, I mean, there's plenty of downsides to this, right? So we got to be real. Yeah, they have the vision and they've sold a lot of people on that vision, but currently there's only staking for apecoin. And so what they're doing is they're kind of building this incentive where it's like, oh, Lock up your Apecoin and we'll pay you in more Apecoin. Just not to sell it because they're buying themselves time to essentially build out this much larger product. So I got to be real with you all. There's downsides to this, but the potential upside, you know, is, is, is there.

The way you described it, it kind of sounds like they're trying to make a new brand like, like a Disney. Like they're trying to, like this is the beginning of an establishment of a new brand. And it could be with the celebrity backing and stuff, it's potential that it could grow into something big. We'll see how it goes.

Yeah, Benton, the really important question I just received from one of our insiders here, the crucial question is, does apecoin have a pretty, pretty website?

You know what? I'm not very impressed with the pretty, pretty website. Who. Who was that? Was that Cal or was that Luciana calling me out about the ui?

You can't reveal my sources, man. I can't reveal my sources, you know, like, you know, I can't do that. But it's important that we know that, that answer because, you know, I want to know if the website is point or not.

You know, I'm not completely sold on the, on the UI UX and the user experience, the look, the feel, the marketing angle. That's why I always, I always tune into the website. So thanks for whoever called me out.

So Benton first. Nice house. Nice house.

You're there.

I wish someday I have money to. When bitcoin gets to $500,000, I'll be able to something like that. But my question is, we've seen celebrities shill every kind of scammy projects, crypto products, including the boxer Floyd Mayweather, which has been involved on some scams and convicted by doing that. So how do we know that Apecoin is different from that? Considering that there's so many influencers and celebrities shielding the apes, the NFTs.

I mean, I think that that would be the world's biggest rug pull. If all of these celebrities who own the bored ape yachts themselves decide to rug pull the ecosystem. I mean, that's, that's detrimental to their, their character. It could be, you know, defamation. I don't see that happening because of the credibility they have in each of their industries, whether it's sports athletes or musicians or artists or versus the fallout from that for them personally could be potentially career ending. So it's like, I don't see that happening. And because of that, I think this is a bridge for more traditional, more kind of non native crypto people to start coming into the crypto ecosystem through a bridge like this. The bored ape yachts, the ape coins, etc. Into a metaverse ecosystem just from that notoriety or that celebrity backing. Normally not a fan of that. Normally not a fan of giant influencers because we've seen all the scams. But in this scenario, I do feel like there is something different about it.

And it is important to note that it has a big target on us back now because it's gotten so popular. We had that hack just the other day where some people got their board apes stolen. So that to me also is a sign that it actually might hold its value because people are starting to target it as a way to make money.

And I think there will be more evolutions for the utility of apecoin as well. Whether that's the governance model they want to go after, whether that's in metaverse use, essentially they've described in their investors deck is like how like they want to become the currency for web3. What does that mean? They don't really go into details as much as I would have liked to in their investors deck, but I think there's some promise there. It's like again, you got to trust the vision of the apecoin board members still. The verdict's still out. That's gonna do it. All right, if you haven't liked and subscribed Cointelegraph, go ahead and do so now. Tuesday is 12pm the market report, folks. Jordan has a very interesting project to talk to you about today and I'm actually really excited for him to present his Altcoin that's going to be trending here in 2022. So, Danilo, let's go ahead and jump into Jordan's segment for this week.

All right, so instead of picking one that's going to be turning, I'm picked one that's already trending and we'll see if it can keep going. The one I pick is Stepn. Stepn, call sign is GMT. This project brands itself as a web3 lifestyle app with social fee and game fee elements. It's, it's designed to help promote a healthier lifestyle in the midst of like people staring at screens all day. It's an actually a play to earn app that allows individuals to earn money by going out and walking, moving, running, jogging, stuff like that. And it also kind of introduces the concept of Web3 to the wider public and blockchain technology and all those kind of things. So it's harnessing the momentum of the play to Earn ecosystem. It's dealing with the issue of screen fatigue. As I mentioned before, I know this just as a study, as a psychology. Kids are really starting to actually turn away from screens so much and they don't like to be staring at screens so much and they want to be outside more. So stuff like this is going to be beneficial in the future as I think as people kind of get over staring at screens so much and also trying to incorporate ways to do play to earn and stuff like that. That's kind of rising in the blockchain space. It allows earned users to earn rewards for walking, jogging or running outdoors. It integrates the concepts of NFTs with its sneakers, different types of sneakers with different types of traits that can be upgraded depending on how much you use the app. Once your sneakers are equipped, you do have to originally buy a sneaker in the marketplace to start going. So there is a little bit of a cost to start with this. But once you get it and you turn it on inside of your app and you go outside and you start moving with your GPS active, it tracks your movements and based on the sneakers that you have active and what kind of quality and stuff, you can earn a certain number of either the GMT tokens or another separate token called GST on the app. So and you can stare those. It's a social fee app in that you're allowed to share your your stats and stuff on. On social media, you can burn GMT to level up the sneakers or mint new sneakers. So if you have a couple pairs of sneakers on there, you can actually breed them and try and create a new pair. And you do that by burning some GST or GMT in the process. Sneakers can be sold on the marketplace. The GMT can also be converted into usc. So there's a way for people to turn their their GMT that they're earning or the GST that they're earning on the platform into actual money that they can use in their real lives. And soon they'll also incorporate the ability to rent sneakers. So the people that can't just buy sneakers outright can rent them from other people that own them, use them, earn money, and then eventually maybe buy their own sneakers, whilst the person that rented them to them can also earn some money on the inside. If you want to go ahead and share my screen, Danielle, real quick, I can show kind of what this looks like. So yeah, there's these different sneakers, there's different levels that you can earn if you're a walker, jogger, runner, trainer. So if you're only going to be walking, it's probably better for you to get the walker type of shoe. So it just depends on how active you're going to be once you buy again. Each one can earn a different amount based on how much the optimal running space once you buy it. Or you can go on the marketplace on the app. This is what a shoe box if you want to buy a shoebox or you can buy sneakers that have already been open. Once you start using it, you can upgrade it quality, there's things that degrade over time, efficiency and stuff like that. So you actually have to use some of the GMT or GST that you earn to keep the shoes upgraded and earning possible. So there's different ways to keep the token tokenomics down, equip your sneakers, move outdoor, burn and earn just stuff like that. There's anti cheating things inside moonwalking, so you can't like get on a treadmill or run in place. You can, there's even things for like if tracking to tell if you're on a scooter or you put the dog, the phone on your dog. So there's different things that they've incorporated and it's just a different take on the play to earn ecosystem. And I don't know, it's the next evolution maybe or way to incorporate more social aspects and exercise into blockchain gaming and stuff like that. So that's stepping. Yeah. I'm Marcel.

Wait, wait. So who is paying for users to run? So who is issuing those GMT tokens? Where does the money come from? Do you think that that's a sustainable business model? Like a billion people running on the streets and asking for a hundred dollars a month, who's gonna pay $100 billion a month? It's just not sustainable.

Jordan, I, I get what you're saying and I've been thinking about this too. I remember when it first popped up on CoinMarketCap, I'm like, Whoa, what's stepping? I looked at, I just see somebody running on the screen. I'm like, yeah, no, but I was thinking about this just as you guys were talking and like, so Google can do Google Maps and stuff like that because they kind of use each phone as a device to track so they can tell how much, how traffic is moving. It just seems like they're going to be an evolution of this in the future where they're going to use the data generated by people walking around and their devices for Something else in my opinion. I don't that there. Other than that I'm not too big on too sure what the exact value proposition is, but I didn't know that necessarily for some of the play to earn games out back when they first started. So maybe like what if in the future even Nikes are a big athletic brand, sponsors this or tries to get involved with this to try and like these are Nike shoes on here. I don't know. There's different ways I could, I could think to maybe incorporate a value proposition in there, but I'm not. I need to look more into what it is right now and why people are willing to pay people for their data.

So, so basically you need sponsors, you need some company or some brand or whatever to pay for either the data or to incentivize users to run outside. Is that it?

Yeah. And it's also like part of. It's also kind of building on this ESG thing where climate change is an issue and we need to promote walking and jogging and riding bicycles and not using CO2. So I think that's part of it. It's trying to capitalize on multiple trends. I like, I. It got up there real quick. There's a total supply eventually of 6 billion tokens. I think only 600 million are currently out there. But even at a price over 300, with 600 million, you better be bringing something to the table to deserve that kind of valuation.

So basically what you're saying is with this, I no longer have an excuse not to lose that last 10 pounds, right? Because, hey, I can do it through Stepn and I can get paid for it, right? No, that's good.

Yep.

Is there, I mean, Jordan, have you seen anything around adoption use any kind of maybe metrics or information you give us? Because I think it's a really interesting concept. I just want to get a sense of whether it's. It's being used and how it's being used and just what the sense of the community is right now.

Well, I did try to. I downloaded the app and I was trying to like play with it yesterday when I was getting ready for this. But you have to actually get a code from maybe somebody on Discord, something that's already part of the community, so it's still in beta. So I'm guessing the user statistics aren't going to be that impressive on that level because it's. They're kind of controlling the amount of people that can come in right now. I think they're just trying to get it all the kinks worked out and stuff like that. So we'll see if it gets picked up in the future. I, I personally understand the need to, especially for younger, the younger generations to try and get people off their screens and outdoors. So I get the motivation for that. It's just whether or not they'll be able to do it, it'll be good. And especially in other countries where there's more foot traffic, it'll be good for those people because they're already walking to work. Like especially I know people live in New York and walk the streets and stuff like that. If you're already walking, why not earn a little bit money on the side if you're willing to give your data, your location data out. But yeah.

It seems like it's just like the fitbit for web3. I know we talked about that earlier but this is based on BNB Smart chain and Solana currently. Is there from your research or from what you know, is there going to be more chains added? Like, is there any limitations to that? Like I guess from, from. Is there a mobile app? Like what does that kind of look like in regards to the, the use of the actual, I guess like project?

Yeah, it is a mobile app because you have to have the mobile app downloaded on your phone and turn the GPS on for it to track you. I know it is on the BSC and Solana, I think that they won like a mobile fourth place at a certain Solana where they are testing different apps or showcasing different things and they won a higher up prize. So they have been recognized within the Solana community. I imagine if they do continue to expand and gain more traction, they will expand to other networks because that's the kind of the thing right now. Interoperability and cross network support. Yeah. What's it gonna look like in the future? I know, I think it's still early on in its game. It's the new. It's a newer idea. Will it survive long term that man, that depends on how much people adopt it and whether or not like as Marcel pointed out, how is money going to be coming into the ecosystem to fund all this stuff. But they are playing on the NFT game, the ability to upgrade your NFTs. So they're kind of harnessing momentum of different sectors. But whether or not they'll be able to turn that into long term success, it still remains to be seen.

I wonder if they will release an actual like product, a smartwatch or you know, a tracker or whatever. So you don't always have to have your phone on you could be interesting if they make that shift.

Yeah, there you go.

Hey, now we're here, we're here to pitch ideas. All day. We do. Just kidding. All right, folks, great presentations today from all panelists giving us the insights, the expert insights. That's why you come here to the market report. But folks, we got two tokens that were tracking in hot on the Markets Pro platform. This week we're going to be releasing a poll to see who had the best assessment of the altcoin that is trending in 2022. So go ahead and cast your vote. But next we have the Markets Pro tokens you should have been watching this week, folks. If you would have had the Markets Pro platform, you would have seen these take off. So to know, let's go ahead and get into Markets Pro for this week. Thanks to the Newsquakes alerts, you would have seen Oasis network trading on the ticker rose have a giant surge. Newsquakes are the automated alerts that instantly notify users about market moving events. In this week there was a 16% price increase in five hours. And the crypto market reacted to the announcement of Oasis Networks listing on Coinbase that dropped on April 25th. Look at this chart. That's a 16 gainer based off just a newsquake. And we know listings move the markets. That's what the news quake alert does. It instantly notifies you so that you can trade with fast, quick and get in on the action so you can catch that 16 gainer up. So it went from 20 cents all the way up to 24 cents. It's great to see. I love watching these come up every week. The news quakes got it on my phone. Get alerted instantly. You trade it, you make the moves, you make it happen. That's what happens on Markets Pro. Now the next coin for this week is Everest trading under the ticker id. And when we look at the vortex score, this is a comparison between the current market and social conditions and those in the past. Vortex score of 80 or above is considered confidently bullish and 30 and below is historically bearish. So what happens when you see an 88? Well, trading conditions around Everest began to look extremely bullish on April 22nd and the 23rd vortex score showed 88. That's huge. That's favorable. And what happened? Well, on the 24th, Everest price soared from 16 cents all the way up to about 25 cents 51 gain. That is huge. And these vortex scores, if you're able to watch these, you get, you set the alerts on Your phone, you're able to see this. And so you can set price action vortex for action on your phone. So when you see those high 80s, you want to put that on your radar. You want to be able to catch this and ride that wave up. That's the power of Markets Pro and we love it. That's why we love Markets Pro here on the Market Report. Thank you, Janelle, for pulling that up. Folks, if you're looking for swag, we got it. Go to store Cointelegraph to get your shirts, your hoodies, your hats. You need flip flops for the summer. I'm sure we got that. It's in the store. Go check it out. Store.cointelegraph.com we got you covered here on the market reports. All right, folks, we got the. The poll is live. I want to hear. So big headline this week. Elon Musk buys Twitter. Does this have any impact on the crypto market? Bitcoin as a whole? What are your thoughts here? Closing thoughts for today? I'll let Marcel, any impact on the crypto market? Is this a nothing burger? What are your thoughts?

I think for crypto markets, it's relevant, but for Shiba and Doge, that's a huge milestone. I don't know what this guy is going to do, but he's going to put a dog, a logo or some dogecoin implementation somewhere. So if you're a Dodge or Shiba Inu fan, go all in. This guy is crazy.

Interesting take. All right, Jordan, why don't you hop in?

It's already helped out Dogecoin. We'll see if they can sustain it on the long term. We'll see how it goes. But like, I'm amazed at how much influence this man has. Again, last year, beginning of last year, 2021, it was Elon Musk again talking about Dogecoin on Twitter and stuff like that that really like. I'm not going to say he started the whole market rally, but he was there at the beginning of the market rally talking about Dogecoin. So I'm amazed at how much the person that runs like a Tesla and a SpaceX can actually be like, hey, look, let's get the crypto market going too. But we'll see what it does for free speech and whatnot. Because I didn't. I've noticed personally a change over the last couple years in like censorship and whatnot, because I'm willing to look at all sides of the aisle. So hopefully this kind of changes something along that line.

Sam, what's Your take here in terms.

Of crypto, I think, I mean, Musk is, is, is quite pro crypto. So I don't know if that was going to mean more rollout of pro crypto features on, on Twitter, you know, tip jars, whatever. So I think long term it's probably going to be positive from an adoption perspective. If we're going to see more crypto adoption, Twitter could be a venue for that. So I think it's, it's probably positive for the crypto community overall and as Marcel said, especially for the meme coins, because it seems like Musk treats Doge more than, more than just as a meme coin.

Right.

I actually think he wants it to succeed. So I think it's a long term positive from that perspective. I don't know what that's going to mean in the short term, but I could see some headlines in the future about, you know, Twitter integrates XYZ and that's going to lead to greater adoption price, performance, etc. So positive overall, I think.

Yeah, I think this is a great thing. Although Jack Dorsey was a huge, and is a big bitcoin proponent, I think he was making great strides. But now you have Elon Musk, I think, willing to throw fuel onto that fire. I think this is a good thing for crypto, especially those meme tokens. I'm not a huge fan of them, but if Elon Musk can, can manipulate markets, he's the guy to start something. I mean, when we look back at when he bought all the bitcoin with Tesla, that did spark a major rally. So who knows what could happen here with this move? Maybe Twitter puts some bitcoin on their balance sheet. Who knows? So I do think overall we could see some things happen in the crypto world where those waves kind of shake from the social sphere into the crypto sphere. We will see. All right, folks, the, the poll is, I believe, just wrapping up. It looks like it's ending. So for those of you voted, thank you. Looks like Luna took it away today. So Sam, great job doing a deep dive on that for today. He's. Are you not entertained, folks? He's here. He's here all week, every week. We appreciate everyone tuning in and why don't we do this? We're gonna give away the one month subscription on Marcus Pro. First person to drop their Twitter handle in chat will win. We're gonna try this again this week. Drop your Twitter handle in the chat. First person do it wins. Ready, set, go. And drop it in the chat. We're gonna pick the first person to do it. Do you get a free month of Markets Pro? And you would if you want a 50 gain. Yeah, you would have caught that if you had Markets Pro. I don't know who would, who would pass up on that. But we're gonna give it 10 seconds here. I know there's a little bit of a delay but first person to drop their Twitter handle and there's gonna win if not until next week. So we'll wait. We'll give it just a few more seconds here and it looks like. Okay, fantastic. All right, folks, that's gonna do it for today. This is the market reporter here On Tuesdays go ahead and like subscribe Cointelegraph on YouTube. Make sure you're here. We appreciate everyone for tuning in from around the globe. We love you all. Until next week. Over and out.

Bare energy, baby.

It.