AI + Crypto + Bitcoin Halving = 🚀

Sunday is upon us.

Welcome to another newsletter from us at The Merge.

This Week’s Roundup :

• 🌊 AI x Crypto is a combination that just makes sense

• 🚀 Fidelity’s Bitcoin ETF hits $4 Billion

• 🤖 Reddit and Google sign a $60 Million deal

Before we get into it, let’s take a look at the winners and losers of this week across the markets.

Read Time: 8 Minutes

Biggest Winners & Losers This Week

Worldcoin | WLD - Privacy-preserving global identity network  (↑29%)

SignularityNET | AGIX - Blockchain platform marketplace that allows anyone to create and monetise AI services (↑27%)

Fetch.ai | FET - AI lab building decentralised ML network with crypto (↑26%)

Starknet | STRK - Permissionless decentralised zk-rollup (↓18%)

Dymension | DYM - Standardises rollups under one unified experience (↓12%)

Celestia | TIA - First Modular Blockchain (↓9%)

What’s happening in Crypto?

Here’s what else is happening in crypto that you should know about:

1/ AI and Crypto are a match made in heaven 🌊

AI is taking off people and in a big way. There was a notable surge in Worldcoin (WLD) and the record-breaking performance of Nvidia (NVDA) stock carries significance for everyday folks, shedding light on the interconnected nature of cryptocurrency and artificial intelligence (AI) markets.

Worldcoin's unique approach to distributing coins through a universal basic income (UBI) model, combined with the soaring demand for Nvidia's GPUs, reflects the evolving landscape where technology and finance converge.

OpenAI’s recent release of Sora, an AI model that can create realistic and imaginative scenes from text instructions has caused quite a commotion. To understand its capabilities check out the tweet below to understand that the images you are seeing are based purely on a text description (these are generated not captured on a camera).

AI is evolving at such an exponential rate that we could be seeing AGI (Automated General Intelligence) in the next 2-3 years potentially.

This trend isn't just for tech enthusiasts; it impacts us all by emphasizing the increasing importance of both crypto and AI in shaping our economic future.

It’s important to pay attention to these developments as they provide a glimpse into how innovations in these sectors can influence not only global markets but also our daily lives, illustrating the profound impact of technology on the way we navigate the world.

(side note: AI tokens are currently going through the roof - so keep an eye on which ones are vaporware and ones which solve unique business problems)

2/ Fidelity’s Bitcoin ETF skyrockets to $4 Billion 🚀

Fidelity's Bitcoin investment ETF, called FBTC, just hit a whopping $4 billion in how much money it's managing for people like us who want exposure to BTC.

It's a big milestone, showing that lots of regular folks and big-money players are getting interested in Bitcoin. You know, it's kind of like a trend where more and more people want to invest in Bitcoin but through the kind of investment vehicles, they're already used to.

Take a look below at some BitMEX research data, which tracks inflows/outflows of the ETFs.

So, what's cool about it is that now there's an easy way for everyone, not just the tech-savvy ones, to jump into the Bitcoin game.

Fidelity's success is saying, "Hey, you can invest in Bitcoin like you would in stocks or something, and it's becoming a big deal." It's like Bitcoin is becoming more and more a part of the regular money world, and Fidelity hitting $4 billion just proves that a whole bunch of us are getting in on the action.

3/ Reddit signs a deal with Google to utilise its data for AI Training 🤖

In a recent move, Reddit and Google have joined hands to enhance the experience on the platform by using Google's Cloud AI technologies.

On the positive side, this partnership promises a more personalised and engaging user experience. It's like having a digital assistant that gets to know your preferences and serves up content tailored just for you, making your time on Reddit more enjoyable.

However, like any tech collaboration, there are potential considerations. While the goal is to improve content recommendations, there may be concerns about privacy and data usage.

As these platforms leverage advanced AI, there's a need to ensure that user data is handled responsibly and transparently. Striking the right balance between personalization and privacy will be crucial in determining the overall success and acceptance of this partnership.

So, while the prospect of a more personalised Reddit experience is exciting, users might also want to keep an eye on how their data is being utilised in the process.

Our Favourite Tools to Navigate Crypto

🔭 DeBank: Web3 Portfolio Tracker - NEW

When it’s difficult to keep track of what’s where - just sync up any of your wallets and see within seconds where things are. This new gem of a tool we stumbled across gives you a holistic overview of all your holdings across multiple blockchains in one place (link)

👻 Phantom Wallet: Multi-Chain Crypto Wallet

Becoming our favourite wallet to use. An easy-to-navigate cross-chain compatible wallet (you can use it for SOL & ETH etc) with a user interface that beats most of the competition out of the ballpark (link)

😺🪐 Jupiter: Solana Decentralised Exchange

We only started using Jupiter a few months back and it’s by far our favourite DEX to use. Clean UX, cheap SOL fees, and DCA functionality are a godsend (link)

🦇 Arkham Insights: Smart Money Insights

An investment tool if you want to understand where ‘Smart Money’ (aka the market makers) are placing their bets then make sure to check it out (link) 

🦙 DefiLlama: Defi Dashboard

Analytics dashboard which shows the Total Value Locked (TVL) across all of the major DeFI protocols (link)

🦎 CoinGecko: Crypto Data and Analysis Platform

Keep up to date with prices, trading volumes, and crucial crypto data (link)

Ones to Watch

This list will continue to grow/change as the month’s progress and the market develops over this coming bull run.

AI: (↑<1%) this week

(TAO) Bittensor: 3.6B MC - Decentralised AI Network (↑40%)

(RNDR) Render Network: 2.7B MC - Decentralised GPUs (↑50%)

(ROSE) Oasis Network: 808M MC - Privacy-focused L1 Blockchain - NEW

(OLAS) Autonolas: 292M MC - Autonomous Services of AI Agents (↑34%) 

Gaming: (↑35%) this week

(BEAM) Beam Network: 1.7B MC - Network & Ecosystem for Developers and Gamers  (↑105%) 🔥

(SFUND) Seedify Fund: 211M MC - IDO Launchpad for New Tokens (↑18%)

(NAKA) Nakamoto Games: 140M MC - Play-To-Earn platform with multiple crypto games - NEW

(SHRAP) Shrapnel: 66 MC - FPS Triple AAA Game Backed by Franklin Templeton (1.5B AUM)  (↑45%)

Depin | Distributed Computing: (↑45%) this week

(SHDW) Shadow Network: 229M MC - Solana Infrastructure (↑13%)

(NOS) Nosana: $398 MC - Decentralised GPU's (↑326%) 🔥

(OPSEC) Opsec Network: 71M MC - Ethereum Privacy & AI Physical Infrastructure (↑440%) 🔥

L1’s/Parallel EVM: (↑6%) this week

(SEI) Sei Network: 2.1B MC - Extremely Fast L1 with V2 & Parallel EVM Launching in Q2  (↑38%)

(NEON) Neon EVM: 70M MC - First Live Parallel EVM to go live on Mainnet - Direct Interoperability with No Fragmentation between ETH & SOL (↓8%)

(MONAD)* Coming this year → keep an eye out for it.

*NFA of course - these are just ones we’re keeping an eye on*

Key Indicators to Look at

Altcoins: Buy and Sell Signal - NEW

We wanted to share with you a great piece of equipment to add to your arsenal of analytical tools.

Cryptokoryo has created a system designed to optimally invest in crypto coins (>1 year).

It highlights the signal of when to:

• Sell your house (0.1 and below is a generational buying ) = BUY

• Buy a house (0.9 and above is generational selling ) = SELL

So where are we currently? 

0.117 = BUYING OPPORTUNITY

Our personal opinion alongside historical data, is that we’re not going to be hovering around this zone for long.

The ball is in your court and the signals are there. It’s up to you what you do with this information.

FYI: This doesn’t mean we cannot go lower - we may see our traditional pre-halving flush.

Either way - it’s 60 days until the Halving!

MVRV

The MVRV Z-Score uses blockchain analysis to identify periods where bitcoin is significantly over or undervalued relative to its ‘fair value’.

It can be a good sign to an investor/trader of when to buy or sell. You can read more in detail about how it can be used here.

Current MVRV Score: 1.93

Fear and Greed

Investors need to be cautious of their own nature as their emotions could cloud their rational decision-making and judgement.

This index is a collection of sources to track the general sentiment of the crypto market.

Current Fear & Greed Index: 72

Extreme fear can be a sign that investors are too worried. That could be a buying opportunity.

When Investors are getting too greedy, that means the market is due for a correction.

That’s it!

As always, thanks for reading.

Hit reply and let us know what you found most helpful this week—we’d love to hear from you.

Until next Sunday,

The Merge