Good morning, Asia. Here’s what makes news in the markets:
Welcome to the Asia Morning Briefing, a sunny summary of the leading stories of US time and a general measures of movements and market reviews. For a detailed overall -analysis of US markets, see The Americans.
The price of bitcoin holds close to the records, but the chain itself is quiet. Glassnode data shows transaction fees have collapsed back to decades lows, even with BTC flirts with six figures.
In previous cycles, fee spikes have been monitoring bull markets as entrepreneurs who bid for blockspace. This year, the fee curve is flat as the price rises, a clear sign that the onchain demand is no longer driving the market.
A new report from Galaxy Research Daily fees are shown in the sun -dropping more than 80% since April 2024, with about 15% of the sun -sun blocks that now have a cleared of 1 Satoshi per VBYTE. Nearly half of the recent blocks are not full, which signed a weak demand for blockspace and a dormant mempool.
This is a sharp contrast to previous bull cycles, where price rallies are translated into congestion and fee spikes.
Data confirms a structure of the structure: spots ETF and custodians now hold more than 1.3 million BTCs, and coins parked in wrappers rarely touch the chain again.
At the same time, the retail activity that once concluded the Bitcoin blockchain moved to Solana, where Memecoins and NFTs benefit from cheaper and faster implementation. As a result, the Galaxy note, is that the price of Bitcoin is set by custodial flows while the network onchain demand – once a proxy for price movement – slows down.
For miners, this dynamic -new is particularly punished. With rewards divided by 3.125 BTC and fees contributing to less than 1% of the block revenue in July, profitability is under the strain. That stress drives the listed miners to vary in AI and HPC posting.
Read more: Bitcoin Mining Faces ‘Not Kapani -Believing difficult’ market because power becomes real money
A Will report from earlier this year Through Rittenhouse Research has argued that the transfer of Galaxy Digital out of mining can be a model for the sector.
This step is applauded by equity markets. While the BTC dropped more than 3% in the year, the coinshares Bitcoin Mining ETF gained about 22%. Investors rewarded companies leaning against the difference instead of relying on the rewards of the block independently.
Listed miners tell a similar story. The Hive, Core Scientific, and Terawulf all reported Q2 results that pad HPC and AI revenues.
Those who have no variety, such as BitDeer and Bitfufu, remain deeply exposed to electricity costs, equipment shortcomings, and a market fee warned by space in its report is “anupaman but stable.”
JuxTaposition says: Galaxy’s own research warns that the role of Bitcoin blockchain’s regulating is stagnating, while the Galaxy balance has been rerepared for the growth in AI data centers.
Onchain data makes the point: without organic demand for blockspace, fees cannot fund security. And if the fees remain low, the equity markets paint a clear picture that the best return of the mining sector can come from AI, not Bitcoin.
Movements in the market
BTC: Bitcoin exchanged $ 113,286.95, down 1.79%, after a short fall to a six -week low near $ 110,600, with a wider crypto market faced with heavy fluids and volatility.
Eth: Ether exchanged flat to $ 4,779 as statements by Jerome Powell’s Dovish Jackson Hole Asset managers who predict new highs For Bitcoin and an ETH breakout of over $ 5,000 despite the risks from the adoption of treasury and equity volatility.
Gold: The gold was closed to $ 3,371 after Powell’s Jackson Hole comments strengthened the odds of ODDs cutting September.
NIKKEI 225: Asia-Pacific stocks climbed Monday, with Nikkei 225 to 1.08%of Japan, after Powell signed potential cuts on the Fed rate in September during his speech at the Jackson Hole.
