digital asset
May 03, 2024
8 min read

DigitalX Weekly Crypto Update: Market Trends and Analysis

19-26 April 2024

This week's latest trends and insights in the digital asset market from our asset management team.

Market Commentary

US Spot Bitcoin ETF inflows slowed down, as they found an equilibrium – but daily traded volumes continue to be relatively high compared to other ETFs. The Bitcoin ETF story doesn’t stop at the US though; as Hong Kong recently listed six spot Bitcoin and Ethereum ETFs this week which are managed by firms such as China Asset Management, Harvest Global, Bosera, and HashKey. Whilst day 1 volumes on HK ETFs were disappointing, it certainly is a positive development over the long-term as larger pools of capital can now access Bitcoin in a regulated and compliant way. Australia made headlines around potential spot Bitcoin ETF listings also, with the ASX currently expected to approve spot Bitcoin ETFs by the end of 2024 according to a Bloomberg article. The ASX handles around four-fifths of Australia’s equity volumes.

The most anticipated airdrop of the year from EigenLabs was controversial. The restaking protocol, which raised US$100 million from venture capital firm Andreessen Horowitz (a16z), essentially pioneered the concept of restaking – the ability to reuse capital to stake on Ethereum to simultaneously secure other blockchains. Nearly US$16 billion has been locked on the platform, which has been called the single biggest innovation in crypto in years. Many users were annoyed as the airdropped tokens were initially non-transferable and were not awarded to users who interacted with the protocol via VPNs.

The Federal Open Market Committee of the U.S. Federal Reserve left its benchmark fed funds rate unchanged. The FOMC acknowledged that progress on lower inflation has stalled this year and said it wouldn’t be appropriate to trim rates until it has greater confidence inflation is moving “sustainably” towards 2%.

CEO Comment

The Gap between Bitcoin and the S&P 500 has halted its narrowing streak at last week’s 6%, now sitting at 17%. This is to be expected in the current risk-off market and tracking this is proving to be an indicator of sentiment somewhat.

As for the shift list, which we define as the major events and announcements facilitating the broader market’s transition to Web3 financial rails or the internet of value, the top shifts for this week include:

  1. When we previously spoke about the year of scaling up, this is exactly what we meant – RWA’s are starting to gain traction – with US$8 billion and counting – Messari
  2. Hong Kong’s listing of Bitcoin and Ethereum ETFs may not have been the explosive start that the US ETF’s had, but we believe the listing will prove to be historic in the years to come. 
  3. We were proud to be featured in the attached article with Bloomberg highlighting that the ASX may soon join the Bitcoin ETF conversation. 

Our Top “alts shifts” for this week, featuring shifts in our altcoin universe that drive our thematic approach, saw the second gap, or the broader digital asset market, remain flat at circa 40%. I want to reiterate that this is a big opportunity, as mentioned we see this as a selective opportunity to identify and grow our alternatives portfolio via our “alThematics” work. The gaps themselves are proving to be a risk on, risk off proxy and hugely high Beta – volatility is a certainty and an opportunity – the building is happening no matter what.

  1. In terms of real world asset tokenisation scaling in 2024, this may end up being the smallest deal BlackRock ever does, though a VERY BIG DEAL for RWAT market development

What are our favourite thematics for 2024? We continue to like any infrastructure plays of the shift from Web2 to Web3 financial rails and any plays in the real-world asset tokenisation infrastructure, data validation and decentralised storage, as well as scale-up technologies such as ZKrollups. We are closely following all the ”de’s” – DeFi, DePin, DeSoc – (want to know what that means? – message us). 

Lisa Wade, CEO DigitalX



*All figures throughout are in USD unless otherwise specified


Market Updates

The Shift List

Macro and Regulatory Environment

About DigitalX

DigitalX Ltd (ASX:DCC) is a leading ASX-Listed Bitcoin and digital asset funds management business. The Company has a 9 year track record mining Bitcoin, blockchain and smart contract development. DigitalX Asset Management is the investment manager of digital asset investment products that provide qualified investors with highly secure and streamlined access to digital asset exposure. To learn more contact the team at [email protected] or visit our website


DigitalX Asset Management Pty Ltd is a corporate authorised representative (CAR) of Boutique Capital Pty Ltd (AFSL 508011), and True Oak Investments Ltd (AFSL 238184). To the extent to which this document contains advice it is general advice only and has been prepared by the CAR for individuals identified as wholesale investors for the purposes of providing a financial product or financial service. The information herein is presented in summary form and is therefore subject to qualification and further explanation. The information in this document is not intended to be relied upon as advice to investors or potential investors and has been prepared without taking into account personal investment objectives, financial circumstances or particular needs. Recipients of this document are advised to consult their own professional advisers about legal, tax, financial or other matters relevant to the suitability of this information. Past performance is not indicative of future performance.

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