Liquidity issues in the crypto industry are gradually becoming a global problem with several firms and exchanges worldwide pausing withdrawals, a smaller exchange called coinflex may have found the solution. Now, in today's video we'll be explaining the unique recovery plan that coinflex came up with to pay off a 47 million dollar margin call and why i believe it might actually be a horrible idea, we'll also be going over some of the major headlines in the market. Right now and what you should be doing next and you guys do appreciate these daily market updates - be sure to drop a like down below subscribe. If you haven't done so already, let's hop into today's video all right, so stocks rose this morning with the dow jones trading, two percent higher the s p 500 is up about point.

Five percent and the nasdaq went ahead and opened up pretty much flat. Bitcoin today is sitting at twenty thousand six hundred forty one dollars or about down a point, five percent and down about three point: four percent in the last seven days not much has been happening, at least within the start of this week. Things have been pretty low in volume we cannotice that even today, we're still sitting at about 54 billion dollars in crypto market volume over the last 24 hours, global crypto market cap still sitting at under 1 trillion dollars and right now, bitcoins dominance currently sitting at 42. Slight increase over the last day, but nothing to uh nothing to celebrate.

Over now on the four-hour chart, bitcoin has been trading on the 50 moving average all morning and for the past couple of weeks the trading ranges have been anywhere from twenty thousand dollars to twenty thousand eight hundred dollars and also twenty thousand eight hundred dollars to twenty One thousand seven hundred fifty dollars keep in mind. These numbers are of some significance. These are gon na, be the key levels of resistance and support on the four hour chart. On top of that, the rsi is currently sitting at a 45 on the four hour chart for this asset.

Now, taking a look at this other graph, the rsi on the daily chart is actually showing us just above oversold level, sitting at a 33.. On top of that, the weekly is considered oversold with an rsi of 26, and this is just giving us an indicator that, right now we may still be in a strong buying zone. Now to kick this video off. I want to talk about a pretty interesting survey.

Done by alto to recently go through some adults in the us to find out their preferences in investing well, here are the results. This report named how millennials see their financial futures reveals that nearly 40 percent of millennial respondents have invested in cryptocurrencies and the percentage is almost equal to those millennials who own stocks. Now. The report here highlights that 70 millennials, who own crypto and have an individual retirement, account, hold their digital assets in their ira now.

This is really good news, just because it is smart moves held by these investors. Not many people know that you can invest into crypto using your ira account, but on top of that, it's actually showing that millennials who do have their accounts stored in crypto, are going for a long term hold while there's always going to be individuals and people who Can make money just trading these type of assets and realizing? Okay, i can handle this volatility, go through the ups and downs and still find myself making money. The real long-term winners are where it says long-term. It's individuals who know that when crypto goes up or down even if they're holding for five ten years, they will still come out ahead, just as a reminder, even amongst all this flat movement and the bear market that we're currently in now just understand that this is Still a huge opportunistic zone for anyone trying to buy up the dip now earlier in june, another survey showed that high net worth individuals went ahead and also embraced crypto.

So, according to the world health report, 71 of wealthy participants have invested in digital assets such as crypto nfts and exchange traded funds. Now, surveys here just give us a bit more insight on the data. When people say man, i feel like no one's investing into crypto or not many people have bought in this real data where people are able to accumulate some facts are able to show us a different story. It seems like right now from what we're hearing the younger generations are right now, moving away from traditional, investing and learning more about the future of digital assets.

Bitcoin's price action may be uncertain in the next future, but the younger generations are also adopting the long-term vision of what's to come now. Some more good news on top of that, despite remaining at historically high levels where we're talking about bitcoin's correlation with the tech focus. Nasdaq 100 declined in june after hitting a multi-year high of 0.8 back in may. The bitcoin, a 30-day rolling correlation chart from kaiko, actually shows that bitcoin has a positive correlation with gold and a decrease in correlation right now with the u.s markets.

So why is this excellent news? Well, if and when the u.s market does enter a hot hot recession, then all major wall street indexes will plummet and if bitcoin is still highly correlated to those indexes, we could see bitcoin naturally drop even more now. On top of that, the sec is back in the news with cryptocurrency the sec chairman. Gary g went ahead and reaffirmed yesterday that the sec views bitcoin as a commodity, but refrain from extending the label to other cryptocurrencies. In an interview with cnbc gensler singled out bitcoin.

As an example of a crypto asset that should be regulated under the commodities, future trading commission also known as the cftc he stated here. Crypto financial assets have the key attributes of a security really here, noting that the similarity between the two is the idea that the investing public is hoping for return. Now, the previous sec administration believed that bitcoin and ethereum were also commodities. So yesterday's interview raised a question that the sec hasn't discussed since the court case against ripple whether or not ethereum should also be considered to be a security for those who don't know.

This question was a significant talking point in the sec's ongoing 1.3 billion lawsuit against ripple over the ico of xrp, which the sec claims is an unregistered security. Xrp's ico has been considered similar to ethereums, and the answer as to whether ethereum is a security will have a direct effect on the lawsuit's outcome. Now, by the way, the ceo of ripple has come back on stage and he's publicly stated that if the court rules in favor of the sec ripple will leave the united states for good, what that means is, if bitcoin happens to be the only cryptocurrency regulated by The cftc, which we just mentioned, then all other all coins would be labeled as securities and under the regulation of the sec. Now this would pretty much open up the doors to the sec to attack any d5 project that they want, and gensler is the second sec chairman to declare bitcoin a commodity, making it nearly impossible for this categorization to be changed in the future.

In my personal opinion, now going into some other news, we actually have talks about an exchange. It seems like right now this video is going to be titled like the great crypto liquidation, because this is all we're seeing it started with luna. Then it started with celsius, and now we even have this one. Smaller exchange called coinflex, which is now coming up with a unique opportunity to be able to settle their margin, call that they need in order to make sure that they don't crumble either.

So, on june 23rd this exchange went ahead and announced that their in-house flex token will be needed to meet a margin call of 47 million dollars that is causing a liquidity shortage now to resolve the problem of liquidity shortages. Usually, a company needs to be able to raise money or find ways for them to push it push the due date alongside of it, but it looks like this exchange is doing something. A little different coinflex is now issuing a new token called recovery value, usd or rvusd, with the hopes of raising 47 million to sell off their bad debt. Mark lam, which is the ceo of this exchange, said that the token will have a 20 yield and if the full amount of 47 million dollars is raised, all coinflex users will then be able to withdraw their funds in full.

If i have not yet mentioned it, yet the reason why this is so significant is because, if anyone's using this exchange just like celsius, your money is locked up and you cannot withdraw it out of their platform. Mark lam quoted we're turning a problem into an opportunity. Amongst an interview with bloomberg on monday, under normal circumstances, crypto lenders would liquidate margin accounts before they reach zero equity. However, coinflex has now opened a one-of-a-kind non-liquidation recourse action now, while this idea might turn a problem into an opportunity for coinflex, i foresee it turning into a major problem, maybe even more catastrophic, of what we've seen before with some of these other exchanges.

Now, to pretty much sum this up for us to get a better idea of the reality of the situation pretty much an unnamed individual who definitely has connections to this exchange, made many bad investments and was way over leveraged. This person put a 47 million dollar margin. Call that they cannot pay and coinflex has agreed to not auto liquidate this asset because they gave this user a privileged one-of-a-kind account. It's worth noting that co went ahead and said that this investor is a high integrity person of significant means.

What coinflex is doing now is issuing a new token out of thin air promising a crazy eye apy to raise the money they need to avoid getting insolvent. Now, after this, i don't know how coinflex and all these smaller exchanges are gon na survive, because it sounds like they're, almost taking ransom, 47 million dollars of someone that they don't want to liquidate. But then taking the money of people within the exchange that have nothing to do with this exchanges shouldn't issue a new token and expect investors to buy in even more just through high yields and we're seeing other protocols. Thinking that this might be a temporary solution to an existing problem now, i think the worst case scenario is if the market goes down even more and they really do need the money and they aren't able to raise any type of money.

From this special token, that's going to give them apy yield, we could even see a stronger liquidation happening within the market, thus even bringing the crypto markets down more now. I don't think the carnage here is just over yet i do think there is going to be a little bit more bumpy road ahead, but at the same time we have been in a pretty strong buying zone over the past few weeks. On a majority of the all coins, even with bitcoin, if you were able to buy up the bottom, you would be seeing a return on your investment. Even now, now guys, if you did enjoy today's market update, don't forget to drop a like down below subscribe to the channel already follow me over on twitter and on instagram.

Please watch out for scammers and impersonators there on top of that, if you guys want to check out a crypto roth ira, if you guys want to get started with investing now, just like we talked about at the beginning of this update where smarter investors are knowing The precautions of saving taxes and going long check out the link down below in the description for i trust capital, and on top of that, the secret code word for today is going to be laser beam comment that down below. If you guys made it all the way till the end have an amazing, tuesday and i'll see y'all soon, peace.