Episode 34: Can A 50bps Rate Cut Get Crypto Moving Again?

In this week’s podcast, Imran Lakha and David Brickell discuss the recent price action in the crypto market in the wake of a dramatic repricing in rate cut odds.

With a 50bps cut now the most likely outcome, they discuss why BTC is not moving up in line with US stock markets. Imran catches up with special guest Marty, CIO of Mymo Group and prominent crypto Twitter influencer to get his perspective on the current setup in crypto vol and how the election is being priced. David continues to like the macro fundamentals but Imran has started to increase hedges as weak seasonality takes hold before the election.

The following topics is covered:

0:00 – Introduction
0:43 – Last week’s debate & upcoming FOMC
4:22 – Emergency cut? How Powell will justify the Fed’s decision
6:29 – Impact on crypto & stocks if the Fed cuts by 50 BPS
11:13 – Imran catches up with Marty, CIO of MYMO Group
15:14 – Marty’s approach to trading volatility, risks, and arbitrage
18:25 – Deribit, The truth of source in Crypto Options
20:06 – Current perspective on the crypto volatility setup
23:02 – Will the election be a “sell the news” event?
26:15 – Marty’s current view on Ethereum
29:50 – Why is crypto selling off with a 50 BPS cut anticipated?
32:58 – Biggest opportunity in crypto right now
36:56 – Importance of hedges in place
38:44 – Thoughts on the conversation with Marty, election volatility
41:50 – Imran’s current positioning in crypto
42:42 – Closing thoughts