Chart of the Day
The Stablecoin Supply Ratio (SSR) has been trending up in recent weeks despite Tether treasury reaching a plateau since early June, which suggests that capital has been gradually flowing back from stablecoins into Bitcoin. A low supply ratio indicates that stablecoins currently have more buying power to acquire BTC, and therefore, is a proxy to the supply/demand dynamic between BTC and USD. Historical data suggest that SSR lows usually coincide with BTC price corrections, and hopefully the current uptrend will shake BTC from its bearish slumber.
Talk of the Town
Race for the Second Place. Following El Salvador’s landmark acceptance of Bitcoin as legal tender, other countries trapped in similar situations are eyeing Bitcoin’s potential to draw crypto businesses. Paraguay’s lawmaker, Bitcoin advocate, and tweetaholic Carlos Rejala is accepting congratulations on Twitter for pushing a bill — mirroring El Salvador’s new Bitcoin law — that seeks to make Paraguay a crypto hub and establish Bitcoin as legal tender. Details of the bill, however, are yet to be revealed. Meanwhile, El Salvador’s Bitcoin law is set to come into effect on Sept. 7, and the government will deploy the Chivo e-wallet, preloaded with $30 worth of Bitcoin.