Disclosure: Delphi Ventures and members of our team may own positions in assets mentioned in this report. This statement is intended to disclose any conflict of interest and should not be misconstrued as a recommendation to purchase any token. This content is for informational purposes only and you should not make decisions based solely on it. This is not investment advice.
Today’s been a sleepy day for BTC, with today’s candle barely visible. NFT project tokens have continued to increase in price, riding on the coattails of AXS’s fierce bounce.
Aggressive Shorting on AXS and SLP
- The entire market was down in the dumps last week, but this week is looking a little stronger. AXS capitalized on its recent bout of strength and closed yesterday up 49% from its daily open (yes, 49% in one day).
- Shorts are stacking up on AXS perpetual contracts, with funding now at -0.27% over the last 8 hours, or -295% per year (shorts pay longs). FTX listed a perpetual for SLP, Axie’s utility token, so now the Axie utility token and governance token compete for which one can hit the lowest funding rate. At one point, SLP was so heavily shorted that funding rates went to nearly -1.2% over 8 hours, or -1,315% per year (shorts pay longs).
- Naturally, SLP closed yesterday’s daily candle with a modest 18% rise, forcing shorts to cover, and sending funding rates back to a reaso