Insights: The sad saga of Sam Bankman-Fried continues with a judge on Friday revoking the former FTX CEO's bail. CoinDesk columnist David Morris explained why the decision was almost inevitable.

Update: Judge Lewis Kaplan has now revoked Sam Bankman-Fried's bail and returned him to jail.

Prices

CoinDesk Market Index (CMI) 1,226 −0.1 ▼ 0.0% Bitcoin (BTC) $29,347 −59.3 ▼ 0.2% Ethereum (ETH) $1,847 −1.3 ▼ 0.1% S&P 500 4,464.05 −4.8 ▼ 0.1% Gold $1,946 +31.3 ▲ 1.6% Nikkei 225 32,473.65 +269.3 ▲ 0.8% BTC/ETH prices per CoinDesk Indices, as of 7 a.m. ET (11 a.m. UTC)CoinDesk Market Index (CMI) 1,226 −0.1 ▼ 0.0% Bitcoin (BTC) $29,347 −59.3 ▼ 0.2% Ethereum (ETH) $1,847 −1.3 ▼ 0.1% S&P 500 4,464.05 −4.8 ▼ 0.1% Gold $1,946 +31.3 ▲ 1.6% Nikkei 225 32,473.65 +269.3 ▲ 0.8% BTC/ETH prices per CoinDesk Indices, as of 7 a.m. ET (11 a.m. UTC)

Bitcoin (BTC) was holding steady just below $30,000.

"The price stability is a positive sign, indicating consolidation around these levels that can potentially support another leg up," Joe DiPasquale, CEO of the crypto hedge fund BitBull Capital, told CoinDesk in an email on Sunday.

DiPasquale said was still digesting last week's announcement by PayPal of its own new stablecoin linked to the U.S. dollar.

"This is a major set forward since it’s the first issuance of its kind by a traditional, global payments service with hundreds of millions of users," DiPasquale said. "We believe such developments are likely to shape the market behavior moving forward, even if the general response is relatively muted at this point."

Insights

Sam Bankman-Fried's Almost Unavoidable Return to Jail

This story by CoinDesk columnist David Morris was published shortly before Judge Lewis Kaplan revoked Sam Bankman-Fried's bail and returned him to jail.

Sam Bankman-Fried spent 2021 and much of 2022 talking himself into the role of a cryptocurrency mogul. A court hearing today will decide whether he has now talked himself from cushy house arrest back into a concrete and steel jail cell.

Latest News: FTX Founder Sam Bankman-Fried Jailed Ahead of Trial

The immediate trigger for today’s hearing in the courtroom of District Judge Lewis A. Kaplan was Bankman-Fried’s sharing of the private diary of Caroline Ellison, who Bankman-Fried installed as nominal CEO of FTX and later allegedly ordered to engage in fraud. Prosecutors claim the goal of the leak was to discredit or intimidate Ellison ahead of the trial, when she is expected to testify as a cooperating witness.

But this is merely the straw that broke the camel’s back: Sam Bankman-Fried has been using deceptive public arguments and back-door private communications to manipulate his trial since the moment of FTX’s collapse.

He gave seemingly innumerable interviews and public appearances in the weeks before his arrest. During his house arrest, he has continued to give interviews proclaiming his innocence, though lower-profile. Well before releasing Ellison’s diary, he also allegedly reached out to many of those expected to testify against him.

Find the full story here: Sam Bankman-Fried Could Go Back to Jail Thanks to His Big Fat Mouth

Important events.

2 p.m. HKT/SGT(6 a.m. UTC): Germany wholesale price index (July/MoM/YoY)

CoinDesk TV

In case you missed it, here is the most recent episode of "First Mover" on CoinDesk TV:

Greed and Fear Index Signals Bull Revival in Bitcoin; Could FTX's Sam Bankman-Fried Go to Jail

FTX founder Sam Bankman-Fried was slated to attend a court hearing today. Matrixport's Bitcoin Greed and Fear Index, which has a solid track record of marking trend reversals, is signaling a bull revival in bitcoin. Innovating Capital general partner Anthony Georgiades shared his crypto markets outlook. Bakkt CEO Gavin Michael discussed the crypto trading firm's latest quarterly results. Smart Token Labs chief strategy officer Mathew Sweezey also joins the conversation.

Headlines

A Bitcoin Warning Signal Blares From Surging Interest in Shiba Inu: Open interest or the dollar amount locked in open SHIB futures contracts has topped $100 million for the first time since February.

Sam Bankman-Fried Jailed Ahead of Trial: Bankman-Fried was accused of leaking former Alameda Research CEO Caroline Ellison's diary to the New York Times.

Cathie Wood's Ark 21Shares Bitcoin ETF Application Decision Pushed Out by SEC: The regulator is reviewing more than a dozen spot bitcoin and ether future ETF applications.

Asia Pacific Bitcoin Ether Altcoins First Mover Asia

James Rubin

James Rubin was CoinDesk's Co-Managing Editor, Markets team based on the West Coast. He has written and edited for the Milken Institute, TheStreet.com and the Economist Intelligence Unit, among other organizations. He is also the co-author of the Urban Cyclist's Survival Guide. He owns a small amount of bitcoin.

Bradley Keoun

Bradley Keoun is CoinDesk's managing editor of tech & protocols, where he oversees a team of reporters covering blockchain technology, and previously ran the global crypto markets team. A two-time Loeb Awards finalist, he previously was chief global finance and economic correspondent for TheStreet and before that worked as an editor and reporter for Bloomberg News in New York and Mexico City, reporting on Wall Street, emerging markets and the energy industry. He started out as a police-beat reporter for the Gainesville Sun in Florida and later worked as a general-assignment reporter for the Chicago Tribune. Originally from Fort Wayne, Indiana, he double-majored in electrical engineering and classical studies as an undergraduate at Duke University and later obtained a master's in journalism from the University of Florida. He is currently based in Austin, Texas, and in his spare time plays guitar, sings in a choir and hikes in the Texas Hill Country. He owns less than $1,000 each of several cryptocurrencies.