First of all, Eth 2.0 does not exist. It is named "The merge" and is the second of 3 Ethereum upgrades. "The merge" and "Shard chains" are yet to come out. The first upgrade, "The beacon chain" is currently live. The most common misconception on this subreddit is that when eth 2.0 comes out, transaction…
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NFTs are a dime a dozen, but Micah Johnson’s Akutar NFT project aims to bring to light the value of diversity and inclusivity to Web3.
Historical trend of the 200-day and 600-day MAs may suggest Bitcoin could observe another big drop in the near future. Current Bitcoin Pattern Has Historically Lead To A Big Drop In The Price As pointed out by an analyst in a CryptoQuant post, the current Bitcoin price looks to be squeezed between the 200-day and 600-day MA curves. A “moving average” (or MA in short) is an analytical tool that averages the price of Bitcoin over any desired range. As its name suggests, this average constantly updates itself as each day passes by and new prices are observed. The main benefit of an MA is that it evens out any local price fluctuations, and displays the trend as a smoother curve. This makes the tool quite useful for studying long-term trends, where day-to-day price changes aren’t as important. Related Reading | Bitcoin LTHs Hold Significantly More Loss Now Compared To May-July 2021 An MA can be applied on any range of period. For example, a week, a hundred days, or even just one minute. The below chart shows the trend in the 200-day and 600-day Bitcoin MAs over the past several years. BTC price seems to be stuffed between the two moving averages right now | Source: CryptoQuant As you can see in the above graph, a trend related to these MAs and the Bitcoin price has occurred following previous all-time highs. It seems like during 2014 and 2018, after the respective ATHs formed and the price dwindled down, for a period the price was squeezed between the 200-day and 600-day MAs. Related Reading | Why A “Boring” Bitcoin Could Be A Good Thing After staying some time in the region, the MAs crossed over each other and the crypto observed a large drop in its price. Also, while this happened, the Bitcoin volume also experienced a downtrend. Now, it looks like a similar pattern is starting to form this time as well. The price has dropped down since the November ATH, and it’s now stuck between the two MAs. If the pattern holds and the moving averages cross over again, then another big drop may just be in store for the value of Bitcoin. BTC price At the time of writing, Bitcoin’s price floats around $40.4k, up 1% in the last seven days. Over the past month, the crypto has lost 1% in value. The below chart shows the trend in the price of the coin over the last five days. BTC’s price seems to have seen a plummet over the past day | Source: BTCUSD on TradingView Bitcoin showed some strong upwards momentum a couple of days back as it seemed to be approaching another retest of the $43k level. However, before any such revisit, the price plunged down in the last 24 hours. Featured image from Unsplash.com, charts from TradingView.com, CryptoQuant.com
On Friday, users leveraging the Web3 wallet Metamask complained about service outages after Infura, Metamask’s default endpoint suffered from a “major outage.” The wallet company addressed the situation and explained the problems were due to Infura combating an outage. Metamask Users Deal With Connection Issues After Infura Suffers From Service Disruption One of the most […]
As the world looks for convenience, decentralized applications must quickly adapt their offerings to meet user expectations set by Web 2.0.
TLDR; It seems like they are looking for the worst possible way to regulate cryptocurrencies and their fiscal monitoring The proposed regulation law in the EU and the fact that in the US even what you get with Coinbase Earn is a taxable event (not to mention staking and defi in general) seem to be…
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Bitcoin remains rangebound in the high $30,000 to low $40,000 areas. The first crypto by market cap has seen its volatility reduce as several factors contribute to the slowdown across the sector. Related Reading | TA: Bitcoin Trims Gains, Support Turned Resistance At $41K At the time of writing, Bitcoin (BTC) trades at $40,500 with a 6% loss in the last 24-hours and a 1% profit over the past week. Trading firm QCP Capital believes Bitcoin has been trading in a larger range as it reclaimed the area around its current levels. The firm claims that there are 2 main reasons behind BTC’s recent price action. In addition to the U.S. Federal Reserve (FED) hinting at an aggressive monetary policy, there are expectations of Bitcoin and Ethereum revisiting critical support at $30,000 and $2,500, respectively. These expectations were generated by former BitMEX CEO Arthur Hayes’s latest post, “The Q Trap”. In the options markets, traders are preparing for a potential drop as QCP Capital records a “massive selling of May and June calls, causing BTC and ETH risk reversal”. These levels dropped from negative 6% to negative 10%. Conversely, the demand for BTC and ETH puts has increased. In other words, traders seem to be hedging for the upcoming crash by buying put (sell) options. If the price crashes, they will be able to benefit. Ethereum has seen the biggest uptick in demand for put calls. QCP Capital attributed it to the delay of “The Merge”. The event is set to combine Ethereum’s execution layer with its consensus layer and make ETH 2.0 fully operational. Bitcoin Finds Bottom With Stablecoin Craze Bitcoin’s recent price action characterized by low volatility could also be the result of the popularization of algorithmic stablecoins, QCP Capital believes. These digital assets have been in the crypto space for many years, but Terra’s UST managed to give them new life. The demand for UST has increased as users want to leverage the 19% annual percentage yield (APY) offered by Anchor Protocol. Other projects have begun imitating this model creating what the trading firm called a “soft floor in the market”. QCP Capital added: We mentioned in a previous post that the precedent set by Luna Foundation Guard (LFG) would spread and that has happened quickly with a wave of announcements from FRAX, NEAR and TRON (…). Similar to how LFG bought BTC and AVAX, these algo stables will build their treasuries in the major coins and provide material support in the market from their buying. The short-term relief in the market could be translated into long-term pressure. The trading firm claims that these digital assets could become a systematic risk for the sector. If the entities managing these stablecoins buy BTC or ETH to maintain the pegged of their assets, there is a chance that a de-pegged scenario could increase the selling pressure in the market. If the stablecoins are at risk of becoming volatile, the entities will sell their assets to try to keep the pegged. In any case, QCP Capital and others wonder about the long-term sustainability of the algorithmic stablecoins. UST, Terra’s native stablecoins, has been battle-tested, but many wonder if it will be able to keep its users with the rising competition. Related Reading | Why A “Boring” Bitcoin Could Be A Good Thing In the meantime, as expectations of a May/June crash increase and algo stablecoins proliferate, Bitcoin seems poised to remain rangebound with short-term price action to the downside. According to Material Indicators, BTC’s price will seek to take the liquidity of around $37,000. #FireCharts is showing ~$100M in #bitcoin bid liquidity between here and $37.5k range. Expecting it to get filled, but watching to see if #BTCUSDT liquidity moves to the active buy zone or the buy zone moves to the orders resting on the @binance order book.https://t.co/26BLOFwenL pic.twitter.com/NdAGc48yfY — Material Indicators (@MI_Algos) April 22, 2022
2022 is shaping up to be the year for Web3. KuCoin, Framework Ventures and CoinDCX have all made a splash in this emerging paradigm.
