After yesterday’s bull run, where Bitcoin and Ethereum saw substantial price growth, today’s markets are testing support levels. Trading volume for BTC and ETH is also down by an average of 30% in the past 24 hours, signaling that cryptocurrencies are taking a break this Thursday. Let’s look at relevant crypto and global news affecting markets today.
Key Points:
- Crypto markets test newfound support after significant bullish momentum earlier in the week.
- A report from Yahoo Finance uncovers that Core Scientific might be filing for bankruptcy soon as it can’t afford to pay its debt payments for October and November.
- Google is taking the initiative to help Ethereum developers by launching a cloud-based node engine that will service Ethereum projects and allow developers access to a “fully-managed” node hosting service.
- The global crypto market cap is down 0.75%, again below the $1 trillion mark. We will likely see additional bullish momentum next week if current support holds.
Crypto Market Update
One of the most significant news for Bitcoin today is a report from Yahoo Finance highlighting that Core Scientific, the company behind the world’s largest bitcoin mining operation, will not make debt payments due in October and November.
According to the report, Core is “exploring alternatives to its capital structure and is working with financial and legal advisers but noted it might have to file for bankruptcy.”
If Core Scientific filed for bankruptcy, this would effectively wipe out stockholders and cause them to lose their investments in the company altogether.
Part of Core’s lack of funds is the unpaid bill from one of its largest clients, Celsius, the same Celsius that went bankrupt a few months ago. Core asks the court to force Celsius to pay its bill or terminate the contract.
JUST IN – Worlds largest #Bitcoin miner Core Scientific stock is down over 70% today. pic.twitter.com/t6MhyH3DWG
— Bitcoin Magazine (@BitcoinMagazine) October 27, 2022
In response, Core Scientific’s stock went down by over 70% today, signaling that investors are losing hope in the company.
In other, more positive news, a report from Decrypt highlights that Google launched a cloud engine for Ethereum developers and wants to become a key infrastructure provider for Web3.
Google’s cloud-based node engine will service Ethereum projects and provide developers with an easily-accessible “fully managed service.” This means customers won’t have to hire teams to maintain or monitor their nodes since Google will partake in monitoring and restarting the nodes if any of them go offline.
Seeing Google, one of the most influential tech companies in the industry, take the initiative, and have an active role in blockchain is a highly bullish sign for Ethereum and the crypto market as a whole.
It’s clear that blockchain’s potential is immense, and the more tech giants support the industry, the faster progress can be made in creating next-generation blockchain apps and seeing significant bullish momentum for the market.
Today’s price action is slightly bearish as the global crypto market tests newfound support levels. The global cryptocurrency market cap is down 0.75%, currently at $994 billion. Bitcoin is trading at $20k, while Ethereum is at $1,500.
If current support levels can hold, we will likely see additional bullish momentum next week, with Ethereum taking the lead like it did last week.
Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.
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