The events of the past seven days took a turn for the worst throughout the entire cryptocurrency market. Bitcoin started the week trading at around $11,500 and managed to advance to a peak of around $12,050 a few days later.
And that’s when it went downhill.
In less than two days, BTC lost around $1,500 of its value, bringing the price down to its current level of $10,500. However, the primary cryptocurrency spiked to a low of $9,875 on Binance before recovering, taking all large-cap altcoins with it, with an exception of TRON’s TRX.
DeFi coins, which received most of the attention, are also bleeding out. Their frontrunner, the governance token of Yearn Finance, YFI, peaked at around $39,000 only to decrease to where it’s currently trading at $26,400.
Irrespective of the above, one of the landmark events of the last seven days were the astronomic fees on Ethereum’s network. As CryptoPotato reported, the fees charted continuous all-time highs, largely induced by the DeFi craze. Multiple users reported fees upwards of $100 for simple staking transactions, giving merit to the notion that DeFi is becoming profitable only for whales.
Multiple DeFi protocols saw investors staking millions in a matter of hours, pursuing unseen yield percentages, completely ignoring the risks of their unaudited protocols. Examples include one of the latest trending platforms called SushiSwap – a fork of Uniswap with an included reward token.
It’s interesting to see how the market will progress in the following week. While Bitcoin managed to recover, for now, the CME gap down at $9,600 remains unfilled, prompting many to believe that it’s the next bearish target.
Market Data
Market Cap: $338B | 24H Vol: 148B | BTC Dominance: 56.9%
BTC: $10,441 (-2.67%) | ETH: $382,70 (-4.56%) | XRP: $0.251(-3.11%)
Binance Futures Open Interest Crossed $1 Billion in August. Data from the Binance August trading report reveals that the open interest for cryptocurrency futures surged to over $1 billion on two separate occasions during the month of August 2020. Indeed, the month was filled with tumultuous action and serious volatility.
Why Bitcoin Cash Holders Are in For More Free Coins This November. Bitcoin Cash’s network might undergo a hard fork during November. This might result in BCH holders receiving additional cryptocurrency as a result. Their market performance, however, is anyone’s guess.
Adoption: Pornhub Premium Now Accepts Bitcoin and Litecoin for Payments. The HD arm of the popular adult website Pornhub – Pornhub Premium, has announced that it accepts Bitcoin and Litecoin as a means of payment. This is a serious step towards the overall mass adoption of cryptocurrencies.
Coinbase Welcomes Andreessen Horowitz Co-Founder to Board of Directors. The leading US-based cryptocurrency exchange, Coinbase, announced new members to its board of directors. One of them is Marc Andreessen, the co-founder of the venture capitalist firm Andreessen Horowitz.
Short Bitcoin (SBTC) ETP Launched on Germany’s Xetra Electronic Exchange. 21 Shares’ Short Bitcoin ETP (SBTC) was listed on Xetra – a digital exchange operated by the Frankfurt Stock Exchange. This will provide investors in Europe with exposure to the inverse movement of Bitcoin’s price.
Blood Bath: Total Market Cap Shrunk $23 Billion as BTC Lost 5% and ETH 15%. The past two days were particularly unproductive for the cryptocurrency market as Bitcoin and Ethereum both lost major chunks of their USD value. The entire market cap is also down considerably as it seems to follow the movement of global stock indices.
Charts
This week we have a chart analysis of Bitcoin, Ethereum, Ripple, Tron, and Tezos – click here for the full price analysis.
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