While most tokens have gained some value in the past seven sessions, investor sentiment still lingers around the “extreme fear” territory, indicating that the ongoing bearish phase is far from over.
Bitcoin Stabilizes Near $30,000
After plunging to lows of $25,000 over the past couple of weeks, Bitcoin (BTC) is stabilizing near the crucial support level of $30,000. Over the past seven sessions, the leading crypto by market capitalization has registered around 5.2% gains.
Earlier this week, BTC jumped above the $31,000 mark for a brief period before falling below the $29,000 mark within hours, primarily due to a substantial correction in U.S. equity markets.
U.S. markets reversed gains swiftly this week, with the S&P 500 and Nasdaq 100 falling within the first hour. Meanwhile, the Luna Foundation Guard (LFG) sold off 99.6% of its position (80,081 BTC), thereby placing more pressure on BTC’s price.
The latest on-chain data indicates that BTC whales are on a dumping spree – a sign that BTC’s bearish run might persist. According to BTC: Exchange Whale Ratio (72h MA), almost 90% of the deposits to exchanges are coming from whales, which may lead to more downside risk. The Bitcoin network has now increased its mining difficulty to 31.251 trillion – exceeding the 30-trillion mark for the first time ever.
WAVES and CELO Dip Below Comfort Levels
CELO, the native token of the blockchain ecosystem Celo, has dipped by almost 17% this week, making investors a bit uncomfortable. Although CELO has avoided maximum downside during the recent crash, sell-offs have contributed to its ongoing bearish performance.
Last week’s top gainer TRON also slid before making a recovery over the past seven sessions. The Tron ecosystem recently released the first-ever “decentralized” stablecoin USDD.
At the same time, the TRON DAO has acquired millions of dollars worth of BTC and TRX to safeguard its algorithmic stablecoin USDD, thereby spiking the overall market capitalization of the TRX token. However, extreme volatility, fear, and sharp sell-offs have had their effects on TRON’s value.
Altcoins Sit on the Greener Side
The majority of the altcoins have registered promising growth over the past seven sessions, despite the uncertainty clouding the broader market. Among some of the top altcoins by market capitalization, Binance Coin (BNB), Cardano (ADA), Solana (SOL), and Polkadot (DOT) have been able to cut their previous losses, with all of them registering double-digit gains.
One of this week’s top gainers was Decentraland (MANA), with its value spiking by more than 43%. The demand for “Linked Wearables” is triggering bullish momentum, and Decentraland, the leader in this space, is experiencing the most traction.
The emerging concept of Linked Wearables is receiving much attention from Metaverse investors and users alike. While there has been a steady decline in Decentraland’s LAND sales, it is witnessing extraordinary growth in its NFTs.
While the altcoin market is recovering rapidly, Socios fan token has rallied by more than 40%. This upward rally comes at the heels of a new exchange listing on BitPanda, a mainnet launch, and the unveiling of a “competitive burn mechanism” announcement.
That said, the biggest reason behind this surge appears to be the myriad of new developments on the Chilliz protocol – the platform that operates Socios’ blockchain-based sports entertainment platform. As part of the broader launch of Chiliz’s mainnet, Chiliz announced the launch of Jalapeno, the second phase of its Scoville Testnet, earlier this week.
Terra in Legal Trouble as Mainstream Adoption Continues Apace
The ongoing Terra blockchain saga is far from over. While CEO Do Kwon has shared a detailed plan to revive the struggling chain, which experienced massive outflows following the de-pegging of the TerraUSD algorithmic stablecoin, South Korean politician Yoon Chang-Hyeon of the People Power Party has urged a parliamentary hearing on TerraUSD (UST).
Amid this shakeup, Terra’s internal legal team, including Lawrence Florio (Chief Corporate Counsel), Marc Goldich (General Counsel), and Noah Axler (Regulatory Counsel), have all ceased working for Terra.
When it comes to blockchain adoption, Getty Images and Candy Digital have joined hands to launch an exclusive NFT marketplace featuring Getty Images NFTs. In the meantime, Japanese Investment bank Nomura has announced its plans to launch a crypto subsidiary, which will be operated outside of Japan by a team of 100 personnel by the end of 2023.
Finally, prominent music streaming platform Spotify is currently testing the option to enable musicians to add NFT galleries on their profiles in a bid to improve artist and fan experiences.
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