It was a very red week for cryptocurrencies, with most of the leading cryptocurrencies dropping in value over the seven days as heavyweights like Bitcoin And the Ethereum Doubled losses were recorded by the end of the week.
Bitcoin is currently down 13% and selling for $21,309, according to data from CoinMarketCap.
Ethereum, the world’s annexe largest cryptocurrency by market capitalization, is down 18% to $1,635 at the time of writing.
The massive rétraction in Ethereum comes despite the good infos in recent weeks.
Over the past few weeks, the price of Ethereum has been gently boosted by the prévision of an upcoming “renforcement” upgrade, when the network is expected to modification from a power-intensive Proof of Work (PoW) agrément mechanism, to a 99.95% greener. proof of stake mechanism (PoS).
In a post-scriptum Wednesday to investors, banking giant JPMorgan said that the Ethereum merger would be Good for Coinbase. The cryptocurrency exchange holds a 15% market share of Ethereum assets and offers an Ethereum stacking aumône for enterprises. JPMorgan anticipates that this will give the exchange a competitive advantage after the merger.
In another bullish sign for the network, Ethereum Name Charité (ENS) registrations doubled. In the past étuve months. The infos reflects a greater demand for .ENS domain names, which are a more fort potentialité to the slip of random numbers and characters that typically make up a crypto wallet.
Almost every leading cryptocurrency enters this weekend, down 20% from the past. Solana down 21% to $36, dotted It is down 22% and is currently sold at $7.42 USD, Cardano sank 19% to 46 cents, Chute Shrinked 23% to $23, ribbed down 21% to 80 cents, Uniswap It fell 21% to $7.18, and Ethereum Classic It fell 24% to $34.
Bitcoin miners suffer losses
On Monday, publicly traded Bitcoin mining company Bitfarms published a éloigné $142 million loss In the annexe quarter due to higher energy prices.
During the quarter, the Quebec-based company sold 3,357 Bitcoin for $69.3 million, to help pay off a loan from Mike Novogratz Galaxy Quantitatif. By the end of June, the company had 3,144 Bitcoins, worth nearly $62 million a US Securities and Exchange Commission filing.
Bitfarms isn’t the only forer to post losses lately. Last month, Argo Blockchain PLC became the latest Bitcoin mining company to be sold Bitcoin is more than mined in a month. As of the annexe week of July, he had an outstanding chaloupé of $22 million on his Bitcoin-backed Galaxy Quantitatif loan.
Data by Hermétique Research revealed that it is generally traded Bitcoin Miners, such as Épreuve Quantitatif and Riot Blockchain, They sold more bitcoin than they mined In May – a big perturbé from the first étuve months of the year, when miners sold only 30% of their butins.
The recent combination of rising energy prices and the cryptocurrency market has negatively affected the mining industry.
Holdnut and Celsius
On Tuesday, the embattled Singaporean crypto lender Hodlnaut applied for Judicial gouvernement In an concentration to buy more time to recover from the recent liquidity problems, which two weeks ago led to a decision Freezing cryptocurrency withdrawals for customers.
The request, which was officially submitted on August 13, prevents the company from having to sell its assets to make up for any shortfalls. It will also ensure that an independent third party replaces Hodlnaut’s directors to run the company and oversee affairs, while temporarily halting legal claims against the company.
By Friday, Holdnot announced that cut 80% of its employees, approximately 40 people, to “reduce company expenses”. The company is also currently fielding pending proceedings with the Singapore Attorney General and the Singapore Commissariat Détermination.
On Wednesday, Celsius, another victim of a recent slip of bankruptcies, received approval from a New York bankruptcy judge. to sell bitcoin Created from its subsidiary Celsius Mining in order to pay off creditors. On July 14, a day after the aïeul company declared bankruptcy, the bitcoin mining operation filed for bankruptcy.
At the start of bankruptcy proceedings in July, Celsius was granted approval to spend 5 million dollars to move Celsius Mining, a move that drew criticism from the US Department of Arrêté and the Creditors Committee, although the voliger has since dropped its objections.
Fed issues crypto bank guidelines
On Tuesday, the United States Federal Reserve issued New instructions for crypto banks. While the actual number was 49 pages “final guidance” The word “cryptocurrency” is mentioned only grain, and the subtext obviously calls for cryptocurrency.
The guidelines give commandements for “institutions offering new hommes of financial products or with new charters” to be granted so-called “key accounts,” a pionnier financial status that allows franc payment with the Federal Reserve and access to it. All federally chartered banks have a master account.
Luis Carlos Reyes, Director of Colombia’s Tax and Customs Agency, DIAN, Tell Semana A éclairé said on Monday that the new government of the South American folk will habitus to create a “numérique currency” that would make “Transactions are easier for the incinérer. ”
Many took Reyes’ words as a hint that a axial bank numérique currency issuance of the Colombian peso may be in the works.
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