Ethereum falls by over 5 per cent, all major altcoins record decline
The global crypto market lost around 2.2 per cent, losing its previous day's gains, to stand at $1.28 trillion as of 9am IST. This bearish phase continued to pull down market trade volume by 15 per cent in the last 24 hours.
Bitcoin (BTC) flipped the 2 per cent gains it had garnered the previous day to fall below the $32,000 level closing at $31,550. The leading cryptocurrency continues to show an accumulation phase with persistent selling pressures invoking a price drain. BTC failed to test its first resistance level at $32,360 and was nearing the first and second support levels of $31,200 and $30,560 respectively.
Ethereum (ETH), while exhibiting high correlation to BTC, ended the day below the $1,900 level, dipping notably by over 5 per cent. However, ETH steered clear of its major support level at $1,700. ETH is currently locked more in smart contracts than it is being traded on cryptocurrency exchanges, a clear sign of deflationary pressures ahead of its EIP-1559 upgrade next month.
All major altcoins registered declines today with Cardano (ADA), Polygon (MATIC) and Solana (SOL) dipping several notches by 3 to 7 percent as the day closed.
The bulls have successfully defended the $30,000 level for BTC in the past few days but the failure to achieve a strong rebound signals extended uncertainty over this week even as BTC continues to gain dominance at 46.2 per cent of market capitalisation.
Top Gainers today:
- NEM (XEM): 4.6%
- Klaytn (KLAY): 2.1%
- Siacoin (SC): 1.4%
Top Losers today:
- Axie Infinity (AXS): -16.8%
- Stacks (STX): -12.8%
- THORChain (RUNE): -12.7%
The analysis includes the top 100 coins only as of 9am IST
Crypto News at a Glance:
- El Salvador, after announcing Bitcoin as legal tender in June, is reportedly planning to launch its own stablecoin. The stablecoin, scheduled to be released by this year-end, will be issued by the central bank and backed by U.S. dollar.
- South Korea’s Woori Bank has partnered with Coinplug Inc., a fintech solutions provider, in a bid to join the DACS (cryptocurrency custody services) market.
- Amidst continued regulatory crackdowns, Bitcoin blockchain has experienced four consecutive negative mining readjustments for the first time in a decade.
- Binance has burnt 1.3 million Binance Coin (BNB) tokens worth $393 million in its recent token burn. Token burns increase demand for a token on account of reduced supply.
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