Connect with us

Blogs

The Ethereum Crash is Not Over

Published

on

Ethereum crash

The Ethereum crash looks far from over. A few days ago, Ethereum crashed to a new milestone when it dipped to levels below the much dreaded $200 value. Every crypto enthusiast was confident that the King of Smart contracts would continue to hold its own and possibly recover to levels around $400. But that has not come to be as the crypto markets are still stagnant at levels of a total market capitalization of $195.4 Billion and at the moment of writing this, ETH is somewhat stable at $192.

As a result, Bitcoin (BTC) has even increased its dominance to 56% as I write. On the other hand, Ethereum’s dominance is currently at 10% after dropping by a few points for its usual dominance in the markets of between 14 and 18%.

Why Ethereum’s Crash is not Over

To begin with, the rumors that the ICOs from last year are selling the Ethereum they raised is valid. Looking at the EOS project, the team managed to sell off all their Ethereum before they launched their mainnet on the 2nd of June. Further checking the crypto markets, we find that ETH was relatively well priced at around $600 back then. Using this price as a reference, the digital asset had dropped an astounding 57% from its all-time high of $1,400. Therefore, the EOS team was justified in cashing out before it dipped further.

It is with this background that the probability is high for more ETH to be sold in the markets by ICOs still holding bags of it. Common trading sense indicates that when a digital asset is spiraling out of control in the markets, the best option is to opt for BTC or the controversial Tether (USDT) to hedge against further losses.

The number of ICOs still holding ETH are still significant enough to cause a further decline of the digital asset if they decided to systematically trade it for Bitcoin or any of the other stabler digital assets such as Stellar (XLM).

Secondly, and even without the ICOs selling their Ethereum, the crypto markets are in a very fragile state. The bear market that was kick-started by regulatory fears from South Korea and China back in February has shown no signs of abating even with proof positive evidence of institutional investors getting into crypto investing.

Wall Street even has plans of offering Ethereum futures contracts before the end of the year. This should have led to a positive knee-jerk reaction for Ethereum in the markets.

The mood and feel are that we are headed for tougher times this September, especially with the pending SEC decision on the CBOE sponsored ETF on the 30th of September. Global Coin Report had advised in an earlier post that traders tread carefully between now and the D-Day that is September 30th.

What can Save Ethereum?

The answer to this question is simple. The markets need to turn around before it gets worse for Ethereum. Crypto traders and the institutional investors need to start buying and pushing for the massive adoption of cryptocurrencies for day to day commerce such as paying for coffee. That is the only way that demand for all digital assets will go up, thus causing a ripple effect that will raise the price of ETH.

A second option would be for the Ethereum core developers to solve the scalability issues on the network to enable for faster transaction speeds as well as cheaper transactions. This then will prevent DApp creators and users from moving to more efficient platforms such as Tron (TRX) and Zilliqa. The network congestion on Ethereum is the sole reason savvy investors continue to short ETH in the markets.

In conclusion, the short-term future for Ethereum in the crypto markets looks a bit bleak in the current bear market coupled with the possibility of ICOs deciding to sell all their ETH before it is too late. That said, it might be time for ETH HODLers to reconsider their investment strategy moving forward as the Ethereum crash looks far from over.

For the latest cryptocurrency news, join our Telegram!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Image courtesy of Pexels

Altcoins

My Crypto Heroes Announces Issuance of MCH Governance Token

Published

on

Tokyo, Japan, 24th November, 2020, // ChainWire //

My Crypto Heroes is happy to announce the issuance of MCH Coin as an incentive to players in the My Crypto Heroes ecosystem, aiming to allow them to craft a “User-oriented world”. The MCH coin is available on Uniswap with a newly created pool with ETH. 

My Crypto Heroes is a blockchain-based game for PC and Mobile. It allows users to collect historic heroes and raise them for battle in a Crypto World. Officially released on November 30th, 2018, MCH has recorded the most transactions and daily active users than any other blockchain game in the world.

What is MCH Coin?

MCH Coin is being issued as an ERC-20 Standard Governance Token. The issuance began on November 9th, 2020, with 50 million tokens issued.

Of the funds issued, 40% are allocated to a pay for on-going development and as rewards for advisors and early investors. 10% are allocated to marketing and the growth of the ecosystem, and 50% are allocated to the community. The Distribution Ratio of the MCH Coin is subject to change via a governance decision.

The MCH coin will be used as a voting right as part of the ecosystem’s governance, with 1 coin being 1 vote. It will also be used for in-game utilities and payments. Additional information can be found here:

https://medium.com/mycryptoheroes/new-ecosystem-with-mchcoin-en-a6a82494894f

During December 2020 the first governance…

Continue Reading

Altcoins

Rewards Platform StormX Offers 50% Crypto Cashback Bonus for Thanksgiving

Published

on

Singapore, Singapore, 23rd November, 2020, // ChainWire //

Blockchain-based rewards platform StormX has released a seasonal promotion for its award-winning Crypto Cash Back App. The promotion will allow app users to earn a 50% bonus on top of their cashback between Thanksgiving Day and Cyber Monday (November 26-30).

StormX has also introduced a brand-new staking service, allowing users to earn an additional 50% per year when they stake STMX tokens. The native ERC20 token of the StormX ecosystem, STMX has a total supply of 10 billion and is available to trade at many of the world’s top exchanges, including Binance and Bittrex.

“With Bitcoin’s price approaching its all-time high, interest in cryptocurrencies has renewed, though some people believe it’s now too expensive to buy in,” said StormX CEO and Co-Founder Simon Yu. “What we have done is create an easy way for such individuals to accumulate bitcoin, ethereum and other cryptocurrencies via everyday shopping.

“We’re also excited to provide users with the ability to earn greater rewards simply by staking their tokens.”

Since the StormX mobile app launched its Shop feature with over 700 stores in February 2020, some 400,000 unique users have been added to the rewards platform. StormX has also witnessed over 50% month-on-month growth for sales. The app is available for download on the App and Google Play Stores, and can be downloaded as a browser add-on from the Chrome Web…

Continue Reading

Altcoins

BITTREX GLOBAL CONFIRMS FREE TRADING AND LISTING FOR TOP DEFI TOKEN

Published

on

Valduz, Liechtenstein, 17th November, 2020, // ChainWire //

International cryptocurrency exchange promotes free trading and no gas fees for leading DeFi tokens

17th November 2020 — Bittrex Global GmbH. announced today 8 new DeFi tokens will be listed this week including:

  • UMA (UMA)
  • Aave (AAVE)
  • Balancer (BAL)
  • REN (REN & renBTC)
  • Kyber Network (KNC)
  • Band Protocol (BAND)
  • YF Link – (YFL)

Bittrex Global’s users can trade all of their DeFi  tokens with no trading or gas fees until 2021. The decision to enable free trading on Bittrex Global for DeFi tokens  follows on from the 1,000% growth of the DeFi asset class over the course of 2020.

The decision to enable free transactions will see more investors enter the Blockchain Act’s digital asset regulatory system, supervised by the Financial Market Authority in Liechtenstein (FMA) under the Due Diligence Act which requires traders to comply with the KYC/AML/CFT standards.

“The last year has seen huge growth in DeFi as an asset class and a number of significant milestones completed,” said Bittrex Global’s CEO Tom Albright. “As the asset class matures and more institutional and professional investors look at the fundamentals, we are likely to see increased demand and higher trading volumes for DeFi in 2021.

We’re really excited about what we’re seeing in the space and want to see these DeFi projects grow and help them build stronger platforms through increased adoption. Offering free trading fees…

Continue Reading

Press Release