Bitcoin and Ethereum Plunge as Merge Rally Cools Off: This Week’s Crypto Recap

Things took a turn for the worse in the past seven days as major cryptocurrencies plummeted. Total market capitalization dropped about $ 115 billion in seven days as more major currencies fell by double-digit percentages. That said, let’s unpack.

Bitcoin is trading at around $ 21,500, which is exactly 10% below its price right now last week. The leading cryptocurrency by total market cap failed to break through the critical resistance at $ 25,000 and, with the exception of a few short periods, the price was only going down.

The dominance of Bitcoin, the metric that tracks the share of BTC compared to that of the entire market, currently stands at 38.55%. This is roughly the same as it was seven days ago, meaning altcoins have failed to capitalize on Bitcoin’s indecision.

Ethereum’s price plummeted about 9.5% and is currently trading at $ 1,700. Many in the industry are concerned that the Merge rally may cool down. Additionally, it’s worth noting that the Chicago Mercantile Exchange also announced plans to launch options for Ether futures on Sept. 12, which could also be part of the reason for the drop.

Also, it’s not surprising that most conversations in the industry are centered around Ethereum’s transition to proof-of-stake, as well as what the implications of this move might be. Arthur Hayes, the former CEO and co-founder of BitMEX is of the opinion that the price of ETH will skyrocket like BTC does after a halving.

Binance Coin was down 12.4%, XRP – 10.6%, Cardano – 11.9%, Solana – 14.1% and so on. One of the outliers is Shiba Inu. Dogecoin-inspired memecoin has risen 7.5% in the past week as many other memecoins related to the popular dog breed have skyrocketed. As the week progressed, however, many of them saw their earnings vanish.

Either way, it remains interesting to see how the market will form in the coming week and whether the Merge rally picks up speed or not.

Market data

Market cap: $ 1.080 billion | Vol 24 hours: $ 98 billion | BTC dominance: 38.55%

BTC: $ 21,544 (-10%) | ETH: $ 1,703 (-9.5%) | ADA: $ 0.46 (-11.9%)

19.08

This week’s cryptocurrency stocks not to be missed

CME Group plans to launch options for Ether Futures prior to the merger. One of the largest derivatives markets, the Chicago Mercantile Exchange (CME), has announced plans to offer options on ETH futures. The launch of the new product is scheduled for 12 September and is subject to regulatory review.

Vitalik Buterin and Ripple’s CTO engage in Twitter on XRP. Ethereum co-founder Vitalik Buterin engaged in a Twitter discussion with Ripple’s CTO David Schwartz. They were debating whether Bitcoin and Ethereum represent stocks or not.

Coinbase CEO would shut down ETH’s staking service if asked to bow to regulators. Contemplating a hypothetical situation, Coinbase CEO Brian Armstrong said that if pushed by regulators, the exchange would shut down ETH’s staking services. He also claimed that he would refuse to censor the Ethereum blockchain by using his platform’s concentrated participation in Ethereum.

HUSD stablecoin loses dollar peg, Huobi reportedly abandoned ship in April. HUSD became the latest stablecoin to lose parity with the dollar as the cryptocurrency plunged below $ 0.90. Huobi said he left the project in April, but that he will do everything he can to help restore troubled liquidity.

The merger will rally Ethereum as a bitcoin halving: Arthur Hayes. According to Arthur Hayes, founder and former CEO of BitMEX, the transition of Ethereum to proof of stake will have similar effects on the price of ETH as the halving of Bitcoin in BTC. He thinks The Merge will not be a “sell the news” type of event.

NY Judge allows Celsius to sell the Bitcoin it mines. Based on the company’s financial projections, Celsius Network is expected to run out of cash by October. That said, a New York judge approved Celius’ request to sell some of the BTC it mines during its bankruptcy process.

Graphs

This week we have a chart analysis of Ethereum, Ripple, Cardano, Binance Coin and Dogecoin – click here for the full price analysis.

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