Crypto wrap: Market participants coming out of bear phase, experts suggest




Last week, received some respite from the fall in the value of digital tokens. Over the previous seven days, rose nearly 3 per cent, and Ethereum gained 13 per cent, according to coinmarketcap.com. and Ethereum are the largest and the second-largest digital tokens by market cap, respectively.


Market data suggests that the total crypto market cap rose from $1.03 trillion to $1.1 trillion in the last seven days. On Friday, the m-cap was at $1.14 trillion. “The traded volumes continued to witness double-digit gains for the third consecutive day for the market. Combining this stat with the third consecutive day of gains suggests that market participants are finally coming out of the bear phase,” Edul Patel, CEO and co-founder of Mudrex, told Business Standard.


“Over the past week, Ether has been up by almost 20 per cent. And with dominance steadily falling, it could signal a bull phase for altcoins,” he added. Altcoins are digital tokens considered to be alternatives to Bitcoin. Since June 12, Bitcoin’s share in the market has fallen from 47 per cent to 40 per cent. Ethereum’s market cap, on the other hand, has risen from 16.27 per cent to 19 per cent.


However, the crypto market in India saw some big developments last week. WazirX, one of the largest crypto exchanges in India, was raided by the (ED) for allegedly laundering the money. Binance, the largest crypto exchange in the world, announced that it was acquiring WazirX in 2019, but the deal could not go forward.


However, the heads of the two companies have been waging a war of words on Twitter regarding the ownership of WazirX.


Another development came as a report by the United Nations (UN). It said rose at an ‘unprecedented rate’ during the Covid-19 pandemic. 7.3 per cent of Indians own these assets, the 7th highest in the world. The highest crypto came from the two countries at war, Ukraine and Russia.


The UN cautioned that due to the lack of regulations on cryptocurrency, emerging economies should be careful in dealing with these assets. It said, “If continue to grow as a means of payment, and even replace domestic currencies unofficially, the “monetary sovereignty” of countries could be jeopardized.”


However, Minal Thakur, executive vice-president of growth and strategy at CoinDCX, said that the fate of crypto and web3 looked ‘brilliant’ in India.


“As per the UN report, crypto shows a dramatic development in recent years which is a positive sign given that 65 crore Indians (~50%) have access to the internet now. Further more crypto innovations will continue to grow in India irrespective of the continuous fear around increasing rates, inflation, etc,” Thakur said.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor



Source link

Latest

Udhampur Interrogation Shows ISI Trying to Push Terrorists Into J&K to Suggest Instability: Sources

Pakistan’s spy agency ISI is trying to push in as many as terrorists as possible in Kashmir before winters to prove to the world...

Meet Bigg Boss Marathi 4 contestants: From Yashashri Masurkar, Kiran Mane to Tejaswini Lonari

On Sunday, Mahesh Manjrekar kicked off Bigg Boss Marathi Season 4. The actor-filmmaker introduced 16 celebrity contestants, who will get locked inside the house,...